3 Best and 5 Worst Texas Cities To Live In Financially
Written by
Rafaela Stalbalk Klose
Edited by
Amber Barkley
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Texas is an interesting mix of affordability and opportunity. With no state income tax, a generally low cost of living and plenty of sunshine, it sounds pretty attractive. But the financial reality can be very different, depending on the city.
Some cities are thriving with strong job markets and high wages, while others are dealing with poverty and economic struggles. When deciding where to live, it’s all about weighing your career options, living costs and long-term financial goals.
Here’s a look at which Texas cities are likely to offer you financial stability — and which ones aren’t.
Best Cities for Financial Stability
People living in these three cities tend to earn higher average incomes, so they’re worth looking into for financial stability if you get the right job.
Austin
- Median Household Income: $91,501
- Poverty Rate: 12%
- Average Home Value: $522,717
As the state capital and a major tech hub, Austin ranks among Texas’ most financially secure cities. Nicknamed “Silicon Hills,” it attracts companies like Tesla, Apple and Amazon, offering well-paid jobs in technology and innovation.
Though housing costs are steep compared to other cities, the strong job market and solid incomes help offset expenses, making the city an attractive choice for people looking for financial stability.
Plano
- Median Household Income: $108,649
- Poverty Rate: 7.1%
- Average Home Value: $521,260
This upscale suburb of Dallas boasts some of the highest median incomes in Texas, thanks to major corporate headquarters like Toyota, JPMorgan Chase and Pizza Hut calling it home.
While the cost of living is higher than in other Texas cities, the combination of great public schools and solid wages makes Plano a top choice for families looking to secure their financial future.
Fort Worth
- Median Household Income: $76,602
- Poverty Rate: 12.9%
- Average Home Value: $301,620
Fort Worth may have started as a cattle town, but it’s grown into a dynamic city with strong sectors in aerospace, healthcare and finance. It’s still more affordable than Dallas, so if you’re looking for an urban vibe without breaking the bank, this is a great option.
Plus, with steady job growth, it’s got that perfect balance of opportunity and livability.
Worst Cities for Financial Stability
Lower wages and higher living costs can make these five cities difficult to feel financially stable in.
El Paso
- Median Household Income: $58,734
- Poverty Rate: 18.4%
- Average Home Value: $226,893
Despite its low cost of living, El Paso struggles with high poverty rates and below-average wages. Many residents face financial hardship, as limited high-paying job opportunities make it difficult to afford basic necessities, even with lower housing costs.
Corpus Christi
- Median Household Income: $66,325
- Poverty Rate: 17.5%
- Average Home Value: $218,512
While home prices in Corpus Christi are pretty affordable, the city has some financial hurdles. With its economy heavily relying on tourism and low-wage industries, a lot of families end up spending more than half their income just on housing.
Dallas
- Median Household Income: $67,760
- Poverty Rate: 17.2%
- Average Home Value: $311,280
The bustling mega city is known for its strong economy, diverse culture and international lifestyle. But while Dallas offers strong job opportunities in finance, tech and healthcare, rising housing costs and its high poverty rate reveal deep economic divides.
Middle-class families often find themselves squeezed by expenses, despite the city’s overall prosperity.
San Antonio
- Median Household Income: $62,917
- Poverty Rate: 17.1%
- Average Home Value: $252,434
San Antonio is known for its vibrant culture and affordable housing, but it’s also grappling with some serious financial challenges.
The city’s economy relies heavily on military and tourism jobs, which tend to pay low wages that don’t keep up with the rising cost of living. As a result, residents may be left juggling basic needs like rent, food and healthcare.
Houston
- Median Household Income: $62,894
- Poverty Rate: 19.7%
- Average Home Value: $267,854
As Texas’ largest city, Houston has a robust economy. A big, bustling city, Houston has a strong economy thanks to industries like energy, healthcare and aerospace.
But despite the opportunities, the cost of living is climbing, and many people are struggling to keep up. With rising housing prices and a significant number of low-paying jobs, it’s tough for a lot of Houstonians to make ends meet, even with all the city’s growth and prosperity.
Editor’s note: Household incomes and poverty rates are the most recent available data from the U.S. Census Bureau, and average home prices were sourced from Zillow. Data is accurate as of April 14, 2025.
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