Cost of Living in Fairbanks, AK

Population 32,242 · Alaska · Data vintage 2023

95
Cost Index
(100 = US avg)
Page updated: · Data vintage: 2023 ACS 5-Year
Sources: Census ACS·BLS·NOAA·EPA·Zillow · Methodology

Fairbanks's economy is tied closely to the extraction industries that dominate much of Alaska. Median household incomes of $72,077 run at or above national figures despite the small population — a direct signal of the wage premium that mining, oil, and gas employers pay. Home values of $256,000 keep the overall cost equation favorable.

Cost Overview

Housing 84
Rent 112

Scale: 100 = US national average. Green < 90, Red > 110.

About the Cost of Living in Fairbanks

The median home value in Fairbanks is $255,700 — 16% below the national median of $305,000. Median rent runs $1,470/month, 12% higher than the national median of $1,314/month. The median household income of $72,077/year is 3% lower than the US median of $74,580. The local unemployment rate is 5.8%, above the national average of 4.8%. Alaska charges no state income tax, a meaningful advantage for take-home pay. Overall, Fairbanks has a cost of living index of 95 versus the US average of 100, meaning it is 5% less expensive.

🏠 Housing

Median Home Value
$255,700
16% below avg
Zillow Home Value
$290,656
Zillow ZHVI
Median Rent
$1,470/mo
12% above avg
Zillow Rent
$1,884/mo
Zillow ZORI
Price-to-Rent Ratio
14.5x
Favors buying
Property Tax Rate
1.0%
Effective rate

HUD Fair Market Rents by Bedroom

Studio
$1,004
1 BR
$1,129
2 BR
$1,413
3 BR
$1,839
4 BR
$2,224
Owner-occupied 40.5%
Renter-occupied 59.5%

💰 Estimated Monthly Budget

Rent median rent
$1,470
Groceries national estimate
$400
Utilities local estimate
$88
Transportation local gas prices
$126
Estimated Total $2,084/mo

Estimates based on median data and national averages. Actual costs vary.

🛒 Food & Groceries

National BLS average prices (2023). Local prices may vary.

🥚
Eggs (dozen)
$0.548
🍞
White Bread (lb)
$1.912
🥩
Ground Beef (lb)
$5.61

🚗 Transportation

Avg Commute
15.8 min
41% below avg
Gas Price
$3.145/gal
0% below avg
Work From Home
5.2%

Commute Mode

Drove alone
66.1%
Carpooled
15.4%
Public transit
1.3%
Walked
9.3%
Bicycle
1.5%
Work from home
5.2%

Utilities

Electricity
$0.176/kWh
0% below avg

📋 Taxes

State Income Tax (flat) None
Total Sales Tax 1.8%
State rate 0.0%
Avg local rate 1.8%
Property Tax 1.0%

💼 Income & Employment

Median Household Income
$72,077
3% below avg
Per Capita Income
$36,392
Unemployment Rate
5.8%
20% above avg
Poverty Rate
9.6%
Labor Force Participation
70.8%

🎓 Education

Bachelor's degree+ 18.2%
Graduate degree 8.3%

👥 Demographics

Median Age 28.6
Male median age 27.4
Female median age 30.4

💨 Air Quality

EPA AQS 2023 — county-level monitoring data

Median AQI 41 — Good
61.4%
Good air days/yr
231
Max AQI recorded
229
PM2.5 days
135
Ozone days

Frequently Asked Questions

What is the cost of living in Fairbanks, AK?

Fairbanks has a cost index of 95 (100 = national average). It is 5% below the national average.

What is average rent in Fairbanks, AK?

The median gross rent in Fairbanks is $1,470 per month based on 2023 Census data.

What is the average home price in Fairbanks?

The median home value in Fairbanks is $255,700 according to Zillow and Census data.

What is the median income in Fairbanks?

The median household income in Fairbanks is $72,077 per year (2023 ACS 5-year estimates).

What is the sales tax in Fairbanks, AK?

The combined state and local sales tax rate in Fairbanks is 1.8%. Alaska has no state income tax.

Is Fairbanks, AK affordable?

Fairbanks is near the national average in terms of cost of living, with an index of 95 (100 = US average).

Fairbanks at a Glance

Population
32,242
Median Income
$72,077
Home Value
$255,700
Median Rent
$1,470/mo
Unemployment
5.8%
Sales Tax
1.8%
View all cities in Alaska →
🗺️ County data for Alaska

Explore county-level cost of living data

Similar Cost Cities

Cities in other states with comparable housing costs