Fayetteville vs Montgomery
Cost of Living Comparison · 2026
Fayetteville
Montgomery
The Verdict
The cost gap between these cities is 13.9%, with Montgomery being the more affordable option. A $75,000 income in Fayetteville has equivalent purchasing power to $65,833 in Montgomery.
Category-by-Category Breakdown
Index values · National average = 100 · Lower is more affordable
Salary Equivalence
A $75,000 salary in Fayetteville has the same purchasing power as $65,833 in Montgomery.
Conversely, $75,000 in Montgomery equals $85,443 in Fayetteville.
Living in Fayetteville vs Montgomery
Housing Costs
Fayetteville's housing index of 94 is higher Montgomery's 49, translating to median home prices of $332,000 vs $162,000. The $170,000 difference in home prices means roughly $11,052 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,025/mo in Fayetteville compared to $1,000/mo in Montgomery, a monthly difference of $25.
Grocery & Food Costs
Grocery expenses index at 92 in Fayetteville and 99 in Montgomery. A household spending the national average of $475/month on groceries would pay approximately $437/month in Fayetteville vs $470/month in Montgomery. Fayetteville offers a meaningful advantage on everyday food costs, saving roughly $396/year.
Utility Expenses
Utility costs — electricity, gas, water, internet — index at 98 in Fayetteville and 115 in Montgomery. Monthly utility bills average approximately $392 in Fayetteville vs $460 in Montgomery. Climate differences between the two cities drive much of this gap, with heating and cooling costs varying substantially by region.
Healthcare
Healthcare costs index at 78 in Fayetteville and 78 in Montgomery. 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 $59,100 in Fayetteville and $56,800 in Montgomery. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $65,667 and $71,899 respectively. Montgomery residents come out ahead in real purchasing power.
Relocation Considerations
Under the standard 28% rule, a median-income household can allocate $1,379/month to housing in Fayetteville vs $1,325/month in Montgomery. In Fayetteville, median rent of $1,025/mo fits within this budget. In Montgomery, median rent of $1,000/mo remains manageable. The biggest category-level difference between these two cities is Housing, where the gap is 45 index points — focus your budget analysis there.
Frequently Asked Questions
Moving & Relocation Resources
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