Is it cheaper to live in Annapolis or Santa Fe?

Santa Fe, NM is cheaper. Its monthly baseline of $1,310 (1BR rent + utilities) runs about 28% below Annapolis, MD's $1,820, mainly because of rent.

How much more do you need to earn to live in Annapolis than in Santa Fe?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $64,000 a year in Annapolis versus $47,000 in Santa Fe.

Which has lower taxes, Annapolis or Santa Fe?

Annapolis is taxed under Maryland's rules (a top state income tax rate of 6.50% and a 6% state sales tax); Santa Fe under New Mexico's (a top state income tax rate of 5.90% and a 4.875% state sales tax).

Annapolis vs Santa Fe Cost of Living 2026

Annapolis

Maryland

$1,820/mo est.

Santa Fe

New Mexico

$1,310/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,820 in Annapolis, MD versus $1,310 in Santa Fe, NM. Overall, Santa Fe, NM is roughly 28% cheaper to live in day-to-day than Annapolis, MD, driven mainly by rent.

Median household income is $104,257 in Annapolis, MD and $70,110 in Santa Fe, NM — about 33% higher in Annapolis, MD. Maryland has a top state income tax rate of 6.50% and a 6% state sales tax; New Mexico has a top state income tax rate of 5.90% and a 4.875% state sales tax.

Annapolis, MD

Santa Fe, NM

Rent

Studio

$1,239

$969

+22% in Annapolis, MD

1 Bedroom

$1,598

$1,167

+27% in Annapolis, MD

2 Bedroom

$1,864

$1,559

+16% in Annapolis, MD

3 Bedroom

$2,232

$1,733

+22% in Annapolis, MD

Buying a Home

Median Home Value

$510,200

$411,500

+19% in Annapolis, MD

Income

Median Household Income

$104,257

$70,110

+33% in Annapolis, MD

Metro Median Wage (annual)

$59,070

$48,710

+18% in Annapolis, MD

People & Lifestyle

Median Age

40.9 yr

46.4 yr

+5.5 yr in Santa Fe, NM

Homeownership

59.8%

62.8%

+3.0 pp in Santa Fe, NM

Bachelor's+ (25+)

53.7%

45.4%

+8.3 pp in Annapolis, MD

Avg Commute

28.7 min

20.2 min

+8.5 min in Annapolis, MD

Crime (per 100k/yr)

Violent Crime

806

843.3

+5% in Santa Fe, NM

Property Crime

2,111.5

5,189

+146% in Santa Fe, NM

FBI Crime Data Explorer. Offenses per 100,000 residents per year; agency reporting practices vary, so this is approximate.

Climate

Avg Annual Temperature

57.1°F

51.9°F

+5.2°F in Annapolis, MD

Annual Precipitation

—

13.5 in

Gas

Regular Gasoline

$3.86/gal

$3.62/gal

+6% in Annapolis, MD

Area: East Coast (PADD 1) vs Gulf Coast (PADD 3).

Utilities

Electricity (¢/kWh)

21.8

14.1

+35% in Annapolis, MD

Natural Gas ($/MCF)

$18.94

$11.90

+37% in Annapolis, MD

Residential, state-level averages (EIA). MCF = 1,000 cubic feet.

Groceries

Milk (gal)

$4.00

$4.82

+20% in Santa Fe, NM

Bread (lb)

$1.75

$2.04

+17% in Santa Fe, NM

Eggs (doz)

$2.21

$2.19

+1% in Annapolis, MD

Ground Beef (lb)

$6.45

$7.36

+14% in Santa Fe, NM

Chicken (lb)

$1.90

$2.01

+6% in Santa Fe, NM

Bananas (lb)

$0.62

$0.70

+14% in Santa Fe, NM

Average prices — South vs West (BLS). Regional where available, otherwise U.S. average.

State Taxes

Sales Tax (MD / NM)

4.875%

+1.1 pp in MD

Income Tax (top rate)

6.50%

5.90%

+0.6 pp in MD

Annapolis vs Santa Fe — FAQ

Is it cheaper to live in Annapolis or Santa Fe?: Santa Fe, NM is cheaper. Its monthly baseline of $1,310 (1BR rent + utilities) runs about 28% below Annapolis, MD's $1,820, mainly because of rent.
How much more do you need to earn to live in Annapolis than in Santa Fe?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $64,000 a year in Annapolis versus $47,000 in Santa Fe.
Which has lower taxes, Annapolis or Santa Fe?: Annapolis is taxed under Maryland's rules (a top state income tax rate of 6.50% and a 6% state sales tax); Santa Fe under New Mexico's (a top state income tax rate of 5.90% and a 4.875% state sales tax).

Sources: US Census Bureau, ACS 5-Year (rent, income, home value, demographics); NOAA Climate Normals 1981–2010 (climate); EIA weekly retail (gas); Tax Foundation 2026 (state taxes).