Dallas vs Denver: cost of living compared
Denver is 22% more expensive than Dallas overall. Dallas (TX) has no state income tax; CO tops out around 4.4%.
Indexes use a US average of 100: below 100 is cheaper than the national average. Housing and transportation are derived from median home prices, rents and commute times; figures come from BLS, Census ACS, Numbeo and the MIT Living Wage Calculator.
The big picture
Overall, the cost of living in Denver is noticeably higher than in Dallas. This difference is primarily driven by housing expenses, which are substantially greater in the Colorado metro. Other categories like food and miscellaneous goods and services also contribute to Denver's higher overall cost, while transportation costs are roughly similar in both cities. Utilities are a bit more expensive in Dallas, but this does not close the overall gap.
Housing
Both buying and renting are considerably more expensive in Denver. The median home price in Denver is significantly higher, and median one-bedroom rents follow a similar trend. Dallas generally offers more expansive housing options, often with larger lots, reflecting its flatter, sprawling geography. When considering ownership, property taxes in Texas can be higher, which is an important factor to weigh against the lower purchase price in Dallas.
Taxes and everyday costs
Daily expenses show some variation. Texas has no state income tax, which can lead to more take-home pay compared to Colorado, where residents pay a moderate state income tax. Food costs are somewhat higher in Denver, as are healthcare and miscellaneous goods and services. Utilities, however, are a bit cheaper in Denver. Transportation costs, including fuel and vehicle maintenance, are quite similar for commuters in both cities.
Lifestyle trade-offs
The two metros offer distinct lifestyles. Dallas is known for its hot, humid summers and mild winters, with a generally flat landscape. Denver experiences four distinct seasons, including snowy winters and drier summers, with easy access to mountain recreation. Both cities are car-dependent, though Dallas has a slightly longer average commute. Dallas has a more traditional Southern feel, while Denver offers a high-altitude, outdoor-oriented culture.
Bottom line
Moving from Dallas to Denver would likely mean a significant increase in your household budget, primarily due to much higher housing costs. While some expenses like utilities might be slightly lower in Denver, and transportation costs are comparable, the absence of state income tax in Texas and lower prices for food and healthcare in Dallas contribute to a more affordable overall financial picture there. Your lifestyle preferences, especially regarding climate and outdoor access, will also play a role.
| Measure | Dallas, TX | Denver, CO |
|---|---|---|
| Overall cost of living (US avg = 100) | 105 | 128 |
| Housing index | 99 | 146 |
| Transportation index | 104 | 104 |
| Food index | 98 | 105 |
| Healthcare index | 102 | 108 |
| Utilities index | 105 | 98 |
| Misc index | 98 | 108 |
| Median home price | $358,000 | $548,000 |
| Median 1-bedroom rent | $1,450/mo | $1,950/mo |
| Average commute | 29 min | 28 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Denver home with the True Cost Calculator.