Muscle Shoals, AL

Very Low · 67

Alabama · Population 16,670 · Updated March 2026

$939
Median Rent / Month
$70,927
Median Income
$198,300
Median Home Value
$1,043
Owner Costs / Month

Affordability

How far your income goes in Muscle Shoals

15.9%
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

$11,268
Annual Rent
$3,546
State Income Tax
$813
Property Tax (est.)

Cost of Living Overview

Muscle Shoals is significantly cheaper than the national average, making it an attractive option for budget-conscious individuals and families. With a cost index of 67 (where 100 equals the national median), Muscle Shoals residents can expect to pay median rent of $939/month while earning a median household income of $70,927/year.

The median home value in Muscle Shoals, AL is $198,300, with typical monthly owner costs around $1,043 including mortgage, insurance, and taxes. The median rent-to-income ratio of 15.9% 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 Muscle Shoals.

Frequently Asked Questions

Common questions about living costs in Muscle Shoals

What is the cost of living in Muscle Shoals, AL?
The cost of living index in Muscle Shoals, AL is 67 (US average = 100). Median monthly rent is $939, median household income is $70,927/year, and the median home value is $198,300.
Is Muscle Shoals, AL affordable?
Yes, Muscle Shoals is more affordable than the national average with a cost index of 67. The rent-to-income ratio is 15.9%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Muscle Shoals, AL?
The median gross rent in Muscle Shoals, AL is $939 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $11,268.
What is the median household income in Muscle Shoals?
The median household income in Muscle Shoals, AL is $70,927 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%.