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North Dakotaincome tax up to 2.5%, 23rd highest property tax, median home $255K

R+33  ·  Moderate tax burden  ·  COL index 98

A

2.5%

Income Tax

285

Violent Crime / 100K

78.8

Life Expectancy

$255K

Median Home

$1,050

Childcare / Mo

North Dakota in plain English

Worth knowing before you move to North Dakota

North Dakota's income tax is now among the lowest of any state that has one, with a top rate under 2.5% after 2023 cuts funded by oil revenue, and it stopped taxing Social Security in 2021. Housing is inexpensive and the state has the lowest unemployment in the country in most years. Winters are severe, and the Bakken oil economy makes the western counties boom and bust.

What North Dakota taxes, and what it doesn't

North Dakota levies a graduated income tax that tops out at 2.5%. A household earning $75,000 pays an effective 1.5%, about $1,110 a year; at $150,000 the effective rate is 1.8%. Among the 41 states that tax income, North Dakota has the lowest effective rate at $100,000 of income.

Property tax runs 0.88% of home value a year, roughly $2,244 on the state's median home of $255K. The national effective rate is about 1.10%, and North Dakota has the 23rd highest rate of the 50 states.

Combined state and local sales tax averages 6.97%, the 24th lowest in the country (the state portion is 5%).

For retirees: Social Security benefits are not taxed, pension income is partly exempt, and there is no estate or inheritance tax.

Capital gains are taxed as ordinary income.

Housing and the cost of living in North Dakota

North Dakota's cost of living index is 98, where 100 is the national average; that is the 24th most expensive of the 50 states.

The median home costs $255K, 16% below the national figure and the 14th lowest among the states. A two-bedroom rents for about $1,100 a month.

Carrying costs matter as much as the price: home insurance averages $2,200 a year, flood coverage adds about $600 where it is needed, car insurance runs $1,290.

Budget $125 a month for electricity and gas, $470 a month in groceries for two, $1,050 a month for full-time infant care.

Safety, health and schools

Violent crime is 285 incidents per 100,000 residents in the FBI's 2023 Crime Data Explorer figures, below the median state (387); North Dakota is the 16th safest of the 50 by that measure. Property crime is 1,779 per 100,000.

Life expectancy is 78.8 years (County Health Rankings 2024). 7.5% of residents have no health insurance, and the state has expanded Medicaid. The Commonwealth Fund's 2023 scorecard ranks North Dakota's health system 27th of 50.

Education Week's 2023 Quality Counts report ranks K-12 schools 17th in the country.

Politics, guns and social policy

Politically, North Dakota is a solidly Republican state that went to Trump by 33 points in 2024.

On guns, no permit is required to carry a concealed handgun, and Giffords grades the state's gun laws F.

Abortion is banned with narrow exceptions. Marijuana is medical only. North Dakota is a right-to-work state, and the minimum wage is $7.25 an hour.

Climate, risk and getting around

Natural disaster risk is moderate. The main hazards are blizzard, tornado, flood. Annual average air quality index is 25 (under 50 is good).

North Dakota has no top-25 hub airport, with about 20 nonstop destinations from its busiest airport.

Written from the figures on this page. Rankings compare the 50 states. Sources and years are listed with each figure below.

State Profile

69/100
255075100TAXES74SAFETY74HEALTH47SCHOOLS67AFFORDABLE78LONGEVITY73

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Taxes

Sources: state revenue departments · Tax Foundation 2026 · income-tax brackets 2026

Income Tax

2.5% top

Property Tax

~$2,244/yr on median home

0.88% / yr

Sales Tax

6.97% avg

Social Security

Exempt

Pension / IRA

Partial

Estate Tax

None

Inheritance Tax

None

Capital Gains

Taxed as income

Housing & Cost of Living

Sources: Zillow · Census ACS · iii.org and state insurers 2026 · WRLURI 2018 · Census 2024 (HOA)

Price Level vs US (BEA)

Below US average (100)

89.0

Mortgages 90+ Days Late

FHFA, latest quarter

0.7%

Cost of Living Index

National avg = 100

98

Median Home Price

$255,000

Median Rent (2BR)

$1,100/mo

Home Insurance

Near national avg (~$1,900/yr)

$2,200/yr

Flood Insurance

$600/yr

Homestead Exemption

Home equity protected from creditors

$100,000

Asset Protection

Moderate

Homes in HOAs

HOAs are rare here (Census ACS 2024)

7.7%

Zoning Restrictiveness

Among the least restrictive zoning (Wharton WRLURI 2018)

Permissive

Short-Term Rentals (Airbnb)

Broad state guidelines; local jurisdictions tailor regulations.

Local Control

Crime & Safety

Sources: FBI Crime Data Explorer 2023 · SafeHome registry counts 2025 · HUD PIT 2024

Violent Crime Rate

Near national avg

285 / 100K

Property Crime Rate

Near national avg

1,779 / 100K

Traffic Fatality Rate

17.9 / 100K

Registered Sex Offenders

Above the state median (SafeHome 2025)

276 / 100K

Homeless Population

Moderate homelessness rate — 22% unsheltered (HUD 2024 PIT)

109 / 100K

Healthcare

Sources: Commonwealth Fund 2023 · KFF · CDC

State Healthcare Rank

#27 of 50

Life Expectancy

78.8 yrs

Medicaid Expansion

Expanded

Uninsured Rate

7.5%

Education

Sources: Education Week 2023 · NCES · state statutes (school choice)

College Completion Rate

College Scorecard, in-state institutions (mean)

51%

Avg College Cost of Attendance

College Scorecard 2024

$20,148/yr

K-12 Quality Rank

#17 of 50

School Choice / Vouchers

Not Available

HS Graduation Rate

Near national avg (~87%)

88.1%

Pupil-Teacher Ratio

Below national avg (~16)

10.9 students/teacher

Childcare

Sources: Child Care Aware · Census ACS 2022

Avg Infant Care (Full-Time)

$1,050/mo

Utilities & Daily Costs

Sources: EIA (electricity, weekly gas) · USDA · eGRID 2022

Grid Carbon Intensity

Dirtier than US average (~820)

1311 lb CO₂/MWh

Avg Monthly Energy Bill

$125/mo

Electricity Rate

Below national avg (13¢)

10.4¢/kWh

Energy Mix

41% renewable · ☀ 0% solar · 💨 37% wind

Avg Monthly Groceries

2-person household, moderate spending

$470/mo

Road Quality Rank

Among the best roads in the US

#1 of 50

Airports & Travel

Sources: FAA · BTS

Nonstop Destinations

From state's primary airport

20+ routes

Major Hub Airport

Regional airport — connections via hub

No

Culture & Lifestyle

Sources: Census CBP · Brewers Association 2024 · Pollstar · AANR/TNS · AGA 2024

Urban Population

Mix of urban and rural

59% urban

Restaurant Density

Limited dining options

380/100K

Religious Congregations

Strong religious community

260/100K

Pro Sports Teams

NFL + NBA + MLB + NHL + MLS

None

Major Venues

Stadiums, arenas, amphitheaters (10K+ capacity)

1 venues

Craft Breweries

2.9/100K residents — Solid scene

22 breweries

Craft Distilleries

10 distilleries

Live Music

Fargo Brewing Co; Fargo Film Festival; small but growing craft scene

Limited

Transportation

Sources: NHTSA FARS · FCC · insurance rate surveys 2024 · IIHS helmet laws 2026

Car Insurance (Avg Annual)

$1,290

Traffic Fatality Rate

17.9 / 100K

Broadband Access

80% of households

Work From Home

State residents who primarily work from home (ACS)

25,491 workers

Social & Legal

Sources: Guttmacher · KFF · NCSL · state statutes 2026

Formal Volunteering Rate

AmeriCorps / Census CPS 2023 (US ~28%)

30.7%

Votes in Local Elections

AmeriCorps / Census CPS 2023

56.4%

Abortion Access

Near-total ban; trigger law took effect after Dobbs

Banned

LGBTQ+ Protections

Hostile

Marijuana

Medical Only

Minimum Wage

$7.25/hr

Right to Work

Yes

Sports Betting

Illegal

Casino Gambling

Tribal casinos

Online Gambling

Illegal

State Lottery

Tribal casinos and licensed charitable gambling. No commercial casinos. Blackjack games at charitable events allowed.

Yes

Age of Consent

18

Sex Education

No state sex ed mandate

Abstinence-only

Nude Beaches & Naturist Clubs

No known naturist facilities

None known

Environment & Climate

Sources: EPA AQI · NOAA · FEMA National Risk Index

Air Quality (Annual AQI)

Excellent (national avg ~38)

25

Natural Disaster Risk

Moderate

Primary Hazards

blizzardtornadoflood

Politics & Gun Laws

Sources: OpenElections 2024 · Giffords 2025 · state statutes

2024 Presidential Vote

R+33

Gun Laws

Gun ControlF
2A LibertyA+

Carry Permit

No permit required

Purchase Permit Required

No

Carry in Bars

Prohibited

Carry in Restaurants

Unverified

Carry in Places of Worship

Prohibited in liquor establishments; churches require permission; restaurant-area exception unverified.

Prohibited

Gambling

Legal

Jobs & Economy

Sources: BLS QCEW 2024 · BLS JOLTS 2024 · BLS union membership 2025 · Census ACS

Job Openings Rate (JOLTS)

Tight labor market (US ~4.5%)

5.0%

Quits Rate (JOLTS)

Workers quit when they can find better; BLS 2024 average

2.3%

Job Market

+1% job growth · 2% unemployment

Moderate

Top Industries

Oil & GasAgricultureGovernment

Tech Jobs

#47 of 50

Healthcare Jobs

#30 of 50

Remote Work

12% of workers

Median Household Income

$74,593

Union Membership

Below-average union presence (BLS 2025)

6.0% of workers

Business Climate

Sources: Tax Foundation · state filings

Corporate Income Tax

4.31%

LLC Formation Fee

$135 one-time

LLC Annual Fee

$50/yr

Business Climate Rank

#19 of 50

Daily Life

Sources: American Pyrotechnics Association · state statutes 2026 · IIHS

Gas Price (Regular)

Below avg (-0.24 vs national avg)

$3.06/gal

Consumer Fireworks

Consumer fireworks broadly legal

Legal

Motorcycle Helmet Law

Required under 18 (IIHS 2026)

Age-Limited

Weather & Natural Risks

Sources: NOAA · NWS Storm Prediction Center · FEMA NRI

Winter Severity

Avg January high: 14°F

Harsh

Summer Heat

Moderate summers

84°F avg July

Annual Rainfall

17" / yr

Tornado Risk

Moderate

Hurricane Risk

Very Low

Wildfire Risk

Low

Flood Risk

Moderate

Natural Hazards

Sources: USGS · CDC · USDA APHIS · NOAA · FEMA NRI 2023

23LOW danger
Polar vortex -40°FPrairie rattlesnakeBlizzard season Oct-AprFlood risk HIGH

Venomous Snakes

Low

Spider Hazard

Low

Hurricane Risk

Minimal

Tornado Risk

Moderate

Wildfire Risk

Moderate

Earthquake Risk

Minimal

Danger score is a composite index. Methodology ↗

Veteran Benefits

Sources: VA.gov · Military.com state guide · Tax Foundation

Veteran-Friendly Score

6.7% of state population are veterans

73/100

Property Tax Exemption

Disabled vet property tax credit

Partial

Military Retirement Pay

Tax Exempt

Active Duty Pay

Tax Exempt

VA Facilities Access

Adequate

Notable Benefits

Military retirement fully exempt

Explore North Dakota counties

Income, housing, poverty, healthcare — ranked by county

Explore Counties

See your full cost of living in North Dakota

Housing, taxes, childcare, insurance — all estimated.

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Trending in North Dakota

Free speech protection bill headed to North Dakota Legislature next year - northdakotamonitor.com

northdakotamonitor.com · Sep 8

UPDATED: Armstrong signs bill banning synthetic kratom, restricting natural kratom to 21 and older - North Dakota Office of the Governor (.gov)

North Dakota Office of the Governor (.gov) · Sep 5

North Dakota governor calls for total ban on kratom - aberdeennews.com

aberdeennews.com · Sep 7

North Dakota Senate, House pass legislation regulating kratom products - The Flag - AM 1100 and FM 92.3 WZFG

The Flag - AM 1100 and FM 92.3 WZFG · Sep 4

North Dakota Governor Kelly Armstrong Gave State of the State Address Before Special Session Started - knoxradio.com

knoxradio.com · Sep 3

What Residents Say

What's it like living in North Dakota? I may be moving there ...

Cost of living isn't terrible. Rent IS NOT ridiculously high as compared to any other rural state. And wages are on par if not higher than ......

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Considering moving to North Dakota : r/northdakota

The cost of living is NOT cheap in North Dakota. The cost of living and taxes are low. Plus people here are friendly. North Dakota is a state ......

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Is North Dakota a good place to live? : r/northdakota

I need to get out of Florida. This heat is crazy.. after 30 years I can't take it anymore. *Good schools? Jobs? Good economy? ** This got a lot of comments. ......

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Weighing options for moving, how is life here? : r/northdakota

ND is generally a cheaper place to live. Yes, your housing costs will be a lot lower than New Jersey. in return for a nearly halved rent cost ......

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what is the average cost of living for a single male

I am currently trying to find out where it would be best to live after college and I am unable to find any information on what the yearly average cost of ......

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Is it worth moving to ND? : r/northdakota

The taxes end up being pretty much the same and services are far better. For me it was cost of homes, cost of living, average wage for my ......

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The 2025 Q3 North Dakota Cost of Living numbers just ...

If you are looking for a single family house, it's probably 250k minimum, 350k if you want anything newer than 2000 and a decent neighborhood....

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Considering Moving from Toronto/Southwestern Ontario to ...

Due to lower taxes, higher wages and overall lower cost of living the majorty of North Dakotans live fairly well. Lots of job opportunities....

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Is North Dakota right for me? : r/northdakota

Don't like city living in general. What attracts me to North Dakota: Low rent. Low taxes. Cold. Always cold ......

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How's it living in North Dakota? : r/northdakota

I was just wondering because I’m a 25 year old and about to have a kid. Looking for a nice place to settle down and raise a family. The city I’m ......

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North Dakota will change its laws. We'll email you when it does.

One email when North Dakota changes a tax, gun, cannabis or abortion law. Unsubscribe in one click.

Data is informational only. Verify with a tax professional, real estate agent, and local sources before making relocation decisions. Crime data: FBI Crime Data Explorer 2023. Healthcare: Commonwealth Fund 2023; life expectancy from County Health Rankings 2024. Education: Education Week 2023. Housing: Zillow monthly index and Census ACS 2022. Insurance: rate surveys 2024. Sponsored links marked “Sponsored” may earn a commission. This does not affect our data or rankings.

Your Priorities

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Quick Profiles

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Annual Income

$150K

Affects effective income tax rate

$0$500K$5M+

Retirement Savings

$0

Affects pension and SS tax burden

None$500K$10M+

Social Security

None

Annual Social Security benefit

None$150K/yr

My Property Is Worth

$400K

Affects property tax burden

Tax burden ↓$1M$50M+

Home Buying Budget

$400K

Compared to state median home price

Hard to find$250K$5M+

Monthly Rent Budget

Don't care

Compared to state median 2BR rent

Don't care$10K/mo

Job Market

Don't care

State unemployment and job growth

Don't careHot market

Airport Access

Don't care

Direct flight destinations from state hubs

Don't careMust have hub

City vs Country

Mid-size city

% urban population

Deep countryBig city

Sunshine

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Annual sunny days per state

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Restaurants per 100K residents

Don't careWorld-class

Political Preference

Neutral

State's political lean

LiberalConservative

Gun Laws

Neutral

State gun law grade (Giffords)

Gun Control2A Freedom

Abortion Access

Neutral

State abortion access policy

Pro-ChoiceNeutralPro-Life

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None

Congregations per 100K residents

AvoidDon't careSeek

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Pro sports teams and major venues

Don't careMust have pro teams

Cannabis Laws

Neutral

State cannabis legality

Prefer LegalNeutralPrefer Prohibition

Retiree Community

Neutral

% population 65+ (Census)

Young areaRetirement-heavy

Dating Market

Neutral

% adults never-married (Census)

Singles sceneFamily community

Safety / Low Crime

Don't care

Violent crime rate per 100K (FBI)

Don't careVery safe

School Quality

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K-12 rank (Education Week)

Don't careTop-ranked

Healthcare Access

Don't care

Healthcare system rank (Commonwealth Fund)

Don't careTop-ranked

Childcare Affordability

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Cost of living proxy for childcare affordability

Don't careMust be affordable