What it costs to live in Louisville (Louisville/Jefferson County, KY-IN): what HUD considers a fair rent by number of bedrooms, the median household income of the metro area@if ($m['local_income_tax']) and the local income tax@endif, from official sources.
| Louisville | Source | |
|---|---|---|
| Population of the metro area | 1,402,509 (2025) | US Census Bureau, Metropolitan and Micropolitan Statistical Areas Population Totals: 2020-2025 (Vintage 2025, cbsa-est2025-alldata.csv) |
| Fair market rent, studio | $966 a month | HUD User, FY2026 Fair Market Rents, revised (FY26_FMRs_revised.xlsx) |
| Fair market rent, 1 bedroom | $1,047 a month | |
| Fair market rent, 2 bedrooms | $1,272 a month | |
| Fair market rent, 3 bedrooms | $1,625 a month | |
| Median household income | $74,305 a year (2024) | US Census Bureau, American Community Survey 2024 1-year, table B19013 Median household income (summary file) |
| Local income tax | 2.2% residents, 1.45% non-residents | Louisville Metro Revenue Commission, OL-3D instructions (tax year 2025) |
HUD's fair market rents (FY2026, area: Louisville, KY-IN HUD Metro FMR Area) are set at about the 40th percentile of what recent movers pay for a standard home, including utilities. Many listings ask more, so treat them as a floor for a budget, not an average.
How much of a typical income does rent take?
A one-bedroom at the fair market rent costs $12,564 a year, 17 % of the metro's median household income; a two-bedroom takes 21 %. The usual rule of thumb is to keep rent at or below 30 % of gross income: for a two-bedroom here that means about $50,900 a year before tax.
Local income tax
Louisville Metro charges an occupational license tax of 2.2% of pay for residents and 1.45% for non-residents who work there.
Taxes in these states
- Kentucky: minimum wage, income tax and sales tax
- Indiana: minimum wage, income tax and sales tax
- Take-home pay after federal and state tax
Sources
- US Census Bureau, Metropolitan and Micropolitan Statistical Areas Population Totals: 2020-2025 (Vintage 2025, cbsa-est2025-alldata.csv) (2026-10-12)
- HUD User, FY2026 Fair Market Rents, revised (FY26_FMRs_revised.xlsx) (2026-10-12)
- US Census Bureau, American Community Survey 2024 1-year, table B19013 Median household income (summary file) (2026-10-12)
- Louisville Metro Revenue Commission, OL-3D instructions (tax year 2025) (2026-10-12)