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With sky-high mortgage rates and sale prices, finding affordable housing has become more challenging. How can you find a home without breaking the bank? Some people have started moving to the cheapest states to buy a house. The low land prices might be too tempting to pass on. Here are the 10 most affordable states in 2025.
| State | Median Sale Price: |
| Iowa | $230,600 |
| Oklahoma | $245,900 |
| Louisiana | $253,200 |
| Indiana | $255,100 |
| Arkansas | $255,300 |
| Mississippi | $255,900 |
| West Virginia | $258,800 |
| Kentucky | $270,200 |
| Ohio | $275,461 |
| Kansas | $280,900 |
10. Kansas
| Median sale price | $280,900 |
| Median household income | $63,366 |
If you like sunflowers and flat lands, Kansas is one of the best and cheapest states to buy a house. Most of the state is rural, allowing plenty of opportunities to live a quiet lifestyle. The average home in Kansas is about $280,900, though it’s not the cheapest in the Great Plains.
Demand is relatively low across the Sunflower State, leading to more attractive prices. However, it depends on which half you live in. The eastern section of Kansas features Wichita, Kansas City, Topeka and Manhattan. These cities are either major metro areas or college towns and may have pricier houses.
9. Ohio
| Median sale price | $275,461 |
| Median household income | $62,952 |
Ohio may surprise you on this list because of its bustling metro areas. Columbus, Cleveland, and Cincinnati are excellent spots to live, although there is plenty of space in the rural areas. Low home prices are easier to find as you get closer to the Indiana and West Virginia borders. It’s also home to Broadview Heights, which is 97% safer than other areas nationwide.
The average home value in Ohio is $275,461 in 2025. One reason for the low home prices is the declining population. Experts say people are leaving the Buckeye State to retire in other states or find places with warmer weather.
8. Kentucky
| Median sale price | $270,200 |
| Median household income | $57,764 |
Is Kentucky in the South or the Midwest? The debate has raged on with varying opinions. Regardless of the location, the Bluegrass State is one of the most affordable. Kentucky properties have an average value of $270,200, making them accessible for first-time buyers.
One of the advantages of Kentucky is the diverse terrain. The eastern part of the state features the Appalachian Mountains, whereas the western section borders a small piece of the Mississippi River. If you want more urban living, head to Louisville, Frankfort or Lexington.
7. West Virginia
| Median sale price | $258,800 |
| Median household income | $57,197 |
The Mountaineer State has an average home value of around $258,800. In West Virginia, you’ll find rural communities with few metro areas. Charleston, Huntington and Morgantown are the prominent cities in the state.
West Virginia’s primary appeal is living in nature. The state has the Appalachian Mountains occupying much of the eastern side, letting you appreciate the great outdoors from your front porch. Additionally, West Virginia boasts the Monongahela National Forest and the Ohio and Kanawha Rivers.
6. Mississippi
| Median sale price | $255,900 |
| Median household income | $52,797 |
Mississippi homes have an average value of just $255,900 — a demonstrably lower price than most other states. The Magnolia State has low sale prices because it is primarily rural and in low demand. However, you shouldn’t write off the state.
Mississippi is one of the few states with prominent rivers and beach access. The state touches the Gulf of Mexico with white-sand beaches and has the Mississippi River on the western side. While the metro areas aren’t large, you can find southern hospitality in Jackson, Hattiesburg, Tupelo and Biloxi.
5. Arkansas
| Median sale price | $255,300 |
| Median household income | $54,772 |
The houses continue to get less expensive as you get to Arkansas. If you like mild temperatures and Southern food, Arkansas is an affordable option for your budget. The average house costs about $255,300, marking some of the cheapest prices in the Southeast. You can expect the cost of living to be about $1,787 including utilities and food.
Considering the average home value, Arkansas may be among the most underrated states. The Razorback State is one of the few with mountains that aren’t a part of Appalachia or the Rocky Mountains. Head to the Ozarks or the Ouachitas for fun family outings. Additionally, Arkansas has job opportunities with numerous corporate headquarters, such as Walmart and Tyson.
4. Indiana
| Median sale price | $255,100 |
| Median household income | $63,531 |
Indiana is a newer addition to the cheapest states to buy a house. Sale prices have lowered to an average of $255,100 in 2025. It’s the best time for anyone thinking about relocating to the Hoosier State to go house shopping now.
Some believe that the current housing marketing trends can be credited to the unemployment rate. The state saw it drop to about 4.1%, which is around the middle of the block for most states. Fewer capable buyers means a lack of competition.
3. Louisiana
| Median sale price | $253,200 |
| Median household income | $53,677 |
If you want to call the Bayou State your home, it’s become much cheaper. Louisiana’s average home value is about $253,200, depending on where you live. The houses in New Orleans can get expensive, especially if you look around the French Quarter. However, the rest of the state is relatively affordable.
One thing to consider about Louisiana homes is the state’s insurance crisis. Hurricanes have ravaged Louisiana for over two decades, leading to spikes in insurance costs. Policies were raised by more than 40 percent between 2021 and 2024. Numerous prominent insurers have left, thus leaving less competition.
2. Oklahoma
| Median sale price | $245,900 |
| Median household income | $58,729 |
If you like the flatlands, Oklahoma could be your next residence. It’s one of the cheapest states to buy a house in the Great Plains, considering the average home value was about $245,900. The Sooner State has urban areas like Oklahoma City, Tulsa and Norman, although there is plenty of rural land.
Now is an excellent time to move to Oklahoma because of the growing job market. Industries have moved here because of the business-friendly climate, which shows in the market conditions. The job opening rate increased to 5.3% in February 2025, higher than the national average.
1. Iowa
| Median sale price | $230,600 |
| Median household income | $63,225 |
With an average home value of $230,600, Iowa is one of the cheapest states to buy a house in 2025. The Hawkeye State is one of the cheapest states to buy a house because of its plentiful farmland and rural homes. Iowa also doesn’t have many major cities, meaning most of the state avoids the high urban prices.
While Iowa houses are pretty cheap, it’s essential to consider the extra costs when buying a home. For instance, property taxes in Hawkeye State are relatively expensive compared to those of some of its neighbors. Iowa has an effective property tax rate of 1.4%, one of the highest nationally.
Living in the Cheapest States to Buy a House
Affordability has become an issue in America’s housing market. Nowadays, buyers need high salaries to afford homes, thus leaving many to continue renting. Some prospective homeowners have turned to the cheapest states to buy a house. In any state, it depends on where you look. The rural areas tend to be more affordable because of their low demand. However, the urban areas will have higher costs, even if they’re small.
Originally published 2/23/2023 — Updated 5/6/2025
About The Author
Evelyn is the founder and editor-in-chief of Renovated with over 5 years of experience immersed in researching and writing on interior design, construction, and renovation. She is a passionate advocate for improving mental health and safety in the construction industry. When she's not writing, you can find her reading at coffee shops in Lancaster.
Her insights have resonated far beyond Renovated, gracing publications like the National Association of Realtors, Construction Executive, Fieldwire, DecorMatters, and Renewable Energy Magazine.
For more sharp takes on design, construction, and everything in between, you can follow Evelyn on Twitter at @renovatedmag.
