National study ranks Rio Rancho as second most affordable city in the Western U.S.

A new national study has ranked Rio Rancho as the second most affordable city in the western United States.

The analysis by The Motley Fool determines the most affordable places to live by comparing median household income to cost-of-living data in cities across the western U.S.

The report showed Rio Rancho to have a cost-of-living estimate of $70,632 and a median household income of $78,978.

“There are many factors, both government and non-government, that contribute to cost of living. Over the past 10 years, Rio Rancho local government exercised fiscal discipline regarding tax and spending, and implemented mechanisms, such as a new Permanent Fund, to broaden and diversify revenue sources to fund public services without a corresponding tax or fee increase,” Rio Rancho Mayor Gregg Hull said. “These actions, both short- and long-term, undoubtedly impact the cost of living in a positive manner.”

Data was gathered from three sources: the Council for Community and Economic Research’s 2024 Q1 Annual Average Cost of Living Index Report, Bureau of Labor Statistics’ 2023 Consumer Expenditure Survey and Census Bureau’s 2023 American Community Survey.

“The cost of living in Rio Rancho is three points lower than the national average while the median household income is 6% above the national median,” according to Jack Caporal, research director at The Motley Fool.