State Comparison
Texas vs North Carolina
Side-by-side comparison of 16 financial metrics using documented public datasets and estimates, with sources listed below.
Overall Score
Cost of Living
Housing
Taxes
Income & Employment
Business
Insurance & Living
Key Takeaways
- 1
Texas leads in 8 of 16 financial metrics, making it the more favorable state overall.
- 2
Housing: Median home prices are $303,000 in Texas vs $340,000 in North Carolina — a $37,000 difference.
- 3
Taxes: Texas has no income tax while North Carolina has a 3.99% top rate. Property tax rates are 1.4% vs 0.66%.
- 4
Cost of Living: Texas's index is 90.7 and North Carolina's is 96.6 (national average = 100).
Run the Numbers
Use our free calculators with real Texas and North Carolina data to model your specific scenario.
Frequently Asked Questions
Is Texas or North Carolina more affordable?
Texas has a lower cost of living index (90.7) compared to North Carolina (96.6), where 100 is the national average. However, affordability depends on your specific situation — compare housing, taxes, and income together for a complete picture.
Which state has lower taxes — Texas or North Carolina?
It depends on what you earn, spend, and own — the three rates below apply to different bases (income, purchases, and home value), so they cannot be added into a single burden figure. On the headline rates alone, Texas is lower on more of them. Texas has no income tax, 6.25% state sales tax, and a 1.4% effective property tax rate. North Carolina has a 3.99% top income tax, 4.75% state sales tax, and a 0.66% effective property tax rate.
What are housing costs in Texas vs North Carolina?
The typical home value in Texas is $303,000 compared to $340,000 in North Carolina (Zillow Home Value Index, June 2026). For renters, HUD's FY2026 Fair Market Rent for a 2-bedroom unit — the 40th-percentile gross rent, not an average — is $1,557/month in Texas vs $1,410/month in North Carolina.
Which state is better for starting a business — Texas or North Carolina?
LLC filing costs are $300 in Texas vs $125 in North Carolina, with annual fees of $0 and $200 respectively. Texas's lack of income tax compared to North Carolina's 3.99% rate may also factor into your decision.
Should I move from Texas to North Carolina?
It depends on your priorities. Texas wins in 8 of 16 metrics we compared. Use our free calculators to model your specific financial scenario — including salary, property tax, and cost of living for each state.
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Related Comparisons
Comparing Texas and North Carolina
When deciding between living in Texas or North Carolina, the financial picture goes beyond just one metric. This comparison analyzes 16 key financial indicators drawn from the U.S. Census Bureau (American Community Survey), the Tax Foundation, HUD Fair Market Rents, Zillow's Home Value Index, the NAIC's insurance databases, the U.S. Department of Labor, C2ER's Cost of Living Index, and state agencies, to give you a comprehensive overview.
Texas (TX) has a median household income of $79,721 with a cost of living index of 90.7. North Carolina (NC) has a median household income of $73,958 with a cost of living index of 96.6. Income figures are Census ACS 1-year estimates (table B19013, 2024); the cost-of-living index is C2ER's Q1 2026 survey via MERIC, where 100 is the national average of surveyed cities.
These numbers are estimates. Individual circumstances vary based on location within each state, family size, profession, and lifestyle. Use our free Texas calculator or North Carolina calculator to model your specific financial scenario.
Sources per metric are named in each row's note above. Last reviewed . Some values are estimates; consult a qualified professional for financial advice.