Maryland · Population 17,522 · Updated March 2026
How far your income goes in Takoma Park
State-level tax rates that affect your costs
Takoma Park has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 148 (where 100 equals the national median), Takoma Park residents can expect to pay median rent of $1,388/month while earning a median household income of $97,872/year.
The median home value in Takoma Park, MD is $721,500, with typical monthly owner costs around $1,649 including mortgage, insurance, and taxes. The median rent-to-income ratio of 17.0% means housing is relatively affordable here — well below the 30% threshold that HUD considers cost-burdened.
Maryland has a moderate income tax rate of 5.75%. Combined with a 6.0% sales tax rate and 1.07% effective property tax rate, the overall tax environment is a factor in the total cost of living in Takoma Park.
Common questions about living costs in Takoma Park