Cost of Living: Dearborn, MI vs Allen, TX (2026)

Dearborn

Michigan
79
VS

Allen

Texas
137

Dearborn is 58% cheaper than Allen.

$1,264/mo ↓ 33%
Median Rent
$1,877/mo ↑ 48%
$65,192/yr ↓ 50%
Median Income
$129,130/yr ↑ 98%
$205,900 ↓ 52%
Home Value
$429,900 ↑ 109%
$1,174/mo ↓ 44%
Owner Costs
$2,083/mo ↑ 77%
107,846
Population
107,684

Tax Comparison

4.25%
Income Tax
0%
6.0%
Sales Tax
6.25%
1.38%
Property Tax
1.6%

Affordability

23.3%
rent-to-income
Affordability
17.4%
rent-to-income

Detailed Comparison

When comparing Dearborn, MI and Allen, TX, the overall cost of living indices are 79 and 137 respectively (national median = 100). Rent is $613/month cheaper in Dearborn, saving renters about $7,356/year.

Median household income is $63,938/year higher in Allen. Home values also differ significantly — the median in Dearborn is $205,900 compared to $429,900 in Allen.

Texas has no state income tax, giving Allen residents a significant tax advantage over Michigan's 4.25% rate.

Frequently Asked Questions

Dearborn vs Allen — common questions

Is Dearborn or Allen cheaper to live in?
Based on our cost index, Dearborn is cheaper to live in with an index of 79 compared to 137 (US average = 100).
What is the rent difference between Dearborn and Allen?
Median rent in Dearborn is $1,264/month and in Allen it's $1,877/month — a difference of $613/month.
Which city has higher income, Dearborn or Allen?
Median household income is $65,192 in Dearborn and $129,130 in Allen. Median household income is $63,938/year higher in Allen.
How do taxes compare between Michigan and Texas?
Michigan has 4.25% income tax, 6.0% sales tax, and 1.38% property tax. Texas has 0% income tax, 6.25% sales tax, and 1.6% property tax.
Should I move to Dearborn or Allen?
It depends on your priorities. Dearborn has a cost index of 79 with median rent of $1,264/mo, while Allen has a cost index of 137 with rent of $1,877/mo. Consider income potential, tax burden, and lifestyle preferences alongside raw cost data.
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