Updated: March 14, 2025
Houston is becoming a popular relocation destination due to its economic opportunities, affordable cost of living, and cultural diversity. There is no income tax, and housing prices are significantly lower than in New York or Los Angeles: the average home costs $329,000, renting a one-bedroom apartment for $1,200, and the city has no income tax. In comparison, in New York a house will cost you $750,000, while renting a similar apartment will cost you $3,200, and in Los Angeles - $920,000 for a house and $2,800 for rent. Houston also has a lower average cost of living, making Houston an attractive alternative for those who don't want to overpay for living in expensive metropolitan areas.
Greater Houston's population has grown by 1 million over the past decade to 7.5 million. The city attracts young professionals with growing energy and technology sectors, families with affordable housing and good schools, and retirees with low taxes.
Cultural diversity also sets the city apart: nearly half of residents speak a language other than English at home, and in total, more than 140 languages can be heard in the city. This diversity has had a particularly good impact on the local cuisine. We will look at it in more detail later, but here you can find both authentic Tex-Mex and Vietnamese cuisine. There are also frequent gastronomic fairs and international festivals.
Trends in median home prices in Houston:
| Year | Median Home Price | % Change from Previous Year |
|---|---|---|
| 2019 | $260,000 | +4.5% |
| 2020 | $275,000 | +5.8% |
| 2021 | $290,000 | +5.5% |
| 2022 | $315,000 | +8.6% |
| 2023 | $335,000 | +6.3% |
| 2024 | $325,000 | -3.0% (market correction) |
Houston continues to be more affordable than other major U.S. cities, especially we see this in the cost of homes. That said, prices in 2024 have begun to stabilize after the pandemic.
While Houston rents are lower than the national average, prices vary greatly by neighborhood. Here's what you can expect to pay:
| Neighborhood | Average Rent (1-Bed) | Average Rent (2-Bed) |
|---|---|---|
| Montrose | $1,850 | $2,450 |
| Midtown | $1,750 | $2,300 |
| The Heights | $1,900 | $2,600 |
| Downtown | $2,100 | $2,900 |
| The Woodlands | $1,650 | $2,200 |
| Sugar Land | $1,700 | $2,300 |
| Katy | $1,500 | $2,000 |
Other living expenses: Houston compared to the national average
| Expense Category | Houston Monthly Avg. | U.S. National Avg. | Difference |
|---|---|---|---|
| Groceries | $360 | $420 | -14% |
| Utilities | $140 | $175 | -20% |
| Healthcare | $450 | $500 | -10% |
| Gas (per gallon) | $3.10 | $3.85 | -19% |
| Public Transport (monthly pass) | $50 | $78 | -35% |
In this table, we can also see that it is cheaper to live in Houston than the US average. The cost of gasoline is certainly cheaper than the national average, but it is worth considering that it is difficult to live without a car in Houston.
Houston, like all of Texas, has no income tax. This means that your entire paycheck stays with you, unlike states like California or New York where the tax can be as high as 10-13%. However, this has a downside - higher property taxes. In Houston, the rate is around 2.14%, which is higher than the national average of around 1.1%.
Another important consideration is sales tax. In Houston, it is 8.25%, which is higher than many other states. This means that shopping here costs a little more because of the tax surcharge. However, even with these costs, the lack of income tax makes the city an attractive place to live, especially for those who want to keep more of their hard earned money.
| Tax Type | Houston | California | New York | National Avg. |
|---|---|---|---|---|
| State Income Tax | 0% | 13.3% | 10.9% | ~5% |
| Property Tax | 2.14% | 0.73% | 1.62% | 1.1% |
| Sales Tax | 8.25% | 7.25% | 8.88% | 7% |
Economy
Houston's economy is considered one of the most stable in the United States. The labor market is developing rapidly. In addition to the traditional energy sector, the healthcare and IT sectors are growing here. The unemployment rate here is 4.1%, which is slightly higher than the national average, but the employment growth rate is ahead of many other metropolitan areas. The number of jobs has increased by nearly 3% in recent years, and is projected to grow by 15% over the next decade.
The median salary in Houston, TX is $57,420 per year. This is less than New York or San Francisco, but the cost of living in Houston is significantly lower. Compared to neighboring Austin, where unemployment is lower (3.5%), job growth here is a bit more modest, but wages remain competitive
The most promising industries in 2025 will be energy, healthcare, technology, logistics, and aerospace. Energy is actively hiring petroleum engineers, analysts, and renewable energy project managers. Healthcare continues to grow, offering high-paying jobs for nurses, physicians, and hospital administrators. The technology sector is growing especially fast, with companies looking for software developers, cybersecurity and cloud technology specialists. Thanks to the Port of Houston, the city has seen a steady increase in demand for logistics professionals, and the aerospace industry continues to expand with projects from NASA and private companies like SpaceX and Boeing.
Houston remains a great place to find a job thanks to its large number of new openings, affordable cost of living, and diversity of industries. While the city attracts high salaries and career prospects, it's worth considering hidden costs such as property taxes and flood risk. In addition, most jobs require daily commuting by car, as public transportation is not as well developed as in other metropolitan areas.
Best Neighborhoods to Live In
Choosing the right neighborhood will be very important when moving to Houston. Houston is divided into two main areas: inside the I-610 Loop (simply called “The Loop”) and outside the Loop. These areas vary greatly in lifestyle, housing costs, transportation accessibility, and other factors.
Life inside “The Loop” is more suited for those who like the urban rhythm: there are plenty of restaurants, bars, cultural venues, and you can get around on foot or by public transportation. However, you have to pay for the amenities - renting and buying a home here is more expensive. On average, a one-bedroom apartment in neighborhoods like Montrose or Midtown costs from $1,750 to $2,100 a month, and houses can reach $600,000 and up. Crime varies by neighborhood, but in general, the closer to downtown, the higher the crime rate.
On the other hand, living off the Ring Road offers a more relaxed atmosphere, spacious homes and a better environment. Neighborhoods like Cutty, Sugar Land or The Woodlands attract families and those who want more space for less money. Rent is lower here ($1,500 to $1,700 for a studio apartment) and homes can be purchased for around $400,000-$500,000. However, it's almost impossible to live without a car, as most places are highly dispersed.
As for schools, in the city center the choice is mixed: there are prestigious schools, but the average level is different. In the suburbs, however, schools are usually better and consistently rank high in the ratings.
If it's important for you to be in the center of events and not depend on a car, then living inside “The Loop” may be ideal. If, however, you want quiet, a spacious home and good schools for the kids, it's best to consider the suburbs.
If you're a young professional looking for an active city life with easy access to offices, restaurants and entertainment, the best neighborhoods for you are Midtown, Downtown and Montrose. There's a bustling nightlife, plenty of bars, cafes and meeting places, and good transportation connections.
Families are more likely to choose quieter neighborhoods with good schools and parks. Woodlands, Sugar Land, Katy and Pearland are popular. There are spacious homes, safe streets, and plenty of playgrounds and walking areas.
Art and culture lovers will appreciate the Montrose, Heights, and Museum District neighborhoods. The best galleries, theaters, concert venues, and museums are located here, creating a uniquely creative atmosphere.
If getting to work quickly is important to you, convenient office districts can be found in Downtown, Midtown and West University. Major business centers and large companies are located here, making them a great choice for career advancement.
Those who prefer to live closer to nature will find The Woodlands, Kingwood, and Memorial. These neighborhoods are surrounded by green parks, woodlands, and scenic waterfronts, offering ideal conditions for walking, morning jogs, and outdoor recreation.
Houston is actively developing, and many previously little-known neighborhoods are becoming popular with real estate buyers. One such neighborhood is East Downtown, or EaDo. It's a neighborhood with rapid growth, new restaurants and bars, while housing here is still more affordable than in neighboring Midtown. However, prices are rising rapidly, at about 12% per year.
Another promising neighborhood is Cypress. The labor market is actively developing here, which attracts new residents. It is especially popular with families because it combines affordable housing and a high level of security. Real estate prices here are expected to increase by 8% over the next five years.
Spring Branch is another neighborhood that is gaining popularity. It is located near the business center, but housing here is much cheaper than in prestigious neighborhoods like The Heights. In addition, the neighborhood has many good schools, and new construction projects make it even more attractive to families and investors.
When choosing a neighborhood, it is important to consider not only the prospects, but also the level of safety. In Houston, the crime situation varies greatly from neighborhood to neighborhood. On average, the violent crime rate here is higher than the national rate: 10.96 incidents per 1,000 residents, compared to the U.S. average of 4.0. Property crimes are also more common, with 45.39 incidents per 1,000 people, compared to the national average of 19.0.
For example, north Houston neighborhoods have a 1 in 13 chance of becoming a victim of crime, while the northwest side of the city has a much lower rate of 1 in 41. Car theft remains a major problem, with Houston having one of the highest rates in the country. There is a 1 in 115 chance that your car will be stolen.
Houston is also prone to natural disasters, especially flooding during hurricane season. Therefore, when choosing a home, it is worth considering if the neighborhood is in a possible flood zone.
In order to assess the level of safety in a particular neighborhood, you can use the interactive crime map. This tool allows you to view data on various crimes, keep up to date on the current situation, and even receive notifications of incidents in selected neighborhoods.
Public transportation
Getting around Houston without a car is quite possible, especially in areas with good public transportation. The city has a METRO bus system that covers most neighborhoods. A ride on a regular route costs $1.25, and for those who live in the suburbs and commute downtown, there are Park & Ride buses with fares ranging from $2 to $4.50.
In addition to buses, Houston has METRORail light rail, which consists of three lines. The red line connects the north of the city to the south, passing through downtown and the medical complex. The green and purple lines cover the east side of the city and lead to the University of Houston. Fare on all of these routes also costs $1.25.
Bicycle infrastructure in the city is not as well developed as in some other places, but there are bike lanes in some neighborhoods and Houston BCycle, a bike rental system, is available. If biking or public transportation isn't an option, you can always use Uber or Lyft.
The best neighborhoods for living without a car are Downtown, Midtown, Midtown, Medical Center, Montrose, and East Downtown (EaDo). There is good public transportation, convenient routes, and plenty of places to walk to.
Entertainment
Houston has a lot to give you. The gastronomic scene is one of the most interesting in the United States. You'll find both traditional establishments and restaurants with a modern take on familiar dishes. If you want to try an authentic Tex-Mex, you should check out The Original Ninfa's on Navigation. Fans of classic Tex-Mex will also appreciate Pappasito's Cantina For those looking for something different, Xochi, an Oaxaca-inspired restaurant where traditional Mexican dishes take on a new twist, is a great option.
For barbecue lovers, Houston offers several iconic spots. For example, The Pit Room is famous for its slow-cooked meats, while Pinkerton's Barbecue combines tradition with modern approaches to smoking. A real hit among connoisseurs is Truth BBQ, which serves incredibly tasty brisket in a cozy atmosphere.
If you want to try the cuisines of other countries, Houston offers a lot of opportunities. For example, Istanbul Grill is a cozy restaurant that has received high marks for its authentic Turkish dishes. Fans of Italian cuisine should visit Piatto Ristorante. And at Masraff's you can enjoy fine European cuisine in elegant surroundings. For easy restaurant selection and reservations, you can use platforms like OpenTable, which has detailed guest reviews.
Houston's cultural life is packed with festivals and celebrations that reflect its cosmopolitan atmosphere. One of the biggest events is the Houston Livestock Show and Rodeo, which takes place from February 25 to March 17, 2025 at NRG Park. It is a grand celebration with rodeo shows, concerts and a huge carnival. Lovers of Greek culture can visit the Houston Greek Festival where they can sample traditional foods, watch dance performances and enjoy live music. This festival is usually held in October at the Annunciation Greek Orthodox Cathedral. And for those who want a medieval experience, check out the Texas Renaissance Festival, which takes place from October through November at Todd Mission near Houston. Here you can meet knights, watch theatrical performances and buy historical-style crafts. An up-to-date calendar of events is always available on the Visit Houston website.
For sports fans, there's plenty to do in Houston, too. Football fans can cheer on the Houston Texans at NRG Stadium, where tickets start at $59. Those who prefer baseball can support the Houston Astros at Minute Maid Park Stadium, while basketball fans can enjoy Houston Rockets games at Toyota Center.
Entertainment in Houston is not limited to sports. The city has plenty of venues for concerts and shows. For example, NRG Stadium hosts major events including rodeos, and the Hobby Center for the Performing Arts hosts Broadway musicals and theater productions. If you want to hear live music in a casual atmosphere, White Oak Music Hall is a great choice, featuring performers from a variety of genres. For concert schedules and to buy tickets, visit sites like StubHub.
Climate
It is also important to consider the climate of Houston. Summers are hot and humid, with temperatures often rising above 89,6 °F (32°C), while winters are quite mild, ranging from 50 °F (10°C) to 69,8 °F (21°C). It rains all year round, but particularly heavy rainfall occurs in May and June.
Another important feature is the high risk of flooding, especially during rainy seasons and hurricanes. Before buying a home, it's worth checking to see if the neighborhood is in a possible flood zone using FEMA's flood maps. If you live in Houston, it's a good idea to prepare an emergency kit in advance with flashlights, water, non-perishable food and documents. It's also worth considering an evacuation plan in case of a major weather disaster.
Moving Process to Houston
Moving to Houston is an important event, and the better prepared you are, the easier the process will be.
- Three months before you move, it's a good idea to start looking for a moving company or decide if you'll be moving on your own. This is the time to work out the costs, notify your landlord if you're renting, and start sorting out and packing what you won't be needing any time soon.
- Two months before the move, it's worth booking movers or renting a truck if you plan to bring things in yourself. It's also a good time to arrange for mail forwarding to the new address, finalize your new home and start selling or giving away unwanted items.
- A month before the move, it is important to do the paperwork. You need to transfer utilities - electricity, water, gas, internet - to the new address, and update your banks, insurance and subscriptions. It's also worth informing your employer of the change of address so that there are no problems with your payroll documents. At the same time, it's also worth double-checking all the details of the move.
- In the last week before you leave, it is better to pack a bag with the most necessary things for the first few days, make sure that nothing is forgotten in the old house, do some cleaning and, if necessary, make minor repairs. If there's a long road ahead, it's worth thinking about the route and where you'll be staying in advance.
- On moving day, the first thing you should do is to put away the essentials, arrange the furniture, check that the house is in order and that there is no damage. After that, you can shop for groceries and start getting acquainted with the neighborhood.
When moving to Houston, it's important to remember to change your address with the post office, banks, insurance, and employer, as well as hook up utilities beforehand. Popular providers are CenterPoint Energy (electricity), City of Houston (water), AT&T or Xfinity (internet). If you own a car, it must be registered in Texas within 30 days and your driver's license must be renewed with your local Department of Transportation. Another important step is registering to vote, which can be done online.
When moving to Houston, it's worth preparing for the local climate. It is very hot in the summer, and heavy rains and flooding are possible during hurricane season.
As for the moving process itself, there are three options. You can hire movers in Houston - this is the most convenient, but also expensive option, on average from 3.5 to 7.5 thousand dollars. Independent move with the rental of a truck is cheaper - from 900 to 2.5 thousand dollars, but requires a lot of effort. There is an intermediate option - renting a container for the transportation of things, which costs from 1.5 to 4 thousand dollars.
To avoid unnecessary problems, it is better to book movers in advance, especially if the move falls on the summer months, when demand is high. On the day of the move, it is worth starting early in the morning to avoid the heat. It's also not superfluous to find out in advance if your new neighborhood has any restrictions on moving - some apartment complexes set certain rules. When moving in, it's important to check out the house: inspect the roofs, windows, check the air conditioning and make sure the house won't flood in case of heavy rains.
After moving in, it is definitely worth exploring the neighborhood, finding the nearest stores, cafes, parks and other important places to feel comfortable in the new city.