According to Homebuyer.com, Iowa is the cheapest state to buy a house in right now.
In August, Homebuyer.com used the median household income and the median home price in each state to determine the most affordable states in the U.S. to buy a house in 2022.
The list ranked each state based on the average percent of income it takes to cover monthly mortgage costs — from lowest to highest.
No. 1 cheapest state to buy a house in 2022: Iowa
Median home price: $147, 800
Median household income: $79,500
Estimated monthly mortgage payment: $702
Percentage income to PMT: 10.6%
Iowa came in at the top of the list with the lowest average median household income it takes to be able to afford a house.
Money Report
The largest housing markets in the Midwestern state include Des Moines, Iowa City, and Cedar Rapids.
Top 10 cheapest states to buy a house in 2022
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- Iowa
- Indiana
- Ohio
- Nebraska
- Kansas
- Mississippi
- West Virginia
- Oklahoma
- Michigan
- Arkansas
Indiana is the runner-up, with a median home price of $141,700 and an estimated monthly mortgage payment of just over $670.
The biggest cities in the state include Indianapolis, Fort Wayne, and Bloomington. It also is home to major colleges like Purdue, Ball State, and Indiana University.
The state that rounded out the top three was another one in the Midwest: Ohio. The Buckeye state's median home price is $145,700, and an estimated monthly mortgage payment of $692.24.
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