Montgomery vs Dallas-Fort Worth-Arlington

What This Comparison Actually Tells You

The Bureau of Economic Analysis indexes Montgomery, AL at an overall Regional Price Parity of 89.7 and Dallas-Fort Worth-Arlington, TX at 103.1, using the U.S. national average of 100 as the reference point. That puts Dallas-Fort Worth-Arlington 15% more expensive than Montgomery on a blended basket of goods, services, and rents. The raw index gap of 13.4 points matters more than the headline comparison because it flows directly into salary-equivalent math that families use for relocation, job offers, and remote-work arbitrage decisions.

Inside the breakdown, Montgomery indexes goods at 96.4, services at 84.9, and rents at 64.3, while Dallas-Fort Worth-Arlington comes in at 102.8, 90.7, and 117.9 on the same three categories. The rent line carries the largest weight in the BEA methodology, so a metro with a higher rent index almost always ends up more expensive overall - Dallas-Fort Worth-Arlington carries the heavier rent load here, and that tends to dominate household budget experience on the ground.

In salary terms, a $100,000 income in Montgomery has the same purchasing power as $114,951 in Dallas-Fort Worth-Arlington based on these indexes. The two metros serve populations of roughly 385,159 (Montgomery) and 7,807,555 (Dallas-Fort Worth-Arlington), and median household incomes are $62,746 versus $87,155 respectively - so the right way to read this comparison is never the index alone, but the ratio of your expected local salary to the rent and services mix. For any serious relocation or remote-work decision, pair this BEA comparison with BLS occupation-specific wage data, HUD Fair Market Rent tables, and state tax treatment before committing.