Finding the cheapest states to live helps stretch your dollar and invest in your future.
California and New York are among the most expensive states to live, but most people know that and can’t afford to live there. But, what about the cheapest states to live, do they exist? Where are the states with the lowest cost of living that offer just as much beauty and benefits as living on the far East or West Coast? Where can you live that has the lowest healthcare costs, taxes, childcare costs, and overall lowest cost of living?
Below we list the 10 cheapest states to live based on the cost of living adjusted income and median home value.
Oregon has a cost of living adjusted income of $46,700 and a median home value of $287,000. Rent in Oregon is right along with the median in the country and the same is true for its average utility costs. While Oregon does have high state taxes, the Beaver State has an abundance of beauty and cultural opportunities or those that want to settle in the west without paying the high prices of living in California. You get the beauty and culture of the West without the high prices.
Florida has a cost of living adjusted income of $47,000 and a median home value of $197,000. There’s good reason Florida is one of the most popular states to retire. Aside from its abundant sunshine, Florida offers affordable housing and median rent prices in line with the average rent in the US. Florida has low state income taxes and an overall low cost of living despite their slightly higher gas taxes. Floridians enjoy beautiful scenery, plenty of outdoor activities and lots of sunshine.
North Carolina’s cost of living adjusted income is $47,400 and has a median home value of $165,000. Among its low costs, North Carolina has a flat state income tax rate, charging everyone regardless of income level, the same rate while housing costs are low enough that many people can achieve the American Dream in this gorgeous state. If renting is your thing, North Carolina has an average rent cost that is almost $300 less than the national average.
Louisiana has a cost of living adjusted income of $48,000 and a median home value of $158,000. Louisiana’s low cost of living is attributed to its abundance of agriculture and petroleum production. This helps keep the daily cost of living down, making homeownership even more affordable. Louisiana is a diverse state with an abundance of cultural opportunities and economic opportunities making it a fun, yet affordable state to live.
Minnesota has a cost of living adjusted income of $48,000 and a median home value of $211,000. Minnesota boasts a low unemployment rate and affordable homes. While you can find a few cities here and there that cost more than others, overall, the cost of living in Minnesota is affordable. While you do need to love winter to live in Minnesota as it gets cold and it does have slightly higher state taxes than other states, its overall affordability makes it one of the cheapest states to live.
Michigan has a cost of living adjusted income of $48,400 and a median home value of $147,100. Almost 3/4 of Michigan residents own a home rather than rent, which tells you something about its affordability. Michigan also has low healthcare costs, and a flat income tax rate, but some cities add their own tax on top of it. Aside from its affordability, Michigan is a gorgeous state to live to ‘get away from it all.’
Texas has a cost of living adjusted income of $48,400 with a median home value of $161,500. While it may be the second-largest state, it’s one of the cheapest states to live. If homeownership isn’t your thing, rent is fairly low in the Lone Star State with an average cost of $700 according to Apartment List data. Perhaps what Texans love the most besides the Tex-Mex food is the lack of sales tax and estate tax charged in the state of Texas.
Indiana has a cost of living adjusted income of around $48,600 with a median home value of $134,000. With plenty of cultural opportunities for sports fans, art lovers, and outdoor adventurists, there’s something for everyone in Indiana. If you want to become a homeowner in Indiana, they boast some of the lowest property taxes and closing costs in the country, making it easier to achieve the American Dream.
Missouri has a cost of living adjusted income of around $42,000 with a median home value of just $151,000. Missouri offers both city and rural living opportunities to satisfy the city dweller or the privacy seeker. Experiencing all four seasons and with plenty of gorgeous scenery to enjoy, it’s easy to see why many people choose Missouri along with its low cost of living.
Delaware has the lowest cost of living adjusted income of around $48,000 and a median home value of $243,000. Along with its low housing prices, Delaware offers low property taxes, making it affordable to own your home whether it’s your first or you are looking to retire. Other reasons to live in Delaware include no sales tax, beautiful beaches, and plenty of cultural opportunities all while providing a cheap place to live.
Choose where you live based on numerous factors, not just that you love the weather. The cost of living affects your overall financial wellbeing. You want to live somewhere that you can comfortably afford your house, taxes, healthcare, education, and recreational activities. The top 10 cheapest states to live give you plenty of options that fit within any budget while providing you with an incredible place to live.