Cost of Living in Pelham, AL

Population 24,510 · Alabama · Data vintage 2023

103
Cost Index
(100 = US avg)
Page updated: · Data vintage: 2023 ACS 5-Year
Sources: Census ACS·BLS·NOAA·EPA·Zillow · Methodology

Pelham sits on the smaller end of the Alabama city distribution. That scale shapes the housing market, the labor pool, and the services available to residents in ways the data below makes visible. An unemployment rate of 1.7% points to a labor market well on the tight side of the national distribution.

Pelham sits roughly 15 miles south of Birmingham — close enough that regional housing and labor patterns are shaped largely by the larger market. Median home values run roughly 101% higher than Birmingham's $139,000.

Cost Overview

Housing 91
Rent 120

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

About the Cost of Living in Pelham

The median home value in Pelham is $278,900 — 9% below the national median of $305,000. Median rent runs $1,573/month, 20% higher than the national median of $1,314/month. The median household income of $91,904/year is 23% higher than the US median of $74,580. The local unemployment rate is 1.7%, below the national average of 4.8%. Alabama's top state income tax rate is 5.0% and the combined sales tax is 9.2%. Overall, Pelham has a cost of living index of 103 versus the US average of 100, meaning it is 3% more expensive.

🏠 Housing

Median Home Value
$278,900
9% below avg
Zillow Home Value
$318,150
Zillow ZHVI
Median Rent
$1,573/mo
20% above avg
Price-to-Rent Ratio
14.8x
Favors buying
Property Tax Rate
0.4%
Effective rate

HUD Fair Market Rents by Bedroom

Studio
$646
1 BR
$688
2 BR
$857
3 BR
$1,132
4 BR
$1,309
Owner-occupied 83.4%
Renter-occupied 16.6%

💰 Estimated Monthly Budget

Rent median rent
$1,573
Groceries national estimate
$400
Utilities local estimate
$88
Transportation local gas prices
$126
Estimated Total $2,187/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
31.0 min
15% above avg
Gas Price
$3.145/gal
0% below avg
Work From Home
17.8%

Commute Mode

Drove alone
75.8%
Carpooled
5.7%
Walked
0.2%
Work from home
17.8%

Utilities

Electricity
$0.176/kWh
0% below avg

📋 Taxes

State Income Tax 5.0%
Total Sales Tax 9.2%
State rate 4.0%
Avg local rate 5.2%
Property Tax 0.4%

💼 Income & Employment

Median Household Income
$91,904
23% above avg
Per Capita Income
$44,646
Unemployment Rate
1.7%
65% below avg
Poverty Rate
7.2%
Labor Force Participation
70.1%

🎓 Education

Bachelor's degree+ 31.3%
Graduate degree 17.5%

👥 Demographics

Median Age 41.2
Male median age 40.2
Female median age 42.3

💨 Air Quality

EPA AQS 2023 — county-level monitoring data

Median AQI 40 — Good
85.5%
Good air days/yr
108
Max AQI recorded
0
PM2.5 days
242
Ozone days

Frequently Asked Questions

What is the cost of living in Pelham, AL?

Pelham has a cost index of 103 (100 = national average). It is 3% above the national average.

What is average rent in Pelham, AL?

The median gross rent in Pelham is $1,573 per month based on 2023 Census data.

What is the average home price in Pelham?

The median home value in Pelham is $278,900 according to Zillow and Census data.

What is the median income in Pelham?

The median household income in Pelham is $91,904 per year (2023 ACS 5-year estimates).

What is the sales tax in Pelham, AL?

The combined state and local sales tax rate in Pelham is 9.2%. The Alabama state income tax top rate is 5.0%.

Is Pelham, AL affordable?

Pelham is near the national average in terms of cost of living, with an index of 103 (100 = US average).

Pelham at a Glance

Population
24,510
Median Income
$91,904
Home Value
$278,900
Median Rent
$1,573/mo
Unemployment
1.7%
Sales Tax
9.2%
View all cities in Alabama →
🗺️ County data for Alabama

Explore county-level cost of living data

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