When it comes to buying a house in the United States, affordability is a crucial factor. In this article, we will explore the top 10 cheapest states to buy a house in 2023, based on the Zillow Home Value Index. With the rising cost of living, finding an affordable place to live has become increasingly important for many Americans.
The Top 10 Cheapest Housing Markets in the US
1. West Virginia
With a Zillow Home Value Index of $155,148, West Virginia is the most affordable state to buy a house in the US. Despite its low home prices, the state boasts natural beauty and outdoor recreation opportunities, making it an attractive option for homebuyers on a budget.
2. Mississippi
Mississippi has a Zillow Home Value Index of $176,655, making it the second cheapest state to buy a house in the US. The state offers a low cost of living and a rich history but also faces challenges such as high poverty rates and limited job opportunities.
3. Oklahoma
With a Zillow Home Value Index of $198,995, Oklahoma is the third cheapest state to buy a house in the US. The state is known for its friendly people, diverse landscape, and affordable cost of living, making it an attractive option for homebuyers looking for affordable housing.
4. Arkansas
With a Zillow Home Value Index of $199,830, Arkansas is the fourth cheapest state to buy a house in the US. The state is known for its natural beauty and Southern charm and offers a low cost of living and affordable housing options.
5. Louisiana
Louisiana has a Zillow Home Value Index of $200,028, making it the fifth cheapest state to buy a house in the US. The state is famous for its food, music, and culture but also faces challenges such as high crime rates and vulnerability to natural disasters.
6. Kentucky
Kentucky has a Zillow Home Value Index of $201,843, making it the sixth cheapest state to buy a house in the US. The state is famous for its bourbon, horse racing, and Southern hospitality and offers a low cost of living and affordable housing options.
7. Iowa
With a Zillow Home Value Index of $211,572, Iowa is the seventh cheapest state to buy a house in the US. The state is known for its agriculture and friendly people and offers a low cost of living and affordable housing options.
8. Kansas
Kansas has a Zillow Home Value Index of $216,151, making it the eighth cheapest state to buy a house in the US. The state is known for its prairies, wheat fields, and friendly people and offers a low cost of living and affordable housing options.
9. Ohio
Ohio has a Zillow Home Value Index of $219,781, making it the ninth cheapest state to buy a house in the US. The state is known for its industrial history, sports teams, and affordability, with many cities offering a low cost of living and affordable housing options.
10. Alabama
With a Zillow Home Value Index of $222,005, Alabama is the tenth cheapest state to buy a house in the US. The state is known for its Southern hospitality, history, and Gulf Coast beaches and offers a low cost of living and affordable housing options.
These affordable housing markets may still offer various amenities, including access to outdoor recreation, cultural attractions, and local businesses. Whether you're looking to relocate or invest in a second property, these cheapest housing markets in the US can be excellent options to consider.
Most Affordable Counties to Buy a House in the US
If you're looking for specific counties with affordable housing, here are the top 10 cheapest counties in the United States to buy a house according to the Zillow Home Value Index (ZHVI) as of March 31, 2023:
1. McDowell County, WV
With a ZHVI of just $30,122, McDowell County is the most affordable county in the country to buy a home. Located in the southern part of West Virginia, McDowell County has a rich cultural history and is home to the McDowell County War Museum and Coal Heritage Trail.
2. Wyoming County, WV
Wyoming County has a ZHVI of $46,292 and is a rugged mountainous region with a rich history of coal mining. The county is also a popular destination for outdoor recreation, including hiking, fishing, and hunting.
3. Phillips County, AR
With a ZHVI of $48,495, Phillips County is a rural area with a rich agricultural history. The county is known for the production of rice, soybeans, and cotton and is home to numerous farms and farmers' markets.
4. Alexander County, IL
Located along the scenic Mississippi River, Alexander County has a ZHVI of $50,579. The county is known for its picturesque landscapes and outdoor recreation opportunities, including hiking, boating, and fishing.
5. Harmon County, OK
Located in the southwestern part of the state, Harmon County has a ZHVI of $52,662. The county is known for its expansive grasslands and rugged terrain and is a popular destination for hunting and fishing.
6. Hardeman County, TX
With a ZHVI of $58,236, Hardeman County is a rural area with a rich history of ranching and agriculture. The county is also home to the historic Old Mobeetie Texas Ghost Town.
7. East Carroll Parish, LA
With a ZHVI of $61,786, East Carroll Parish is located along the Mississippi River and is known for its diverse wildlife and hunting opportunities. The parish is also home to the Poverty Point National Monument, a UNESCO World Heritage Site that dates back over 3,000 years.
8. Cochran County, TX
With a ZHVI of $62,534, Cochran County is a rural area known for its scenic beauty. The county is home to vast fields of sunflowers and picturesque wind turbines, as well as the historic town of Morton.
9. Bertie County, NC
With a ZHVI of $63,823, Bertie County is a rural area with a rich history dating back to colonial times. The county is home to the charming town of Windsor and numerous historic sites, including the Hope Plantation and Somerset Place State Historic Site.
10. Claiborne Parish, LA
Claiborne Parish has a ZHVI of $78,549 and is home to scenic waterways and state parks, including Lake Claiborne State Park. The parish is also known for its rich cultural heritage and historic landmarks, including the Louisiana Political Museum and Hall of Fame.
Most Affordable Cities for Homebuyers
Another report published on Forbes in October 2022 identified the top 10 most affordable cities for homebuyers. These cities were chosen based on factors such as median income, average home costs, and median real estate taxes. Here are some highlights:
1. Detroit, Michigan
Detroit ranks first on the list of the most affordable areas to buy a property. Despite having a lower median salary, house costs are also among the lowest. Detroit offers incredibly low monthly mortgage payments, making it an attractive option for homebuyers on a budget.
2. Cleveland, Ohio
Cleveland is not only a cheap city but also a vibrant one. With its location on Lake Erie, residents can enjoy water activities and boat parties. The median salary in Cleveland is slightly lower than the national average, making it an affordable option for homebuyers.
3. Toledo, Ohio
Toledo ranks third on the list of most affordable housing markets for buyers. Its excellent geographical location allows residents to easily access Detroit, Cleveland, and Chicago. Despite a struggling economy in the past, Toledo is making progress towards a brighter future.
4. Memphis, Tennessee
Memphis is one of the most affordable cities in the US, with a cost of living 19% lower than the national average. Residents of Memphis do not have to pay state income tax, which allows them to save even more money.
5. Baltimore, Maryland
Baltimore offers affordable housing options compared to other cities in Maryland. While the median home listing price is higher than in the previously mentioned cities, Baltimore provides various amenities and attractions.
6. Rochester, New York
Rochester is an affordable city that has seen significant returns on real estate investments. It offers a lower cost of living compared to larger cities in New York State.
7. Milwaukee, Wisconsin
Milwaukee is an attractive destination for those looking for affordable housing. Its median home listing prices are almost half as much as Chicago, making it an ideal option for those looking to escape more expensive metro areas.
8. Montgomery, Alabama
Montgomery offers inexpensive homes, a robust economy, and promising career opportunities. It has the lowest median annual real estate taxes on the list, making it a favorable location for budget-conscious homebuyers.
9. Buffalo, New York
Buffalo is the most affordable housing market in New York State. With its ongoing revitalization efforts, the city offers a vibrant atmosphere and a wide range of entertainment options.
10. Kansas City, Kansas
Kansas City offers affordable housing options with median listing prices below $200,000. With its pleasant people, entertaining activities, and delicious barbecues, it's a great option for budget-conscious buyers.
Whether you're looking to buy a house in an affordable state, county, or city, there are plenty of options available across the United States. Consider these locations and their unique offerings when making your decision.
