Cost of Living in Palm Desert, CA

Population 51,551 · California · Data vintage 2023

149
Cost Index
(100 = US avg)
Page updated: · Data vintage: 2023 ACS 5-Year
Sources: Census ACS·BLS·NOAA·EPA·Zillow · Methodology

With a median age of 57, Palm Desert functions largely as a retirement market. Housing costs — $492,000 for a typical home — anchor most household budgets, and the state's treatment of pension income tends to matter more than wage-driven tax comparisons. Unemployment has stayed elevated relative to the national figure — 6.1% as of the most recent ACS release — which shows up in household-income and poverty figures as well.

Geographically, Palm Desert is about 45 miles east of Menifee, the nearest large metro. Housing prices track closely with Menifee's $487,000 median.

Cost Overview

Housing 161
Rent 131

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

About the Cost of Living in Palm Desert

The median home value in Palm Desert is $491,600 — 61% above the national median of $305,000. Median rent runs $1,717/month, 31% higher than the national median of $1,314/month. The median household income of $79,508/year is 7% higher than the US median of $74,580. The local unemployment rate is 6.1%, above the national average of 4.8%. California's top state income tax rate is 13.3% and the combined sales tax is 8.7%. The climate averages highs of 88.9°F and lows of 62.3°F. Overall, Palm Desert has a cost of living index of 149 versus the US average of 100, meaning it is 49% more expensive.

🏠 Housing

Median Home Value
$491,600
61% above avg
Zillow Home Value
$549,226
Zillow ZHVI
Median Rent
$1,717/mo
31% above avg
Zillow Rent
$2,602/mo
Zillow ZORI
Price-to-Rent Ratio
23.9x
Favors renting
Property Tax Rate
0.7%
Effective rate

HUD Fair Market Rents by Bedroom

Studio
$1,195
1 BR
$1,241
2 BR
$1,544
3 BR
$2,163
4 BR
$2,556
Owner-occupied 64.4%
Renter-occupied 35.6%

💰 Estimated Monthly Budget

Rent median rent
$1,717
Groceries national estimate
$400
Utilities local estimate
$88
Transportation local gas prices
$126
Estimated Total $2,331/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
23.2 min
14% below avg
Gas Price
$3.145/gal
0% below avg
Work From Home
14.1%

Commute Mode

Drove alone
69.6%
Carpooled
12.8%
Public transit
0.7%
Walked
1.1%
Bicycle
0.2%
Work from home
14.1%

Utilities

Electricity
$0.176/kWh
0% below avg

📋 Taxes

State Income Tax 13.3%
Total Sales Tax 8.7%
State rate 7.3%
Avg local rate 1.4%
Property Tax 0.7%

💼 Income & Employment

Median Household Income
$79,508
7% above avg
Per Capita Income
$57,793
Unemployment Rate
6.1%
28% above avg
Poverty Rate
11.3%
Labor Force Participation
49.3%

🎓 Education

Bachelor's degree+ 24.3%
Graduate degree 15.6%

👥 Demographics

Median Age 56.7
Male median age 54.6
Female median age 58.8

🌤 Climate

NOAA 1991–2020 Climate Normals

Avg High
88.9°F
Avg Low
62.3°F
Annual Precip
4.6"
40° 58° 75° 93° 110° JFMAMJJASOND High Low Precip
Month JanFebMarAprMayJunJulAugSepOctNovDec
High °F 7174818795104109108102917969
Low °F 485054596673798074655346
Precip" 1.141.110.510.090.020.000.250.140.240.200.230.68

💨 Air Quality

EPA AQS 2023 — county-level monitoring data

Median AQI 79 — Moderate
17%
Good air days/yr
660
Max AQI recorded
98
PM2.5 days
207
Ozone days

Frequently Asked Questions

What is the cost of living in Palm Desert, CA?

Palm Desert has a cost index of 149 (100 = national average). It is 49% above the national average.

What is average rent in Palm Desert, CA?

The median gross rent in Palm Desert is $1,717 per month based on 2023 Census data.

What is the average home price in Palm Desert?

The median home value in Palm Desert is $491,600 according to Zillow and Census data.

What is the median income in Palm Desert?

The median household income in Palm Desert is $79,508 per year (2023 ACS 5-year estimates).

What is the sales tax in Palm Desert, CA?

The combined state and local sales tax rate in Palm Desert is 8.7%. The California state income tax top rate is 13.3%.

Is Palm Desert, CA affordable?

Palm Desert is above average in cost of living, with an index of 149 — about 49% higher than the national average.

What is the weather like in Palm Desert?

Palm Desert has average high temperatures of 88.9°F and average lows of 62.3°F. Annual precipitation is 4.6". Data from NOAA 1991–2020 Climate Normals.

Palm Desert at a Glance

Population
51,551
Median Income
$79,508
Home Value
$491,600
Median Rent
$1,717/mo
Unemployment
6.1%
Avg High Temp
88.9°F
Sales Tax
8.7%
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