Overall
98.6
-1.4 below avg
Metro cost profile · 2024 BEA RPP
Houston-Pasadena-The Woodlands, TX
Cost-of-living indicators for Houston-Pasadena-The Woodlands, TX, from Bureau of Economic Analysis Regional Price Parities — overall, goods, services, and rents vs the U.S. average of 100.
- 98.6
- Overall RPP
- #101
- of 387 metros
- 104.5
- Rents RPP
- $101K
- $100K national buys
The verdict
Houston costs less than 26% of U.S. metros — an overall index of 98.6, 1.4% below the national average, with services the biggest swing at 95.3.
- 98.6
- overall cost index (US average = 100)
- #101
- most expensive of 387 U.S. metros
- bottom 74%
- by overall cost, nationwide
- 104.5
- rents RPP — the biggest budget swing
A $100,000 national salary carries the purchasing power of about $101,390 here; matching a $100K lifestyle takes roughly $98,629.
What the Numbers Mean for Houston
Houston ranks #101 of 387 U.S. metro areas measured by the Bureau of Economic Analysis, placing it in the upper half by cost. With an overall Regional Price Parity of 98.6, Houston-Pasadena-The Woodlands, TX is 1.4% less expensive than the national baseline of 100. The gap between Houston's most and least expensive categories — rents at 104.5 versus services at 95.3 — is what drives the household budget experience on the ground, not the single headline number.
Translated into dollars, a nationally-benchmarked $100,000 salary carries the purchasing power of $101,390 inside Houston, while a household needs roughly $98,629 here to match a $100K lifestyle elsewhere. Rents carry the biggest swing in the BEA formula and are indexed at 104.5 — 4.5% above the national average — so anyone weighing a move or a remote-work arbitrage should treat the housing line as the single largest variable in the equation.
Looking at the 2008-2024 trajectory, Houston's overall index has stayed within 0.8 points, holding steady versus other U.S. metros. For the 2024 data year, goods are indexed at 100.6 and services at 95.3, meaning everyday spending in Houston is governed more by the services and rent mix than by retail goods prices. Readers comparing multiple destinations should always pair the RPP headline with local wage data and housing costs before drawing relocation conclusions.
Houston vs every U.S. metro
Where this metro sits in the national cost distribution
99 Top 26% higher than 74% of 387 US metros
Each bar is a band; taller bars hold more US metros. The dashed line + filled bar mark this entry. Hover or tap any bar for its full count, share, and where it sits relative to this entry.
Source U.S. Bureau of Economic Analysis — Regional Price Parities · 2024
Houston cost breakdown
BEA RPP by category — 100 = national average
- Rents
Rents
104.5 RPP
- Services
Services
95.3 RPP
- Overall
Overall
98.6 RPP
- Goods
Goods
100.6 RPP
What this shows Houston's gap from the national average is led by services at 95.3. Goods barely move between metros; the spread you feel is housing and services.
Goods vs. housing — where Houston's cost comes from
Metros near Houston's overall cost, plotted by their goods price (horizontal) and housing price (vertical). Same headline RPP, very different structures.
Crosshairs sit at the group median (goods 99.8, rents 98.7). Houston is pricier than its peers on both housing and goods. These metros sit near Houston's overall cost, yet they spread across the chart — proof that two places at the same headline RPP can have very different goods-vs-housing structures.
Price Index Summary
Goods
100.6
+0.6 above avg
Services
95.3
-4.7 below avg
Rents
104.5
+4.5 above avg
Salary Equivalent
A $100,000 salary at the national average cost of living equals:
$98,629
in Houston-Pasadena-The Woodlands, TX purchasing power
$50,000 nationally
$49,315
$75,000 nationally
$73,972
$125,000 nationally
$123,286
$150,000 nationally
$147,944
$200,000 nationally
$197,258
Use the salary calculator for custom amounts.
RPP History (2008-2024)
The cost of living has remained relatively stable, changing by only 0.8 points over this period.
| Year | Overall |
|---|---|
| 2008 | 99.4 |
| 2009 | 100.6 |
| 2010 | 101.0 |
| 2011 | 98.7 |
| 2012 | 100.0 |
| 2013 | 101.1 |
| 2014 | 102.2 |
| 2015 | 103.1 |
| 2016 | 102.4 |
| 2017 | 100.0 |
| 2018 | 101.9 |
| 2019 | 101.4 |
| 2020 | 100.0 |
| 2021 | 99.7 |
| 2022 | 98.8 |
| 2023 | 99.7 |
| 2024 | 98.6 |
Metros with Similar Cost of Living
These metros have an overall RPP closest to Houston-Pasadena-The Woodlands, TX's index of 98.6.
Other TX Metros
Compare to Other Metros
Cost of Living Guides
Cheapest Metros to Live in 2026
Official BEA data on the most affordable areas
Most Expensive Cities: 2026 Rankings
What drives high costs and how to cope
Salary Negotiation Using RPP Data
Calculate real purchasing power for negotiations
Comparing Metro Areas
Step-by-step BEA RPP comparison walkthrough
Frequently Asked Questions
What is the cost of living in Houston-Pasadena-The Woodlands, TX? ▼
Houston-Pasadena-The Woodlands, TX has a Regional Price Parity (RPP) index of 98.6, meaning it is 1.4% less expensive than the national average. Goods are indexed at 100.6, services at 95.3, and rents at 104.5. It ranks #101 out of 387 U.S. metro areas by overall cost.
What salary do I need in Houston-Pasadena-The Woodlands, TX to match $100K nationally? ▼
To maintain the same purchasing power as a $100,000 salary at the national average, you would need approximately $98,629 in Houston-Pasadena-The Woodlands, TX. Conversely, $100K earned in Houston-Pasadena-The Woodlands, TX has the purchasing power of $101,390 at the national average.
How expensive is rent in Houston-Pasadena-The Woodlands, TX? ▼
Rents in Houston-Pasadena-The Woodlands, TX are indexed at 104.5, which is 4.5% above the national average. This is close to the U.S. average.
Is Houston-Pasadena-The Woodlands, TX getting more expensive? ▼
From 2008 to 2024, Houston-Pasadena-The Woodlands, TX's overall cost index changed by -0.8 points (from 99.4 to 98.6). The cost of living has remained relatively stable.
What costs the most in Houston-Pasadena-The Woodlands, TX? ▼
The most expensive category in Houston-Pasadena-The Woodlands, TX is rents at 104.5, which is 4.5% above the national average. The most affordable category is services at 95.3, 4.7% below average.
What metros have a similar cost of living to Houston-Pasadena-The Woodlands, TX? ▼
Metros with the most similar overall cost index include Harrisburg-Carlisle, Walla Walla, Santa Fe. These areas have RPP values within a few points of Houston-Pasadena-The Woodlands, TX's 98.6.
Source: Bureau of Economic Analysis, Regional Price Parities by Metropolitan Statistical Area (2024). Index where national average = 100.
Related
Data sourced from official public datasets. See our methodology for details. Retrieved and formatted by PlainCost Editorial
Disclaimer: This information is provided for informational purposes only and does not constitute professional advice. Data is sourced from the Bureau of Economic Analysis (BEA). Consult a qualified professional before making decisions based on this data.
Read our methodology — how this data is sourced, computed, and verified.
Federal data behind these figures
- BEA Regional Price Parities (RPP) — the cost-of-living indices shown on this page. bea.gov/data/regional-price-parities
- U.S. Census Bureau, American Community Survey (ACS) — the gross-rent observations BEA uses to build the rents component. census.gov/programs-surveys/acs
- BLS Consumer Price Index (CPI) — the price program underlying BEA's goods and services price relatives. bls.gov/cpi
- BLS Occupational Employment and Wage Statistics (OEWS) — wage reference for the labor-driven services component. bls.gov/oes
- HUD Fair Market Rents (FMR) — federal 40th-percentile rent cross-reference for the housing component. huduser.gov/datasets/fmr
