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Cost of Living: Houston, TX vs Philadelphia, PA

Wondering how far your dollar stretches in Houston compared to Philadelphia? Below we break down housing costs, rent, taxes, income, and quality of life using 2026 data so you can make an informed relocation or remote-work decision. Every number is computed from Census, BLS, and Zillow data specific to these two metro areas.

TL;DR

Houston cost-of-living index is 101 vs 101 for Philadelphia (US = 100). Median home: $320,000 vs $265,000. Median rent: $1,262/mo vs $1,350/mo.

Source: Census ACS · Zillow ZHVI/ZORI · BEA RPP, 2026

=
Houston and Philadelphia have similar costs of living
COL Index: Houston 101 vs Philadelphia 101 (national avg = 100)
Written by Jere Salmisto, Founder & Quantitative Systems Builder, CalcFi·Reviewed by CalcFi Editorial·Last reviewed 2026-04-19

Houston vs Philadelphia — At a Glance

HoustonMetricPhiladelphiaDifference
101Cost of Living Index101+0.0%
$320,000Median Home Price$265,000-17.2%
$1,262Median Monthly Rent$1,350+7.0%
$67,800Median Household Income$54,800-19.2%
1.9%Property Tax Rate1.4%-26.3%
4.2%Unemployment Rate4.4%+4.8%
29 minAverage Commute30 min+3.4%
34.5Median Age34.8+0.9%
7,470,000Metro Population6,250,000-16.3%

Data sourced from Census Bureau, BLS, Zillow, and ApartmentAdvisor (2024-2025). COL Index: 100 = national average.

Housing Comparison: Houston vs Philadelphia

Monthly mortgage assumes 6.5% interest, 30-year fixed, 20.0%down payment. PITI includes principal, interest, property tax, and homeowner's insurance.

Houston

Median Home Price$320,000
Down Payment (20.0%)$64,000
Loan Amount$256,000
Principal & Interest$1,618/mo
Property Tax$507/mo
Insurance$93/mo
Monthly PITI$2,218/mo

Philadelphia

Median Home Price$265,000
Down Payment (20.0%)$53,000
Loan Amount$212,000
Principal & Interest$1,340/mo
Property Tax$309/mo
Insurance$77/mo
Monthly PITI$1,726/mo

Rent & Affordability Ratios

Median Monthly Rent$1,262 vs $1,350 (+$88/mo)
Annual Rent Difference$1,056/yr more in Philadelphia
Home Price-to-Income Ratio4.7x (Houston) vs 4.8x (Philadelphia)
Years to Save 20% Down (15% savings rate)6.3 yrs (Houston) vs 6.4 yrs (Philadelphia)

Buying a home in Houston costs $2,218/month (PITI) compared to $1,726/month in Philadelphia — a difference of $492/month or $5,904/year. The price-to-income ratio is 4.7x in Houston versus 4.8x in Philadelphia, suggesting Houston is relatively more affordable for homebuyers relative to local incomes. At a 15% savings rate, it takes 6.3 years to save a down payment in Houston compared to 6.4 years in Philadelphia.

Tax Comparison: Houston vs Philadelphia

Estimated on each city's median household income, single filer, standard deduction, 2025 rates.

Tax CategoryHoustonPhiladelphia
Gross Income$67,800$54,800
State Income TaxNone$1,682
Federal Income Tax$6,365$4,447
FICA (SS + Medicare)$5,187$4,193
Property Tax (on median home)$6,080/yr$3,710/yr
State Sales Tax Rate6.3%6.0%
Total Tax Burden$11,552 (17.0%)$10,322 (18.8%)
Take-Home Pay$56,248$44,478

Texas has no state income tax, giving Houston residents a significant tax advantage. On median household income, total taxes (federal + state + FICA) come to $11,552 in Houston (17.0% effective) versus $10,322 in Philadelphia (18.8% effective). After taxes, take-home pay is $56,248 in Houston and $44,478 in Philadelphia. Property taxes add $6,080/year on the median Houston home versus $3,710/year in Philadelphia.

Salary Equivalence: What Your Income Is Worth

A $67,800 salary in Houston equals
$67,800
in Philadelphia
A $54,800 salary in Philadelphia equals
$54,800
in Houston

These figures adjust for cost of living using the formula: adjusted = salary × (COL_destination / COL_origin). If you earn $67,800 in Houston (COL 101) and relocate to Philadelphia (COL 101), you would need $67,800 to maintain the same purchasing power. This means your salary should stay roughly the same.

Quality of Life: Houston vs Philadelphia

Average Commute
29 min
Houston
30 min
Philadelphia
1 min shorter in Houston
Unemployment Rate
4.2%
Houston
4.4%
Philadelphia
Houston lower
Metro Population
7.5M
Houston
6.3M
Philadelphia
Houston is 1.2x larger

Beyond costs, quality of life matters. The average commute in Houston is 29 minutes versus 30 minutes in Philadelphia, a difference of 1 minutes each way. Houston's lower unemployment rate of 4.2% versus 4.4% suggests a stronger job market. Philadelphia skews slightly older with a median age of 34.8 vs 34.5 in Houston.

Other Cost of Living Comparisons

Houston vs New YorkCOL 101 vs 187Houston vs Los AngelesCOL 101 vs 173Chicago vs HoustonCOL 114 vs 101New York vs PhiladelphiaCOL 187 vs 101Los Angeles vs PhiladelphiaCOL 173 vs 101Chicago vs PhiladelphiaCOL 114 vs 101

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Frequently Asked Questions

Is Houston or Philadelphia more expensive?

Houston and Philadelphia have very similar costs of living, with COL indices of 101 and 101 respectively (national average = 100). Day-to-day expenses, housing, and taxes are comparable between the two metro areas.

How much more does housing cost in Philadelphia vs Houston?

The median home price in Philadelphia is $265,000, which is $55,000 more than Houston's median of $320,000. Monthly rent follows a similar pattern: $1,350/month in Philadelphia vs $1,262/month in Houston, a difference of $88/month or $1,056/year.

What salary do I need in Philadelphia to match my Houston income?

To maintain the same standard of living, a $67,800 salary in Houston is equivalent to $67,800 in Philadelphia. This is based on the cost of living index ratio: Houston's COL index of 101 vs Philadelphia's 101. Conversely, $54,800 in Philadelphia equals $54,800 in Houston.

Which city has lower taxes, Houston or Philadelphia?

On a median household income, the combined federal, state, and FICA tax burden is $11,552 (17.0% effective rate) in Houston vs $10,322 (18.8% effective rate) in Philadelphia. Property taxes on the median home are $6,080/year in Houston (1.9% rate) vs $3,710/year in Philadelphia (1.4% rate). Sales tax rates are 6.3% in Texas and 6.0% in Pennsylvania.

What is the median household income in Houston and Philadelphia?

Houston median household income: $67,800/yr. Philadelphia median household income: $54,800/yr (Census ACS).

How does rent compare in Houston vs Philadelphia?

Median monthly rent: $1,262 in Houston vs $1,350 in Philadelphia. Annualized that is $15,144 vs $16,200.

Which city is better for remote workers, Houston or Philadelphia?

Houston offers a lower cost of living (index 101 vs 101), which lets remote-workers keeping a coastal salary stretch further. Philadelphia typically wins on amenities and labor-market depth.

Where does the data on this comparison come from?

Houston and Philadelphia numbers are pulled from Zillow ZHVI/ZORI (home values, rent), the U.S. Census Bureau ACS (income, demographics), and BEA RPP (cost-of-living index). Each value is timestamped on the page.

How often is this Houston vs Philadelphia comparison updated?

Source feeds (Zillow, Freddie Mac PMMS, Census ACS, BEA RPP) are refreshed on their native cadence. Page caches revalidate every 24 hours via Next.js ISR.

Does this comparison replace tax or financial advice?

No. The Houston vs Philadelphia cost-of-living page is educational reference using public data and standard formulas. It is not personalized tax, legal, or investment advice. Consult a licensed professional for material decisions.

Explore More

All City ComparisonsHouston COL CalculatorPhiladelphia COL CalculatorSalary GuidesMortgage Affordability CalculatorRent vs Buy Calculator

Sources & Citations

  1. Zillow Research — ZHVI (home values) & ZORI (observed rent index) — zillow.com/research/data
  2. U.S. Census Bureau — American Community Survey (ACS) 5-year estimates — census.gov/acs
  3. Bureau of Economic Analysis — Regional Price Parities by state and MSA — bea.gov/rpp
  4. Tax Foundation — effective state and local tax rates — taxfoundation.org
  5. Freddie Mac PMMS — weekly national average mortgage rates — freddiemac.com/pmms
  6. Internal Revenue Service — federal income tax brackets and standard deduction — irs.gov
  7. U.S. Bureau of Labor Statistics — unemployment and wage statistics — bls.gov
Methodology & Assumptions

Home prices use Zillow Home Value Index (ZHVI)[1]; rents use Zillow Observed Rent Index (ZORI)[1]. Median household income comes from the Census ACS 5-year estimates[2].

COL indices use the BEA Regional Price Parity methodology[3], normalized so 100 = national average.

Property tax rates are effective rates from the Tax Foundation[4], expressed as % of owner-occupied home value. Mortgage estimates assume 6.5% fixed rate[5], 30-year term, 20.0% down, $1,800/yr homeowners insurance.

Federal tax calculations[6] assume single filer, standard deduction. State tax uses the top marginal rate times taxable income after the state standard deduction. FICA = 6.2% Social Security (up to wage base) + 1.45% Medicare.

Salary equivalence uses adjusted = salary × (COL_destination / COL_origin). This captures cost-of-living shift but not state income tax differences.

Unemployment figures are the most recent monthly MSA-level readings from the BLS LAUS series[7].

Last reviewed is computed from the maximum retrievedAt across every source this page consumes.

City data from Census Bureau[2], BLS[7], and Zillow[1] (2024-2025). Tax calculations use 2025 IRS rates[6], single filer, standard deduction. Mortgage estimates assume 6.5% PMMS rate[5], 30-year term, 20.0% down. COL Index: 100 = national average[3]. Last reviewed 2026-04-19.