City Comparison

Montgomery vs Orem

Cost of Living Comparison · 2026

Montgomery

Alabama
79
Very Affordable
$162,000
Median Home
$1,000/mo
Median Rent
$56,800
Median Income

Orem

Utah
117
Above Average
$528,000
Median Home
$1,400/mo
Median Rent
$86,000
Median Income

The Verdict

32.5%

Living in Montgomery costs 32.5% less than Orem. To match the purchasing power of a $75,000 salary in Montgomery, you would need $111,076 in Orem.

Category-by-Category Breakdown

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

Housing
49
Montgomery
147
Orem
Groceries
99
Montgomery
98
Orem
Utilities
115
Montgomery
92
Orem
Transportation
92
Montgomery
108
Orem
Healthcare
78
Montgomery
95
Orem

Salary Equivalence

A $75,000 salary in Montgomery has the same purchasing power as $111,076 in Orem.

Conversely, $75,000 in Orem equals $50,641 in Montgomery.

Living in Montgomery vs Orem

Housing Costs

Montgomery's housing index of 49 is lower Orem's 147, translating to median home prices of $162,000 vs $528,000. The $366,000 difference in home prices means roughly $23,796 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,000/mo in Montgomery compared to $1,400/mo in Orem, a monthly difference of $400.

Grocery & Food Costs

Grocery expenses index at 99 in Montgomery and 98 in Orem. A household spending the national average of $475/month on groceries would pay approximately $470/month in Montgomery vs $466/month in Orem. 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 115 in Montgomery and 92 in Orem. Monthly utility bills average approximately $460 in Montgomery vs $368 in Orem. 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 Montgomery and 95 in Orem. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 17-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.

Income & Purchasing Power

Median household income is $56,800 in Montgomery and $86,000 in Orem. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $71,899 and $73,504 respectively. Orem residents come out ahead in real purchasing power.

Relocation Considerations

Under the standard 28% rule, a median-income household can allocate $1,325/month to housing in Montgomery vs $2,007/month in Orem. In Montgomery, median rent of $1,000/mo fits within this budget. In Orem, median rent of $1,400/mo remains manageable. The biggest category-level difference between these two cities is Housing, where the gap is 98 index points — focus your budget analysis there.

Frequently Asked Questions

Montgomery is 32.5% more affordable overall with an index of 79 vs 117.
A $75,000 salary in Montgomery has equivalent purchasing power to approximately $111,076 in Orem, based on the cost of living difference.
Montgomery's housing index is 49 with median homes at $162,000, while Orem's is 147 with median homes at $528,000.

Moving & Relocation Resources

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