Cost of Living in Dallas, TX
Dallas is about 13% more expensive than the national average.
What Things Cost
Compared to the US average (100)
Census ACS 2024
Census ACS 2024
BEA RPP 2023
BEA RPP 2023
Dallas at a Glance
No state income tax. That saves a typical household thousands per year compared to states like California (13.3%) or New York (10.9%).
Sources: Census ACS 2024, Tax Foundation.
Dallas is corporate Texas: polished, ambitious, and growing. The cost of living is about 3% above the national average, moderate for a metro of nearly eight million people (DFW combined). The no-income-tax advantage and reasonable housing make Dallas the financial relocation capital of America, with Toyota, CBRE, McKesson, Caterpillar, and other corporate headquarters arriving in recent years. The median home price of about $340,000 puts homeownership within reach, though property taxes averaging 1.8% add meaningful ongoing costs.
How People Get Around
Source: Census ACS 2024.
Who Lives Here
Source: Census ACS 2024.
Why People Move to Dallas
Corporate relocations have created an enormous job market in finance, defense, telecom (AT&T), technology, and logistics. DFW Airport is one of the busiest in the world, providing connectivity for business travelers. The food scene has grown dramatically, with Dallas now earning national recognition. The Uptown, Deep Ellum, and Bishop Arts neighborhoods offer genuine urban character. The suburbs (Plano, Frisco, Allen, McKinney) consistently rank among the best in the country for families.
Neighborhoods
Uptown is the young professional hub with walkable bars and restaurants. Deep Ellum is the live music and arts district. Bishop Arts in Oak Cliff has eclectic charm. Highland Park and University Park are affluent enclaves with top schools. For suburban value, Plano and Frisco offer excellent schools and amenities. McKinney and Prosper to the north are rapidly growing. For affordability, Mesquite, Garland, and Grand Prairie offer lower prices.
Things to Consider
Dallas is flat, hot, and spread out. Summer temperatures regularly exceed 100°F. The metro is car-dependent with suburban sprawl stretching in every direction. Property taxes are high, often exceeding 2% in many suburban districts. Tornado risk in the spring is real. The cultural identity has traditionally been more corporate than creative, though that is changing. Traffic on I-35E, I-635, and the DNT is congested during rush hours.
Compare Dallas To...
Frequently Asked Questions About Dallas
Yes. Dallas's median home price of about $340,000 is roughly $340,400 less than Austin's $571,000. Property tax rates are similar. Both have no state income tax. Dallas offers a larger, more diversified job market while Austin has a stronger tech and startup culture. For someone prioritizing affordability with a major metro's amenities, Dallas is the better financial value.
Texas has no state income tax, so property taxes fund schools and local government. Dallas County's effective rate averages about 1.8%, and some suburban school districts exceed 2%. On a $340,000 home, that is roughly $6,120 per year. This ongoing cost is the main financial drawback of Texas's no-income-tax model and should be factored into any move decision.
A household income of $65,000 to $80,000 provides a comfortable lifestyle in Dallas, including renting in a decent neighborhood. Homeownership at the median price requires roughly $70,000 to $90,000 depending on down payment and debt levels. The no-income-tax advantage means a higher percentage of your gross salary is available for spending.