Texas · Population 143,789 · Updated March 2026
How far your income goes in McAllen
State-level tax rates that affect your costs
McAllen is significantly cheaper than the national average, making it an attractive option for budget-conscious individuals and families. With a cost index of 66 (where 100 equals the national median), McAllen residents can expect to pay median rent of $1,017/month while earning a median household income of $60,165/year.
The median home value in McAllen, TX is $173,800, with typical monthly owner costs around $996 including mortgage, insurance, and taxes. The median rent-to-income ratio of 20.3% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.
Texas has no state income tax, which can represent significant savings compared to high-tax states. Combined with a 6.25% sales tax rate and 1.6% effective property tax rate, the overall tax environment helps keep costs manageable in McAllen.
Common questions about living costs in McAllen
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