Cost of Living in McAllen, TX

With a cost of living index of 75, McAllen, TX is a very affordable place to live. Living here is 25% cheaper than the national average and 12% below the Texas state average of 88. As a major city with a population of 143,789, McAllen offers a wide range of housing options, employment opportunities, and urban amenities.

Housing costs are the biggest factor in McAllen's cost of living. The median monthly rent is $1,017 (23% below the US median of $1,319), and the median home value sits at $173,800 (43% below the national median of $304,900). At current prices, the median home costs roughly 2.9x the median household income — well within traditional affordability guidelines.

The median household income in McAllen is $60,165, which is 20% lower than the national median of $75,149. Residents spend roughly 20% 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 McAllen. The area sees an average annual temperature of 77.4°F, with summers averaging 89°F and winters around 65°F. Annual rainfall totals 22.2 inches spread over roughly 62 days. Hot summers are common, which can affect utility costs and lifestyle.

Everyday prices in the McAllen-Edinburg-Mission, TX (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.