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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 (that's pre-tax, of course).
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 (that's pre-tax, of course).
Why Little Rock ranks #1: the numbers tell a clear story. Take it or leave it — the data is what it is. At 68 on the cost index, residents save roughly 43% less than the typical American. Rent sits at $1,171/month while the median household pulls in $60,583/year. The Housing category is particularly strong at 68, though Healthcare (94) lags behind. Home prices average $214,773 — $252,597 below the national median.
And there's one more thing: The 1 cities we track in Arkansas paint a clearly affordable picture. And from what we can tell, average cost index: 68. Median rent: $1,171/month. Household income: $60,583. Arkansas is known for one of the nation's most affordable states — and the data backs that reputation convincingly.
Bottom line: Little Rock leads this ranking for clear, data-backed reasons — but the "best" city depends on your priorities. Click into any city below to see the full detail page with 12-month trend charts, profession-specific salary data, and a breakdown of all five cost categories. If you're seriously considering a move, use our salary calculator to model your specific income against these numbers.
#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
| Rank | City | Cost Index | Median Rent | |
|---|---|---|---|---|
| 1 | Little Rock | 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. Below the radar, but not for long.
| City | State Tax | Sales Tax | Property Tax | Est. Take-Home |
|---|---|---|---|---|
1Little Rock | 3.9% | 9.47% | 0.57% | $45,204 |
Little Rock ranks #1 in Arkansas for this analysis with a cost index of 68 and median income of $60,583.
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.