Indiana · Population 70,650 · Updated March 2026
How far your income goes in Lafayette
State-level tax rates that affect your costs
Lafayette is significantly cheaper than the national average, making it an attractive option for budget-conscious individuals and families. With a cost index of 64 (where 100 equals the national median), Lafayette residents can expect to pay median rent of $1,039/month while earning a median household income of $52,946/year.
The median home value in Lafayette, IN is $157,600, with typical monthly owner costs around $988 including mortgage, insurance, and taxes. The median rent-to-income ratio of 23.5% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.
Indiana has a moderate income tax rate of 3.05%. Combined with a 7.0% sales tax rate and 0.83% effective property tax rate, the overall tax environment is a factor in the total cost of living in Lafayette.
Common questions about living costs in Lafayette