Is it cheaper to live in Fairbanks or Grand Forks?

Grand Forks, ND is cheaper. Its monthly baseline of $920 (1BR rent + utilities) runs about 32% below Fairbanks, AK's $1,350, mainly because of rent.

How much more do you need to earn to live in Fairbanks than in Grand Forks?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $43,000 a year in Fairbanks versus $30,000 in Grand Forks.

Which has lower taxes, Fairbanks or Grand Forks?

Fairbanks is taxed under Alaska's rules (no state income tax and no state sales tax); Grand Forks under North Dakota's (a top state income tax rate of 2.50% and a 5% state sales tax).

Fairbanks vs Grand Forks Cost of Living 2026

Fairbanks

Alaska

$1,350/mo est.

Grand Forks

North Dakota

$920/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,350 in Fairbanks, AK versus $920 in Grand Forks, ND. Overall, Grand Forks, ND is roughly 32% cheaper to live in day-to-day than Fairbanks, AK, driven mainly by rent.

Median household income is $72,077 in Fairbanks, AK and $63,838 in Grand Forks, ND — about 11% higher in Fairbanks, AK. Alaska has no state income tax and no state sales tax; North Dakota has a top state income tax rate of 2.50% and a 5% state sales tax.

Fairbanks, AK

Grand Forks, ND

Rent

Studio

$883

$784

+11% in Fairbanks, AK

1 Bedroom

$1,076

$761

+29% in Fairbanks, AK

2 Bedroom

$1,428

$947

+34% in Fairbanks, AK

3 Bedroom

$2,019

$1,371

+32% in Fairbanks, AK

Buying a Home

Median Home Value

$255,700

$243,300

+5% in Fairbanks, AK

Income

Median Household Income

$72,077

$63,838

+11% in Fairbanks, AK

Metro Median Wage (annual)

$61,810

$49,760

+19% in Fairbanks, AK

People & Lifestyle

Median Age

28.6 yr

29.4 yr

+0.8 yr in Grand Forks, ND

Homeownership

40.5%

46.5%

+6.0 pp in Grand Forks, ND

Bachelor's+ (25+)

26.5%

39.2%

+12.7 pp in Grand Forks, ND

Avg Commute

14.1 min

14.8 min

+0.7 min in Grand Forks, ND

Crime (per 100k/yr)

Violent Crime

726.1

360.3

+50% in Fairbanks, AK

Property Crime

3,504.2

2,290.6

+35% in Fairbanks, AK

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

Climate

Avg Annual Temperature

27.7°F

40.0°F

+12.3°F in Grand Forks, ND

Annual Precipitation

10.8 in

20.8 in

+10.0 in in Grand Forks, ND

Gas

Regular Gasoline

$5.21/gal

$3.85/gal

+26% in Fairbanks, AK

Area: West Coast (PADD 5) vs Midwest (PADD 2).

Utilities

Electricity (¢/kWh)

28.2

14.1

+50% in Fairbanks, AK

Natural Gas ($/MCF)

$17.35

$18.21

+5% in Grand Forks, ND

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

Groceries

Milk (gal)

$4.82

$4.31

+10% in Fairbanks, AK

Bread (lb)

$2.04

$1.66

+19% in Fairbanks, AK

Eggs (doz)

$2.19

$3.63

+66% in Grand Forks, ND

Ground Beef (lb)

$7.36

$6.77

+8% in Fairbanks, AK

Chicken (lb)

$2.01

$2.10

+4% in Grand Forks, ND

Bananas (lb)

$0.70

$0.62

+12% in Fairbanks, AK

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

State Taxes

Sales Tax (AK / ND)

None

+5.0 pp in ND

Income Tax (top rate)

None

2.50%

+2.5 pp in ND

Fairbanks vs Grand Forks — FAQ

Is it cheaper to live in Fairbanks or Grand Forks?: Grand Forks, ND is cheaper. Its monthly baseline of $920 (1BR rent + utilities) runs about 32% below Fairbanks, AK's $1,350, mainly because of rent.
How much more do you need to earn to live in Fairbanks than in Grand Forks?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $43,000 a year in Fairbanks versus $30,000 in Grand Forks.
Which has lower taxes, Fairbanks or Grand Forks?: Fairbanks is taxed under Alaska's rules (no state income tax and no state sales tax); Grand Forks under North Dakota's (a top state income tax rate of 2.50% and a 5% 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).