These Are the 10 States Where Homes Are Most Affordable

Do you live in one of the states with the lowest median home values?

With mortgage rates at record lows right now, many Americans are considering whether it's a good time to buy a home.

If you're financially prepared, there can be plenty of advantages to becoming a homeowner at a time when you can lock in a low mortgage rate. But home prices are also high due to low supply, so you'll still need to shop carefully to find an affordable home.

Recently, The Ascent examined the average house prices per state, which showed where homes are the most and least affordable. Based on our findings, these are the 10 states where homes have the lowest median value. Obviously, when homes have a lower value, they can be more affordable for the average person to buy.

Here are the 10 states with the lowest median home prices

The list below shows the 10 states where the average home price is the lowest, from least to most expensive.

1. West Virginia: West Virginia has the honor of having the lowest median home value of any state in the country. The average home in West Virginia has a value of just $107,064. This is substantially below the median home value of $646,733 in the country's most expensive state (Hawaii).
2. Mississippi: Mississippi also has a low median home value, with the average priced home coming in at $126,511.
3. Arkansas: Arkansas homes also have a low median value of $131,837. However, those who want to live in the state's best-known city can expect to pay a bit more. In the Little Rock-North Little Rock-Conway metro area, the average value of a home comes in at $149,223.
4. Oklahoma: The average home value in Oklahoma is $134,289. Condos in Oklahoma actually have the lowest median value of any state, at $83,881 so those who are interested in condo ownership will find them to be especially affordable.
5. Alabama: In Alabama, you'll find the average home value comes in at just $147,539.
6. Kentucky: Kentucky's median home value is $150,918. Its median condo value is very similar at $150,920. This is the smallest difference between median home value and median condo value of any state in the U.S.
7. Kansas: In Kansas, the median home value is $154,531.
8. Iowa: Iowa has a median home value of $155,781. Take a look at the city of Des Moines, where the median home value is $149,824 -- it's been named as one of the best places in the U.S. for high salaries and low living costs.
9. Ohio: The average home value in Ohio is $156,343.
10. Indiana: Finally, Indiana's median home value is $161,106. Indiana's Realtors Association reports that the June 2020 median sale price in Indianapolis was a bit higher, coming in at $219,000.

Is buying a home affordable for you?

If you live in one of these states with the 10 lowest median home values in the United States or you are considering relocating to one, it should be much easier for you to buy a home. The prices for an average house should be far below comparable homes in more expensive locales.

However, you still need to be sure you're financially ready for homeownership. That means having a down payment and an emergency fund saved, as well as a credit score that's good enough to qualify for a mortgage at the most affordable possible rate. You should also shop carefully for a loan, comparing rates from at least three mortgage lenders, to ensure you get the best deal.