Arizona vs New Mexico: cost of living compared
Statewide price levels and incomes from BEA (2024); gas prices from EIA (weekly).
Is it cheaper to live in Arizona or New Mexico?
- Overall, New Mexico is 8.4% less expensive than Arizona (BEA, 2024).
- To keep the same standard of living, $75,000 in Arizona works out to about $68,700 in New Mexico, before taxes.
- Most of the difference is housing, which costs 31.1% less in New Mexico. Goods are 0.8% higher and other services 4.2% lower.
- Utility prices (electricity, gas, water) are 15.6% lower in New Mexico.
- After adjusting for local prices, personal income per person is $51,121 in New Mexico and $52,890 in Arizona (3.3% lower in New Mexico; BEA, 2024, in 2017 dollars).
- Inside each state, metro price levels run from 87.7 in Farmington, NM to 98.8 in Santa Fe, NM (New Mexico) and from 89.2 in Sierra Vista, AZ to 103.3 in Phoenix, AZ (Arizona), US = 100.
- The gap has widened since 2019, when New Mexico was 4.9% less expensive than Arizona.
derived Calculated from BEA Regional Price Parities and real personal income by state. Statewide averages mix cities and rural areas; taxes are not included. How we calculate.
Category by category
Both states against the US average (100).
Housing drives the gap: 31.1% lower in New Mexico than in Arizona
Price level by category, 2024. US average = 100.
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by metropolitan area, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| All items | 100.7 | 92.2 |
| Goods | 95.4 | 96.1 |
| Housing (rents) | 106.8 | 73.6 |
| Utilities | 92.3 | 77.9 |
| Other services | 102.8 | 98.5 |
| Category | Arizona | New Mexico | New Mexico vs Arizona |
|---|---|---|---|
| All items | 100.7 | 92.2 | −8.4% |
| Goods | 95.4 | 96.1 | +0.8% |
| Housing (rents) | 106.8 | 73.6 | −31.1% |
| Utilities | 92.3 | 77.9 | −15.6% |
| Other services | 102.8 | 98.5 | −4.2% |
| Income per person, adjusted for prices | $52,890 | $51,121 | −3.3% |
| Regular gas, week of October 19, 2026* | $5.56 | $3.78 | −31.9% |
| Salary to match $75,000 in Arizona | $75,000 | $68,700 | −8.4% |
Index values: BEA, 2024, US = 100. Income: BEA real personal income per person, 2017 dollars. Gas: EIA weekly retail prices. *West Coast region average (EIA has no separate Arizona figure). *Gulf Coast region average (EIA has no separate New Mexico figure).
Cheapest and most expensive places in each state
Arizona
- Sierra Vista, AZ 89.2
- Yuma, AZ 92.7
- Lake Havasu City, AZ 94.1
- Tucson, AZ 96.9
- Prescott Valley, AZ 98.3
- Flagstaff, AZ 100.3
- Phoenix, AZ 103.3
New Mexico
- Farmington, NM 87.7
- Las Cruces, NM 90.2
- Albuquerque, NM 95.5
- Santa Fe, NM 98.8
Metro areas ordered from cheapest to most expensive. BEA, 2024, US = 100.
How the gap has changed since 2008
The price gap between Arizona and New Mexico has been fairly stable since 2008
Overall price level each year, 2008–2024. US average = 100.
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| 2008 | 102.5 | 95.1 |
| 2009 | 102.9 | 96.0 |
| 2010 | 100.6 | 94.5 |
| 2011 | 99.1 | 97.1 |
| 2012 | 98.1 | 96.5 |
| 2013 | 98.4 | 95.6 |
| 2014 | 97.9 | 95.5 |
| 2015 | 97.9 | 95.4 |
| 2016 | 98.6 | 94.5 |
| 2017 | 97.9 | 95.7 |
| 2018 | 97.4 | 91.7 |
| 2019 | 97.8 | 93.0 |
| 2020 | 99.2 | 91.8 |
| 2021 | 96.6 | 89.7 |
| 2022 | 100.0 | 90.9 |
| 2023 | 100.7 | 91.0 |
| 2024 | 100.7 | 92.2 |
Goods
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| 2008 | 103.0 | 97.7 |
| 2009 | 106.4 | 100.6 |
| 2010 | 100.1 | 97.7 |
| 2011 | 99.0 | 98.7 |
| 2012 | 98.3 | 99.1 |
| 2013 | 97.6 | 97.6 |
| 2014 | 97.7 | 97.1 |
| 2015 | 98.5 | 98.4 |
| 2016 | 97.8 | 98.0 |
| 2017 | 97.2 | 100.8 |
| 2018 | 95.9 | 96.2 |
| 2019 | 96.0 | 99.3 |
| 2020 | 100.1 | 97.0 |
| 2021 | 95.1 | 96.8 |
| 2022 | 98.1 | 97.7 |
| 2023 | 97.9 | 97.4 |
| 2024 | 95.4 | 96.1 |
Housing (rents)
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| 2008 | 103.3 | 81.1 |
| 2009 | 99.9 | 79.5 |
| 2010 | 96.9 | 78.1 |
| 2011 | 94.8 | 83.5 |
| 2012 | 95.2 | 82.2 |
| 2013 | 93.6 | 81.3 |
| 2014 | 92.7 | 80.3 |
| 2015 | 93.8 | 78.8 |
| 2016 | 92.4 | 79.3 |
| 2017 | 93.5 | 77.9 |
| 2018 | 94.3 | 75.1 |
| 2019 | 93.6 | 74.0 |
| 2020 | 97.9 | 75.4 |
| 2021 | 102.3 | 72.9 |
| 2022 | 106.2 | 75.7 |
| 2023 | 108.6 | 75.3 |
| 2024 | 106.8 | 73.6 |
Utilities
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| 2008 | 96.4 | 82.6 |
| 2009 | 96.3 | 80.9 |
| 2010 | 104.3 | 90.5 |
| 2011 | 104.3 | 93.3 |
| 2012 | 100.5 | 94.2 |
| 2013 | 99.0 | 93.3 |
| 2014 | 100.3 | 98.1 |
| 2015 | 101.0 | 95.3 |
| 2016 | 97.5 | 92.1 |
| 2017 | 99.0 | 92.4 |
| 2018 | 99.8 | 82.0 |
| 2019 | 92.6 | 80.8 |
| 2020 | 90.0 | 83.9 |
| 2021 | 87.8 | 81.7 |
| 2022 | 87.2 | 83.4 |
| 2023 | 83.3 | 77.9 |
| 2024 | 92.3 | 77.9 |
Other services
- Arizona
- New Mexico
Source: U.S. Bureau of Economic Analysis, Regional Price Parities by state, 2024 (US = 100).
Show the numbers
| Arizona | New Mexico | |
|---|---|---|
| 2008 | 102.3 | 99.8 |
| 2009 | 102.1 | 100.9 |
| 2010 | 102.1 | 99.4 |
| 2011 | 100.5 | 101.9 |
| 2012 | 98.8 | 100.4 |
| 2013 | 100.9 | 100.1 |
| 2014 | 99.9 | 100.3 |
| 2015 | 98.7 | 99.8 |
| 2016 | 101.5 | 98.0 |
| 2017 | 99.9 | 99.5 |
| 2018 | 99.4 | 95.5 |
| 2019 | 100.8 | 97.3 |
| 2020 | 99.7 | 95.7 |
| 2021 | 96.4 | 91.8 |
| 2022 | 100.1 | 92.4 |
| 2023 | 101.2 | 93.8 |
| 2024 | 102.8 | 98.5 |
What incomes buy in each state
Income per person after adjusting for prices: $51,121 in New Mexico, $52,890 in Arizona
Real personal income per person, constant 2017 dollars (adjusted for each state's price level and for inflation).
- Arizona
- New Mexico
- United States
Source: U.S. Bureau of Economic Analysis, real personal income by state (SARPI), 2008–2024.
Show the numbers
| Arizona | New Mexico | United States | |
|---|---|---|---|
| 2008 | $38,966 | $39,595 | $45,816 |
| 2009 | $36,634 | $38,606 | $44,204 |
| 2010 | $37,162 | $39,400 | $44,808 |
| 2011 | $38,403 | $38,980 | $45,957 |
| 2012 | $39,284 | $39,192 | $46,796 |
| 2013 | $39,204 | $38,127 | $46,358 |
| 2014 | $40,281 | $39,825 | $47,661 |
| 2015 | $41,960 | $40,741 | $49,396 |
| 2016 | $42,568 | $41,530 | $49,828 |
| 2017 | $44,279 | $41,044 | $51,006 |
| 2018 | $45,675 | $43,899 | $52,242 |
| 2019 | $47,236 | $45,000 | $53,683 |
| 2020 | $50,292 | $48,584 | $56,514 |
| 2021 | $54,424 | $52,110 | $59,365 |
| 2022 | $50,935 | $50,375 | $57,104 |
| 2023 | $51,960 | $50,620 | $58,088 |
| 2024 | $52,890 | $51,121 | $59,195 |
More
- Cost of living in Arizona
- Cost of living in New Mexico
- Reverse: moving from New Mexico to Arizona
- All states ranked
Related state comparisons
What this comparison leaves out
- Taxes. State income, sales and property taxes differ a lot between states and are not included.
- Where you live inside the state. Statewide figures average cities and rural areas; the metro lists above show the spread.
- Your own spending mix. The default uses an average household. Use the housing slider if housing is a bigger share of your budget.
- Timing. BEA price levels and incomes are for 2024; gas prices are weekly.