Cost of Living in Nacogdoches, Texas

Home prices in Nacogdoches run below the national average, in line with the rest of East Texas, with a range from historic homes near downtown and the university to newer subdivisions and rural acreage in the surrounding pines. For buyers, the money goes considerably further than it would in a Texas metro.

The rental market has its own character because of SFA. A student body of more than 11,000 creates steady demand for apartments and rental houses near campus, which keeps a healthy supply of rentals available but also means the areas closest to the university revolve around the academic calendar. For landlords and investors, the student market is a draw; for families, the neighborhoods a little farther from campus tend to be quieter.

Day-to-day expenses in Nacogdoches are generally modest. Groceries, gas, and routine services are affordable, and the city has the retail, dining, and healthcare to serve both its residents and the surrounding rural county without big-city prices. The student population supports a lot of budget-friendly food and entertainment options.

One statistic worth understanding: Nacogdoches shows a high poverty rate and a low median household income (about $39,000 in Census estimates) on paper, but those figures are skewed by the large student population, who typically report little income while in school. For working households and families, the real cost of living is the affordable East Texas norm.

Texas has no state income tax, which benefits residents and makes Nacogdoches attractive for retirees — the city was one of the first Texas Certified Retirement Communities. As elsewhere in Texas, the state relies more on property and sales taxes, so homeowners should plan for relatively high property taxes despite low home values.

The overall picture: Nacogdoches is an affordable place to live, with the bonus of college-town amenities and a walkable historic downtown. Between the low housing costs, the no-income-tax advantage, and the energy that more than 11,000 students bring, it offers a lot of quality of life for the money.