>An average household uses around .75 cubic meters of water per day, and it takes around 3.5 kWh to desalinate that much water using reverse osmosis (at scale, probably some best case. I didn't look too hard).
>On Silicon Valley Power (suck it PG&E losers), I pay around $0.11/kWh. So a full day's water would cost me around $0.40, or around $12/month if I were to somehow magically do this process at home. That is around 1/10th of my current water bill. That leaves plenty of room to still pay for equipment, distribution, etc.
That's only the electricity cost. The total cost, factoring in operating costs as well as capital expenditures range from $0.60/m³ to $1.86/m³, with the lower end being $1.63 if we only include first world countries. That leads to a per month cost that's a few times higher than your initial estimate.