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Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
Look, Dollar for dollar, few states match Iowa's value. About what you'd guess. 2 out of 2 cities undercut the national cost index of 111. Leading the pack: Des Moines at index 67, where median rent of $1,141/month saves renters $9,048/year versus the national median (we double-checked this one).
Look, Dollar for dollar, few states match Iowa's value. About what you'd guess. 2 out of 2 cities undercut the national cost index of 111. Leading the pack: Des Moines at index 67, where median rent of $1,141/month saves renters $9,048/year versus the national median (we double-checked this one).
Why Des Moines ranks #1: the numbers tell a clear story. At 67 on the cost index, residents save roughly 44% less than the typical American. Rent sits at $1,141/month while the median household pulls in $63,966/year. The Housing category is particularly strong at 67, though Healthcare (93) lags behind. Home prices average $204,843 — $262,527 below the national median.
Bottom line: Des Moines 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: Des Moines — cost index 67, rent $1,141/mo, income $63,966
0 of 2 cities keep rent under 30% of $40K gross income
Data sourced from Census Bureau, Zillow, BLS, and Tax Foundation — current as of 2026
| Rank | City | Median Rent | Rent % of Gross | Cost Index | |
|---|---|---|---|---|---|
| 1 | Des Moines | $1,141 | 34% | 67 | Details |
| 2 | Cedar Rapids | $1,158 | 35% | 68 | Details |
210,381 residents · Iowa
A closer look at Des Moines: the cost index of 67 breaks down to a Housing index of 67 (strongest category) and a Healthcare index of 93 (weakest). Median rent is $1,141/month — 40% below the national median — while household income sits at $63,966, meaning locals spend about 21% of income on rent. That's a healthy margin by any standard.
135,958 residents · Iowa
Cedar Rapids earns its position at #2 through a combination that's hard to replicate. And most of the time, the 68 cost index sits 43 points below the national baseline, and the $67,859 median income means purchasing power here is amplified by the low cost base. Homes list at $204,214 — $263,156 below the national median — a genuine ownership opportunity. On the cost side, Housing leads the way at 68, while Healthcare trails at 94.
| City | State Tax | Sales Tax | Property Tax | Est. Take-Home |
|---|---|---|---|---|
1Des Moines | 5.7% | 6.94% | 1.43% | $30,092 |
2Cedar Rapids | 5.7% | 6.94% | 1.43% | $30,092 |
Des Moines ranks #1 in Iowa for this analysis with a cost index of 67 and median income of $63,966.
Yes. On a $40K salary in Des Moines, rent would consume about 34% of your gross monthly income. Financial experts recommend keeping rent under 30%. It's tight — consider a roommate or nearby suburb.
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.
Des Moines (ranked #1) has a cost index of 67 and rent of $1,141/mo, while Cedar Rapids (ranked #2) has a cost index of 68 and rent of $1,158/mo — a 1-point difference in cost of living.
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 Des Moines is $1,141/month as of 2026, based on Zillow's Observed Rent Index. This is $754 below the national median of $1,895/month.
After federal taxes, FICA (7.65%), and 5.7% state income tax, estimated take-home on $40K in Des Moines is approximately $30,092/year ($2,508/month). After median rent of $1,141/month, you'd have roughly $16,400/year for all other expenses.
The median home price in Des Moines is $204,843, which is 3.2× the local median income. That's within the standard 3.5× affordability rule for most local earners. The national median home price is $467,370.
Iowa has a 5.7% state income tax rate. Combined state and local sales tax averages 6.94%, and the effective property tax rate is 1.43%.
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.