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Crunching costs, sorting signals, rendering insights.
Crunching costs, sorting signals, rendering insights.
Arkansas is a genuine bargain: 1 of the 1 cities in this ranking come in below the national cost-of-living average. Little Rock leads at an index of 68 with rent at just $1,171/month — 38% less than the $1,895 national median. Here are the numbers, sourced from federal data updated in 2026 (that's p…
Arkansas is a genuine bargain: 1 of the 1 cities in this ranking come in below the national cost-of-living average. Little Rock leads at an index of 68 with rent at just $1,171/month — 38% less than the $1,895 national median. Here are the numbers, sourced from federal data updated in 2026 (that's pre-tax, of course).
Tax burden isn't just income tax. And as far as the data shows, we combine three layers: state income tax (3.9% in Little Rock), combined state+local sales tax (9.47%), and effective property tax (0.57%). At 3.9% state income tax, the real differentiator becomes sales and property tax rates. On a $75,000 salary, the estimated take-home in #1 Little Rock is $54,785/year.
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.
Look, If you only look at rent, it's perfect. Zoom out and it's complicated. In Little Rock, the healthcare index sits at 94 — not a dealbreaker, but worth knowing about. An outlier in the best sense.
Bottom line: Little Rock leads this ranking for clear, data-backed reasons — but the "best" city depends on your priorities. And generally speaking, 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
203,842 residents · Arkansas
Little Rock is one of the cheaper options here. Rent is $1,171/month, which is lower than most cities in this ranking. The cost index is 68. Income sits at $60,583. It's fine. Not great, not bad.
| Rank | City | Cost Index | Median Rent | |
|---|---|---|---|---|
| 1 | Little Rock | 68 | $1,171 | Details |
| City | State Tax | Sales Tax | Property Tax | Est. Take-Home |
|---|---|---|---|---|
1Little Rock | 3.9% | 9.47% | 0.57% | $45,204 |
Total tax burden = state income tax rate + combined sales tax rate + effective property tax rate. We rank cities from lowest combined burden to highest. Keep in mind property tax and sales tax are local-level, so two cities in the same state can differ meaningfully. 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.
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.