The state of the housing market may be in uncertain times right now, but that won’t stop people from pursuing their dream of owning a home. If you are looking to make a down payment on a home, it is important to realize where your money will get you the farthest, especially if you are open to relocation. These are currently the top 5 cheapest states to own a home in.
Kentucky
As of 2021, the Bluegrass State has a median home value of $135,300, which is significantly cheaper than the U.S median value at $247,000. The state boasts a booming agricultural industry, but if you are looking to live in major population centers, look into Louisville or Frankfort. Both are nice cities with some good property available.
Oklahoma
The median home value of this midwestern state currently sits at around $131,000. On average, this $131,000 can get you a nice 1,508 sq ft sized home in Oklahoma. Although still not bad, the state property tax rate in Oklahoma is unfortunately the highest of any on this list, at 0.90%, which is worth keeping in mind. If you are looking to live in a larger city, try looking at Tulsa or Oklahoma City. If you are looking to keep it as cheap as possible, check out the towns of Muskogee and Lawton.
Arkansas
Arkansas comes in with a median home value of just $123,000, and it also has a much lower property tax rate than its neighbor to the west at just 0.63%, which is the tenth-lowest in the United States. This means that your annual property tax on the state median home would be just over $750. As far as where to live in Arkansas, look into its larger metropolitan areas such as Jonesboro, Little Rock or the college town of Fayetteville.
Mississippi
Although number 2 on this list, the state of Mississippi actually has the single lowest median value for homes at just $114,500. This number is incredibly less than half of the US median value, which is around $247,000. In addition to the cost, you can also get a nice value for your home here with an impressive median home size of 1,479 sq ft. Meridian, Gulfport and Greeneville are all incredibly affordable towns to look into in Mississippi.
West Virginia
As mentioned earlier, Mississippi is home to the lowest median home value in the nation. However, the reason that West Virginia is number 1 on this list is the fact that its median is just behind that of Mississippi at only $115,000 plus the fact that the property tax rate in West Virginia is just 0.59% compared to Mississippi’s 0.81%. West Virginia is a naturally beautiful state with an impressive tourism industry, making it a desirable place to live considering the price. Charleston and the Huntington-Ashland metropolitan area are some of the better places to live in the state.