New Mexico: $101/square foot, $315,000 average price 6. Before we start the list, we need to make one thing clear: while cheap real estate is attractive for getting into real estate investing, price alone does not guarantee high returns. According to Zillow, as of April 2019 the median price per square foot is just $1.22 for a home in West Virginia, with an average size of 60,992 square feet. Existing Home Sales Up 21% in June Amid... No US Housing Bubble Crash in Sight, Expert... How to Calculate the Rate of Return on a Rental Property. This shows you that there are still money-making opportunities in real estate which you should not miss out on. The Hobe Hills subdivision property features a … This makes Illinois among the cheapest states to buy a house for investment as buyers have multiple options to choose from and the upper hand in negotiation. Not only does it offer cheap investment opportunities, but it has a low unemployment rate of just 2.4% and a booming economy. Visit Business Insider's homepage for more stories. While it’s often a forgotten Southern state, it has a rich history, natural resources, and a steadily improving economy which makes buying real estate here a solid investment. We sell cheap houses and our prices start from $4,999 only! Many cities in Tennessee enjoy high appreciation rates and home values are expected to increase in 2019. 2020 Best Cities to Buy a House in America About this List Explore the best cities to buy a house based on home values, property taxes, home ownership rates, housing costs, and real estate trends. Related: The 5 Hottest Cities in the Midwest Real Estate Market in 2019. However, while data indicates that it’s a buyer’s market, real estate investors should be careful and do their research before buying a house in Louisiana as the state is known to experience unpredictable fluctuations. Using Mashvisor’s Investment Property Calculator, we list data and analytics regarding what kind of profit you can expect from investing in each of the cheapest states to buy a house. Shutterstock. Start your free trial with Mashvisor to quickly find cheap yet profitable properties based on your budget and other criteria in a matter of minutes! Rankings. Not in any particular order, here are the top 11 cheapest places in the US to buy a home. Note that due to insufficient data, Delaware and Louisiana were not included in this study. A recent study by SmartAsset, a financial technology company, revealed the cheapest states to buy a home in right now. The Sunshine State has consistently been one of the best states to invest in real estate since the ’08 market crash. By clicking ‘Sign up’, you agree to receive marketing emails from Business Insider Another reason for real estate investors to buy Missouri homes for sale is that the state is landlord-friendly and gives you the option to rent out your property traditionally or on Airbnb for a great return on investment. The 10 cheapest states to buy a home in right now. Also, according to the Iowa Association of Realtors, “higher wages and favorable mortgage rates have been a terrific driver of housing stability in recent years. Real estate prices here are among the most affordable in the country. And while experts predict a cool down in the US housing market this year, prices are not expected to drop any time soon – they’re just rising at a slower rate. Wisconsin has one of the hottest housing markets in the country right now. These Are the Best Cities for Airbnb Investment 2018, Raleigh Real Estate Market 2019: A Great Place to Invest, Traditional Rental Strategy: Go for These Cities for Cap Rate, The Most Affordable Neighborhoods to Buy Property in the Most Expensive Cities, Buying an Investment Property 2018: The Highest Price to Rent Ratio Markets in California, 6 Reasons to Buy Minneapolis Real Estate Before 2019, Why and Where to Invest in Denver Real Estate 2018, Best Multifamily Investment Markets 2019: 5 US States. Ohio. Use our Investment Property Calculator to analyze investment properties in Louisiana and see their projected returns to be safe in the long run. Median list price per square foot: $110.90, Average effective property tax rate: 1.54%, Median list price per square foot: $131.25, Average effective property tax rate: 0.55%, Median list price per square foot: $122.22, Average effective property tax rate: 0.95%, Median list price per square foot: $118.96, Average effective property tax rate: 0.85%, Median list price per square foot: $109.22, Average effective property tax rate: 0.84%, Median list price per square foot: $106.17, Average effective property tax rate: 0.89%, Median list price per square foot: $95.75, Average effective property tax rate: 0.78%, Median list price per square foot: $103.38, Average effective property tax rate: 0.40%, Median list price per square foot: $101.19, Average effective property tax rate: 0.61%, Median list price per square foot: $98.38, Average effective property tax rate: 0.57%. To learn more about us, click here. When it comes to investing in the cheapest states to buy a house in 2019 for appreciation, Alabama is a good candidate. Yet, housing inventory throughout the state is low which means you may have limited options for investment properties. The 10 Most Affordable Places to Buy a Mountain House Not only is Mississippi one of the cheapest states to buy a house in the US, but real estate investors here also enjoy a landlord-friendly environment. The cheapest land in the Natural State can be found in Clay County, nestled in the northeast corner of Arkansas, where land sells for around … The median listing price in the Mountain State is $165,000 – the lowest median price in the study. ... 2019. If so, sign up to Mashvisor and use our tools to find and analyze profitable investment properties in your cities and neighborhoods of choice in a matter of minutes! Subscriber It’s a quiet state that also thrives in terms of low crime rate and good medical care, making it one of the best places to retire in 2019. The demand for single family homes has been on the rise in the Sunshine State for quite some time. Median list price per square foot: $110.90. West Virginia is the cheapest state to buy a home in America. Fortunately, not every state's housing market is as out of reach as, say, California's, where major markets show trends of competitive prices and low inventory. Michigan’s low median price has been attractive to flippers and, according to MichiganRadio.org, homes are flipping faster in the state relative to the rest of the US. While these real estate analysis metrics depend on the property and how you buy it, the real estate market heavily influences them as well. Median prices have been rising steadily, but the increases aren’t as large as they are in other parts of the country. There’s a catch of course: … This tells real estate investors that the rental market in Wisconsin is doing well. Although you may not be situated in an urban centre or your home could use a little TLC, there's no denying the attractive price tags on these 12 properties in various parts of the country. Related: US Housing Market Forecast 2019 and Beyond: What You Need to Know. It has been a popular tourist destination for many years and has a growing population, which has expanded an extraordinary 6.8% between 2010 and 2015. You can start using this tool right now with a free Mashvisor account! Indiana: $96/square foot, $250,000 average price 3. Still, it’s possible to acquire fully renovated properties in good Florida neighborhoods for under $193,000. So, if you’re thinking of buying a cheap house for investment in West Virginia, you won’t be disappointed. So, to find the best opportunities, start your property search now! So, if you’re interested in making money in real estate through flipping houses, South Dakota is not only one of the best states to buy real estate but to start a house flipping business as well. Where Do You Find the Best Dallas Investment Properties at the Beginning of 2018. All you’ve got to do is set your investment criteria (including your budget) and the location you’re interested in. It is still possible to buy a home in the United States for less than the two-year appreciation on that $500,000 house. South Carolina. Moreover, the property tax rate in Alabama of 0.42% is the second lowest in the country! What’s the Best Airbnb Analytics Platform for 2019? You can read a full breakdown of the methodology here. 1. West Virginia: $101/square foot, $228,000 average price 4. Besides being the most affordable housing market in 2019, West Virginia has a property tax rate of 0.59% which is one the lowest in the country according to WalletHub. A leading-edge research firm focused on digital transformation. Buying a home isn't usually cheap. This further proves that if you’re looking to buy cheap investment properties in 2019, Iowa is one place to consider. The Midwest real estate market has been experiencing an increase in interest among real estate investors. An extended lack of inventory over the last three years has contributed to fewer homes bought in 2019. So, if you’re looking for where to invest in real estate for Airbnb in 2019, Ohio is definitely a top location to consider. Missouri. Next up on our list of the cheapest states to buy a house in 2019 is Arkansas. Back in the 1960s, the median price for a home was $11,900, or $96,681 when adjusted for inflation, Business … real estate 12 Cheapest Small Towns in America Affordable small towns aren't necessarily the best places to live for everyone, but each cheap small town on our list has its charms. Ranking based on data from the U.S. Census, FBI, and other data sources. So, good news for those planning on investing here – Kentucky is not only a hot market but is also among the most affordable real estate markets as well! While the real estate market remains hot, it's possible to find some serious bargains out there. And, according to Kentucky Realtors, the state is still running on strong sales activity and increasing home values. With low Kansas housing prices and the decent $53,444 median income, just 2.77 years’ worth of income would buy a home outright, which makes Kansas one of the most affordable states to buy a home this spring. For starters, Florida’s population, already situated as the third highest, is expected to increase. Furthermore, the low cost of living, low home remodeling costs, and good quality of life are attractive variables to home flippers. This will help you choose the ideal investment strategy that will work for both the location and the property itself. Moreover, the association also reported that even in the three largest metro areas in the state (Louisville, Lexington, and Northern Kentucky), median home prices are 30 to 35% lower than the US median. Median list price: $180,000. Do you know which of these cheapest states to buy a house for investment you want to invest in? To get the final ranking, SmartAsset analyzed each state on the following criteria: average effective property tax rate, median listing price, median listing price per square foot, median home value for the bottom one-third of homes, and average closing costs. Around this time of the year, Illinois sees an increase in homes for sale and, in turn, sellers settle for lower offers. Based on research, we’ve listed the 20 most affordable real estate markets in 2019 with a brief description to help you decide where to invest. Hawaii and Rhode Island are the only states where no county has a median home value below the national median of $235,000. 360 Reviews. West Virginia. more and more millennials are heading to the south, The 10 most difficult places to invest in real estate in the US right now, The 10 best places in the US for first-time homebuyers to invest in real estate right now. Home prices in North Dakota have increased over the past couple of years, but the state is still one of the most affordable real estate markets in 2019. Buying a home seems incredibly expensive these days, with decent houses reaching over $250,000. According to the Indiana Association of Realtors, the median price of homes for sale in the state grew by 4.2% last year and is expected to keep growing in 2019 and outperform the national average. The city of Detroit came in as the cheapest market to buy a home. However, in the 2019 Housing and Mortgage Market Review, Alaska topped the lists as the second state with a high probability of home prices declining in the coming two years! The Kansas housing market is doing well. However, inventory in Kansas has been low so far in 2019 which is why competition is fierce in the market and home prices are expected to see another increase. Unless you’re buying a tiny house, it’s not often you can snag a home for less than six digits. You just need to know which the cheapest states to buy a house for investment are. Here are the ten cheapest states to buy a home based on home prices. Arizona’s economy is quite stable and we can safely say that its job market is pretty healthy when compared to other states in the US. The report shows that Alaska has a 24% likelihood of home price declines. So do you want to buy a home for under $150,000? State: West Virginia. In turn, this has a positive effect on the housing market. For $220,000, you can buy this three-bedroom, three-bathroom house near the actual Hobe Sound. ... Real Estate. Now that you know how to find affordable properties for sale, let’s discover where you should be looking for them. The tool will then give you a list of homes for sale in that location that best meet your criteria along with data that projects how well they would perform as investment properties. Ohio is the 7th most populous and the 10th most densely populated state in the country, meaning there’s definitely demand for housing. Home prices have skyrocketed in the last few years, leaving many Americans wondering if they will ever be able to afford buying a house. Meaning, if you find a cheap house for sale but it’s not in a good location for making money in real estate, then forget about it. Median home value: $96,300 So what is the cheapest state to live in? See our unbeatable deals inside & find cheap houses for sale today. since. Due to its overall low cost of living, Oklahoma is currently one of the cheapest states to buy a house in the US. Beautiful natural areas and rich history are not the only things this state has to offer. According to Realtor.com, the national median price of homes listed for sale in the United States is $310,000 which is a 7% year-over-year growth. West Virginia! Southern and Midwestern comforts.According to Census region and division delineations, seven of our top 10 states are in the South and three are in the Midwest. Unprecedented prices! The results of this analysis offer a pretty diverse range of options in a multitude of states across the nation. Use analytics to find lucrative traditional or Airbnb properties in a matter of minutes. In fact, it seems that rising home prices have done little to dampen investor demand as, according to The Wall Street Journal, real estate investors are buying more of the US housing market than ever before. A roundup of uplifting stories about everyday heroes. There are four main reasons why. Sign up for Insider Life. The rental market is strong and the steadily growing home values translate into future appreciation. In San Francisco, the median home costs more than $1.3 million.In New York City, it goes for nearly $700,000.Even the … So, even though it’s a seller’s market, there are still excellent investment opportunities for buyers as well. These states have the lowest cost of living and the most-affordable housing. Furthermore, Wisconsin home prices are expected to increase – but only slightly! Another good reason to invest in property here is that property taxes are among the lowest in the country – only 0.63% according to WalletHub! Eman is a Content Writer at Mashvisor. But it’s true – many cities in Michigan, even large ones like Detroit, have a low cost of living as well as extremely affordable homes for sale! What is different about this year so far is that prices are not rising as quickly”. This is because while there are many top locations for real estate investing across the nation, many of them don’t offer affordable opportunities for the average or beginner investor. Best known for the Grand Canyon and its sunny weather, Arizona will give you a taste of the true southwest. Ever Consider Investing in Gatlinburg Real Estate? 10. Florida’s economy is c… Also, when comparing states based on Mashvisor’s data, you’ll notice that Ohio has the highest Airbnb cash on cash return. Some would think this means Indiana homes are expensive, but that’s not the case! So, if you’re wondering where the best places to invest in real estateon a budget are, Arkansas should be on your list of location… Coastal states, such as Massachusetts and California, comprised the majority of the top ten most expensive places to buy a home. According to The Missouri Economic Research and Information Center, the state has the 4th lowest cost of living and an unemployment rate of 3.2% which is below the national average. 1) Detroit, Michigan. You should never sacrifice your return on investment for the sake of cheap properties! Joplin is home to the lowest real estate prices in the country—a four-bedroom home will cost you a little over $200,000. The state’s economy is also doing well with unemployment below the national average, at 3.7%. All of this shows us that Oklahoma is a top location for real estate investors looking for profitable investments over the long-term! Home values are typically a … Keeping reading to see a list of the top 10 cheapest states to buy a home right now. The state’s leading job industries include automotive, aerospace, m… Despite being relatively small, Iowa is one of the best states to invest in real estate in 2019. It’s also very landlord-friendly and quickly growing both in popularity and development. Employment. They might be haunted but I don't even care. Read more: The 50 best suburbs in America, ranked. After weighing each metric equally, SmartAsset found the average ranking for each state. A collection of super cheap houses from around the U.S.. Next up on our list of the cheapest states to buy a house in 2019 is Arkansas. Note that, among these places, several counties appear more … T9. As more people are relocating to Illinois, investors are turning their eyes to this state as well. What’s more, Realtor.com named Ohio as one of the hottest real estate markets in America earlier this year. The cheapest state to buy a home in is once again West Virginia. The Tennessee real estate market has been a prime destination for investors for years. Alabama home values have gone up 4.2% over the past year and Zillow predicts they will rise another 2.0% this year. West Virginia also ranks first for its low median value of the bottom third of homes, at $53,600. You should only invest your money in locations where investment properties can generate a good cap rate and good cash on cash return. The good economy, growing job market, and low unemployment rate are the main reasons why there’s an influx of people coming into Nebraska, increasing the demand for housing. Even with these great conditions, Ariz… * Please note that ROI values are low because these are state-wide averages and you can find investment properties with higher values when searching on our platform! Events. Stay up to date with the latest tips for Traditional & Airbnb Investments, 20 Cheapest States to Buy a House for Investment in 2019, US Housing Market Forecast 2019 and Beyond: What You Need to Know, most affordable real estate markets in 2019, 8 Best Cities for Airbnb Investment in 2019, The Missouri Economic Research and Information Center, The 5 Hottest Cities in the Midwest Real Estate Market in 2019, The Texas Real Estate Market 2018: Interview with Agent Jenna Hernandez, Best Cities to Flip Houses for Profit in 2020. According to the Louisiana Economic Outlook, the state’s economy is looking better by the day with more jobs now being added at an impressive pace. If you’re interested in learning where the cheapest places to buy a house in the US are, just keep reading. Meaning, it’s still one of the most affordable real estate markets to buy a home for investment. If you’re among the many investors on a budget and don’t have the liberty to take risks on expensive real estate, don’t let this information discourage you from buying an investment property in 2019! At Mashvisor, we make it easy for you to find such properties in the cheapest states to buy a house using the Property Finder Tool. Furthermore, homes in North Dakota appreciated by 47.28% over the last 10 years, which is one of the highest appreciation rates in the country according to NeighborhoodScout. While it’s often a forgotten Southern state, it has a rich history, natural resources, and a steadily improving economy which makes buying real estate here a solid investment. To start looking for and analyzing the best investment properties in the city/neighborhood of your choice, click here. Nebraska is one of the best states to invest in real estate for many reasons. Besides the fact that you’ll find cheap homes for sale here, the housing market has seen steady growth since the recession and is expected to keep growing at a sustainable pace. Here’s the map, with the lightest colors coming in at the lowest end and the darkest maxing out the salary cap. Nebraska is also one of the 10 best states to live in 2019 according to US News and World Report! Eman also writes about trends, forecasts, and tips for beginner investors to gain the confidence and knowledge they need to make wise decisions. 1. Ever wonder about the cheapest place to buy a house in Canada? as well as other partner offers and accept our. Average effective property tax rate: 1.54%. Though it’s not the easiest task for an investor to find properties that are affordable and perform well at the same time, it’s definitely possible and worth the effort. What Kind of Airbnb Occupancy Rate Can You Expect? The listings were then ranked by price per acre to determine the 50 cheapest places to buy land in America. On top of great cash flow, values are on a… 21 Cheap Old Houses You Can Buy For Under $25,000. Massachusetts was rated the most expensive place in the U.S. to buy a home. Veterans Home Buying Guide; Real Estate Videos ... abs and a killer tan than owning their own piece of beachfront real estate—aka ... prices for the 12-month period of May 2018 to April 2019. It’s worth noting that the national average home price fell sharply in mid-2019, down to just $227,000, from $280,000 according to Business Insider. The average property tax rate of 1.01% is relatively low which is good news if you’re considering out-of-state real estate investing to reduce your tax costs and expenses. The Kentucky real estate market has been seeing record-breaking numbers since 2017. The current Alaska real estate market is neutral and shows a healthy supply vs demand which could be beneficial to both buyers and sellers alike. A Californian would need 7.3 times the state's $60,487 median household income to buy a home at $440,000, the median Zillow listing price of homes in the state. You’ll notice that Mashvisor’s data includes the estimated returns for both traditional and Airbnb rentals. Even in more expensive parts of the state, prices are extremely affordable. Both the affordability and profitability of Tennessee investment properties make it an ideal location for any real estate investor, seller or buyer. Where? Oklahoma: $101/square foot, $250,000 average price 5. South Dakota’s housing market has been on the up and up and will likely continue this trend in 2019. While investment properties here aren’t as cheap as other states on this list, the median price is below the national median. Looking at the median price and comparing it to the national median, you’ll realize Indiana is actually among the cheapest states to buy a house for investment. So, if you’re wondering where the best places to invest in real estate on a budget are, Arkansas should be on your list of locations to consider. Here are the best cities to look in. The cost of living and property tax rates in Mississippi are also some of the lowest in the country. Every item on this page was hand-picked by a House Beautiful editor. Nonetheless, Ohio is still considered one of the cheapest states to buy a house. When determining where to buy an investment property, investors must choose based on both affordability and profitability! Wondering where the cheapest place to buy a house in the United States is? Should You Invest in the South Carolina Real Estate Market 2019? Contact. This is good news for investors looking for the cheapest places to buy a house in the United States- specifically those that plan to implement the buy and hold strategy for immediate cash flow. The largest cities in the United States—New York, Los Angeles, Chicago, Houston, and Phoenix—might have a high median annual income, but they also have very high median home prices. On the other side of the coin, some of the most expensive states to retire in include California, New York, Oregon, Washington, and most states in the New England area -- … We may earn commission on some of the items you choose to buy. With a focus on market reports, she enjoys researching the state of the real estate market in different cities across the US. As you can imagine, this is causing rental rates to rise (over 6% in just a year) and is expected to keep increasing in 2020. After thorough research, we have found 20 states in the US housing market that have a median house price below the national price. Account active West Virginia is not only the cheapest state to buy a home, but it’s also ranked number 6 for the cheapest land in the U.S. But with the cost of living on the rise across the US, tracking down affordable real estate can be a challenge. Arkansas, $93/square foot, $183,000 average price 2. Methodology: In order to find the cheapest places to buy a home in every state, GOBankingRates looked at every city in each state with a population over 30,000 (10,000 in select states due to low population or limited data availability), as sourced from the U.S. Census Bureau’s 2018 American Community Survey 5-year estimates. Airbnb Occupancy Rate Up 13% as Market Recovers. Besides being an affordable market, Indiana is also one of the most landlord friendly states in 2019 and has a low property tax rate of 0.87%. Related: 8 Best Cities for Airbnb Investment in 2019. Another good reason to invest in property here is that property taxes are among the lowest in the country – only 0.63% according to WalletHub! West Virginia is your answer. If you’re on a budget but still want to buy, Money examined the data to see which states are the cheapest places to buy a home in— and which places you probably can’t afford to live in. T9. A lot of this growth is due to Florida’s robust economy. Buying a rental property in Florida, for traditional or Airbnb investing, will remain a profitable investment in 2019. What’s even more interesting is that, despite these incredibly low housing prices statewide, many home seekers are choosing to rent instead of buy. And, given that more and more millennials are heading to the south, it may come as no surprise that all of the states that made the top 10 are located in the south or the midwest. As the US housing market 2019 is booming, it’s getting harder for real estate investors to decide where to buy an investment property. Those looking to save a few bucks can head west of town, toward the Washington state border, and get a house on the Priest River for about $600,000—or significantly less. So, if you’re looking to invest in real estate here, we suggest you start looking for an investment property for sale now! Next up on the cheapest places to buy a house for investment in the United States is Missouri. Although it’s a seller’s market, real estate investors can still find local markets that are buyer-friendly. If you haven’t been following the state’s revitalization, then you probably didn’t expect to see Michigan on this list.