Cost of Living in Alabama: Rent, Housing & Income
Cost of living vs. U.S. average (2024)
11.2% below
Cost of living in Alabama is 11.2% below the U.S. average, based on the Bureau of Economic Analysis 2024 Regional Price Parities for Alabama (index 88.8; U.S. = 100). Median rent in Alabama is $1,077 a month.
Cost of living in Alabama by category
Overall prices
88.8U.S. = 100
Regional price parity, all items
−11.2% vs. U.S.
- Goods
- 96.4 −3.6%
- Housing (rents)
- 61.8 −38.2%
- Utilities
- 84.6 −15.4%
- Other services
- 96.7 −3.3%
BEA 2024 · Alabama Details: Overall prices
Housing
$1,077/mo
Median gross rent
−28% vs. U.S.
- 1-bedroom rent
- $889 −32% vs. U.S.
- 2-bedroom rent
- $1,048 −30% vs. U.S.
- 3-bedroom rent
- $1,174 −30% vs. U.S.
- Median home value
- $233,300 −35% vs. U.S.
- Owner costs, mortgage
- $1,500 −26% vs. U.S.
Census ACS 2024 Details: Housing
Utilities
$185/mo
Average electric bill
+18% vs. U.S.
- Electricity price
- 16.4¢/kWh −10% vs. U.S.
- Natural gas, 12-mo avg.
- $21.18/Mcf +9% vs. U.S.
- Utilities price index
- 84.6
EIA July 2026 · Alabama Details: Utilities
Transportation
26.0min
Mean travel time to work
−4% vs. U.S.
- Commute mode: drove alone
- 80.8%
- Work from home
- 8.3%
- Gasoline (PADD 3 avg.)
- $3.86/gal −11% vs. U.S.
Census ACS 2024 · EIA September 2026 Details: Transportation
Food at home
$1,388/mo
Moderate-cost plan, family of 4
- Thrifty plan, family of 4
- $1,024/mo
- Liberal plan, family of 4
- $1,679/mo
- Moderate plan, single woman
- $403/mo
- Moderate plan, single man
- $478/mo
USDA August 2026 · U.S. average Details: Food at home
Child care
$135/wk
Center care, infant
−22% vs. U.S.
- Center care, toddler
- $132/wk −14% vs. U.S.
- Center care, preschool
- $125/wk −13% vs. U.S.
- Home-based care, infant
- $129/wk −10% vs. U.S.
DOL NDCP 2022 prices · Alabama county median Details: Child care
Income
$66,659/yr
Median household income
−18% vs. U.S.
- Median rent as share of income
- 19%
- Home value to income
- 3.5×
Census ACS 2024 Details: Income
Housing costs in Alabama
Median gross rent in Alabama is $1,077 a month, 28% below the U.S. median of $1,487. The median falls in the $1,000–$1,249 range, which holds 19.9% of renter households paying cash rent. Another 36.2% pay $1,250 or more.
The median owner-occupied home is valued at $233,300, and 1.9% of homes are valued at $1,000,000 or more.
Housing costs: Alabama vs. U.S.
Median monthly rent
Monthly owner costs
Median home value
Show the data table
| Measure | Alabama | U.S. |
|---|---|---|
| Median monthly rent | $1,077 | $1,487 |
| Monthly owner costs | $1,500 | $2,035 |
| Median home value | $233,300 | $360,600 |
Rent is median gross rent; owner costs are for homes with a mortgage. American Community Survey 2024 1-year estimates. Source: American Community Survey (U.S. Census Bureau)
What renters pay in Alabama
Show the data table
| Range | Alabama | U.S. |
|---|---|---|
| Less than $500 | 9.1% | 6.1% |
| $500–$749 | 13.7% | 6.8% |
| $750–$999 | 21.1% | 11.5% |
| $1,000–$1,249 | 19.9% | 13.5% |
| $1,250–$1,499 | 14.6% | 12.9% |
| $1,500–$1,999 | 15.1% | 22.2% |
| $2,000–$2,499 | 4.3% | 13.2% |
| $2,500–$2,999 | 1.1% | 6.5% |
| $3,000–$3,499 | 0.5% | 3.2% |
| $3,500 or more | 0.6% | 4.2% |
Share of renter households paying cash rent. Census ACS 2024 1-year estimates, table B25063. Source: American Community Survey (U.S. Census Bureau)
Home values in Alabama
Show the data table
| Range | Alabama | U.S. |
|---|---|---|
| Less than $100,000 | 19.8% | 10.2% |
| $100,000–$149,999 | 9.9% | 5.7% |
| $150,000–$199,999 | 12.2% | 7.5% |
| $200,000–$249,999 | 12.2% | 8.4% |
| $250,000–$299,999 | 10.8% | 8.5% |
| $300,000–$399,999 | 15% | 15.9% |
| $400,000–$499,999 | 8% | 12% |
| $500,000–$749,999 | 7.9% | 16.3% |
| $750,000–$999,999 | 2.3% | 7.5% |
| $1,000,000–$1,499,999 | 1.1% | 4.3% |
| $1,500,000 or more | 0.8% | 3.7% |
Share of owner-occupied homes. Census ACS 2024 1-year estimates, table B25075. Source: American Community Survey (U.S. Census Bureau)
Monthly housing costs in Alabama
| Measure | Alabama | U.S. |
|---|---|---|
| Median rent (all units) | $1,077 | $1,487 |
| 1-bedroom rent | $889 | $1,301 |
| 2-bedroom rent | $1,048 | $1,490 |
| 3-bedroom rent | $1,174 | $1,677 |
| Owner costs with a mortgage | $1,500 | $2,035 |
Median gross rent includes utilities the renter pays. Owner costs include the mortgage, taxes, insurance, and utilities. American Community Survey 2024 1-year estimates. Source: American Community Survey (U.S. Census Bureau)
How affordable is Alabama?
At the median, rent takes about 19% of household income in Alabama. Housing experts treat 30% as the limit before a household is considered cost-burdened. To keep the median rent at 30% of income, a household would need to earn about $43,100 a year.
The median home is worth $233,300, or 3.5 times the median household income.
Household income in Alabama
The median household in Alabama earns $66,659 a year, 18% below the U.S. median of $81,604. About 8.3% of households earn $200,000 or more, while 18.9% earn less than $25,000.
Median household income: Alabama vs. U.S.
Median household income (yearly)
Show the data table
| Measure | Alabama | U.S. |
|---|---|---|
| Median household income (yearly) | $66,659 | $81,604 |
American Community Survey 2024 1-year estimates. Source: American Community Survey (U.S. Census Bureau)
Household income distribution in Alabama
Show the data table
| Range | Alabama | U.S. |
|---|---|---|
| Less than $10,000 | 6.4% | 5.1% |
| $10,000–$14,999 | 4.7% | 3.3% |
| $15,000–$19,999 | 3.6% | 2.8% |
| $20,000–$24,999 | 4.2% | 3.2% |
| $25,000–$29,999 | 4% | 3% |
| $30,000–$34,999 | 3.9% | 3.3% |
| $35,000–$39,999 | 3.6% | 3.2% |
| $40,000–$44,999 | 4% | 3.5% |
| $45,000–$49,999 | 3.7% | 3.2% |
| $50,000–$59,999 | 7.1% | 6.4% |
| $60,000–$74,999 | 9.7% | 9.2% |
| $75,000–$99,999 | 13.3% | 12.6% |
| $100,000–$124,999 | 9.5% | 10.4% |
| $125,000–$149,999 | 6.5% | 7.4% |
| $150,000–$199,999 | 7.5% | 9.7% |
| $200,000 or more | 8.3% | 13.7% |
Share of households. Census ACS 2024 1-year estimates, table B19001. Source: American Community Survey (U.S. Census Bureau)
Income and home values
| Measure | Alabama | U.S. |
|---|---|---|
| Median household income (yearly) | $66,659 | $81,604 |
| Median home value | $233,300 | $360,600 |
American Community Survey 2024 1-year estimates. Source: American Community Survey (U.S. Census Bureau)
Price levels compared with the U.S.
The Bureau of Economic Analysis publishes Regional Price Parities: price levels for the same basket of goods and services, with the U.S. average set to 100. In 2024, Alabama scored 88.8 for all items. The highest category is other services at 96.7; the lowest is housing rents at 61.8.
Regional price parities by category (U.S. = 100)
All items
Goods
Housing (rents)
Utilities
Other services
Show the data table
| Measure | Alabama | U.S. |
|---|---|---|
| All items | 88.8 | 100.0 |
| Goods | 96.4 | 99.6 |
| Housing (rents) | 61.8 | 100.6 |
| Utilities | 84.6 | 98.4 |
| Other services | 96.7 | 100.1 |
Index, U.S. = 100. Bureau of Economic Analysis Regional Price Parities, 2024. Source: U.S. Bureau of Economic Analysis, Regional Price Parities
Utilities and energy costs
Households in Alabama paid an average of 16.4¢ per kWh for electricity in July 2026, compared with 18.3¢ nationally. Over the past 12 months the average residential bill was $185 a month (U.S.: $157). Residential natural gas averaged $21.18 per thousand cubic feet over the 12 months to July 2026 (U.S.: $19.40).
Energy prices: Alabama vs. U.S.
Electricity price (¢/kWh)
Average electric bill (monthly)
Natural gas, 12-mo avg. ($/Mcf)
Show the data table
| Measure | Alabama | U.S. |
|---|---|---|
| Electricity price (¢/kWh) | 16.4¢ | 18.3¢ |
| Average electric bill (monthly) | $185 | $157 |
| Natural gas, 12-mo avg. ($/Mcf) | $21.18 | $19.40 |
Residential customers. Electricity price for July 2026; electric bill and natural gas are 12-month averages. U.S. Energy Information Administration. Sources: EIA Electric Power Monthly: residential retail sales; EIA Natural Gas Monthly: price delivered to residential consumers
Transportation and commuting
Workers in Alabama who commute spend an average of 26.0 minutes getting to work (U.S.: 27.2 minutes). The most common way to get to work is to drive alone (80.8% of workers); 8.3% work from home. Gasoline in the Gulf Coast region (PADD 3), which includes Alabama, averaged $3.86 a gallon for regular in September 2026, compared with $4.36 nationally. EIA publishes no separate Alabama price.
How workers get to work
Show the data table
| Means of transportation | Alabama | U.S. |
|---|---|---|
| Drove alone | 80.8% | 69.2% |
| Carpooled | 7.9% | 9.2% |
| Public transit | 0.4% | 3.7% |
| Walked | 1.2% | 2.4% |
| Bicycle | 0.1% | 0.5% |
| Worked from home | 8.3% | 13.3% |
| Other (taxi, motorcycle, etc.) | 1.2% | 1.7% |
Share of workers 16 and over. Census ACS 2024 1-year estimates, table B08301. Source: American Community Survey (U.S. Census Bureau)
Travel time to work in Alabama
Show the data table
| Range | Alabama | U.S. |
|---|---|---|
| Less than 5 min | 2.7% | 2.8% |
| 5–9 min | 9.5% | 9.4% |
| 10–14 min | 13.1% | 13.1% |
| 15–19 min | 15.4% | 15% |
| 20–24 min | 15.5% | 14.1% |
| 25–29 min | 7.6% | 7% |
| 30–34 min | 13.9% | 13.7% |
| 35–39 min | 3.5% | 3.4% |
| 40–44 min | 3.8% | 4.1% |
| 45–59 min | 7.8% | 8.3% |
| 60–89 min | 4.9% | 6.3% |
| 90 min or more | 2.3% | 3% |
Share of workers who do not work from home. Census ACS 2024 1-year estimates, table B08303. Source: American Community Survey (U.S. Census Bureau)
Child care costs in Alabama
In 2022, full-time center-based care for an infant had a median price of $135 a week in the median Alabama county, or $7,018 over 52 weeks. That is 22% below the U.S. county median of $174. Prices are for 2022 and are not adjusted for inflation.
Weekly child care prices (2022)
| Type of care | Alabama (county median) | U.S. (county median) |
|---|---|---|
| Center-based care, infant | $135 | $174 |
| Center-based care, toddler | $132 | $153 |
| Center-based care, preschool | $125 | $144 |
| Center-based care, school-age | $113 | $120 |
| Home-based family care, infant | $129 | $143 |
| Home-based family care, toddler | $129 | $132 |
| Home-based family care, preschool | $128 | $131 |
| Home-based family care, school-age | $105 | $118 |
Median weekly price for full-time care. State and U.S. figures are medians of county medians. Prices are for 2022 and are not adjusted for inflation. U.S. Department of Labor, National Database of Childcare Prices. Source: National Database of Childcare Prices (U.S. Department of Labor, Women's Bureau)
Food costs
USDA's moderate-cost food plan puts groceries for a family of four at $1,388 a month in August 2026; the thrifty plan comes to $1,024. USDA publishes these as national averages, not city figures, so they show a typical grocery budget rather than Alabama prices.
Monthly cost of food at home (August 2026)
| USDA food plan | U.S. family of 4 | U.S. couple | U.S. single man | U.S. single woman |
|---|---|---|---|---|
| Thrifty | $1,024 | $630 | $383 | $304 |
| Low-cost | $1,126 | $652 | $381 | $331 |
| Moderate-cost | $1,388 | $808 | $478 | $403 |
| Liberal | $1,679 | $1,007 | $583 | $515 |
Family of 4: two adults and two children aged 6–8 and 9–11. For a single man, the Thrifty plan costs more than the Low-cost plan: USDA re-evaluated the Thrifty plan in 2021, while the other plans still use older market baskets. USDA Food and Nutrition Service, Official Food Plans, August 2026. Source: USDA Food Plans: Cost of Food at Home (monthly reports)
What these figures cover
This page uses only federal statistics: the U.S. Census Bureau, the Bureau of Economic Analysis, the Energy Information Administration, the Department of Labor and the Department of Agriculture. It does not include health care figures for Alabama; we only publish numbers we can source.
Frequently asked questions
What is the average rent in Alabama?
Median rent is $889 for a one-bedroom and $1,048 for a two-bedroom unit, including utilities the renter pays.
How much do most renters pay in Alabama?
Among renter households paying cash rent, 43.9% pay less than $1,000 a month, 49.6% pay $1,000 to $1,999, and 6.5% pay $2,000 or more (Census ACS 2024).
How much do you need to make to live in Alabama?
To keep the median rent of $1,077 at no more than 30% of income, a household needs about $43,100 a year before taxes. This covers housing only.
Is Alabama more expensive than the U.S. average?
No. The Bureau of Economic Analysis puts overall prices in Alabama at 88.8 for 2024 (U.S. = 100), 11.2% below average. Housing rents score 61.8.
How long is the average commute in Alabama?
26.0 minutes one way for workers who commute, compared with 27.2 minutes nationally (Census ACS 2024).
How much does infant day care cost in Alabama?
The median price for full-time center-based infant care was $135 a week in the median Alabama county in 2022, according to the Department of Labor's National Database of Childcare Prices.