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Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
Dollar for dollar, few states match Arkansas's value. 1 out of 1 cities undercut the national cost index of 111. Leading the pack: Little Rock at index 68, where median rent of $1,171/month saves renters $8,688/year versus the national median.
#1 Ranked: Little Rock — cost index 68, rent $1,171/mo, income $60,583
1 of 1 cities come in below the national cost-of-living average of 111
Data sourced from Census Bureau, Zillow, BLS, and Tax Foundation — current as of 2026
Dollar for dollar, few states match Arkansas's value. 1 out of 1 cities undercut the national cost index of 111. Leading the pack: Little Rock at index 68, where median rent of $1,171/month saves renters $8,688/year versus the national median.
The #1 spot goes to Little Rock, and the breakdown explains why. Renters here pay $1,171/month — saving renters $8,688 per year compared to the national average. Meanwhile, Housing is the standout at index 68, making it one of the cheapest in the country for that category. The weak spot? Healthcare at 94. At a 23% rent-to-income ratio, there's genuine breathing room in the average household budget.
Rankings quantify the landscape. But the decision to move is personal. Use the spotlights above to zero in on 2-3 finalists, then run your actual salary through the calculator. The question isn't just "where is it cheapest?" — it's "where does my specific income buy the life I want?" Start here. Dig deeper on the linked city pages.
| Rank | City | Utilities Index | Cost Index | Median Rent | |
|---|---|---|---|---|---|
| 1 | Little Rock | 90 | 68 | $1,171 | Details |
203,842 residents · Arkansas
A closer look at Little Rock: the cost index of 68 breaks down to a Housing index of 68 (strongest category) and a Healthcare index of 94 (weakest). Median rent is $1,171/month — 38% below the national median — while household income sits at $60,583, meaning locals spend about 23% of income on rent. That's a healthy margin by any standard (not adjusted for inflation, but still telling). Surprising? Maybe. But the data's clear.
Cities are ranked by their utilities cost sub-index within Arkansas. Each sub-index is derived from the overall cost of living with regional adjustment factors. All data is sourced from federal agencies and verified research institutions. Cost of living indices are normalized to 100 (national median) using Zillow rent as the primary signal, with sub-category adjustments derived from regional BLS price data. Rankings are updated monthly as new data is released.
Little Rock ranks #1 in Arkansas for this analysis with a cost index of 68 and median income of $60,583.
Little Rock, AR has the lowest utilities index at 90, compared to the national average of 100.
Our cost of living index uses real Zillow rent data as the foundation, indexed to 100 (national median). Sub-categories (housing, food, transport, utilities, healthcare) are derived from the overall index with regional adjustments. Data is updated monthly.
City data is refreshed monthly from Census Bureau population estimates, Zillow rent and home price indices, BLS salary data, and Tax Foundation tax rates. Last updated: 2026.
The median 1-bedroom rent in Little Rock is $1,171/month as of 2026, based on Zillow's Observed Rent Index. This is $724 below the national median of $1,895/month.
The median home price in Little Rock is $214,773, which is 3.5× the local median income. It's on the edge of affordability for median-income households. The national median home price is $467,370.
Arkansas has a 3.9% state income tax rate. Combined state and local sales tax averages 9.47%, and the effective property tax rate is 0.57%.
This ranking was generated using data current as of early 2026. Population and income data comes from the Census Bureau's American Community Survey (5-year estimates). Rent and home price data is from Zillow's monthly releases. Tax rates are from the Tax Foundation's 2025 edition. Rankings are refreshed monthly.