With inflation biting in big cities, more Americans are looking for states where their money stretches further.
Housing, groceries, utilities, and taxes all matter.
Here’s where affordability is strongest in 2025.
Alabama
Low housing costs and cheap groceries keep living expenses down.
Ranked among 2025’s top affordable states by Extra Space Storage.
Trade-off: healthcare access and rural infrastructure can lag.
Arkansas
Strong cost-of-living score thanks to low housing and utility bills.
Regularly lands in top 10 cheapest states.
Drawback: lower wages and fewer urban amenities.
Kansas
Affordable housing, moderate taxes, and low utility costs.
Midwest location offers stability for families and retirees.
Watch out for weather extremes and rural limitations.
Mississippi
The lowest cost of living index in the U.S. (~83.3 in 2025).
Housing index near 66 makes it the cheapest for homebuyers.
Caveat: lowest median household income in the country.
Missouri
6th lowest cost of living in Q2 2025 (index ~89.0).
Affordable housing in many cities, with balanced amenities.
Property tax variations by county can shift affordability.
Nebraska
Steady cost savings in housing and transportation.
Safe bet for families seeking Midwest stability.
Winters and rural spread can raise hidden costs.
Oklahoma
Top “cheapest state” in several 2025 rankings.
Low housing, groceries, and transportation costs.
Tornado Alley risks and healthcare quality are trade-offs.
Tennessee
Low overall costs and no state income tax.
Nashville and Memphis add culture without NYC prices.
Growing demand in cities pushes housing up slightly.
West Virginia
Consistently among most affordable for housing and utilities.
Scenic mountain living with low grocery costs.
Downsides: weak job market and limited infrastructure.
Prediction: Affordability vs. Opportunity
The most affordable states in 2025 cluster in the South and Midwest. Mississippi and Oklahoma dominate raw cost metrics, but affordability isn’t everything. True value depends on balancing low expenses with jobs, healthcare, and quality of life. Expect migration toward these states to continue — especially from high-cost coasts.
