Is it cheaper to live in Fayetteville or Paterson?

Fayetteville, AR is cheaper. Its monthly baseline of $990 (1BR rent + utilities) runs about 31% below Paterson, NJ's $1,430, mainly because of rent.

How much more do you need to earn to live in Fayetteville than in Paterson?

To keep rent near the recommended 30% of gross income, you'd want to earn roughly $33,000 a year in Fayetteville versus $47,000 in Paterson.

Which has lower taxes, Fayetteville or Paterson?

Fayetteville is taxed under Arkansas's rules (a top state income tax rate of 3.90% and a 6.5% state sales tax); Paterson under New Jersey's (a top state income tax rate of 10.75% and a 6.625% state sales tax).

Fayetteville vs Paterson Cost of Living 2026

Fayetteville

Arkansas

$990/mo est.

Paterson

New Jersey

$1,430/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $990 in Fayetteville, AR versus $1,430 in Paterson, NJ. Overall, Fayetteville, AR is roughly 31% cheaper to live in day-to-day than Paterson, NJ, driven mainly by rent.

Median household income is $59,074 in Fayetteville, AR and $53,766 in Paterson, NJ — about 9% higher in Fayetteville, AR. Arkansas has a top state income tax rate of 3.90% and a 6.5% state sales tax; New Jersey has a top state income tax rate of 10.75% and a 6.625% state sales tax.

Fayetteville, AR

Paterson, NJ

Rent

Studio

$709

$786

+11% in Paterson, NJ

1 Bedroom

$817

$1,183

+45% in Paterson, NJ

2 Bedroom

$999

$1,468

+47% in Paterson, NJ

3 Bedroom

$1,430

$1,729

+21% in Paterson, NJ

Buying a Home

Median Home Value

$322,500

$335,400

+4% in Paterson, NJ

Income

Median Household Income

$59,074

$53,766

+9% in Fayetteville, AR

Metro Median Wage (annual)

$46,610

$61,430

+32% in Paterson, NJ

People & Lifestyle

Median Age

28.7 yr

33.3 yr

+4.6 yr in Paterson, NJ

Homeownership

41.9%

26.2%

+15.7 pp in Fayetteville, AR

Bachelor's+ (25+)

49.8%

12.5%

+37.3 pp in Fayetteville, AR

Avg Commute

18.2 min

23.1 min

+4.9 min in Paterson, NJ

Crime (per 100k/yr)

Violent Crime

429.4

1,010.1

+135% in Paterson, NJ

Property Crime

2,392.2

2,391.4

+0% in Fayetteville, AR

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

52.2°F

+4.9°F in Fayetteville, AR

Annual Precipitation

48.5 in

49.0 in

+0.5 in in Paterson, NJ

Gas

Regular Gasoline

$3.62/gal

$3.94/gal

+9% in Paterson, NJ

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

Utilities

Electricity (¢/kWh)

14.1

24.9

+77% in Paterson, NJ

Natural Gas ($/MCF)

$27.86

$17.68

+37% in Fayetteville, AR

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

Groceries

Milk (gal)

$4.00

$4.31

+8% in Paterson, NJ

Bread (lb)

$1.75

$1.92

+10% in Paterson, NJ

Eggs (doz)

$2.21

$2.19

+1% in Fayetteville, AR

Ground Beef (lb)

$6.45

$6.90

+7% in Paterson, NJ

Chicken (lb)

$1.90

$2.19

+15% in Paterson, NJ

Bananas (lb)

$0.62

$0.69

+12% in Paterson, NJ

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

State Taxes

Sales Tax (AR / NJ)

6.5%

6.625%

+0.1 pp in NJ

Income Tax (top rate)

3.90%

10.75%

+6.8 pp in NJ

Fayetteville vs Paterson — FAQ

Is it cheaper to live in Fayetteville or Paterson?: Fayetteville, AR is cheaper. Its monthly baseline of $990 (1BR rent + utilities) runs about 31% below Paterson, NJ's $1,430, mainly because of rent.
How much more do you need to earn to live in Fayetteville than in Paterson?: To keep rent near the recommended 30% of gross income, you'd want to earn roughly $33,000 a year in Fayetteville versus $47,000 in Paterson.
Which has lower taxes, Fayetteville or Paterson?: Fayetteville is taxed under Arkansas's rules (a top state income tax rate of 3.90% and a 6.5% state sales tax); Paterson under New Jersey's (a top state income tax rate of 10.75% and a 6.625% 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).