What’s the Real Cost of Living in Palm Springs, California?

Whether you’re an Orange County or Los Angeles resident considering a move inland or are simply curious about the cost of living in Palm Springs, CA, this guide can help you plan ahead as you contemplate calling this beautiful desert retreat home.

Known for its gorgeous landscape, warm climate, multiple golfing fairways, and being a celebrity getaway, Palm Springs can be the perfect escape for a day—or for the rest of your life. 

This blog covers the ins and outs of Palm Springs' living costs and what you can expect your everyday expenses to be in this stunning city.

Summary:

• Cost of Living in Palm Springs, California

• Other Living Expenses in Palm Springs, CA

  • Grocery Shopping and Dining Out in Palm Springs, CA

  • Transportation Options and Fuel Costs in Palm Springs, CA

  • Healthcare and Insurance Costs in Palm Springs, CA

  • Utilities, Internet, and Phone Expenses in Palm Springs, CA

  • Tax Rates in Palm Springs, CA

  • Recreation Costs in Palm Springs, CA

• Average Salary in Palm Springs, CA

• Average Cost of New Construction Homes in Palm Springs, CA, by Neighborhood

• Conclusion

Cost of Living in Palm Springs, California

Palm Springs is a small desert paradise. While it's not nearly as expensive as many of California’s big cities, it can still come with a higher price tag. According to RentCafe®, as of March 2024, the average cost of living in Palm Springs, CA, is 13% lower than the state average but 20% higher than the rest of the country. 

Housing costs stand out as the most significant expense in Palm Springs, surpassing the national average by 44%, per RentCafe’s March 2024 data, but they’re 27% lower than the state average.

Although it's known for its mid-century modern architecture, Palm Springs offers a range of housing options across its 40 neighborhoods. Homes for sale in Palm Springs span a wide price range, from the median sale price of $854.8K to $10.8M, per Realtor®.com in February 2024. 

For those who rent, RentCafe reports that the average monthly rent in Palm Springs hovers around $2K as of March 2024. 

 

Other Living Expenses in Palm Springs, CA

Now, let's zero in on the living expenses for daily essentials in Palm Springs.

Grocery Shopping and Dining Out in Palm Springs, CA

When grocery shopping and dining out in Palm Springs, CA, both residents and visitors can expect slightly higher-than-average prices. For 2024, Payscale® reports that grocery prices in Palm Springs are approximately 17% higher than the national average. 

RentCafe’s March 2024 data offers an average breakdown of some grocery staples in Palm Springs:

• Loaf of bread: $4.76

• A gallon of milk: $4.22

• Carton of eggs: $5.23

• Bananas per pound: $0.92

For a good meal at local dining establishments, Palm Springs offers a plethora of options to suit every palate and budget. Whether you're in the mood for casual dining or fine cuisine, there's something for everyone. You can start your day with a quick breakfast treat at Peninsula Pastries, a local favorite where you can delight in one of their delicious danishes or croissants for about $5–$8. For dinner, indulge in a more upscale dining experience at popular spots like 1501 Uptown, where an entree ranges from $24–$39. 

Transportation Options and Fuel Costs in Palm Springs, CA

Palm Springs, CA, offers a variety of transportation choices, with expenses running 12% higher than the national average but 13% lower than the state average, as reported by RentCafe in March 2024.

If you prefer to rely on your personal vehicle, gas prices in Palm Springs range from approximately $4.39 to $4.89 per gallon, according to GasBuddy® as of March 2024, though these prices fluctuate. 

You can easily explore the downtown Palm Springs area without a car. Travelpro® reports that taxis and ride-share services are conveniently available and vary in cost depending on the distance traveled. Another option is the SunLine bus system, where a day pass costs $3 and a monthly pass is $37 for one adult, per their website. 

Healthcare and Insurance Costs in Palm Springs, CA

Compared to the national average, healthcare expenses in Palm Springs are approximately 4% lower, and costs are 12% lower than the state average, per RentCafe as of March 2024.

For an idea of typical healthcare costs in the area, RentCafe offers this average breakdown:

• Doctor visit: $97.13

• Dentist: $122.58

• Optometrist: $107.59
  
  

As for health insurance, costs vary depending on the plan and provider. As of February 2024, MoneyGeek® finds that health insurance premiums in California differ across various tiers. The least expensive options range from $282 to $424 monthly.

While this guide offers a general overview, individuals should research and compare plans to find the best fit for their needs and budget.

Utilities, Internet, and Phone Expenses in Palm Springs, CA

Utility, internet, and phone expenses are integral factors in a homeowner’s budget. In Palm Springs, CA, RentCafe reports these living expenses are 7% higher than the national average but 12% lower than the state average as of March 2024. 

For those tracking their monthly energy usage, RentCafe’s data finds the average energy bill in Palm Springs is approximately $225.59, and residents can expect to pay an average of $175.11 for monthly phone bills. 

As for internet services, the average cost for a plan offering 60 Mbps or more with unlimited data via cable or ADSL is roughly $76.88 per month as of March 2024, according to Numbeo®. Since plans vary by provider, residents can explore various packages to find options that align with their budget and usage needs.

Tax Rates in Palm Springs, CA

Depending on your taxable income and filing status, California’s 2023–2024 nine state income tax brackets range from 1% to 12.3%, per NerdWallet®. Palm Springs also has a combined sales tax rate composed of state, county, and city sales taxes. According to Avalara®, the minimum combined sales tax rate for Palm Springs is 9.25% in 2024. Here's how it breaks down:

• California sales tax rate: 6%

• County sales tax rate: 0.25%

• Palm Springs sales tax rate: 1.5%

• Riverside County local tax: 1%

• Riverside County district tax: 0.5%

These rates collectively contribute to the overall sales tax that individuals pay on purchases within the city. 

Recreation Costs in Palm Springs, CA

Enjoying recreational activities is a significant part of the Palm Springs allure, and the city offers residents and visitors a diverse array of ways to spend their leisure time. While some activities may be pricier, plenty of affordable options are available for those on a budget.

Here's a glimpse of the costs associated with some popular recreational attractions in Palm Springs:

• Palm Springs Aerial Tramway: Experience breathtaking views as you ascend Mount San Jacinto aboard the world’s largest rotating tram car. Tickets are $30.95 for adults and $18.95 for children ages 3 to 10.

• Palm Springs Art Museum: Admission prices are $16 for adults and $14 for seniors, while children under 18 can enjoy free entry, as do military service members and first responders. 

• The Living Desert Zoo and Gardens: Adult tickets are priced at $39.95, while children ages 3 to 17 can enter for $29.95. Children under 3 enjoy free admission.

• Movie tickets: Catch the latest blockbuster at one of Palm Springs' movie theaters. Ticket prices typically range from $8.25 for children and seniors to $12.75 for adults.

For those looking to stay active, gym memberships range from inexpensive to premium fees, but moderately priced options like The Fitness Edge® are available for just $35 per month.

Average Salary in Palm Springs, CA

As of January 2024, ZipRecruiter® reports that the average annual salary in Palm Springs is $56,453. That means the average hourly wage is approximately $27.14, which translates into a weekly salary of around $1,085 and monthly earnings of roughly $4,704.

Annual salaries in Palm Springs vary across different professions and industries. According to ZipRecruiter’s 2024 data, most salaries average between $42,590 (25th percentile) and $70,315 (75th percentile) yearly. 

 

Average Cost of New Construction Homes in Palm Springs, CA, by Neighborhood

If you’re curious about the cost of new construction homes in Palm Springs, let’s look at those costs in a few of the city’s most popular neighborhoods.

Palm Springs

Tucked away in the Coachella Valley, Palm Springs is an idyllic spot in the desert with a dash of Hollywood glamour. Picture mid-century modern architecture against a backdrop of rugged mountains while exploring hiking trails or lounging by the pool. The art scene is buzzing, the food is top-notch, and there's always something cool happening, whether it's a chic cocktail party or a laid-back street festival. Here, relaxation meets sophistication in the most stylish way possible. 

The cost of a new construction home in Palm Springs, according to NewHomeSource®, ranges from $1–1.4M as of March 2024. Check out our new construction homes in Palm Springs, CA, which start in the mid $400Ks. 

Palm Desert

Palm Desert, a neighboring city of Palm Springs in the Coachella Valley, shares its desert charm but with its own distinct allure. Known for upscale shopping destinations like El Paseo, also dubbed the "Rodeo Drive of the Desert," Palm Desert attracts residents and visitors seeking a sophisticated shopping and dining experience. The city boasts world-class golf courses, luxury resorts, and a thriving arts scene, with galleries and museums showcasing local and international talent. With a backdrop of stunning desert landscapes and a wealth of recreational opportunities, Palm Desert offers a refined yet relaxed lifestyle in the heart of Southern California's desert region. 

Per NewHomeSource, in March 2024, the cost of a new construction home in Palm Desert ranges from the mid $400Ks to the mid $700Ks. Our new construction homes in Palm Desert, CA, start in the mid $400Ks.

Coachella

Coachella, situated in the eastern part of the Coachella Valley, is known for its rich agricultural heritage and hosts one of the world's largest and most famous music festivals annually. While the Coachella Valley Music and Arts Festival draws crowds from around the globe, the city of Coachella offers a close-knit atmosphere, with community-oriented events, local art, and cultural celebrations. Coachella embodies the spirit of cultural diversity and creativity in the area. 

The cost of a new construction home in Coachella, according to NewHomeSource, ranges from the mid $500Ks to the low $600Ks as of March 2024. Our new construction homes in Coachella, CA, start in the mid $500Ks

Rancho Mirage

Rancho Mirage, a city between Palm Springs and Palm Desert, is famous for its luxurious resorts, pristine golf courses, and upscale living. Often referred to as the "Playground of Presidents" due to its history of hosting U.S. presidents and world leaders, Rancho Mirage exudes an aura of exclusivity and sophistication. The city is home to world-class spas, fine dining establishments, and a vibrant arts scene, making it a sought-after destination for those seeking refined leisure and relaxation. With a picturesque desert panorama as its backdrop and abundant recreational activities, Rancho Mirage offers a prestigious lifestyle in the heart of the Coachella Valley. 

NewHomeSource finds the cost of a new construction home in Rancho Mirage ranges from the low $700Ks to $1.7M as of March 2024. 

Conclusion

Whether the opulent lifestyle of Rancho Mirage, the art scene in Coachella, or the heart of Palm Springs itself draws you to this desert oasis, we trust that this guide has offered valuable insight in helping you determine whether Southern California's inland desert region is ideal for your next chapter in life. With its numerous attractions, moderate weather, and dazzling desert landscape, Palm Springs, CA, is a remarkable place to call home.

Explore new construction homes in Palm Springs, CA, today, or browse more Pulte® blogs. 

Written By: Jordan Thomson, Freelance Writer

Last Updated: 6/5/2025