Is it cheaper to live in Birmingham or Cambridge?

Birmingham, AL is cheaper. Its monthly baseline of $1,190 (1BR rent + utilities) runs about 58% below Cambridge, MA's $2,810, mainly because of rent.

How much more do you need to earn to live in Birmingham than in Cambridge?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $40,000 a year in Birmingham versus $100,000 in Cambridge.

Which has lower taxes, Birmingham or Cambridge?

Birmingham is taxed under Alabama's rules (a top state income tax rate of 5.00% and a 4% state sales tax); Cambridge under Massachusetts's (a top state income tax rate of 9.00% and a 6.25% state sales tax).

Birmingham vs Cambridge Cost of Living 2026

Birmingham

Alabama

$1,190/mo est.

Cambridge

Massachusetts

$2,810/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,190 in Birmingham, AL versus $2,810 in Cambridge, MA. Overall, Birmingham, AL is roughly 58% cheaper to live in day-to-day than Cambridge, MA, driven mainly by rent.

Median household income is $44,376 in Birmingham, AL and $126,469 in Cambridge, MA — about 65% higher in Cambridge, MA. Alabama has a top state income tax rate of 5.00% and a 4% state sales tax; Massachusetts has a top state income tax rate of 9.00% and a 6.25% state sales tax.

Birmingham, AL

Cambridge, MA

Rent

Studio

$857

$2,236

+161% in Cambridge, MA

1 Bedroom

$1,004

$2,496

+149% in Cambridge, MA

2 Bedroom

$1,005

$2,980

+197% in Cambridge, MA

3 Bedroom

$1,188

$3,325

+180% in Cambridge, MA

Buying a Home

Median Home Value

$138,600

$1,040,500

+651% in Cambridge, MA

Income

Median Household Income

$44,376

$126,469

+185% in Cambridge, MA

Metro Median Wage (annual)

$47,770

$66,620

+39% in Cambridge, MA

People & Lifestyle

Median Age

35.9 yr

30.5 yr

+5.4 yr in Birmingham, AL

Homeownership

45.1%

33.7%

+11.4 pp in Birmingham, AL

Bachelor's+ (25+)

30.7%

80.2%

+49.5 pp in Cambridge, MA

Avg Commute

21.5 min

26.1 min

+4.6 min in Cambridge, MA

Crime (per 100k/yr)

Violent Crime

1,274.7

436.7

+66% in Birmingham, AL

Property Crime

4,233

2,657.6

+37% in Birmingham, AL

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

Climate

Avg Annual Temperature

63.3°F

51.5°F

+11.8°F in Birmingham, AL

Annual Precipitation

53.7 in

43.8 in

+9.9 in in Birmingham, AL

Gas

Regular Gasoline

$3.62/gal

$4.07/gal

+12% in Cambridge, MA

Area: Gulf Coast (PADD 3) vs Massachusetts.

Utilities

Electricity (¢/kWh)

16.4

29.6

+81% in Cambridge, MA

Natural Gas ($/MCF)

$24.06

$30.66

+27% in Cambridge, MA

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

Groceries

Milk (gal)

$4.00

$4.31

+8% in Cambridge, MA

Bread (lb)

$1.75

$1.92

+10% in Cambridge, MA

Eggs (doz)

$2.21

$2.19

+1% in Birmingham, AL

Ground Beef (lb)

$6.45

$6.90

+7% in Cambridge, MA

Chicken (lb)

$1.90

$2.19

+15% in Cambridge, MA

Bananas (lb)

$0.62

$0.69

+12% in Cambridge, MA

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

State Taxes

Sales Tax (AL / MA)

6.25%

+2.3 pp in MA

Income Tax (top rate)

5.00%

9.00%

+4.0 pp in MA

Birmingham vs Cambridge — FAQ

Is it cheaper to live in Birmingham or Cambridge?: Birmingham, AL is cheaper. Its monthly baseline of $1,190 (1BR rent + utilities) runs about 58% below Cambridge, MA's $2,810, mainly because of rent.
How much more do you need to earn to live in Birmingham than in Cambridge?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $40,000 a year in Birmingham versus $100,000 in Cambridge.
Which has lower taxes, Birmingham or Cambridge?: Birmingham is taxed under Alabama's rules (a top state income tax rate of 5.00% and a 4% state sales tax); Cambridge under Massachusetts's (a top state income tax rate of 9.00% and a 6.25% 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).