Is it cheaper to live in Cleveland or Montgomery?

Cleveland, OH is cheaper. Its monthly baseline of $940 (1BR rent + utilities) runs about 8% below Montgomery, AL's $1,020, mainly because of rent.

How much more do you need to earn to live in Cleveland than in Montgomery?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $29,000 a year in Cleveland versus $33,000 in Montgomery.

Which has lower taxes, Cleveland or Montgomery?

Cleveland is taxed under Ohio's rules (a top state income tax rate of 2.75% and a 5.75% state sales tax); Montgomery under Alabama's (a top state income tax rate of 5.00% and a 4% state sales tax).

Cleveland vs Montgomery Cost of Living 2026

Cleveland

Ohio

$940/mo est.

Montgomery

Alabama

$1,020/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $940 in Cleveland, OH versus $1,020 in Montgomery, AL. Overall, Cleveland, OH is roughly 8% cheaper to live in day-to-day than Montgomery, AL, driven mainly by rent.

Median household income is $39,187 in Cleveland, OH and $55,687 in Montgomery, AL — about 30% higher in Montgomery, AL. Ohio has a top state income tax rate of 2.75% and a 5.75% state sales tax; Alabama has a top state income tax rate of 5.00% and a 4% state sales tax.

Cleveland, OH

Montgomery, AL

Rent

Studio

$678

$864

+27% in Montgomery, AL

1 Bedroom

$732

$831

+14% in Montgomery, AL

2 Bedroom

$903

$982

+9% in Montgomery, AL

3 Bedroom

$1,081

$1,172

+8% in Montgomery, AL

Buying a Home

Median Home Value

$94,100

$148,500

+58% in Montgomery, AL

Income

Median Household Income

$39,187

$55,687

+42% in Montgomery, AL

Metro Median Wage (annual)

$50,140

$44,950

+10% in Cleveland, OH

People & Lifestyle

Median Age

36.3 yr

36.2 yr

+0.1 yr in Cleveland, OH

Homeownership

41.2%

54.3%

+13.1 pp in Montgomery, AL

Bachelor's+ (25+)

21.3%

33.5%

+12.2 pp in Montgomery, AL

Avg Commute

22.9 min

20.5 min

+2.4 min in Cleveland, OH

Crime (per 100k/yr)

Violent Crime

1,582

605.5

+62% in Cleveland, OH

Property Crime

4,531.3

2,258.3

+50% in Cleveland, OH

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

Climate

Avg Annual Temperature

52.7°F

65.1°F

+12.4°F in Montgomery, AL

Annual Precipitation

36.4 in

53.1 in

+16.7 in in Montgomery, AL

Gas

Regular Gasoline

$3.80/gal

$3.62/gal

+5% in Cleveland, OH

Area: Ohio vs Gulf Coast (PADD 3).

Utilities

Electricity (¢/kWh)

19.2

16.4

+15% in Cleveland, OH

Natural Gas ($/MCF)

$22.83

$24.06

+5% in Montgomery, AL

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

Groceries

Milk (gal)

$4.31

$4.00

+7% in Cleveland, OH

Bread (lb)

$1.66

$1.75

+5% in Montgomery, AL

Eggs (doz)

$3.63

$2.21

+39% in Cleveland, OH

Ground Beef (lb)

$6.77

$6.45

+5% in Cleveland, OH

Chicken (lb)

$2.10

$1.90

+9% in Cleveland, OH

Bananas (lb)

$0.62

about equal

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

State Taxes

Sales Tax (OH / AL)

5.75%

+1.8 pp in OH

Income Tax (top rate)

2.75%

5.00%

+2.3 pp in AL

Cleveland vs Montgomery — FAQ

Is it cheaper to live in Cleveland or Montgomery?: Cleveland, OH is cheaper. Its monthly baseline of $940 (1BR rent + utilities) runs about 8% below Montgomery, AL's $1,020, mainly because of rent.
How much more do you need to earn to live in Cleveland than in Montgomery?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $29,000 a year in Cleveland versus $33,000 in Montgomery.
Which has lower taxes, Cleveland or Montgomery?: Cleveland is taxed under Ohio's rules (a top state income tax rate of 2.75% and a 5.75% state sales tax); Montgomery under Alabama's (a top state income tax rate of 5.00% and a 4% 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).