Palm Desert, CA

Very High · 133

California · Population 51,551 · Updated March 2026

$1,717
Median Rent / Month
$79,508
Median Income
$491,600
Median Home Value
$1,681
Owner Costs / Month

Affordability

How far your income goes in Palm Desert

25.9%
Rent-to-Income Ratio
Moderate
Rent takes 25-35% of median income — moderate affordability.

Tax Burden in California

State-level tax rates that affect your costs

13.3%
Income Tax (Top Rate)
7.25%
Sales Tax
0.71%
Property Tax Rate

Estimated Annual Costs

$20,604
Annual Rent
$10,575
State Income Tax
$3,490
Property Tax (est.)

Cost of Living Overview

Palm Desert has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 133 (where 100 equals the national median), Palm Desert residents can expect to pay median rent of $1,717/month while earning a median household income of $79,508/year.

The median home value in Palm Desert, CA is $491,600, with typical monthly owner costs around $1,681 including mortgage, insurance, and taxes. With a rent-to-income ratio of 25.9%, Palm Desert falls within the generally affordable range, though it's approaching the 30% burden threshold.

California's top income tax rate of 13.3% is among the highest in the nation, adding to the overall cost burden. Combined with a 7.25% sales tax rate and 0.71% effective property tax rate, the overall tax environment is a factor in the total cost of living in Palm Desert.

Frequently Asked Questions

Common questions about living costs in Palm Desert

What is the cost of living in Palm Desert, CA?
The cost of living index in Palm Desert, CA is 133 (US average = 100). Median monthly rent is $1,717, median household income is $79,508/year, and the median home value is $491,600.
Is Palm Desert, CA affordable?
No, Palm Desert is more expensive than the national average with a cost index of 133. The rent-to-income ratio is 25.9%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Palm Desert, CA?
The median gross rent in Palm Desert, CA is $1,717 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $20,604.
What is the median household income in Palm Desert?
The median household income in Palm Desert, CA is $79,508 per year. This compares to the national median of approximately $80,000.
What are the taxes like in California?
California has a top income tax rate of 13.3%, a sales tax of 7.25%, and an effective property tax rate of 0.71%.