Where to buy a home with a $75,000 income in 2024
Despite higher interest rates, prospective homeowners are eager to escape skyrocketing rent and start building equity. These affordable cities are the best places to buy cheap homes for people making the average U.S. household income.
| Overall Rank | City | Monthly Housing Costs (Mortgage, Insurance, and Taxes) | Median Home Value | Increase in Median Home Value (2022–2023) | Cost of Living Index |
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| 1 | Champaign, IL | $1,422 | $196,732 | 4% | 95.9 |
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| 2 | Peoria, IL | $1,090 | $141,649 | 4% | 95.8 |
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| 3 | Detroit, MI | $1,697 | $240,338 | 3% | 96.5 |
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| 4 | Mansfield, OH | $1,075 | $166,899 | 5% | 95.4 |
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| 5 | El Paso, TX | $1,527 | $210,010 | 6% | 95.9 |
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| 6 | Duluth, MN | $1,468 | $229,846 | 5% | 94.6 |
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| 7 | Bangor, ME | $1,495 | $250,233 | 7% | 102.5 |
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| 8 | Lansing, MI | $1,457 | $216,402 | 4% | 96.6 |
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| 9 | Rochester, NY | $1,728 | $235,391 | 9% | 100.8 |
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| 10 | Syracuse, NY | $1,597 | $215,724 | 9% | 100.8 |
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1. Champaign, Illinois
Monthly housing costs: $1,422
Median home value: $196,732
Average annual home insurance rate: $1,753
Champaign is the top city on Insurify’s list for homebuyers with a median household income of $75,000. Home values in Champaign increased by 4% between 2022 and 2023. In the same year, the annual average cost of homeowners insurance dropped by 2%, making coverage slightly less expensive than the national average of $1,770.
The University of Illinois Urbana-Champaign draws more than 55,000 students to the city of approximately 89,000 residents. Arts and culture lovers can catch a classic movie at the historic Virginia Theater or stroll through the Krannert Art Museum. Champaign has numerous amenities, with a shopping district featuring nearly 250 retailers within a square mile.
2. Peoria, Illinois
Monthly housing costs: $1,090
Median home value: $141,649
Average annual home insurance rate: $1,753
Homebuyers looking for cheap real estate can find it in Peoria. At less than $150,000, Peoria has the lowest median home value of the cities ranked in this study. Average home insurance costs decreased by 2%, while home values rose 4% in 2023.
The centrally located city is nestled along the Illinois River, providing opportunities for outdoor recreation at the Peoria Riverfront Park. Residents enjoy shops, restaurants, and entertainment downtown, and a major mixed-use development project for the Warehouse District is in the works. The Peoria International Airport also plans to expand its service in 2024.
3. Detroit, Michigan
Monthly housing costs: $1,697
Median home value: $240,338
Average annual home insurance rate: $3,060
More than a decade after Detroit declared bankruptcy, the payoff from ongoing revitalization efforts is clear. However, its home insurance costs are the highest among the top 10 cities. Waterfront projects transformed the Detroit River greenway, and home values in the now-trendy Rivertown-Warehouse District average $260,148, according to the Zillow Home Value Index.
Local businesses thrive in the city’s distinct neighborhoods, and Campus Martius Park draws residents year-round with a summer urban beach and winter ice skating rink. Nearby Lake Erie offers opportunities for outdoor recreation, including boating, kayaking, fishing, and swimming.
Homebuyers can still find a deal in Detroit, but the average home price in the desirable University District, bolstered by Wayne State University’s approximately 24,000 students, has climbed above $300,000, according to Zillow.
4. Mansfield, Ohio
Monthly housing costs: $1,075
Median home value: $166,899
Average annual home insurance rate: $1,192
Situated between Columbus and Cleveland, the city of Mansfield offers a small-town suburban feel with access to major job markets. Monthly housing costs barely exceed $1,000 on average, and average property values are less than $167,000, making Mansfield an inexpensive place to buy a home on a budget. Healthcare and manufacturing are the largest industries in the former railroad hub.
Significant city revitalization is underway, with a $14 million Main Street Corridor Improvement project scheduled to start construction in 2025. First Friday Shop Hops and outdoor concerts encourage residents to explore shopping, dining, breweries, and wineries in Mansfield’s historic Carrousel District.
5. El Paso, Texas
Monthly housing costs: $1,527
Median home value: $210,010
Average annual home insurance rate: $1,976
El Paso is the biggest city on this list, with an estimated population of 677,456, according to U.S. Census Bureau data. El Paso has a more affordable cost of living than the national average, making it a cheaper alternative to other major cities like Dallas or Houston. The median home value is nearly 30% lower than the U.S. average but increased 6% in 2023. Homebuyers on a budget may also find the lack of state income tax in Texas appealing.
Located on the Mexico-United States border, El Paso has a unique blend of cultures and history surrounded by natural beauty. Residents can camp, hike, rock climb, and birdwatch at Franklin Mountains State Park or explore cultural attractions along the historic Mission Trail. The growing Union Plaza district offers dining and nightlife in Downtown El Paso.
6. Duluth, Minnesota
Monthly housing costs: $1,468
Median home value: $229,846
Average annual home insurance rate: $1,989
The scenic port city of Duluth, situated on the shores of Lake Superior, has a lower cost of living and unemployment rate than the national average. Housing costs, including a mortgage, taxes, and insurance, cost an average of less than $1,500 monthly. However, homeowners coverage is nearly 12% more expensive than the U.S. average.
Duluth has more than 9,168 acres of parks and natural areas, making it a great place for nature lovers. The city also has a local arts and culture scene. Residents enjoy summer concerts at the Bayfront Festival Park; music, plays, and ballet at the Duluth Entertainment Convention Center; and hands-on learning at the Duluth Children’s Museum.
7. Bangor, Maine
Monthly housing costs: $1,495
Median home value: $250,233
Average annual home insurance rate: $1,208
The small New England city of Bangor, with a population of about 32,000, is an affordable place for homebuyers who want a balance of downtown amenities and outdoor recreation. Home insurance in Bangor is nearly 38% cheaper than the national average, and rates in the city decreased by 3% in 2023.
The city has freezing, snowy winters, but warm summers and colorful falls offer opportunities to explore the outdoors. Outdoor enthusiasts can stroll the Bangor Waterfront or leaf-peep in the City Forest, a wildlife habitat spanning more than 680 acres.
8. Lansing, Michigan
Monthly housing costs: $1,457
Median home value: $216,402
Average annual home insurance rate: $1,671
Michigan’s state capital, Lansing, is a welcoming, affordable city with a population of around 112,500. Residents pay a 5.7% lower price for home insurance than the U.S. average of $1,770. Government, education, manufacturing, healthcare, and technology are the city’s top industries, and Michigan State University attracts young talent to nearby East Lansing.
Families enjoy hands-on learning at the Impression 5 Science Center, exploring the 102-acre Potter Park Zoo, and walking the scenic Lansing River Trail. The city’s unique districts, REO Town and Old Town, offer shopping, dining, art, and nightlife.
9. Rochester, New York
Monthly housing costs: $1,728
Median home value: $235,391
Average annual home insurance rate: $1,942
Nestled along Lake Ontario in Western New York, Rochester is conveniently located between the sister cities of Buffalo and Syracuse. Home values in the city increased by 9% in the past year. However, homebuyers on a budget can still find affordable property in Rochester, with a median home value that’s 18% lower than the national average of $281,900.
New York Gov. Kathy Hochul awarded Rochester $10 million in funding through the Downtown Revitalization Initiative in 2022.[4] The plan includes the construction of the Main Street Commons, a new public outdoor space in Downtown Rochester. The development of mixed-used buildings with middle-income housing and storefronts will start in February.
10. Syracuse, New York
Monthly housing costs: $1,597
Median home value: $215,724
Average annual home insurance rate: $1,942
Homebuyers can find affordable properties in Syracuse if they’re willing to brave the 127.3 inches of snowfall it receives annually. Home values increased by 9% between 2022 and 2023, so buying in Syracuse could be a smart investment. Syracuse University, a private research university, draws more than 22,000 students to the city of 145,000 residents.
Syracuse is full of family-friendly activities, including the Rosamond Gifford Zoo and the Milton J. Rubenstein Museum of Science and Technology (MOST). Residents enjoy nightlife, theater, and dining in Downtown Syracuse. The nearby Green Lakes State Park provides a scenic place to bike, fish, hike, camp, golf, or cross-country ski.
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