Cost of Living: Birmingham vs Fayetteville (2026)

Birmingham has a 2% lower overall cost of living than Fayetteville as of Q1 2026. A one-bedroom apartment runs $1,200/mo in Birmingham vs $1,300/mo in Fayetteville โ€” a 8% difference.

  • Birmingham is 2% cheaper overall (COL index: 84 vs 86)
  • 1BR rent: $1,200/mo in Birmingham vs $1,300/mo โ€” 8% savings
  • Higher median household income: Fayetteville ($55,000/yr vs $49,000/yr)
  • Median home price: $225,000 in Birmingham vs $280,000 โ€” 20% difference
Category
Birmingham
Alabama
Fayetteville
Arkansas
๐Ÿ  HousingQ1 2026
Studio rent/mo$950Best$1,050
1BR rent/mo$1,200Best$1,300
2BR rent/mo$1,550Best$1,700
Median home price$225KBest$280K
๐Ÿ›’ Food & GroceriesQ1 2026
Groceries index (100 = US avg)94Best95
Budget meal (1 person)$12Best$12
Mid-range dinner (2)$48Best$50
๐ŸšŒ TransportationQ1 2026
Monthly transit pass/mo$40Best$42
Gas price/gal$3.00Best$3.00
Car insurance/mo$152$148Best
โšก UtilitiesQ1 2026
Monthly utilities bundle/mo$175$162Best
Internet/mo$58Best$60
๐Ÿ’ฐ Income & TaxesQ1 2026
Median household income/yr$49K$55KBest
State income tax%5.0%4.4%Best
Sales tax (combined)%9.2%9.0%Best
๐ŸŽฌ LeisureQ1 2026
Movie ticket$13.00Best$14.00
Gym membership/mo$33Best$35
Beer at restaurant$5.00Best$5.50
๐Ÿ“Š OverviewQ1 2026
Overall COL index (100 = US avg)84Best86
Walk score / 10028Best22

Frequently asked questions

Is Birmingham cheaper than Fayetteville?

Yes. Birmingham is 2% cheaper than Fayetteville based on overall cost of living indices (84 vs 86, where 100 = US average).

What is the average rent in Birmingham vs Fayetteville?

As of Q1 2026, the median 1-bedroom rent in Birmingham is $1,200/month and in Fayetteville is $1,300/month. Birmingham is cheaper by 8%.

How much do I need to earn in Fayetteville to match a $75,000 salary in Birmingham?

To maintain a similar lifestyle, you would need approximately $76,786/year in Fayetteville to match a $75,000 salary in Birmingham. This estimate is based on overall cost of living indices and does not account for individual spending patterns.

Which city has lower taxes โ€” Birmingham or Fayetteville?

Fayetteville has the lower state income tax rate at 4.4% vs 5%. The difference is 0.6 percentage points. Note that sales tax and local taxes also vary โ€” see the full breakdown in the table above.

Is it worth moving from Birmingham to Fayetteville?

It depends on your priorities. Birmingham offers lower overall costs, but both cities have different job markets, weather, and lifestyle trade-offs. Use the comparison table above to evaluate rent, groceries, transportation, and income potential side by side based on your specific budget.

Data sourced from Zillow, BLS, Numbeo, Tax Foundation, and US Census ACS ยท Updated Q1 2026 ยท For general guidance only

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