WalletHub study finds Midwest revival cities and slowing Arizona markets now offer some of the nation’s most affordable homebuying opportunities relative to local incomes.
By yourNEWS Media Newsroom
A new report from WalletHub identified several Midwestern and Southwestern cities as the most affordable housing markets in the United States, highlighting how cooling home prices and long-term economic stagnation have reshaped the national housing landscape.
The study, released May 19, analyzed 300 U.S. cities across 10 affordability metrics, including home prices, maintenance expenses, taxes, insurance costs, vacancy rates, and broader cost-of-living measures.
Flint ranked as the nation’s most affordable city for homebuyers relative to local income, followed by Detroit; Surprise; Yuma; and Akron.
Additional high-ranking affordable markets included Mesa, Peoria, Gilbert, Cleveland, Toledo, and Dayton.
“When deciding where to buy a home, prices alone aren’t a good enough indicator of how affordable things will be,” WalletHub analyst Chip Lupo said in the report. “You also have to consider how the average price compares to a typical income in the area, plus things like the overall cost of living and the costs of maintenance and taxes.”
According to Realtor.com, Flint’s median listing price currently sits at approximately $56,500, among the lowest in the country.
Lupo noted that Flint’s affordability is partially tied to lingering economic effects from the city’s 2014 water crisis, when a switch from Lake Huron water to the Flint River caused corrosion in aging pipes that contaminated drinking water with lead and other pollutants.
The crisis triggered years of public health concerns and population decline, though the city’s drinking water has reportedly complied with federal standards for the past six years.
Flint officials announced expanded long-term water stabilization efforts earlier this year.
Lupo said many of the highest-ranking affordable cities share a common history as former manufacturing centers struggling through economic decline and depopulation.
“If you look at the Top 10, you will see a number of Rust Belt cities that were once thriving manufacturing hubs, but are now struggling economically,” he told reporters. “Housing in these cities remains relatively inexpensive as local governments work to revitalize them and attract more homeowners.”
Real estate investors and housing analysts say affordability is increasingly driving buyer behavior as mortgage rates and housing costs remain elevated nationwide.
“Affordability has become the new luxury in this market,” said Sergio Aguinaga, founder of Michigan Houses For Cash. “People are finally realizing they may have to look outside the big ‘hot’ cities to get ahead financially.”
Analysts also noted a contrast between Midwest and Arizona markets.
Ohio cities remain affordable largely because of aging housing stock and slower appreciation, while several Arizona cities have become more accessible after rapid pandemic-era price growth cooled significantly.
Despite a median listing price near $444,000, Surprise, Arizona, ranked third nationally in affordability relative to local income because of wage growth and comparatively low tax burdens.
Yuma’s median home price was reported at roughly $355,000, while Akron and Cleveland remained below $150,000.
Other cities appearing in WalletHub’s top 25 included Pittsburgh, Montgomery, Palm Bay, Fort Wayne, and Louisville.
At the opposite end of the rankings, California dominated the nation’s least affordable housing markets.
Santa Barbara ranked as the most expensive city for homebuyers, followed by Santa Monica, Costa Mesa, Glendale, and Berkeley.
Santa Barbara’s median listing price currently stands near $2.5 million, according to Realtor.com.
New York City also ranked among the nation’s least affordable cities, despite a median home price near $825,000.
Housing analysts said the report reinforces an emerging trend in which buyers increasingly prioritize long-term affordability, job stability, and lower living costs over high-growth coastal markets.
“You have to look for a market that can sustain stable growth over a long period of time, and one that offers job stability and a good quality of life,” investor Calib Reits said. “This is why the Midwest cities have such an advantage. They provide plenty of breathing room because they weren’t expensive to begin with.”
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