Although the majority of the population wants to buy a home, only 65.4 percent of Americans own their own home.
According to a survey conducted in February 2024 by Harris Poll Thought Leadership and Future Practice, 81 percent of Americans would like to own their own home in the future, but 61 percent fear they will never be able to afford it.
Based on data from Redfin and Zillow, World Population Review compiled its ranking of states by median and average home value, shown here on this map, created by Newsweek.
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Which states are the cheapest?
Arkansas came in third, with the average home costing $199,636. Arkansas’ homeownership rate is also relatively high at 66.5 percent, slightly above the national average of 65.7 percent. Arkansas residents also pay about 3 percent less of their income on mortgage payments than the average American.
Second place goes to Mississippi, where the median home value is $172,654. A typical home can be purchased for $157,828, according to the World Population Review, which is less than half the national average. Mississippi also ranks second in homeownership rates at 74.8 percent.
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The cheapest state is West Virginia. The average home costs $155,773, but a typical home typically costs around $129,103. The state also has the highest homeownership rate in the U.S. at 79.6 percent.
However, according to real estate company Redfin, there are few jobs in West Virginia because the state’s economy revolves primarily around “coal mining and natural resource extraction.”
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Which states are the most expensive?
California’s housing crisis has been widely reported, and the state ranked second in the rankings. The average home value in California was $743,362 in 2023.
Newsweek previously reported that the national median home price exceeded $900,000 for the first time in late May. The median home value has increased 11.4 percent since last year.
First place goes to Hawaii, where the average home value is $837,324. According to Zillow, a typical home price is $854,669. One of the reasons for housing costs in Hawaii is a large influx of second home buyers, according to US News Real Estate. Another problem is the emigration of locals as they can no longer afford to live in their homeland. The current housing situation following the devastating wildfires in 2023 could make the situation even worse.
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