Cost of Living in Texarkana

Texarkana's cost of living runs genuinely low on housing and income tax, offset by a real, disclosed sales-tax trade-off relative to the Texas side.

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Low housing costs

Zillow's typical home value ran approximately $169,100 (up 11.5% YoY), and RentCafe cited one-bedroom rents around $695-$760/month -- both genuinely below national norms.

A real income-tax advantage, offset by sales tax

Bona fide Texarkana, AR city-limit residents pay zero Arkansas state income tax under a real border-city exemption, but combined sales tax runs approximately 10.25% -- meaningfully higher than Texarkana, Texas's own ~8.25%.

Low property taxes

This record's own Ownwell-cited effective property tax rate ran approximately 0.88%, close to Miller County's ~0.86% median and below the national ~1.02% median.

Key takeaways

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Last reviewed: 2026-08-27. Independent research; not financial, tax, or legal advice -- confirm current figures with a local professional before making a decision.