Is it cheaper to live in Fairbanks or Tucson?

Tucson, AZ is cheaper. Its monthly baseline of $1,070 (1BR rent + utilities) runs about 21% below Fairbanks, AK's $1,350, mainly because of rent.

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

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $43,000 a year in Fairbanks versus $36,000 in Tucson.

Which has lower taxes, Fairbanks or Tucson?

Fairbanks is taxed under Alaska's rules (no state income tax and no state sales tax); Tucson under Arizona's (a top state income tax rate of 2.50% and a 5.6% state sales tax).

Fairbanks vs Tucson Cost of Living 2026

Fairbanks

Alaska

$1,350/mo est.

Tucson

Arizona

$1,070/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 $1,070 in Tucson, AZ. Overall, Tucson, AZ is roughly 21% cheaper to live in day-to-day than Fairbanks, AK, driven mainly by rent.

Median household income is $72,077 in Fairbanks, AK and $54,546 in Tucson, AZ — about 24% higher in Fairbanks, AK. Alaska has no state income tax and no state sales tax; Arizona has a top state income tax rate of 2.50% and a 5.6% state sales tax.

Fairbanks, AK

Tucson, AZ

Rent

Studio

$883

$795

+10% in Fairbanks, AK

1 Bedroom

$1,076

$891

+17% in Fairbanks, AK

2 Bedroom

$1,428

$1,146

+20% in Fairbanks, AK

3 Bedroom

$2,019

$1,520

+25% in Fairbanks, AK

Buying a Home

Median Home Value

$255,700

$242,200

+5% in Fairbanks, AK

Income

Median Household Income

$72,077

$54,546

+24% in Fairbanks, AK

Metro Median Wage (annual)

$61,810

$47,760

+23% in Fairbanks, AK

People & Lifestyle

Median Age

28.6 yr

34.6 yr

+6.0 yr in Tucson, AZ

Homeownership

40.5%

51.7%

+11.2 pp in Tucson, AZ

Bachelor's+ (25+)

26.5%

30.2%

+3.7 pp in Tucson, AZ

Avg Commute

14.1 min

22.2 min

+8.1 min in Tucson, AZ

Crime (per 100k/yr)

Violent Crime

726.1

645.8

+11% in Fairbanks, AK

Property Crime

3,504.2

3,460

+1% 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

70.2°F

+42.5°F in Tucson, AZ

Annual Precipitation

10.8 in

11.6 in

+0.8 in in Tucson, AZ

Gas

Regular Gasoline

$5.21/gal

about equal

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

Public Transit

Base Fare (one-way)

—

Free

Adult base one-way fare — — vs Sun Tran (2026).

Utilities

Electricity (¢/kWh)

28.2

15.2

+46% in Fairbanks, AK

Natural Gas ($/MCF)

$17.35

$24.74

+43% in Tucson, AZ

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

Groceries

Milk (gal)

$4.82

about equal

Bread (lb)

$2.04

about equal

Eggs (doz)

$2.19

about equal

Ground Beef (lb)

$7.36

about equal

Chicken (lb)

$2.01

about equal

Bananas (lb)

$0.70

about equal

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

State Taxes

Sales Tax (AK / AZ)

None

5.6%

+5.6 pp in AZ

Income Tax (top rate)

None

2.50%

+2.5 pp in AZ

Fairbanks vs Tucson — FAQ

Is it cheaper to live in Fairbanks or Tucson?: Tucson, AZ is cheaper. Its monthly baseline of $1,070 (1BR rent + utilities) runs about 21% below Fairbanks, AK's $1,350, mainly because of rent.
How much more do you need to earn to live in Fairbanks than in Tucson?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $43,000 a year in Fairbanks versus $36,000 in Tucson.
Which has lower taxes, Fairbanks or Tucson?: Fairbanks is taxed under Alaska's rules (no state income tax and no state sales tax); Tucson under Arizona's (a top state income tax rate of 2.50% and a 5.6% 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).