Los Angeles vs New Orleans: cost of living compared

New Orleans is 47% cheaper than Los Angeles overall. State income tax tops out around 4.25% in LA vs 9.3% in CA.

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

Moving from Los Angeles to New Orleans generally means a significant reduction in overall expenses. The cost of living in Los Angeles is substantially higher than the national average, while New Orleans sits below it. This difference is largely driven by housing costs, which are dramatically more expensive in Los Angeles, creating a much larger financial commitment for residents there compared to New Orleans.

Housing

Housing presents the most striking cost difference. Both buying a home and renting a one-bedroom apartment are considerably more expensive in Los Angeles. New Orleans offers much more accessible housing prices, whether purchasing a historic home or renting. Property taxes and insurance costs can vary, but the initial price of housing stock in Los Angeles, often characterized by single-family homes and dense urban living, is a much greater barrier.

Taxes and everyday costs

Daily expenses also show a clear pattern. Los Angeles residents face higher costs for transportation, food, healthcare, and utilities. State income taxes are also noticeably higher in California. This means that nearly every aspect of routine spending, from grocery shopping to doctor visits and getting around, will be more budget-friendly in New Orleans, contributing to a lower overall monthly outlay.

Lifestyle trade-offs

Beyond costs, the metros offer distinct lifestyles. Los Angeles is known for its sprawling urban landscape, extensive freeways, and a generally faster pace, with a Mediterranean climate. New Orleans, by contrast, is more compact, walkable in many areas, and has a humid subtropical climate with a slower, more relaxed rhythm. Commute times are also typically shorter in New Orleans, impacting daily routines.

Bottom line

For households considering a move, the financial implications are substantial. Relocating from Los Angeles to New Orleans would likely free up a considerable portion of a household budget, primarily due to the vast difference in housing expenses. While both cities offer unique cultural experiences, New Orleans presents a much more affordable environment across nearly all spending categories, allowing for a different financial outlook.

MeasureLos Angeles, CANew Orleans, LA
Overall cost of living (US avg = 100)17592
Housing index20174
Transportation index12993
Food index11295
Healthcare index11892
Utilities index128108
Misc index11888
Median home price$795,000$248,000
Median 1-bedroom rent$2,400/mo$1,200/mo
Average commute34 min26 min

Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific New Orleans home with the True Cost Calculator.

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