Valley City consistently comes up in affordability rankings for North Dakota, and the numbers behind that reputation are worth understanding before you sign a lease. The city’s overall cost of living index sits around 85, about 15% below the national average. Not every category runs cheap, but the ones that matter most for renters, housing and utilities, are where the savings are most significant.

We are Valley Bridges Properties, and we manage rentals across Valley City. Browse our available properties or apply online to get started.

Rent

Rent in Valley City runs well below both the national average and the North Dakota state average. According to CoStar market trend data via Apartments.com, the average rent in Valley City as of late 2024 was around $555 per month for a one-bedroom apartment. Studios averaged around $422, two-bedrooms around $723, and three-bedroom units came in at $908 and above.

The national average rent as of 2025 runs around $1,560 to $1,628 per month depending on the source. Valley City’s average sits roughly 64% below that figure. The North Dakota statewide average runs around $960 per month as of mid-2025, which means Valley City also comes in well below the state average.

Rent in Valley City increased modestly in 2024, and area prices overall were up about 0.8% year over year as of early 2025 per Salary.com. That is a slower rate of increase than most comparable markets across the country.

Utilities

Valley City runs on a city-owned electrical division that has provided below-market electricity rates since 1902. North Dakota’s residential electricity rate is 11.64 cents per kilowatt hour as of June 2026, the lowest statewide average in the country per Electric Choice, compared to a national average of 17.65 cents. The average monthly electricity bill in North Dakota runs around $122.

Valley City’s utilities cost of living index sits at 88, about 12% below the national average. The national average combined utility bill runs around $564 per month in 2026 per HireAHelper. Renters in Valley City can expect to pay meaningfully less than that, though winter heating costs push bills higher from November through March. Natural gas forced air is the most common heating setup, and winter is not the context in which to be in a poorly insulated unit.

Groceries

Groceries in Valley City run slightly above the national average, with a cost of living index of 110. This is one of the few categories where Valley City does not come in below the national benchmark. 

The state overall runs about 4% below the national average on groceries per RentCafe’s March 2026 data, but Valley City’s smaller retail base means less competition and somewhat higher prices than in larger North Dakota cities. Residents who shop in bulk or make occasional trips to Fargo, about 60 miles east on I-94, can offset some of this.

Transportation

Valley City’s transportation cost of living index sits at 100, equal to the national average. There is no public transit in the city, so a car is not optional. The average commute in Valley City runs 8 minutes, which keeps fuel costs and vehicle wear lower than in cities with longer commutes. This of course varies depending on your commute, especially if your job requires you to drive longer distances to other metro areas such as Fargo (which is roughly an hour away).

Gas prices in North Dakota track closely with the national average, and the short distances involved in most daily life activities within the city keep per-mile costs manageable.

Healthcare

Healthcare in Valley City indexes at 116, about 16% above the national average. CHI Mercy Health operates at 570 Chautauqua Blvd and is the primary healthcare facility in the city. North Dakota overall runs about 6% below the national average on healthcare costs per RentCafe, but Valley City’s index reflects the limited provider competition in a smaller market. Renters with employer-sponsored health coverage will feel this less directly than those paying out of pocket.

Income and Taxes

The median household income in Valley City runs in the low-to-mid $40,000s for renters, below the national median. North Dakota’s income tax rates are among the lowest in the country, with a top marginal rate of 2.5%. The state does not tax Social Security benefits. Property taxes run below the national median. For renters, the direct tax burden is relatively light compared to most U.S. states.

The 30% rule of thumb for housing affordability, spending no more than 30% of gross monthly income on rent, is easier to meet in Valley City than in most U.S. markets given the gap between local rent levels and the national average.

The Full Picture

Housing and utilities are the two categories where Valley City delivers the most meaningful savings against the national average. Groceries and healthcare run above average, and transportation sits at par. For a renter coming from a major metro, the net effect is a monthly cost of living that is substantially lower, even accounting for the categories that do not favor Valley City.

Ready to Rent in Valley City?

The numbers on this page give you a working picture of what it costs to live here, but the rental market in a city of 6,575 moves faster than any index. Units across our portfolio cover apartments, townhomes, and single-family homes at price points that reflect the affordability Valley City is known for, and our leasing team can walk you through what is available before you apply.

Browse our current listings and apply directly at Valley Bridges Properties.

Frequently Asked Questions

What is the average rent in Valley City, ND in 2026? 

Based on CoStar market trend data via Apartments.com through late 2024, the average rent in Valley City runs around $555 per month for a one-bedroom apartment. Studios average around $422, two-bedrooms around $723, and three-bedroom units at $908 and above. Valley City’s average sits roughly 64% below the national average rent of around $1,560 to $1,628 per month.

How do utility costs in Valley City compare to the national average? 

Valley City’s utilities cost of living index sits at 88, about 12% below the national average. North Dakota has the lowest residential electricity rate in the country at 11.64 cents per kilowatt hour as of June 2026, compared to a national average of 17.65 cents. Winter heating costs push utility bills higher from November through March.

Are groceries cheaper in Valley City, ND? 

No. Valley City’s grocery cost of living index sits at 110, about 10% above the national average. The city’s smaller retail base limits competition. Residents who shop in bulk or make occasional trips to Fargo can offset some of the difference.

What is Valley City’s overall cost of living index? 

Valley City’s overall cost of living index sits around 85, about 15% below the national average. Housing has the largest impact, with an index of 57, well below the national baseline of 100.

Does North Dakota have a state income tax? 

Yes, but rates are among the lowest in the country. North Dakota’s top marginal income tax rate is 2.5%. The state does not tax Social Security benefits, and property taxes run below the national median.