AUSTIN (KXAN) — It's no surprise to anyone living in Texas that the Lone Star State has experienced a massive population surge in recent years, coupled with more companies and businesses relocating their operations down south. But when it comes to affordability, how do two of Texas' (and the country's) most populous cities — Austin and Houston — compare?
Real estate experts at Redfin compared the two Texas cities, centering their analysis around housing market prices, costs of living, job markets and each cities' food and culture scenes.
As Austin has become a tech hub in recent years, that employee draw has helped contribute to heightened housing demand levels and elevated costs. Redfin's home cost analysis found the median sale price for an Austin home lands around $540,000, with more expensive options in the Westlake Hills and Zilker neighborhoods and more affordable alternatives in metro suburbs like Kyle and Buda.
Looking at rent, Redfin estimated the average rental cost is around $1,397 a month for a one-bedroom apartment, although more expensive rental rates are found in neighborhoods like The Domain and downtown.
Down in Houston, Redfin experts noted a more affordable and diverse array of housing available at a wider range of cost points. The median sale price for a Houston home is reported at approximately $348,000, noting neighborhoods like River Oaks and The Heights have pricier sales prices compared to Houston-area communities like Pearland and Cypress.
In similar fashion, Houston also has cheaper rent, on average, compared to the Texas capital. Redfin estimates found the average one-bedroom rental cost lands around $1,245 a month.
When evaluating cost of living, analysts considered a host of factors, including utilities, groceries, transportation, healthcare and lifestyle.
For lifestyle and groceries, experts said Austin saw cheaper prices compared to Houston. The Texas capital's groceries cost about 3% less in Houston due to the city's "smaller population and localized demand" contributing to decreased expenses. With Houston, Redfin said the nation's fourth largest city's proximity to food suppliers and its more robust transportation networks helped keep prices at a more competitive level.
On the lifestyle front, Austin reported 12% cheaper expenses than Houston. While both Austin and Houston have plenty of music, arts and food options for residents and visitors alike, Redfin's deep dive found Houston's cultural aspects tend to come in at a higher cost.
Looking toward transportation, both cities had comparable expenses. Austin's booming population and traffic woes add to the city's commuting costs, while Houston's built out highway system and supplementary infrastructure helps to alleviate some of those expenses.
With utilities and healthcare, Austin edges slightly ahead with more expensive price points. Utilities are reportedly 4% higher in Austin than in Houston, while Austin's healthcare options are 2% more expensive, in part due to Houston having a premier medical facilities and specialized care system.
In Austin, barbecue and Tex-Mex options reign among the city's culinary network, coupled with mom and pop shops a la food trucks. Comparatively, Houston is found to have one of the most diverse array of cuisines and dishes available in the U.S., renowned for its fusion cuisine and global offerings.
(For personal reasons, I'm thankful Redfin didn't compare the taco offerings in both cities. I'm from New York, so I'm just happy to be here, where taco offerings extend beyond a fast food chain's drive-thru window.)
On the art and music front, street artwork, galleries, live music venues and music-centered events like South by Southwest and the Austin City Limits Music Festival are signature components of Austin's entertainment scene. In Houston, the Houston Livestock Show and Rodeo is a staple for Texas culture — one end of an entertainment spectrum, while the other includes the city's museum and theater districts.
When it comes to sports, Austin has embraced its college scene through the likes of the Texas Longhorns program. The additions of Austin FC and Q2 Stadium have brought professional sports to the city, which is already a staple in Houston.
Houston has sports teams in every major league, including The Astros in Major League Baseball, the Texans in the National Football League, the Rockets in the National Basketball Association and the Dynamos in the Major League Soccer and Dash in the National Women's Soccer League.
Redfin's full analysis is available online.
