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20 States with the Lowest Average Home Prices

In this article, we will be analyzing the current situation of the US housing market while covering the 20 states with the lowest average home prices in the US. If you wish to skip our detailed analysis, you can move directly to the 5 States with the Lowest Average Home Prices.

Housing Across the US: An Analysis

On November 7, CNN reported that the US housing market has been the least affordable since 1984. As of November 2023, the principal and interest payments on a median-priced home almost cost 41% of the median household monthly income in the US. Many of the first-time buyers have given up on the idea of owning a house by choosing to rent one instead.  The price-to-income ratio is worse as the average home cost rises compared to the median income.

On November 28, Reuters reported that the persistent shortage of previously owned houses in the market led to a decline in the sales of new US homes by 5.6% in October. While monthly house sales rose in the Northeast and densely populated South, they went down in the West of the US since housing is relatively expensive there. In late October, the rate on the 30-year fixed-rate mortgage reached an average of 7.79%, its highest since 2000. However, it dropped to an average of 7.76% in the week ending November 2.

In order to attract buyers, US homebuilders continue to cut home prices. This is evident from the fact that the median house price in October was $409,300, down 17.6% year-over-year. According to The National Association of Homebuilders, more than a third of builders reported cutting home prices in November. With a strong demand for new construction, an increase in the permits for future home construction was recorded. You can also view the best places to live with lots of jobs and cheap housing.

Home Builders Leading the Market

The US home construction market offers a range of housing options to the population. Some of the known homebuilders in the country include LGI Homes, Inc. (NASDAQ:LGIH), Beazer Homes USA, Inc. (NYSE:BZH), and Berkshire Hathaway Inc.’s (NYSE:BRK-B) Clayton Homes.

LGI Homes, Inc. (NASDAQ: LGIH) is a leading American home construction company that operates across 36 markets in 21 states. The company has closed more than 65,000 homes up till now. On November 9, the company reported that its luxury brand, Terrata Homes, has started to sell homes in a master-planned community located in Texas. The community will be offering a wide range of amenities. Residents will have access to playgrounds, a dog park, sports courts, and fitness trails. Six new home designs are being offered, featuring spacious layouts and modern features. The prices for these homes start from around $340,000, with move-in-ready opportunities available. On October 10, LGI Homes, Inc. (NASDAQ: LGIH) announced the grand opening of its new community in Oklahoma which includes new construction homes starting at around $270,000.

Berkshire Hathaway Inc. (NYSE:BRK-B) is also involved in the home construction business. Clayton Homes, a subsidiary of Berkshire Hathaway Inc. (NYSE:BRK-B), is a builder of manufactured housing and modular homes in the United States. On November 30, the company reported the ongoing development of single-family homes in the Villages of North Laurel in London, Kentucky. These 53 Clayton-built CrossMod homes will be making housing more accessible to Americans during a period of low inventory. Through this development, Clayton Homes will be providing homeowners a low cost of ownership over the lifetime of their home by saving up to 50% on annual energy costs.

Beazer Homes USA, Inc. (NYSE:BZH) is another popular home construction company in the US. It currently builds houses in multiple states including Arizona, California, Delaware, Florida, Georgia, Indiana, Maryland, Nevada, North Carolina, South Carolina, Tennessee, Texas, and Virginia. On December 4, the company reported the launch of Energy Series Ready Solar Homes in Ellicott City, Maryland. Currently, the first model home built to Beazer’s Energy Series Ready Solar standards can be toured at Hampton Hills. These homes are meant to reduce carbon emissions, save energy costs, and improve the living experience for the homebuyers. Beazer Homes USA, Inc. (NYSE:BZH) was the first US national homebuilder to publicly commit to meeting the requirements of the U.S. Department of Energy’s (DOE) Zero Energy Ready Home program by the end of 2025. This program aims to achieve at least 40% to 50% greater energy efficiency than a typical new home.

You can also take a look at some of the affordable housing markets in the US in 2023. Now that we have taken a look at the housing dynamics in the US, let’s discuss the 20 states with the lowest average home prices.

20 States with the Lowest Average Home Prices

Our Methodology:

In order to compile a list of the 20 states with the lowest average home prices, we sourced data from Zillow, a leading real estate source. We used the average home value in every state as our metric. The most recent data on this metric was available as of October 2023. We ranked all US states in descending order of their average home prices.

20 States with the Lowest Average Home Prices

20. New Mexico    

Average Home Price: $293,040

The average home price in New Mexico was $293,040 in October. Several places in the state such as Roswell, Farmington, and  Las Cruces offer affordable housing. This ranks New Mexico among the states with the lowest average home prices.

19. South Carolina

Average Home Price: $287,065

The blend of city and coastal life attracts many Americans to South Carolina. The state is home to cheap housing in places such as Columbia, Rock Hill, and North Charleston thereby making South Carolina another state with low average home prices.

18. Wisconsin        

Average Home Price: $286,891

As of October, the average home price in Wisconsin was $286,89. The most affordable places to live in the state include Racine, Milwaukee, and Oshkosh. Hence, Wisconsin is one of the 20 states with the lowest average home prices.

17. Pennsylvania   

Average Home Price: $256,703

With an average home price of $256,703, Pennsylvania becomes another US state with a low average home price. Homes with lower median prices are available in Greenville, Monessen, and Franklin.

16. Illinois  

Average Home Price: $252,042

Illinois is another cheap US state in terms of housing. As of October, the average home price in the state was $252,042. Reasonably priced properties can be availed in Decatur, Peoria, Springfield, and Champaign.

15. North Dakota  

Average Home Price: $251,028

North Dakota recorded an average home price of $251,028 in October. Jamestown, Grand Forks, and Mandan are among the places deemed affordable for living in the state. Hence, North Dakota is one of the US states where the average home prices are low.

14. Nebraska 

Average Home Price: $249,973

With an average home price of $249,973, Nebraska ranks as one of the 20 states with the lowest average home prices in the US. Places in Nebraska offering relatively lower median house prices include Omaha, Grand Island, and Lincoln.

13. Missouri  

Average Home Price: $237,659

Florissant, Springfield, and Joplin are affordable places to settle in Missouri. The average home price in the state was recorded at $237,659 in October which makes it one of the US states that offer the lowest average home prices.

12. Michigan 

Average Home Price: $233,858

The average home price in Michigan is as low as $233,858 as recorded in October. This qualifies the state as one of the 20 states with the lowest average home prices. Reasonably priced properties can be availed in Detroit, Lansing, and Taylor.

11. Indiana

Average Home Price: $230,053

Indiana is another US state where the average home price is low. As of October, the average home price in the state was $230,053. Those who wish to seek cheap living in Indiana can consider places such as Gary, Muncie, and Terre Haute.

10. Alabama  

Average Home Price: $221,926

As of October, the average home price in Alabama was $221,926. Gadsden, Montgomery, and Bessemer are some of the least expensive places to live in the state. Hence, Alabama ranks as another US state with a low average home price.

9. Ohio       

Average Home Price: $218,216

Wellston, Conneaut, and Bellevue offer cheap housing options in Ohio. The state ranks as one of the 20 states with the lowest average home prices. As of October, the average home price in the state was recorded at $218,216.

8. Kansas   

Average Home Price: $216,854

Kansas is another relatively cheaper state for housing. As of October, the average home price in the state was $216,854. Topeka, Kansas City, and Wichita offer low-priced housing in the state.

7. Iowa       

Average Home Price: $210,484

Iowa is one of the 20 states with the lowest average home prices. As of October, the average home price in the state was $210,484. Waterloo, Davenport, and Cedar Rapids are affordable places to live in Iowa.

6. Louisiana  

Average Home Price: $199,312

The average home price in Louisiana was $199,312 as recorded in October. Cheap properties are available in Shreveport, Lake Charles, and Baton Rouge. Hence, Louisiana is one of the US states with the lowest average home prices.

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Disclosure: None. 20 States with the Lowest Average Home Prices is originally published on Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

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Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
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AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

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As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

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The “Toll Booth” Operator of the AI Energy Boom

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