New Orleans vs Raleigh: cost of living compared
Raleigh is 9% more expensive than New Orleans overall. State income tax tops out around 4.25% in LA vs 4.5% in NC.
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, New Orleans offers a more affordable cost of living compared to Raleigh. This difference is largely driven by housing expenses, which are substantially lower in New Orleans for both buying and renting. While some other categories like utilities are higher in New Orleans, the significant savings on housing make it the more budget-friendly option when considering the total household spend.
Housing
Housing costs present a notable contrast, with New Orleans being considerably more affordable for both home purchases and rental properties. Median home prices are much lower, and a one-bedroom apartment also rents for less. New Orleans features a mix of historic homes, including shotgun houses and Creole cottages, often on smaller lots. Raleigh's housing market is more expensive, with a greater prevalence of newer construction and suburban developments.
Taxes and everyday costs
Daily expenses show some variation. State income tax rates are roughly similar between the two states. Transportation costs are slightly lower in New Orleans, while food expenses are comparable. Healthcare is somewhat more affordable in New Orleans, but utilities there are noticeably higher. Miscellaneous goods and services are slightly less expensive in New Orleans, balancing out some of the other differences.
Lifestyle trade-offs
New Orleans is known for its humid subtropical climate, flat terrain, and dense, historic neighborhoods with a vibrant cultural scene. Public transit options exist, but many residents rely on personal vehicles. Raleigh offers a similar humid subtropical climate but with more varied topography and a generally more suburban, spread-out feel. Commute times are roughly similar in both metros. New Orleans faces higher risks of hurricanes and flooding.
Bottom line
For households considering a move, New Orleans generally offers a more economical lifestyle, primarily due to its significantly lower housing costs. While some everyday expenses like utilities are higher, the substantial savings on shelter can make a considerable difference in a household budget. Raleigh, though still offering a reasonable cost of living compared to many major US cities, will likely entail higher housing expenditures.
| Measure | New Orleans, LA | Raleigh, NC |
|---|---|---|
| Overall cost of living (US avg = 100) | 92 | 100 |
| Housing index | 74 | 106 |
| Transportation index | 93 | 97 |
| Food index | 95 | 95 |
| Healthcare index | 92 | 95 |
| Utilities index | 108 | 98 |
| Misc index | 88 | 90 |
| Median home price | $248,000 | $388,000 |
| Median 1-bedroom rent | $1,200/mo | $1,500/mo |
| Average commute | 26 min | 27 min |
Compare any two metros with the free cost of living tool, or see the true monthly cost of a specific Raleigh home with the True Cost Calculator.