Cost of Living in Decatur, AL

With a cost of living index of 73, Decatur, AL is one of the most affordable cities in the country. Living here is 27% cheaper than the national average and in line with the Alabama state average. With a population of 57,760, Decatur is a mid-sized community that balances access to services with a more manageable cost of living compared to larger metros.

Housing costs are the biggest factor in Decatur's cost of living. The median monthly rent is $861 (35% below the US median of $1,319), and the median home value sits at $190,500 (38% below the national median of $304,900). At current prices, the median home costs roughly 3.2x the median household income — a moderately affordable ratio by today's standards.

The median household income in Decatur is $59,831, which is 20% lower than the national median of $75,149. Residents spend roughly 17% of household income on rent. This is a comfortable ratio, well below the 30% threshold that financial experts recommend as a maximum. Lower incomes here are balanced by the significantly lower cost of living, stretching each dollar further.

Climate is another factor for anyone considering a move to Decatur. The area sees an average annual temperature of 61.4°F, with summers averaging 79°F and winters around 44°F. Annual rainfall totals 49.5 inches spread over roughly 126 days.

Everyday prices in the Decatur, AL (Metropolitan Statistical Area) metro area are generally below the national average. Out of 6 common items tracked by the Bureau of Labor Statistics, 6 are priced lower than the US average. These real-world prices — from groceries to electricity — add up and should be factored into any cost of living comparison.

Data sources: US Census Bureau (ACS 2023), Zillow Home Values, HUD Fair Market Rents, BEA Regional Price Parities, BLS Average Prices, and NOAA Climate Normals. Updated monthly.