In the United States, affordability remains a pressing issue for many residents, with certain states facing particularly high costs of living. This analysis delves into the economic realities of the nation’s top 14 most unaffordable states, uncovering the factors contributing to their financial burdens.
#1. Hawaii
Hawaii consistently ranks as one of the most unaffordable states in the U.S. due to its high housing costs.
The median home value in Hawaii is approximately $700,000, more than double the national average, while the median household income stands at around $83,102.
With a cost of living index of 192.9 (compared to the national average of 100), residents face significant financial strain, making homeownership and basic necessities prohibitively expensive.
#2. California
California grapples with sky-high housing costs, particularly in metropolitan areas like San Francisco and Los Angeles.
The median home value in California is approximately $752,508, far above the national average, while the median household income hovers around $75,235.
With a cost of living index of 151.7, residents contend with exorbitant expenses for housing, transportation, and everyday essentials, posing significant challenges to financial stability.
#3. New York
New York’s reputation as a global economic hub comes with a steep price tag for residents.
The median home value in New York is approximately $339,430, well above the national average, while the median household income stands at around $72,108.
With a cost of living index of 139.1, residents face elevated expenses for housing, healthcare, and other necessities, contributing to the state’s status as one of the most unaffordable in the nation.
#4. Massachusetts
Massachusetts grapples with high housing costs and living expenses, particularly in cities like Boston and Cambridge.
The median home value in Massachusetts is approximately $482,066, significantly above the national average, while the median household income hovers around $85,843.
With a cost of living index of 129.9, residents face considerable financial strain, making homeownership and basic necessities increasingly challenging to afford.
#5. District of Columbia
The District of Columbia experiences affordability challenges driven by its status as the nation’s capital and a thriving urban center.
The median home value in D.C. is approximately $665,510, well above the national average, while the median household income stands at around $92,266.
With a cost of living index of 128.3, residents contend with high expenses for housing, transportation, and other essentials, highlighting the financial pressures of urban living.
#6. New Jersey
New Jersey faces affordability hurdles stemming from its proximity to major metropolitan areas like New York City and Philadelphia.
The median home value in New Jersey is approximately $362,300, significantly above the national average, while the median household income hovers around $85,751.
With a cost of living index of 125.9, residents confront elevated expenses for housing, healthcare, and everyday goods, making financial stability elusive for many.
#7. Maryland
Maryland grapples with affordability challenges driven by its proximity to major urban centers like Washington, D.C., and Baltimore.
The median home value in Maryland is approximately $332,641, well above the national average, while the median household income stands at around $86,738.
With a cost of living index of 122.2, residents face significant financial strain, making homeownership and basic necessities increasingly difficult to afford.
#8. Connecticut
Connecticut contends with affordability hurdles stemming from its high housing costs and living expenses.
The median home value in Connecticut is approximately $297,773, significantly above the national average, while the median household income hovers around $78,833.
With a cost of living index of 120.2, residents confront elevated expenses for housing, healthcare, and other essentials, highlighting the state’s financial pressures.
#9. Alaska
Alaska experiences affordability challenges driven by its remote location and unique economic landscape.
The median home value in Alaska is approximately $288,042, above the national average, while the median household income stands at around $76,715.
With a cost of living index of 127.0 (slightly above the national average), residents face a considerable financial strain, particularly in rural areas where access to goods and services may be limited and transportation costs are high.
#10. Washington
Washington faces affordability hurdles driven by its booming tech industry and rapidly growing population centers like Seattle.
The median home value in Washington is approximately $406,776, significantly above the national average, while the median household income hovers around $78,687.
With a cost of living index of 118.1, residents confront elevated expenses for housing, transportation, and other essentials, posing significant challenges to financial stability.
#11. Colorado
Colorado grapples with affordability challenges fueled by its popularity as a destination for outdoor recreation and its growing tech sector.
The median home value in Colorado is approximately $447,877, significantly above the national average, while the median household income stands at around $77,127.
With a cost of living index of 114.5, residents face elevated expenses for housing, healthcare, and everyday goods, making financial stability increasingly elusive.
#12. Oregon
Oregon experiences affordability challenges driven by its desirable lifestyle and rapidly growing cities like Portland.
The median home value in Oregon is approximately $415,619, significantly above the national average, while the median household income hovers around $63,426.
With a cost of living index of 122.1, residents confront elevated expenses for housing, transportation, and other essentials, highlighting the state’s financial pressures.
#13. Virginia
Virginia contends with affordability hurdles stemming from its proximity to major metropolitan areas like Washington, D.C., and Richmond.
The median home value in Virginia is approximately $303,272, above the national average, while the median household income stands at around $76,456.
With a cost of living index of 113.8, residents face significant financial strain, particularly in urban centers where housing costs are high and competition for jobs is fierce.
#14. Rhode Island
Rhode Island grapples with affordability challenges driven by its small size and limited economic diversification.
The median home value in Rhode Island is approximately $316,829, significantly above the national average, while the median household income hovers around $63,870.
With a cost of living index of 119.2, residents confront elevated expenses for housing, healthcare, and other essentials, highlighting the state’s financial pressures.
21 States Where Squatters Can Legally Claim Your Property
Discover how squatters’ rights, or adverse possession, are more than just legal jargon—they’re stories of unexpected twists in the world of real estate. From sunny California to the historical landscapes of Pennsylvania, here’s how these laws could turn the tables on homeowners and squatters alike. 21 States Where Squatters Can Legally Claim Your Property
14 Things That Are Banned in the U.S. but Totally Fine Elsewhere
Ever feel like America’s rulebook was written by someone with a dartboard? Across the pond or down under, things get even wackier. Let’s take a walk on the wild side of global “Do’s” that are definite “Don’ts” in the Land of the Free. 14 Things That Are Banned in the U.S. but Totally Fine Elsewhere
25 American States Nobody Wants to Visit Anymore
Across the United States, some states capture the hearts and itineraries of many, while others remain quietly on the sidelines, overshadowed or misunderstood. These 25 states, facing what you might call a popularity crisis, are brimming with hidden wonders, cultural riches, and natural beauty, awaiting those willing to look beyond the usual tourist trails. 25 American States Nobody Wants to Visit Anymore
20 Foods That Are Cheaper to Eat Out Than Making at Home
In a world where convenience often wins, certain culinary delights come with a lower price tag when enjoyed at a restaurant rather than crafted in your own kitchen. Here are twenty foods that might save you both time and money when indulged in at your favorite eatery. 20 Foods That Are Cheaper to Eat out Than Making at Home
17 Things You’re Paying For, but You Don’t Have To
In the land of the free, there’s a price tag on everything, but savvy Americans know better than to open their wallets for just anything. Here are 17 expenses you’ve been shelling out for without realizing there’s a cheaper or even free alternative. 17 Things You’re Paying For, but You Don’t Have To
The post Can’t Keep Up? Explore the Top 14 Priciest States in America first appeared on From Frugal to Free.
Featured Image Credit: Shutterstock / Pandora Pictures.
The content of this article is for informational purposes only and does not constitute or replace professional financial advice.
