As another record year for real estate comes to a close, many people are still hunting for their dream home.
And with the rise in remote work, many people are searching for a new place outside their existing zip code. Since median home prices have continued to rise over the past two years (and even hit an astonishing high of $350,300 in May) we put together a list of cities around the country where the average cost of a home remains under $300,000. Here are six cheap(ish) places to buy a home right now.
Little Rock, Arkansas
Median home value: $171,459
According to Zillow, Little Rock homeowners only need to spend an average of 11.4 percent of their income on their mortgage payment, which makes it an affordable market to move into. Homes in the city have seen a 5.3 percent increase since last year, and they are predicted to rise another 9.6 percent, making Little Rock a smart investment when it comes to real estate.
Baton Rouge, Louisiana
Median home value: $204,024
While the median price of homes in Baton Rouge went up by 6 percent in 2021, it’s still lower than the national average, coming in just under $200,000. Homeowners in Baton Rouge will also get to keep more of their paycheck, since Zillow says most people only need to spend about 12.4 percent of their earnings on their mortgage payment. All of those things have turned Baton Rouge into an appealing market, with 14.4 percent more homes being sold in 2020 than in 2019.
Louisville, Kentucky
Median home value: $211,827
Here homeowners only need to spend 12.9 percent of their income on their mortgage payment, making Louisville an inexpensive place to call home. And with public schools ranking slightly higher than the national average, people looking to call the Kentucky hub home need to move fast. Home sales are reportedly up 13 percent from last year, with many properties receiving multiple offers.
Oklahoma City, Oklahoma
Median home value: $171,910
Considering it only costs $1.96 to buy a gallon of milk, homeowners will enjoy a lower cost of living when they opt to buy in Oklahoma City. In fact, the city’s cost of living is estimated to be 14.6 percent below the national average. Like most places, it’s still a seller’s market in Oklahoma City, with the median time a property sits on the market hovering around 42 days.
St. Louis, Missouri
Median home value: $161,038
With a population of around 300,000, homeowners in St. Louis will get some big city perks with a suburban price tag. The average home price comes in under $200,000, far below the current national average of $303,000. The cost of living also remains low here at 12.6 percent below the US average. Because homes sell fast, often in under a week, they tend to go for more than asking (7 percent more in most cases). Which means if you want to buy in St. Louis, you need to be fast.
Tampa, Florida
Median home value: $259,155
The Sunshine State has a lot to offer prospective homeowners, with a cost of living 9.1 percent below the national average. While those who work and live in the city of Tampa may have lower salaries than average (they actually tend to trend about 15 percent lower than the national average) Tampa homeowners don’t have to pay income tax — meaning residents get to keep more of their paycheck. Of course, that could be why nobody is moving out of the city. Tampa’s inventory of homes for sale is down by almost 68 percent over the last year.
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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.
