Blog > Top U.S. States Where Buying a Home Is Still Affordable
As housing costs continue to rise across major metropolitan areas, more Americans are seeking alternative markets where homeownership remains within reach. While affordability may seem like a shrinking opportunity, several U.S. states still offer a chance to purchase property without overextending your budget.
In this blog, we explore the cheapest states to buy a house, based on current data and market trends. Whether you're a first-time homebuyer or considering relocation, understanding which states remain budget-friendly can help you plan wisely. For those looking to transition smoothly, platforms like HeroSold offer a reliable path to selling your current home before making the move.
What Defines an “Affordable” State to Buy a House?
Affordability isn’t only about the sticker price of a home. It includes a mix of:
- Median home price
- Cost of living index
- Property taxes and insurance rates
- Income-to-housing price ratio
A state might have low housing costs but high tax burdens or limited job opportunities. That's why we focus on a holistic measure of affordability. If you’re considering a big move, start by getting a free home evaluation to understand what your current home is worth.
Cheapest State to Buy a House in 2025: A Quick Snapshot
Here’s a quick look at the top affordable states by median home price:
State Median Home Price Notes
West Virginia $155,000 Lowest median price overall
Mississippi $165,000 Low property taxes
Arkansas $180,000 Strong rural housing stock
Alabama $190,000 Growing suburbs with low prices
Indiana $195,000 Balanced economy and pricing
Ohio $198,000 Multiple affordable metro areas
Missouri $200,000 Competitive market, low taxes
Source: U.S. Census Bureau, Zillow Housing Index, June 2025
Regional Breakdown of Affordable Housing in the U.S
The South
States like Mississippi, Alabama, and Arkansas offer the most budget-friendly home prices and low living costs. These are great options for families and retirees looking for long-term affordability.
The Midwest
With states such as Indiana, Ohio, and Missouri, the Midwest remains attractive for buyers looking for space, stability, and lower homeownership costs compared to coastal areas
The Great Plains
States like Kansas and Nebraska offer spacious rural homes and land at prices far below the national average, making them ideal for buyers willing to trade city living for peaceful, small-town life.
Why These States Remain Budget-Friendly
Lower population density → Less demand and competition
Slow-paced growth → Limited speculative pricing or bidding wars
Stable local economies → Fewer boom-bust cycles
Incentive programs → First-time buyer grants or rural lending options
Is It Worth Moving to a Cheaper State to Buy a House?
Relocating to a more affordable housing market comes with real benefits:
Pros:
Larger home for less
Lower taxes and insurance
Reduced monthly payments
Slower market = more buyer leverage
Cons:
Fewer high-paying job opportunities
Longer commutes or limited amenities
Possible culture shift or remote lifestyle adjustment
If you're considering this kind of move, sell your home faster by working with professionals who understand market timing and buyer interest.
What to Watch Out for When Buying in a Low-Cost State
Even in affordable markets, it's essential to evaluate these factors:
Natural hazards: Some states are prone to flooding, hurricanes, or tornadoes
Home condition: Rural properties might require repairs or updates
Lending requirements: Appraisals and inspections may face challenges in low-demand markets
Public services: Access to healthcare, internet, or transit might be limited
We recommend you call a professional real estate agent to help you weigh these variables before you commit.
Conclusion: Buying Smart in 2025
Homeownership doesn’t have to be out of reach. Whether it’s West Virginia, Mississippi, or Indiana, you still have options for affordable living if you’re willing to broaden your horizons. With careful planning, the right financing, and expert support, your next move can be both smart and budget-friendly.
Start by understanding the market value of your current home. Get your home evaluated, and work with a trusted team to simplify your relocation into one of America’s most affordable states.
FAQ
Q: What is the cheapest state to buy a house in the U.S. right now?
A: West Virginia has the lowest median home prices, currently averaging around $155,000.
Q: Should I move to a cheaper state to save on housing costs?
A: If housing affordability is a top concern, and you're flexible with location or remote work, it’s a strong financial strategy.
Q: What risks should I consider before buying in a low-cost area?
A: Think about job access, infrastructure, and property condition before purchasing in rural or lower-cost markets.
Q: How can I transition to a new state smoothly?
A: Start by requesting a free home evaluation and then work with a local real estate professional to coordinate your sale and relocation.
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