Living Cost Compare
Houston

Texas

$1,350/mo est.

vs
New Orleans

Louisiana

$1,170/mo est.

Monthly estimate = 1BR rent + electricity + gas

A one-person monthly baseline (1BR rent plus typical utilities) runs $1,350 in Houston, TX versus $1,170 in New Orleans, LA. Overall, New Orleans, LA is roughly 13% cheaper to live in day-to-day than Houston, TX, driven mainly by rent.

Median household income is $62,894 in Houston, TX and $55,339 in New Orleans, LA — about 12% higher in Houston, TX. Texas has no state income tax and a 6.25% state sales tax; Louisiana has a top state income tax rate of 3.00% and a 5% state sales tax.

Rent

Studio
$1,142
$953
+17% in Houston, TX
1 Bedroom
$1,156
$1,019
+12% in Houston, TX
2 Bedroom
$1,375
$1,287
+6% in Houston, TX
3 Bedroom
$1,664
$1,392
+16% in Houston, TX

Buying a Home

Median Home Value
$253,400
$296,400
+17% in New Orleans, LA

Income

Median Household Income
$62,894
$55,339
+12% in Houston, TX
Metro Median Wage (annual)
$49,410
$47,290
+4% in Houston, TX

People & Lifestyle

Median Age
34.3 yr
38.4 yr
+4.1 yr in New Orleans, LA
Homeownership
42.0%
50.5%
+8.5 pp in New Orleans, LA
Bachelor's+ (25+)
36.0%
42.0%
+6.0 pp in New Orleans, LA
Avg Commute
27.3 min
22.7 min
+4.6 min in Houston, TX

Crime (per 100k/yr)

Violent Crime
1,155.2
1,361.1
+18% in New Orleans, LA
Property Crime
4,325.3
5,089.6
+18% in New Orleans, LA

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

Climate

Avg Annual Temperature
70.3°F
70.6°F
+0.3°F in New Orleans, LA
Annual Precipitation
54.6 in
62.3 in
+7.6 in in New Orleans, LA

Gas

Regular Gasoline
$3.85/gal
$3.99/gal
+4% in New Orleans, LA

Area: Houston vs Gulf Coast (PADD 3).

Public Transit

Base Fare (one-way)
$1.25
$1.25
about equal

Adult base one-way fare — Houston METRO vs New Orleans RTA (2026).

Utilities

Electricity (¢/kWh)
16.4
14.2
+14% in Houston, TX
Natural Gas ($/MCF)
$24.61
$16.62
+32% in Houston, TX

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

Groceries

Milk (gal)
$4.16
$4.16
about equal
Bread (lb)
$1.73
$1.73
about equal
Eggs (doz)
$2.19
$2.19
about equal
Ground Beef (lb)
$6.56
$6.56
about equal
Chicken (lb)
$1.90
$1.90
about equal
Bananas (lb)
$0.61
$0.61
about equal

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

State Taxes

Sales Tax (TX / LA)
6.25%
5%
+1.3 pp in TX
Income Tax (top rate)
None
3.00%
+3.0 pp in LA

Houston vs New Orleans — FAQ

Is it cheaper to live in Houston or New Orleans?
New Orleans, LA is cheaper. Its monthly baseline of $1,170 (1BR rent + utilities) runs about 13% below Houston, TX's $1,350, mainly because of rent.
How much more do you need to earn to live in Houston than in New Orleans?
To keep rent near the recommended 30% of gross income, you'd want to earn roughly $46,000 a year in Houston versus $41,000 in New Orleans.
Which has lower taxes, Houston or New Orleans?
Houston is taxed under Texas's rules (no state income tax and a 6.25% state sales tax); New Orleans under Louisiana's (a top state income tax rate of 3.00% 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).