City Comparison

Amarillo vs Ann Arbor

Cost of Living Comparison · 2026

Amarillo

Texas
74
Very Affordable
$195,000
Median Home
$975/mo
Median Rent
$58,500
Median Income

Ann Arbor

Michigan
114
Above Average
$400,000
Median Home
$1,600/mo
Median Rent
$65,024
Median Income

The Verdict

35.1%

Living in Amarillo costs 35.1% less than Ann Arbor. To match the purchasing power of a $75,000 salary in Amarillo, you would need $115,541 in Ann Arbor.

Category-by-Category Breakdown

Index values · National average = 100 · Lower is more affordable

Housing
59
Amarillo
135
Ann Arbor
Groceries
92
Amarillo
101
Ann Arbor
Utilities
94
Amarillo
99
Ann Arbor
Transportation
75
Amarillo
101
Ann Arbor
Healthcare
104
Amarillo
101
Ann Arbor

Salary Equivalence

A $75,000 salary in Amarillo has the same purchasing power as $115,541 in Ann Arbor.

Conversely, $75,000 in Ann Arbor equals $48,684 in Amarillo.

Living in Amarillo vs Ann Arbor

Housing Costs

Amarillo's housing index of 59 is lower Ann Arbor's 135, translating to median home prices of $195,000 vs $400,000. The $205,000 difference in home prices means roughly $13,320 per year in additional mortgage costs at current rates. Renters face a similar gap: $975/mo in Amarillo compared to $1,600/mo in Ann Arbor, a monthly difference of $625.

Grocery & Food Costs

Grocery expenses index at 92 in Amarillo and 101 in Ann Arbor. A household spending the national average of $475/month on groceries would pay approximately $437/month in Amarillo vs $480/month in Ann Arbor. Amarillo offers a meaningful advantage on everyday food costs, saving roughly $516/year.

Utility Expenses

Utility costs — electricity, gas, water, internet — index at 94 in Amarillo and 99 in Ann Arbor. Monthly utility bills average approximately $376 in Amarillo vs $396 in Ann Arbor. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 104 in Amarillo and 101 in Ann Arbor. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. Healthcare costs are relatively similar between these two cities, though individual plan costs can still vary.

Income & Purchasing Power

Median household income is $58,500 in Amarillo and $65,024 in Ann Arbor. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $79,054 and $57,039 respectively. Amarillo residents enjoy stronger real purchasing power despite lower nominal wages.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,365/month to housing in Amarillo vs $1,517/month in Ann Arbor. In Amarillo, median rent of $975/mo fits within this budget. In Ann Arbor, median rent of $1,600/mo pushes past the recommended limit. The biggest category-level difference between these two cities is Housing, where the gap is 76 index points — focus your budget analysis there.

Frequently Asked Questions

Amarillo is 35.1% more affordable overall with an index of 74 vs 114.
A $75,000 salary in Amarillo has equivalent purchasing power to approximately $115,541 in Ann Arbor, based on the cost of living difference.
Amarillo's housing index is 59 with median homes at $195,000, while Ann Arbor's is 135 with median homes at $400,000.

Moving & Relocation Resources

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