Fairhope, AL

Above Avg · 115

Alabama · Population 23,360 · Updated March 2026

$1,637
Median Rent / Month
$86,509
Median Income
$406,500
Median Home Value
$1,348
Owner Costs / Month

Affordability

How far your income goes in Fairhope

22.7%
Rent-to-Income Ratio
Affordable
Rent takes less than 25% of median income — considered affordable by HUD standards.

Tax Burden in Alabama

State-level tax rates that affect your costs

5.0%
Income Tax (Top Rate)
4.0%
Sales Tax
0.41%
Property Tax Rate

Estimated Annual Costs

$19,644
Annual Rent
$4,325
State Income Tax
$1,667
Property Tax (est.)

Cost of Living Overview

Fairhope is more expensive than the national average. Higher housing costs are typically the primary driver. With a cost index of 115 (where 100 equals the national median), Fairhope residents can expect to pay median rent of $1,637/month while earning a median household income of $86,509/year.

The median home value in Fairhope, AL is $406,500, with typical monthly owner costs around $1,348 including mortgage, insurance, and taxes. The median rent-to-income ratio of 22.7% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.

Alabama has a moderate income tax rate of 5.0%. Combined with a 4.0% sales tax rate and 0.41% effective property tax rate, the overall tax environment is a factor in the total cost of living in Fairhope.

Frequently Asked Questions

Common questions about living costs in Fairhope

What is the cost of living in Fairhope, AL?
The cost of living index in Fairhope, AL is 115 (US average = 100). Median monthly rent is $1,637, median household income is $86,509/year, and the median home value is $406,500.
Is Fairhope, AL affordable?
No, Fairhope is more expensive than the national average with a cost index of 115. The rent-to-income ratio is 22.7%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Fairhope, AL?
The median gross rent in Fairhope, AL is $1,637 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $19,644.
What is the median household income in Fairhope?
The median household income in Fairhope, AL is $86,509 per year. This compares to the national median of approximately $80,000.
What are the taxes like in Alabama?
Alabama has a top income tax rate of 5.0%, a sales tax of 4.0%, and an effective property tax rate of 0.41%.