A recent analysis concluded that Dallas has one of the highest costs of living throughout the state, falling behind other major cities such as Houston.
Conducted by Texas Real Estate Source, the study examined a number of factors to determine the cost of living, including per capita personal income, median property sale price, and the cities’ annual property tax levy.
The company describes itself as an “expert guide to all real estate in the great State of Texas.”
Out of the 23 cities examined, Dallas placed No.21, earning just shy of 35 points out of 100 for affordability, according to data provided to The Dallas Express. Only San Antonio and Austin had higher costs of living than the Big D.
Houston scored markedly better than Dallas, with a little over 39 points, despite still being at the bottom end of the list. College towns, such as College Station (40.1), Waco (46.13), and Lubbock (47.12), also tended to have relatively high costs of living.
In a statement provided to The Dallas Express, a Texas Real Estate Source spokesperson explained, “When you are on the hunt for a new home, the price of the house isn’t the only thing to consider as there’s plenty of other factors that can contribute to your living expenses: utilities, nearby restaurants, transport, and much more.”
“Whether you’re relocating to Texas or simply exploring options within the Lone Star State, knowing the relative affordability of different cities is a game-changer,” the representative said.
Dallas’ high cost of living has seemingly affected the city’s ability to keep up with the booming growth the rest of the state has enjoyed, as reported by The Dallas Express.
James Quintero of the Texas Public Policy Foundation noted that from 2018 to 2022, the city’s population decreased by 3%, while the cost of goods grew by nearly 17% and the property tax levy spiked by over 33%.
“The city’s tax burden is growing 2.5 times faster than the rate of population growth and inflation,” he added. “If the tax burden continues to grow aggressively, then will the city’s population decline accelerate further? Perhaps.”
Several border and coastal towns were similarly rated as being expensive places to live, with cities such as Brownsville (44.86), McAllen (48.22), Corpus Christi (48.5), and El Paso (49.52) all falling outside the top 10.
People heading westbound along Interstate 20 will pass several of the cheapest places in Texas to reside. Topping the list with the lowest cost of living is the oil town of Midland, which scored 73.94 points, more than double what Dallas received.
The second-best Texas town was Killeen (58.78), situated roughly halfway between Waco and Austin. Odessa followed close behind with the third lowest cost of living, getting 57.78 points.
The northwestern towns of Amarillo and Wichita Falls rounded out the top five with scores of 56.75 and 54.1, respectively.
Nestled along the banks of the Guadalupe River upstream of San Antonio, the small town of Kerrville placed sixth best with a cost-of-living score of 53.46.
East Texas held spots seven through nine with the cities of Longview (51.59), Tyler (50.1), and Beaumont (52.87). Abilene rounded out the top 10 with an affordability score of 49.91.
