Most Affordable States: Home Prices vs. Local Incomes
A cheap house in a poor state may be less affordable than an expensive one in a rich state. This ranking divides each state's median home value by its median household income — the number of years of gross income a typical home costs. By that measure Iowa is the most affordable state in America at 2.7x, while in Hawaii the median home costs 8.2x the median income.
Top 10 Most Affordable (Home Value ÷ Income)
Nationally, the median home costs about 3.9x the median household income. The most affordable states — led by Iowa and West Virginia — sit well under that line, and they share a profile: modest home prices paired with respectable mid-tier incomes, mostly in the Midwest and the interior South. The least affordable states are the mirror image, places where decades of housing demand have outrun local wage growth.
Affordability is the strongest single predictor of who owns a home: the states at the top of this list also post some of the highest homeownership rates in the country, while the states at the bottom rank among the lowest. For the two ingredients of this ratio ranked separately, see median home values by state and median incomes by state.
Full Rankings
| # | State | Value-to-Income | Home Value | Median Income | Homeownership |
|---|---|---|---|---|---|
| 1 | Iowa | 2.7x | $195,900 | $73,147 | 71.5% |
| 2 | West Virginia | 2.7x | $155,600 | $57,917 | 74.3% |
| 3 | Kansas | 2.8x | $203,400 | $72,639 | 66.9% |
| 4 | Ohio | 2.9x | $199,200 | $69,680 | 67.0% |
| 5 | Indiana | 2.9x | $201,600 | $70,051 | 70.3% |
| 6 | Oklahoma | 2.9x | $185,900 | $63,603 | 65.8% |
| 7 | Mississippi | 2.9x | $161,400 | $54,915 | 69.5% |
| 8 | Arkansas | 3.0x | $175,300 | $58,773 | 66.1% |
| 9 | Nebraska | 3.0x | $223,800 | $74,985 | 66.5% |
| 10 | Michigan | 3.1x | $217,600 | $71,149 | 72.9% |
| 11 | Illinois | 3.1x | $250,500 | $81,702 | 66.8% |
| 12 | Kentucky | 3.1x | $192,300 | $62,417 | 68.3% |
| 13 | Missouri | 3.1x | $215,600 | $68,920 | 67.9% |
| 14 | Alabama | 3.1x | $195,100 | $62,027 | 69.9% |
| 15 | Pennsylvania | 3.2x | $240,500 | $76,081 | 69.3% |
| 16 | North Dakota | 3.2x | $241,100 | $75,949 | 63.4% |
| 17 | Wisconsin | 3.3x | $247,400 | $75,670 | 67.9% |
| 18 | South Dakota | 3.3x | $236,800 | $72,421 | 68.6% |
| 19 | Texas | 3.4x | $260,400 | $76,292 | 62.6% |
| 20 | Louisiana | 3.5x | $208,700 | $60,023 | 67.3% |
| 21 | Minnesota | 3.5x | $305,500 | $87,556 | 72.4% |
| 22 | South Carolina | 3.5x | $236,700 | $66,818 | 71.4% |
| 23 | Georgia | 3.7x | $272,900 | $74,664 | 65.4% |
| 24 | Connecticut | 3.7x | $343,200 | $93,760 | 66.2% |
| 25 | North Carolina | 3.7x | $259,400 | $69,904 | 66.4% |
| 26 | Maine | 3.7x | $266,400 | $71,773 | 74.0% |
| 27 | Vermont | 3.7x | $290,500 | $78,024 | 72.8% |
| 28 | Alaska | 3.7x | $333,300 | $89,336 | 66.6% |
| 29 | New Mexico | 3.7x | $232,200 | $62,125 | 69.3% |
| 30 | Wyoming | 3.8x | $285,100 | $74,815 | 71.9% |
| 31 | Tennessee | 3.8x | $256,800 | $67,097 | 67.0% |
| 32 | New Hampshire | 3.8x | $367,200 | $95,628 | 72.5% |
| 33 | Maryland | 3.9x | $397,700 | $101,652 | 67.5% |
| 34 | Delaware | 3.9x | $326,800 | $82,855 | 72.3% |
| 35 | Virginia | 4.0x | $360,700 | $90,974 | 67.2% |
| 36 | New Jersey | 4.2x | $427,600 | $101,050 | 63.7% |
| 37 | Rhode Island | 4.3x | $368,800 | $86,372 | 63.2% |
| 38 | Florida | 4.5x | $325,000 | $71,711 | 67.3% |
| 39 | Arizona | 4.7x | $358,900 | $76,872 | 67.0% |
| 40 | New York | 4.8x | $403,000 | $84,578 | 54.3% |
| 41 | Montana | 4.8x | $338,100 | $69,922 | 69.4% |
| 42 | Utah | 5.0x | $455,000 | $91,750 | 70.6% |
| 43 | Idaho | 5.0x | $376,000 | $74,636 | 72.4% |
| 44 | Massachusetts | 5.2x | $525,800 | $101,341 | 62.6% |
| 45 | Nevada | 5.4x | $406,100 | $75,561 | 59.3% |
| 46 | Colorado | 5.4x | $502,200 | $92,470 | 66.3% |
| 47 | Washington | 5.5x | $519,800 | $94,952 | 63.9% |
| 48 | Oregon | 5.6x | $454,200 | $80,426 | 63.4% |
| 49 | District of Columbia | 6.8x | $724,600 | $106,287 | 41.1% |
| 50 | California | 7.2x | $695,400 | $96,334 | 55.8% |
| 51 | Hawaii | 8.2x | $808,200 | $98,317 | 62.5% |
The District of Columbia is included for comparison, although it is not a state.
Source: U.S. Census Bureau, American Community Survey (ACS) 5-Year Estimates.
About This Ranking
All figures come from the U.S. Census Bureau's American Community Survey (ACS) 5-Year Estimates, the Bureau's most reliable dataset for state and local statistics. Because estimates pool five years of survey responses, they describe a recent period rather than a single moment, and small differences between closely ranked entries may fall within the survey's margin of error. Learn more about the data on our methodology page or at data.census.gov.
More National Rankings
Frequently Asked Questions
What is the most affordable state to buy a house?
Measured by home prices relative to local incomes, Iowa is the most affordable state — the median home costs about 2.7x the median household income, versus 3.9x nationally.
What is the least affordable state?
Hawaii is the least affordable: the median home costs 8.2x the median household income, with a median home value of $808,200 against a median income of $98,317.
What is a good home price-to-income ratio?
A ratio around 3x has historically been considered comfortably affordable. The current national figure is about 3.9x, and state medians range from 2.7x in Iowa to 8.2x in Hawaii.