Houston Cost of Living Breakdown by Zip Code: 2026 Data

Houston is one of America's most affordable big cities — but that average masks enormous variation. A zip code in River Oaks can cost 6x more than one in southeast Houston. Here's the data.

Most Expensive Houston Zip Codes (Median Home Value)

| Rank | Zip | Neighborhood | Median Home | Median Rent | Med. Income | |------|-----|-------------|-------------|-------------|-------------| | 1 | 77024 | Memorial Villages | $850,000 | $2,100 | $172,000 | | 2 | 77005 | West University | $780,000 | $1,900 | $155,000 | | 3 | 77019 | River Oaks / Montrose | $720,000 | $2,200 | $148,000 | | 4 | 77025 | Braeswood / Meyerland | $480,000 | $1,500 | $105,000 | | 5 | 77007 | Washington Ave / Heights S | $475,000 | $1,700 | $102,000 |

Most Affordable Houston Zip Codes

| Rank | Zip | Neighborhood | Median Home | Median Rent | Med. Income | |------|-----|-------------|-------------|-------------|-------------| | 1 | 77033 | South Park / Sunnyside | $130,000 | $850 | $32,000 | | 2 | 77016 | Kashmere Gardens | $140,000 | $875 | $34,000 | | 3 | 77028 | Settegast / Denver Harbor | $145,000 | $900 | $36,000 | | 4 | 77012 | Magnolia Park / East End | $155,000 | $925 | $38,000 | | 5 | 77029 | Channelview-adjacent | $158,000 | $930 | $37,000 |

The Affordability Ratio: Housing Cost to Income

The housing affordability ratio (median home price ÷ median household income) tells you how attainable homeownership is. The national benchmark is around 5.0x.

| Zip Code | Area | Home Price | Income | Ratio | |----------|------|-----------|--------|-------| | 77494 | Katy (new) | $395,000 | $120,000 | 3.3x ✅ | | 77584 | Pearland | $310,000 | $95,000 | 3.3x ✅ | | 77008 | The Heights | $520,000 | $95,000 | 5.5x ⚠️ | | 77006 | Montrose | $485,000 | $78,000 | 6.2x ❌ | | 77024 | Memorial | $850,000 | $172,000 | 4.9x ✅ | | 77033 | Sunnyside | $130,000 | $32,000 | 4.1x ⚠️ |

Key insight: Suburban zip codes like Katy (77494) and Pearland (77584) offer the best affordability ratios, while inner-loop neighborhoods like Montrose and The Heights have higher ratios despite higher incomes.

Rent Affordability: The 30% Rule

Financial advisors recommend spending no more than 30% of gross income on housing. Here's how Houston zip codes fare:

Rent-Affordable Zip Codes (rent < 30% of median income)

• 77494 Katy — Rent $1,400/mo, Income $120K → 14% of income ✅
• 77459 Missouri City — Rent $1,350/mo, Income $98K → 17% ✅
• 77381 The Woodlands — Rent $1,600/mo, Income $115K → 17% ✅

Rent-Stretched Zip Codes (rent > 40% of median income)

• 77002 Downtown — Rent $1,885/mo, Income $86K → 26% ⚠️ (borderline)
• 77033 Sunnyside — Rent $850/mo, Income $32K → 32% ❌
• 77016 Kashmere — Rent $875/mo, Income $34K → 31% ❌

The paradox: Houston's cheapest neighborhoods often have the worst affordability ratios because incomes are proportionally lower.

Cost of Living Beyond Housing

Houston's non-housing costs are relatively uniform across zip codes:

| Category | Monthly Avg. | Notes | |----------|-------------|-------| | Electricity | $130–$180 | Higher in summer. Inner loop apartments often lower. | | Water/Sewer | $50–$80 | Varies by suburb vs. city. | | Internet | $50–$80 | Fiber availability varies. | | Groceries | $800–$900 (family of 4) | Cheapest near international corridors like Hillcroft. | | Auto Insurance | $150/mo avg | Houston rates are among the highest in TX. | | Property Tax | ~2.23% | Same rate, but applied to different home values. |

How to Use This Data

1. Set your budget with our Mortgage Calculator or Rent vs. Buy Calculator.
2. Filter zip codes by price on our Rankings page.
3. Compare specific neighborhoods with the Compare Tool.
4. Check flood risk — cheaper homes near bayous may require expensive flood insurance. See our Flood Insurance Guide.

Every zip code in our database includes full demographic, housing, education, and flood risk data. Start exploring on our home page or browse the full zip code grid.