Cost of Living in Houston, TX (2025 Guide)

What draws people to the fourth most populous state in the U.S. is its thriving job market, family-friendly atmosphere, and vibrant cultural scene.

While these benefits are enticing, is living in the Space City financially advantageous? 

The short answer is yes. Living in Houston is affordable.

However, estimating the cost of living in Houston before planning your move provides a clear understanding of what to expect.

A rough estimate of rental rates, utilities, grocery expenses, and commute costs can help you budget your move effectively. 

In this guide, we will examine the breakdown of living expenses in Houston for a single person, a student, or a family of four. 

What is the Average Cost of Living in Houston – At a Glance

The average cost of living in Houston is somewhere between $1,960 and $3,045 for a single person. 

However, before calculating costs, understanding the cost-of-living index is essential. 

What is the cost of living index in Houston, TX? 

A cost-of-living index measures the amount of money needed to live a standard life over a period of time. 

This price index includes housing, utilities, groceries, transportation, and other goods and services, which helps in evaluating living expenses in Houston, Texas.

If the index is lower than the baseline 100, the area is less expensive. 

Houston’s cost-of-living index is 94, which is 6% lower than the national average of 100.

Thus, the cost of living in Houston is slightly more affordable than that of Dallas, Austin, and New York. 

Let’s determine the average living expenses in Houston for 2025. 

Living Expenses in Houston – Housing, Utilities, Transport and More

Whether it is mortgage or rent, every American spends a large amount of their salary on housing, followed by utilities, food, transportation, and other discretionary living expenses. 

Relocating to Houston presents both pros and cons; however, the affordable cost of living and a booming job market have attracted a population of 2.3 million over the years. 

Here’s what to anticipate for your monthly cost of living in Houston in 2025. 

1. Housing Cost in Houston (Buying and Rentals)

Houston is ranked second in the nation for rent affordability.

The average rent of a one-bedroom apartment in Houston is affordable and comparatively lower than that of other metropolitan areas, such as NYC, Miami, San Francisco, Seattle, and Phoenix. 

How much Property Tax do Homeowners pay in Houston?

The median property tax rate in Houston, TX, is 1.39%, which means a homeowner usually pays $3,245 in property taxes.

2. Utility Cost in Houston

Houses in Houston use varying amounts of energy for heating and cooling.

The electricity bill typically spikes as the weather is usually hot and humid, with an average temperature between 35°C and 17°C. 

This is the reason why the monthly utility bill for a single person or a couple averages between $300 and $512. 

Here’s a breakdown of average monthly utility cost in Houston, TX, for 2025. 

3. Food and Grocery Bills in Houston 

Food expenditures, such as groceries, are major contributors to living expenses in Houston, TX.

Houston residents typically rely on popular retailers, such as Costco, Walmart, Kroger, Sam’s Club, and Whole Foods Market. 

On average, a single person can expect to pay between $450 and $500 per month for groceries and restaurant meals. 

Here’s an estimate for your basic groceries:

4. Transportation Cost in Houston 

In Houston, most residents navigate the city by car.

On average, an adult without children can expect to spend between $415 and $475, while a family of three typically pays between $750 and $835 per month on transportation. 

If you don’t have a car, getting around Houston is convenient via the bus and rail system.

The average monthly cost of public transit in Houston is approximately $78 to $90 for a single person.

Houstonians typically rely on METRORail, which connects Downtown Houston to areas including the Texas Medical Center and the Museum District.

Other transportation options that add to your cost of living in Houston include shuttle services, ride-sharing services, and taxis. 

Average transportation cost in Houston:  

How Much Does Car Insurance Cost on Average For a Houstonian?

On average, car owners pay somewhere around $3,900 per year for their car insurance in Houston.

Your previous records also play a significant role in deciding your auto insurance rate.

Good drivers with no history of speeding tickets and accidents typically pay lower insurance rates.  

5. Entertainment Cost in Houston 

Houston is known for its cultural diversity, performing arts, and world-class museums. With nearly 400 parks and green spaces, Houston is also a city for outdoor enthusiasts and adventure lovers. 

Here’s a breakdown of entertainment and leisure cost you can expect in Houston.  

Houston’s CityPASS for popular attractions

While budgeting your entertainment cost in Houston, you can simply buy a CityPASS, which allows you to save money on the regular admission fees. 

Houston’s CityPass cost $76 for adults and $63 for children between 3 and 11. 

With this package, you can visit: 

• Space Center Houston 

Along with this, you can pick any four attractions from the following list:

• Downtown Houston Aquarium 
• Houston Museum of Natural Science 
• Houston Zoo 
• Kemah Boardwalk 
• Children’s Museum of Houston 
• Museum of Fine Arts, Houston 

The Bottom Line

Houston boasts a balanced lifestyle, drawing young professionals and families to build a future in this versatile city at lower costs.

Yes, you heard that right. Living in Houston is relatively affordable compared to other major U.S. cities and metropolitan areas.

While house rentals and taxes are cost-effective, utility bills and transportation cost still need budgeting and proper financial planning.

Overall, moving to Houston is an economical choice for people seeking a rich cultural scene and thriving job opportunities, particularly in the energy sector. 

FAQs

1. What is a livable salary in Houston? 

Thanks to inflation, a comfortable salary to live in Houston has increased over the years.

A single resident needs to make $75,005 on average to bear the cost of living in Houston in 2025. 

2. Is $50,000 a comfortable salary to live in Texas?

If you are living in Austin, you would need a salary of more than $50,000 in a year.

Whereas Harlingen and Galveston are the cheapest cities in Texas, where you can live comfortably with that salary on hand.

Overall, a good salary in Texas averages between $52,000 and $75,000 for a single person. 

3. How much does health insurance cost in Texas?

The average cost of health insurance in Texas is about $610 per month for an individual, although it varies based on factors like age, income, and the selected plan.

A couple aged 40 can expect around $1,200, and a family of three approximately $1,500. 

4. How much do movers cost in Houston, TX?

The average cost of hiring apartment movers in Houston ranges between $675 and $1,500 for a one-bedroom apartment move.

If you add more services, such as storage, junk removal for mattress disposal, packing services, or piano moving in Houston, the moving cost adds up.

To get a rough estimate, try using a moving cost calculator for frugal financial planning before your relocation.