Texas, including Houston, stands out as one of the few states in the U.S. without a state income tax. This financial advantage provides relief, allowing potential homebuyers in Houston to have more disposable income and making homeownership more accessible for residents.

Houston boasts the third-lowest living costs among the most populous U.S. metro areas, as per the C2ER Cost of Living Index 2023 Annual Average. Houston's living costs are 5.9 percent below the nationwide average and 29.2 percent below the average of the nation's most populous metropolitan areas.

Both Dallas and Houston have their distinct financial considerations, with Dallas leaning slightly more expensive due to housing and transportation costs. Despite these differences, both cities remain attractive options for those seeking a balance between affordability and vibrant urban living.

Houston not only boasts a lower cost of living compared to cities like Austin and Dallas but also features a thriving job market with abundant opportunities. The city is known for offering numerous jobs in the oil and gas industry, which stands as one of the major employment sectors in Houston.

The 10 most affordable neighborhoods in Houston are:

Northshore.
Belfort Park.
Hollister Manor.
OST-South Union.
South Park.
Spring Branch Central.
Westwood.
Lawndale-Wayside.