For many aspiring homeowners, the dream of owning a house can seem out of reach, especially with rising home values and increasing living costs.
However, there are places across the United States where the dream of homeownership remains attainable even on a modest income. There are states where you can afford a home on a $50,000 salary or less, according to data from a recent GOBankingRates study.1
1. West Virginia
In the heart of the Appalachian Mountains lies West Virginia, a state where a $32,418 annual salary is enough to comfortably afford a home. In 2024, the average home in West Virginia is priced at $155,080.
The overall cost of living here is significantly lower than the national average, by 20.6%.
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Residents find groceries to be 4.2% cheaper and utilities 14.1% less expensive than elsewhere in the country. However, healthcare costs are notably higher, 27% above the national average, adding a bit more to the budget.
2. Mississippi
Traveling south, Mississippi offers a similar allure for those with modest incomes. With a required salary of $35,674 to comfortably purchase a home, and an average home value of $170,653 in 2024, it’s a feasible choice for many.
The overall cost of living in Mississippi is 21.3% below the national average.
Groceries are 5.1% cheaper, and transportation is 16.6% less costly. While healthcare is slightly more expensive by 1.9%, utilities remain 2.9% cheaper, striking a balance for residents.
3. Louisiana
Further west, Louisiana presents another affordable option. Here, a salary of $40,813 is sufficient to comfortably buy a home valued at $195,240 in 2024. Louisiana’s overall cost of living is 10.1% less than the national average.
The state boasts lower grocery prices, 7.3% cheaper than average, and utilities that are 10.1% less expensive. However, healthcare costs are 13.2% higher, and transportation expenses are 8.2% more, which could affect the overall affordability for some.
4. Kentucky
In the rolling hills and vibrant towns of Kentucky, a salary of $41,058 is enough to comfortably secure a home. With the average 2024 home value set at $196,412, Kentucky offers a relatively affordable living option.
The overall cost of living in the state is 17.7% below the national average, making daily expenses more manageable.
Residents enjoy groceries that are 5.8% cheaper and utilities that cost 7.1% less than the national norm. Although healthcare expenses are slightly higher, by 2.2%, the lower cost of transportation, which is 10.9% cheaper, helps balance the budget.
5. Arkansas
Traveling southwest to Arkansas, the situation is even more favorable for homebuyers. A salary of $41,467 is needed to comfortably afford a home priced at $198,364 in 2024.
Arkansas boasts an impressive 22.5% reduction in the overall cost of living compared to the national average.
Groceries here are 7.3% cheaper, and healthcare costs are notably lower by 7.9%. Utilities are 4.4% less expensive, and transportation costs are 18.4% lower, creating a very affordable environment for its residents.
6. Oklahoma
Heading west, Oklahoma presents another attractive option for potential homeowners. With a minimum salary of $41,840 required to comfortably buy a home valued at $200,153 in 2024, Oklahoma’s affordability is evident.
The overall cost of living is 17.8% lower than the national average.
Groceries are 7.7% cheaper, and transportation costs are reduced by 10.8%. However, healthcare expenses are a bit higher, at 13.8% above the national average, while utilities remain nearly the same, with just a 0.3% reduction, balancing out the overall living costs.
7. Iowa
In Iowa, a salary of $44,394 is sufficient to comfortably purchase a home, with the average home value standing at $212,367 in 2024. Iowa offers a 19.9% reduction in the overall cost of living compared to the national average, making it a budget-friendly option.
Residents benefit from groceries that are 5.6% cheaper and utilities that are slightly reduced by 1.5%. However, healthcare costs are 8.2% higher than the national average.
The most notable saving is in transportation, which is a remarkable 28.6% cheaper, easing the overall financial burden.
8. Kansas
Heading southwest to Kansas, a slightly higher salary of $45,533 is needed to afford a home priced at $217,817. Despite the higher cost of living, which is 16.9% below the national average, Kansas remains an affordable choice.
Groceries are 7% cheaper, but healthcare expenses are up by 3.9%. Utilities are somewhat more expensive, by 4.4%, though transportation costs are notably lower, at 20.7% below the national average, balancing out the overall affordability.
9. Alabama
In Alabama, the salary requirement of $45,572 is found to be enough to comfortably manage a home valued at $218,004 in 2024. The overall cost of living in Alabama is 15.9% less than the national average.
Groceries are 5.6% cheaper, and transportation is 14.1% less expensive, making day-to-day expenses more manageable. However, healthcare costs are significantly higher, by 18.9%, and utilities are slightly up by 1.2%, creating a mixed but still relatively affordable living environment.
10. Ohio
In the Buckeye State of Ohio, a salary of $45,683 is all that’s needed to comfortably afford a home, with the average home value reaching $218,535 in 2024. Ohio’s overall cost of living is notably lower, at 17.3% below the national average.
Residents benefit from groceries that are 3.9% cheaper and healthcare that is a substantial 11.3% more affordable. Utilities remain on par with the national average, while transportation is a considerable 16.1% cheaper, contributing to a balanced, budget-friendly lifestyle.
11. Michigan
Traveling north to Michigan, the scenario shifts slightly. Here, a salary of $48,106 is required to manage a home valued at $230,125. Michigan’s cost of living is 8.5% below the national average, offering some financial relief.
Groceries are 6.6% less expensive, and healthcare is a significant 15.2% cheaper. However, utilities are marginally more costly, by 0.1%, and transportation expenses are 15.1% higher, which might affect the overall affordability for some residents.
12. Indiana
In Indiana, the cost of homeownership requires a salary of $48,347 to comfortably afford a home priced at $231,278. Indiana presents a compelling option with a 16.3% reduction in the overall cost of living compared to the national average.
Groceries are 7.1% cheaper, and healthcare costs are reduced by 5.6%. Utilities are also slightly cheaper, by 2.8%, and transportation costs are 14.6% lower, making it a cost-effective choice for many.
13. Missouri
Missouri is revealed to require a salary of $49,921 to comfortably purchase a home valued at $238,808. The overall cost of living in Missouri is 14.4% below the national average.
Residents enjoy groceries that are 5.1% cheaper and utilities that are 1.5% less expensive. However, healthcare costs are 4.3% higher, and transportation is 13.8% cheaper, creating a mixed but generally affordable living environment.
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Davin is a jack-of-all-trades but has professional training and experience in various home and garden subjects. He leans on other experts when needed and edits and fact-checks all articles.