Spencer, IA

Very Low · 58

Iowa · Population 11,393 · Updated March 2026

$795
Median Rent / Month
$57,068
Median Income
$178,300
Median Home Value
$870
Owner Costs / Month

Affordability

How far your income goes in Spencer

16.7%
Rent-to-Income Ratio
Affordable
Rent takes less than 25% of median income — considered affordable by HUD standards.

Tax Burden in Iowa

State-level tax rates that affect your costs

5.7%
Income Tax (Top Rate)
6.0%
Sales Tax
1.57%
Property Tax Rate

Estimated Annual Costs

$9,540
Annual Rent
$3,253
State Income Tax
$2,799
Property Tax (est.)

Cost of Living Overview

Spencer is significantly cheaper than the national average, making it an attractive option for budget-conscious individuals and families. With a cost index of 58 (where 100 equals the national median), Spencer residents can expect to pay median rent of $795/month while earning a median household income of $57,068/year.

The median home value in Spencer, IA is $178,300, with typical monthly owner costs around $870 including mortgage, insurance, and taxes. The median rent-to-income ratio of 16.7% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.

Iowa has a moderate income tax rate of 5.7%. Combined with a 6.0% sales tax rate and 1.57% effective property tax rate, the overall tax environment is a factor in the total cost of living in Spencer.

Frequently Asked Questions

Common questions about living costs in Spencer

What is the cost of living in Spencer, IA?
The cost of living index in Spencer, IA is 58 (US average = 100). Median monthly rent is $795, median household income is $57,068/year, and the median home value is $178,300.
Is Spencer, IA affordable?
Yes, Spencer is more affordable than the national average with a cost index of 58. The rent-to-income ratio is 16.7%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Spencer, IA?
The median gross rent in Spencer, IA is $795 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $9,540.
What is the median household income in Spencer?
The median household income in Spencer, IA is $57,068 per year. This compares to the national median of approximately $80,000.
What are the taxes like in Iowa?
Iowa has a top income tax rate of 5.7%, a sales tax of 6.0%, and an effective property tax rate of 1.57%.