Finding the cheapest places to live in the US in 2025 can help you save money while enjoying a good quality of life. Many cities and towns offer low housing costs, affordable groceries, and fun activities without breaking the bank. Let’s look at where you can live cheaply in 2025 and what makes these areas budget-friendly.
Why Some Places Are Cheaper
The cost of living varies across the US because of factors like housing prices, job markets, and taxes. Cheaper places often have lower demand for homes, smaller populations, or states with no income tax. Some cities also invest in programs to attract new residents, like cash incentives for remote workers. In 2025, rising costs in big cities like New York or Los Angeles have pushed more people to look for affordable alternatives.
Top Cheapest Places to Live in 2025
- Tulsa, Oklahoma
Tulsa has been one of the cheapest places to live in the US for years. In 2025, the average rent for a one-bedroom apartment is around 800, and utilities are lower than the national average. The city offers a program called “TulsaRemote,” which pays remote workers 10,000 to move there. Tulsa also has free museums, parks, and a growing food scene. - Wichita, Kansas
Wichita is known for its low cost of living and friendly communities. A typical home costs about $180,000, which is much cheaper than many US cities. Groceries, healthcare, and transportation costs are also below average. Wichita has job opportunities in aviation, healthcare, and education, making it a good spot for families. - Memphis, Tennessee
Memphis combines southern charm with affordability. Rent for a two-bedroom apartment averages $1,000, and there’s no state income tax. The city is famous for music, BBQ, and historic sites like Graceland. Memphis also has lots of free festivals and outdoor activities along the Mississippi River. - Birmingham, Alabama
Birmingham is a hidden gem in the South. Housing prices are about 30% lower than the national average, and property taxes are low. The city has great hospitals, colleges, and job openings in tech and manufacturing. Nature lovers enjoy hiking trails at Red Mountain Park or Ruffner Mountain. - Cleveland, Ohio
Cleveland is a big city with small-town prices. You can buy a house for under 150,000, and rent is around 900 for a two-bedroom apartment. The city has professional sports teams, Lake Erie beaches, and world-class museums like the Rock & Roll Hall of Fame. Cleveland’s public transit system makes it easy to get around without a car.
| City | Average Rent (1-Bedroom) | Average Home Price | Cost of Living | Key Attractions |
|---|---|---|---|---|
| Tulsa, Oklahoma | $800 | Not mentioned | Low | TulsaRemote program, Free museums, Parks, Growing food scene |
| Wichita, Kansas | Not mentioned | $180,000 | Low | Aviation, Healthcare, Friendly communities |
| Memphis, Tennessee | $1,000 (2-Bedroom) | Not mentioned | Moderate | Music, BBQ, Graceland |
| Birmingham, Alabama | Not mentioned | About 30% lower than national average | Low | Hospitals, Colleges, Hiking trails |
| Cleveland, Ohio | $900 (2-Bedroom) | $150,000 | Low | Sports teams, Lake Erie beaches, Rock & Roll Hall of Fame |
Other Affordable Options
Smaller towns are even cheaper but may have fewer amenities. Places like Fort Wayne, Indiana, or Huntsville, Alabama, offer safe neighborhoods and good schools. Rural areas in states like Mississippi, Arkansas, or West Virginia have the lowest housing costs but fewer job opportunities outside farming or small businesses.
How to Save Money in Cheap Cities
Living in the cheapest places does not mean sacrificing fun. Many affordable cities have free community events, libraries, and parks. Cooking at home instead of eating out and using public transit can stretch your budget further. Some states, like Texas or Florida, also have no income tax, which saves money on paychecks.
Challenges of Living in Cheap Areas
While cheap places save money, some have downsides. Smaller towns might not have big hospitals or shopping malls. Winters in the Midwest can be harsh, and summers in the South are hot and humid. Job options may be limited unless you work remotely or in specific industries like healthcare or education.
Why Move to a Cheap Place in 2025?
Rising rent and inflation in 2025 make affordable cities even more appealing. Many cheap places are improving their infrastructure, adding bike lanes, or expanding internet access for remote work. Moving to a cheaper area can help you pay off debt, save for a house, or retire early.
Future Trends
Experts predict more people will move to cheaper states like Tennessee or Texas in 2025. Cities offering relocation bonuses or affordable housing grants are likely to grow. However, popularity could eventually drive up prices, so acting fast might save you money.
FAQs
What is the cheapest state to live in 2025?
Mississippi and Arkansas often rank as the cheapest states due to low housing costs and taxes.
Can I find good jobs in the cheapest places to live?
Yes! Many affordable cities have jobs in healthcare, education, or tech. Remote work also lets you earn big-city salaries in cheap towns.
Are there downsides to living in cheap areas?
Some cheaper towns have fewer restaurants, entertainment options, or public transit. Research the area before moving to make sure it fits your lifestyle.
