City Comparison

Lexington vs Waco

Cost of Living Comparison · 2026

Lexington

Kentucky
93
Below Average
$245,000
Median Home
$1,200/mo
Median Rent
$55,648
Median Income

Waco

Texas
83
Very Affordable
$230,000
Median Home
$1,050/mo
Median Rent
$49,500
Median Income

The Verdict

12.0%

The cost gap between these cities is 12.0%, with Waco being the more affordable option. A $75,000 income in Lexington has equivalent purchasing power to $66,935 in Waco.

Category-by-Category Breakdown

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

Housing
82
Lexington
63
Waco
Groceries
96
Lexington
95
Waco
Utilities
91
Lexington
97
Waco
Transportation
98
Lexington
89
Waco
Healthcare
94
Lexington
93
Waco

Salary Equivalence

A $75,000 salary in Lexington has the same purchasing power as $66,935 in Waco.

Conversely, $75,000 in Waco equals $84,036 in Lexington.

Living in Lexington vs Waco

Housing Costs

Lexington's housing index of 82 is higher Waco's 63, translating to median home prices of $245,000 vs $230,000. The $15,000 difference in home prices means roughly $972 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,200/mo in Lexington compared to $1,050/mo in Waco, a monthly difference of $150.

Grocery & Food Costs

Grocery expenses index at 96 in Lexington and 95 in Waco. A household spending the national average of $475/month on groceries would pay approximately $456/month in Lexington vs $451/month in Waco. The difference in grocery costs between these cities is relatively minor and unlikely to be a deciding factor in relocation.

Utility Expenses

Utility costs — electricity, gas, water, internet — index at 91 in Lexington and 97 in Waco. Monthly utility bills average approximately $364 in Lexington vs $388 in Waco. Utility costs are relatively comparable between these two cities.

Healthcare

Healthcare costs index at 94 in Lexington and 93 in Waco. 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 $55,648 in Lexington and $49,500 in Waco. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $59,837 and $59,639 respectively. Lexington residents enjoy stronger real purchasing power despite higher nominal wages.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,298/month to housing in Lexington vs $1,155/month in Waco. In Lexington, median rent of $1,200/mo fits within this budget. In Waco, median rent of $1,050/mo remains manageable. The biggest category-level difference between these two cities is Housing, where the gap is 19 index points — focus your budget analysis there.

Frequently Asked Questions

Waco is 12.0% more affordable overall with an index of 83 vs 93.
A $75,000 salary in Lexington has equivalent purchasing power to approximately $66,935 in Waco, based on the cost of living difference.
Lexington's housing index is 82 with median homes at $245,000, while Waco's is 63 with median homes at $230,000.

Moving & Relocation Resources

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