Slower Sundays
Find my cities

Living in

Is Austin a Good Place to Live? Pros and Cons (2026)

For most families moving from a coastal city, yes. Austin pairs a large, growing job market with no state income tax on wages and a median listed home of $446,450. The trade-offs are real: housing costs 20% above the national average and July highs average 96.6°F.

By Sol Lakein, founder of Slower Sundays. Published October 30, 2026.

The short answer

Austin works best for families with a remote or tech-adjacent income who want a big-city job market without big-city taxes. It works less well if your budget depends on cheap housing or if you hate long, hot summers. Here is what the public data says, line by line.

Pros

  • Prices 2% below the US averageEveryday prices, rent included, index at 98.1 against a US average of 100.BEA regional price parities, 2024
  • Mild wintersJanuary lows average 41.8°F with 0.2 inches of snow a year.NOAA 1991-2020 normals
  • Nonstop flights to New YorkFrom AUS to JFK, EWR.Airport route page, June 2026
  • People are moving in19,860 more people moved here from other US metros than left, July 2024 to July 2025.US Census Bureau, Vintage 2025
  • University townUniversity of Texas at AustinSlower Sundays city profile

Cons

  • Homes list 6% above the US median$446,450 median listing against $419,250 nationally.Realtor.com via FRED, September 2026
  • Hot summersJuly highs average 96.6°F.NOAA 1991-2020 normals

What it costs to live in Austin

Austin is not cheap by Southern standards. The median listed home, $446,450, sits 6% above the US median of $419,250, and BEA's housing index puts the metro at 120.4 against a national 100. Everyday prices outside housing are close to average, so the overall price level lands at 98.1.

Against New York the math is different. Principal and interest on the median Austin home come to about $2,453 a month, against $4,078 for the median New York metro home: a difference of roughly $19,490 a year.

MetroMedian listed homeMonthly payment2-bedroom rentPrice levelHousing index
Austin, TX$446,450$2,453$1,83698.1120.4
Raleigh, NC$445,000$2,445$1,67398.2103.5
Charlotte, NC$424,950$2,335$1,58997.397.6
Nashville, TN$533,995$2,935$1,66696.3104.6
Tampa, FL$385,398$2,118$1,861100.9125.8
New York metro$742,000$4,078$1,997112.6148.6

Median listed home: Realtor.com via FRED, September 2026. Monthly payment: principal and interest with 20% down at 7.32% (Freddie Mac, week of October 22, 2026), before taxes and insurance. Rent: median gross rent for a 2-bedroom, utilities includedsource. Price level and housing index: BEA regional price parities, 2024, US = 100.

One caution on rent: the Census figure covers every renter, including people who have held the same lease for years. New leases in both cities usually cost more than these medians, and the New York gap is wider on new leases than the table shows.

Jobs and the economy

The Austin metro had 1,416,600 nonfarm jobs in September 2026, up 1.1% from a year earlier, and an unemployment rate of 3.7% (preliminary). The largest sectors by jobs are professional and business services (291,200); trade, transportation, and utilities (214,100); and government (204,600). source

Professional and business services is the largest sector, ahead of trade and government, which tells you the metro runs on office and technical work rather than one big employer. If you are moving without a job lined up, that depth matters more than the headline unemployment rate.

Taxes in Texas

Texas has no personal income tax, and it makes up the difference with sales and property taxes.

  • Income tax: Texas does not tax wages. source
  • Sales tax: 6.25% state rate. Cities, counties, special purpose districts and transit authorities may impose sales and use tax up to 2 percent, for a total maximum combined rate of 8.25 percent.source
  • Property tax: an average effective rate of 1.49%, about $6,652 a year on a $446,450 home (our arithmetic; your county and city rates decide the real bill).source
  • Social Security: not taxed by the state.

For a household earning well into six figures, no income tax usually outweighs the higher property tax. For a household that buys an expensive home on a modest income, it can come out close to even. Run your own numbers with your county's actual rate before you buy.

Weather

January lows average 41.8°F and July highs 96.6°F, with 0.2 inches of snow and 36.25 inches of total precipitation in a typical yearsource.

Winters are mild and snow is rare. Summers are the price: plan on air conditioning running from late spring into fall.

Getting back to New York

AUS has nonstop flights to JFK, EWRsource.

Are people still moving to Austin?

Between July 2024 and July 2025, 19,860 more people moved to the Austin metro from elsewhere in the US than moved awaysource.

That inflow keeps demand for housing high, which is one reason prices have not fallen back to Texas averages. See how Austin compares with the rest of the state on our Texas cost of living page.

Austin vs other cities families compare it with

Most families shortlisting Austin also look at Raleigh, Charlotte, Nashville and Tampa. On the numbers in the table above, Austin's edge is taxes and job-market size, not price.

  • Raleigh: median listing $445,000, $1,450 less than Austin; housing index 103.5 against Austin's 120.4.
  • Charlotte: median listing $424,950, $21,500 less than Austin; housing index 97.6 against Austin's 120.4.
  • Nashville: median listing $533,995, $87,545 more than Austin; housing index 104.6 against Austin's 120.4.
  • Tampa: median listing $385,398, $61,052 less than Austin; housing index 125.8 against Austin's 120.4.

Charlotte and Tampa list homes for less. Raleigh lists at about the same price, with a much lower housing index. Nashville costs more to buy into. Tennessee and Florida also skip the tax on wages; North Carolina charges a flat rate (see each state's page for the 2026 numbers).

The verdict

Austin is a good place to live if you earn a strong salary, value a large job market and want to keep more of each paycheck. It is a poor fit if your plan depends on cheap housing or you cannot handle July highs that average 96.6°F. If the lowest mortgage payment is the goal, start with Charlotte or Tampa. The full monthly breakdown is on our Austin cost of living page.

Data notes: monthly payment assumes 20% down on the median listed home at the Freddie Mac 30-year average of 7.32% and excludes property tax, insurance and HOA dues.

Questions people ask

Is Austin a good place to live for families?

It depends on budget and heat tolerance. Austin's everyday prices sit near the US average (98.1 on BEA's 2024 index, US = 100), but housing runs 20% above it. Texas does not tax wages, which offsets some of that for higher earners.

How much do you need to live in Austin?

The median listed home was $446,450 in September 2026 (Realtor.com). With 20% down at a 7.32% rate, principal and interest come to about $2,453 a month before taxes and insurance. The median 2-bedroom rent was $1,836 a month including utilities (Census ACS, 2025).

Is Austin cheaper than New York?

For buyers, by a wide margin: about $1,624 a month less in principal and interest on the median listed home. For renters the gap is small in the Census data ($1,836 vs $1,997 for a 2-bedroom), because that figure includes long-time New York tenants paying below market.

Are people still moving to Austin?

Yes. 19,860 more people moved to the Austin metro from elsewhere in the US than left between July 2024 and July 2025 (US Census Bureau, Vintage 2025).

What is the downside of living in Austin?

Heat and housing. July highs average 96.6°F (NOAA 1991-2020 normals), and BEA's housing index puts Austin at 120.4, well above the US average of 100. Texas also has one of the highest property tax rates in the country (1.49% effective, 44th of 51 where 1st is lowest, WalletHub 2026), which matters because there is no income tax to fund the state.

Find the cities that fit your family

Answer a few quick questions and get your shortlist, ranked on what you care about. Free, no account.

Find my cities

More on Austin

Sources for this page