Many people choose the cheapest places to live in the US because of the low cost of living. When people talk about the United States, famous and major cities like New York or Los Angeles may come to mind first. Living in these metropolitan areas is not cheap. Statistics show that New York City is one of the most expensive cities to live in the world, mainly due to its high rent and property prices. If you want to stay in the US and have a high quality of life, the cheapest cities in the US can offer you a delightful and relaxed living experience.
Determining the Cheapest Cities in the US
The United States does not have an agency or organization that specializes in calculating the cost of living. The U.S. Census Bureau is responsible for estimating the population of each state, and they may also collect other data, such as median household income. Other organizations compile multiple sources of data and compile their own lists of the most affordable cities in the U.S., as well as rankings of the U.S. cities with the lowest cost of living.
Our list of cheapest places to live in the US is from ValueColleges, which ranked the 50 most affordable cities in the US. The data is based on the following elements:
- Arts, culture, and academic activities
- Percentage of citizens with a college education
- Cost of rent
- Local unemployment rate
Top 10 Cheapest Places to Live in the US
A penny saved is a penny earned. Choosing the cheapest and best places to live in the US can help people save living expenses, reduce financial burden and make them happier. Now, let’s take a look at where is the cheapest place to live in the US.
1. Fargo, North Dakota
| Average cost of living in Fargo | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3761 | 1,015 | 272 |
Fargo is a city in Cass County, North Dakota. A population of more than 125,990 makes it the most populous city in the state. As the most inexpensive place to live in the United States, it is the best place to study abroad while saving money. In addition, it is a cultural, retail, healthcare, educational, and industrial center for southeastern North Dakota and northwestern Minnesota. There are many museums in Fargo, such as Bonanzaville, a museum complex consisting of many of the area’s historic buildings, and the Fargo Aviation Museum, which displays a collection of many World War II aircraft.
2. Boulder, Colorado
| Average cost of living in Boulder | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 5355 | 1,900 | 310 |
Boulder is not only a hippie hangout but also an educational base. Boulder is one of the most educated cities in the U.S., with 58% of the population holding a bachelor’s degree, and the University of Colorado is a top choice for locals. One of the cheapest cities to live in the US, Boulder is also suitable for doing outdoor sports. Rock climbing, rugby, biking, and hiking are among the city’s most popular sports.
3. Ithaca, New York
| Average cost of living in Ithaca | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 2939 | 1,650 | 307 |
Located on the southern shore of New York’s Cayuga Lake, Ithaca is the college town of Cornell University and Ithaca College. The influx of healthcare, technology, and tourism in recent years has energized the city’s businesses. It is one of the cheapest locations to live in the US. If you are a foodie, living in Ithaca will make you happier. The Ithaca Farmers Market brings together 150 vendors from in and out of town to supply Cornell students with fresh fruits, vegetables, and dairy products.
4. Madison, Wisconsin
| Average cost of living in Madison | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 4454 | 1,623 | 303 |
Madison is a great place for biking, with an extensive network of bike paths and many parks. It also has the most playgrounds among the 100 largest American cities. Madison is the best affordable place to live in the US. It has a rapidly growing economy, with healthcare, biotechnology, and advertising sectors on the rise, attracting startups in various related fields. There is a strong sports culture throughout the city. People take pride in the Badgers at the University of Wisconsin-Madison, as the school’s basketball and football teams strive to compete for national championships each year.
5. Ames, Iowa
| Average cost of living in Ames | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3705 | 1,000 | 352 |
Located in the heart of the Midwest and Iowa, Ames is known for its stable economy, thriving cultural environment, comprehensive healthcare, top-rated schools, acres of parks, and recreational opportunities. It is a cost-effective city to live in the US. The cheapest living cost in the city has earned it the number nine spot on CNNMoney’s “America’s Best Places to Live” list. Iowa State University is located in Ames, with leading colleges of agriculture, design, engineering, and veterinary medicine. Ames Laboratory, a national laboratory of the U.S. Department of Energy, is located on the ISU campus.
6. Lincoln, Nebraska
| Average cost of living in Lincoln | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3743 | 1,050 | 210 |
Lincoln is the capital of Nebraska and is also the second most populous city in Nebraska. Every fall, the city hosts football games. There are also many places for music festivals. The city’s 125 parks are connected by 133 miles of trails. A marathon and half-marathon are held every May, which is very spectacular. This cheap US city allows residents to not only have a better life but also enjoy the dopamine that comes with sports.
7. Charlottesville, Virginia
| Average cost of living in Charlottesville | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 4656 | 2,000 | 288 |
Charlottesville is an independent city in the Commonwealth of Virginia. National publications consistently rank the city as “one of the best places to live in the United States.” As one of the most affordable places to live in the United States, Charlottesville is also an ideal college town, with many architectural buildings, a beautiful natural environment, a strong sense of community, and a cultural heritage. It is also one of the most affordable places in the United States. The University of Virginia is the only institution in North America listed as a World Heritage Site by UNESCO.
8. Missoula, Montana
| Average cost of living in Missoula | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3607 | 1,460 | 274 |
Missoula is a city in the U.S. state of Montana, located along the Clark Fork River and at the confluence of five mountain ranges. If you want to find the cheapest place in the US to live, Missoula will not disappoint you. It has unrivaled natural beauty, with 400 acres of parks in and around the city. It is also a habitat for white-tailed deer, black bears, osprey, and bald eagles, and neighboring Mount Jumbo is home to elk and mule deer in the winter. Missoula is also rich in cultural resources, with many good concerts and shows each year and a regular documentary film festival.
9. Bridgeport, Connecticut
| Average cost of living in Bridgeport | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3416 | 2,000 | 279 |
Bridgeport is one of the most affordable cities in the US, attracting many people immigrating here. Now, it has become the most populous city in Connecticut. Bridgeport has many schools, including the University of Bridgeport and St. Vincent’s College. Expenditures in education and healthcare typically take up a percentage of the budget. Dubbed the “City of Parks,” this city boasts hundreds of acres of green space. Residents can also have the opportunity to enter a number of festivals and concerts throughout the year, such as the Gathering of the Vibes.
10. Iowa City, Iowa
| Average cost of living in Iowa City | ||
|---|---|---|
| Net salary (Monthly)/$ | Rent (monthly)/$ | Utilities(monthly)/$ |
| 3,758 | 1,783 | 303 |
Iowa City is a vibrant and cultural city with one of the lowest costs of living in the United States. This is entirely due to the Writers’ Workshop program at the University of Iowa, which is considered the number one American creative writing program in the long term. With the development of the program, a lot of writers are cultivated over the past 80 years. Additionally, Iowa City is designated a “City of Literature” by UNESCO. Living here, you can enjoy nationally recognized jazz festivals, art festivals, summer outdoor movies, and free Friday night concerts.
How to Choose the Best Cheapest Places to Live in the US
Since every family’s financial situation is different, you may need to do more surveys to figure out the nicest cheapest places to live in the US based on your expected income and expenses. Below are several factors you need to consider:
- Income taxes
In the US, everyone must pay federal income tax, and some states impose state income tax. States like Texas, Tennessee, and Florida do not have income tax, but other taxes, such as sales and property taxes, can still affect the cost of living. Therefore, not having a state income tax doesn’t guarantee a lower cost of living.
- Affordable housing
Housing costs can take up a large portion of living expenses, so it’s crucial to consider the affordability of housing. Home prices are usually lower than the national average in states with a lower cost of living. When planning to rent or buy a home, you must compare the average rent or home prices in each area before deciding where to live.
- Average household income
In the U.S., each state can set its minimum wage as long as it does not fall below the federal minimum. The minimum wage is sometimes relatively high in states with a higher cost of living, such as Washington and California. To find out if the expected income will maintain the desired quality of life, you have to consider the minimum wage and unemployment rate in each state.
Conclusion
There are many options for the cheapest places to live in the US. Some are in a big city, and others are in a small town. From Fargo, Boulder and Ithaca to Madison and Ames, these cities offer low cost of living, reasonable housing prices, and a high quality of life. Factors such as low property taxes, vibrant local economies, and attractive environments make these areas appealing to those who want to save money.
FAQ
Where is the nicest but cheapest place to live?
When seeking a balance between affordability and quality of life, look no further than Boise, Idaho. It is a blend of scenic beauty, a low cost of living, and a burgeoning cultural scene that takes a lot of work to find elsewhere.
What is the safest and cheapest place to live in the USA?
Wichita, Kansas, is the best place in the quest for affordability without compromising the quality of life. It is an attractive destination for individuals and families seeking a balance between economic viability.
What is the most affordable state to live in the US?
We have found Missouri to stand out as the frontrunner. Known for its low cost of living, affordable housing, and reasonable healthcare costs, Missouri emerges as a beacon for those seeking a balance between affordability and a rich quality of life.
