Cost of Living in Newton, AL

With a cost of living index of 59, Newton, AL is one of the most affordable cities in the country. Living here is 41% cheaper than the national average and 15% below the Alabama state average of 74. Newton is a small community of 1,431 residents.

Housing costs are the biggest factor in Newton's cost of living. The median monthly rent is $685 (48% below the US median of $1,319), and the median home value sits at $90,000 (70% below the national median of $304,900). At current prices, the median home costs roughly 1.5x the median household income — well within traditional affordability guidelines.

The median household income in Newton is $59,915, which is 20% lower than the national median of $75,149. Residents spend roughly 14% 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 Newton. The area sees an average annual temperature of 67.8°F, with summers averaging 82°F and winters around 53°F. Annual rainfall totals 53.9 inches spread over roughly 119 days. The mild climate is a draw for many residents and keeps utility costs moderate year-round.

Everyday prices in the Dothan, 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.