💰 Cost of Living in Albuquerque (2025 Breakdown)

Thinking about moving to Albuquerque? One of the first questions families ask is: “How much does it cost to live there?”

The good news: Albuquerque’s affordability is one of its biggest selling points. Compared to cities like Denver, Phoenix, or Austin, you’ll find housing, groceries, and day-to-day expenses much easier on your budget—without sacrificing lifestyle.

In this guide, we’ll break down exactly what you can expect to spend on housing, transportation, groceries, healthcare, and more in Albuquerque.

Why Albuquerque’s Cost of Living Stands Out

Albuquerque consistently ranks as one of the more affordable metro areas in the U.S.

• 📊 Overall cost of living: About 12% lower than the national average.

• 🏡 Housing costs: Roughly 30–40% cheaper than Denver, Austin, or Phoenix.

• 🌞 Quality of life: Affordable living paired with 310 days of sunshine and easy access to the outdoors.

This is a big reason why so many families and remote workers are relocating here in 2025.

Housing Costs in Albuquerque

Housing is where Albuquerque really shines in affordability.

• Median home price (2025): ~$325,000

• Average rent (2-bedroom apartment): ~$1,300/month

• Average rent (single-family home): ~$1,800/month

💡 Compare that to Denver (median home $550,000) or Austin ($500,000), and Albuquerque’s affordability becomes clear.

🏘 Neighborhood Snapshot (2025)

• North East Heights

  • Home prices: $350k–$600k

  • Rent: $1,500+ (2-bed)

  • Lifestyle: Family-friendly, good schools, suburban feel

• Nob Hill

  • Home prices: $275k–$450k

  • Rent: $1,300–$1,600

  • Lifestyle: Walkable, trendy, artsy, lots of local shops & restaurants

• Four Hills Village

  • Home prices: $400k–$650k

  • Rent: $1,700+

  • Lifestyle: Quiet, large homes, golf course community

• North Valley

  • Home prices: $450k–$700k

  • Rent: $1,800+

  • Lifestyle: Semi-rural, spacious lots, greenery, close to river trails

• Sandia Heights (optional addition for variety)

  • Home prices: $500k–$900k

  • Rent: $1,900+

  • Lifestyle: Mountain views, hiking access, upscale custom homes

👉 For more detail on neighborhoods, check out our Best Neighborhoods in Albuquerque Guide.

Utilities & Transportation Costs

Utilities

Most families spend between $150–$200/month on utilities (electric, gas, water, trash). Internet runs about $70/month for high-speed.

Transportation

• Gas prices in Albuquerque are close to the national average.

• Most residents drive (average commute: 22 minutes).

• Public transportation (ABQ Ride bus system) is available, but limited.

💡 If you’re coming from a bigger metro with long commutes, you’ll likely save both money and time here.

Groceries & Dining

Groceries in Albuquerque are very close to the U.S. average, but where ABQ really shines is in dining out affordably.

• A gallon of milk: ~$3.80

• A dozen eggs: ~$2.90

• Loaf of bread: ~$3.50

• Dinner for two at a mid-range restaurant: ~$55

• Craft beer at a local brewery: ~$6

🍴 Plus, Albuquerque is famous for its New Mexican cuisine—from green chile cheeseburgers to red chile enchiladas.

Healthcare & Childcare

Healthcare

• Healthcare costs are about 4% below the national average.

• Major providers: Presbyterian, Lovelace, and UNM Hospital.

Childcare

• Daycare: ~$900–$1,100/month per child.

• Nanny/babysitting: ~$15–$20/hour.

💡 Families moving from major metros like LA or New York often find childcare costs here significantly lower.

Hidden Costs to Consider

While Albuquerque is affordable, here are a few things to keep in mind:

• Property Taxes: Around 1.0%—lower than the U.S. average.

• Auto Insurance: Slightly above national average.

• Climate Adjustment: Dry weather means higher cooling bills in summer.

FAQs About Albuquerque’s Cost of Living

Is Albuquerque cheaper than Phoenix or Denver?
Yes—housing alone is significantly cheaper, making overall living costs lower.

Can you live comfortably in Albuquerque on $60,000 a year?
Yes—many families do, especially with dual incomes.

Is Albuquerque good for retirees?
Absolutely. Affordable housing, healthcare access, and mild climate make it attractive.

Final Thoughts — Is Albuquerque Affordable?

The answer is a clear yes. Whether you’re a young family, a retiree, or a remote worker, Albuquerque offers a mix of affordable living, quality of life, and cultural richness that’s hard to beat.

If you’re coming from a high-cost city, you’ll feel the difference immediately—not just in your wallet, but in your overall lifestyle.

Ready to Take the Next Step?

✅ Download our Free Relocation Guide for a full cost breakdown + neighborhood insights.