Budget-Friendly Housing: 10 States with the Cheapest Rent in 2025

Finding an affordable state to live in can seem impossible, but some states have prices significantly lower than the national average rent of $1,576/month. If you relocate to one of these states, you could cut costs and build your savings. Using data from CoStar Group’s Market Trend reports, we have compiled the cheapest states to live in based on the average rent prices as of April 2025.

Here are the states with the cheapest rent in 2025:

• Oklahoma
• West Virginia
• Arkansas
• North Dakota
• Iowa
• Mississippi
• South Dakota
• Alabama
• Kentucky
• Louisiana

Save some money by living in one of the cheapest states in the U.S. Check out the cost of living and the rent trends in each one to decide which one to call home. Find out how much you’ll save by living in the cheapest states by comparing the state’s average rent to the national average and make an informed move.

Key Takeaways

The average rent by state:

1. Oklahoma, $895/month
   • Highlights: Western culture, big city
2. West Virginia, $914/month
   • Highlights: Mountains, small towns
3. Arkansas, $931/month
   • Highlights: Slow pace of life, fertile land
4. North Dakota, $935/month
   • Highlights: Private and peaceful lifestyle, natural features
5. Iowa, $955/month
   • Highlights: Cycling, close-knit communities
6. Mississippi, $973/month
   • Highlights: Blues, sports, food
7. South Dakota, $974/month
   • Highlights: Quiet lifestyle, beautiful geographic features
8. Alabama, $1,050/month
   • Highlights: Southern hospitality, football, food
9. Kentucky, $1,049/month
   • Highlights: Central location, natural wonders
10. Louisiana, $1,051/month
    • Highlights: Food, events/entertainment, music

Oklahoma - $895/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$787/month
One Bedroom	$895/month
Two Bedroom	$1,065/month
Three Bedroom	$1,301/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Lawton	$711/month
Stillwater	$781/month
Midwest City	$784/month

 

What is living in Oklahoma like?

• Region of U.S.: Southeast
• Population: 4,095,393

Oklahoma has a strong Western culture, like cowboys, horses, rodeos, and Western events galore. There is also a strong sense of community in all the towns and cities. The average rent in Oklahoma is $895/month, and it is a car-dependent state, so public transportation in cities can be lacking compared to other metropolitan areas.

The state has many natural features, like the Great Plains, the Wichita Mountains, and the Arkansas River. These landforms draw many for hiking, camping, horseback riding, and more. 

As half of the land is covered in plains, Oklahoma has many farms, making agriculture one of its biggest industries besides energy (oil, gas, coal, and renewable) and manufacturing. Be prepared for hot summers and the risk of natural disasters, as Oklahoma is in Tornado Alley. One upside to the high temperatures is that winters are mild.

Featured Cities

• Cheapest City: Lawton
  • Average Rent: $711/month
  • Average Rent vs. National Average: -54.9%
  • Cost of Living vs. National Average: -14.5%
  • Population: 90,245
• Popular City: Oklahoma City (OKC)
  • Average Rent: $919/month
  • Average Rent vs. National Average: -41.8%
  • Cost of Living vs. National Average: -15.7%
  • Population: 702,767

West Virginia - $914/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$627/month
One Bedroom	$920/month
Two Bedroom	$1,095/month
Three Bedroom	$1,514/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Huntington	$764/month
Morgantown	$863/month
Charleston	$945/month

 

What is living in West Virginia like?

• Region of U.S.: Southeast
• Population: 1,769,979

West Virginia has a slow pace of life and small communities all over. People are friendly and brought together by a love of folk music and the outdoors. Another benefit of the state is that the average rent in West Virginia is only $914/month.

Because of its small cities, there is a lack of public transportation, so a car is needed. A few major industries support West Virginia’s economy: agriculture, mining, energy (coal and gas), and manufacturing.

Called the “Mountain State,” West Virginia is home to hiking opportunities in the Appalachian Mountains and their ranges, including the Blue Ridge, the Allegheny, and the Ridge-and-Valley Appalachians. In addition to hiking, the rivers are perfect for white-water rafting and fishing.

As beautiful as the state is, the weather can get severe with bad storms, snowstorms, floods, landslides, and the occasional tornado. West Virginia gets plenty of precipitation, including heavy winter snowfall, perfect for winter sports, and pouring summer rains. 

Featured Cities

• Cheapest City: Morgantown
  • Average Rent: $863/month
  • Average Rent vs. National Average: -45%
  • Cost of Living vs. National Average: -12.2%
• Popular City: Charleston
  • Average Rent: $945/month
  • Average Rent vs. National Average: -40%
  • Cost of Living vs. National Average: -15.5% 
  • Population: 48,838

Arkansas - $931/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$830/month
One Bedroom	$924/month
Two Bedroom	$1,034/month
Three Bedroom	$1,320/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Texarkana	$772/month
Fort Smith	$797/month
Conway	$884/month

 

What is living in Arkansas like?

• Region of U.S.: Southeast
• Population: 3,088,354

The average rent in Arkansas is $931/month, and it is a laid-back state with residents enjoying a calm and slow lifestyle. The weather in Arkansas can become extreme, and due to its location next to Tornado Alley, it can get a few tornadoes.

It can get cold enough in winter for ice and snow, but not always. The summers are hot and humid, bordered by severe storms and flooding in the spring and fall.

The Ozark National Forest and the Ouachita National Forest and Mountains comprise Arkansas’ western half, perfect for hiking and wildlife viewing. The state's eastern border lies along the Mississippi River, which is used for water activities and provides nutrients to the Mississippi Alluvial Plain.

This fertile region is home to many farms, making it the primary area for Arkansas's agricultural industry. Due to the state's central location, transportation and logistics are also big industries.

Featured Cities

• Cheapest City: Texarkana
  • Average Rent: $772/month
  • Average Rent vs. National Average: -57%
  • Cost of Living vs. National Average: -16.2%
  • Population: 29,223
• Popular City: Little Rock
  • Average Rent: $953/month
  • Average Rent vs. National Average: -39%
  • Cost of Living vs. National Average: -5.6%
  • Population: 203,842

North Dakota - $935/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$787/month
One Bedroom	$930/month
Two Bedroom	$1,101/month
Three Bedroom	$1,474/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Fargo	$895/month
Minot	$948/month
Dickinson	$1,013/month

 

What is living in North Dakota like?

• Region of U.S.: Midwest
• Population: 796,568

On the Canada-US border sits North Dakota, a vast expanse of land with cities dotted across its landscape. With its low population density and size, life in North Dakota is private, peaceful, and affordable. Because of these factors, the average rent in North Dakota is $935/month.

However, because of the state's size and population distribution, it can take longer to get somewhere, which means you’ll need a car to get around. North Dakota is covered in farmland, and oil and gas lie underground. This bounty of natural resources makes agriculture and energy (oil, wind, and gas) North Dakota’s main industries.

With its longitude, winters get cold and harsh, meaning you’ll have to contend with snowstorms and icy roads. However, the summer can get surprisingly hot and blustery. The climate can vary widely depending on whether you are on the east or west side.

The same goes for the natural features; the Sheyenne River State Forest has trails running through trees next to the river that end at the state’s only waterfall to the east. Canyons break up the grasslands as well as the Little Missouri River in the Theodore Roosevelt National Park to the west.

Featured Cities

• Cheap and Popular City: Fargo
  • Average Rent: $895/month
  • Average Rent vs. National Average: -43.2%
  • Cost of Living vs. National Average: -1.8%
  • Population: 133,188

Iowa - $955/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$849/month
One Bedroom	$944/month
Two Bedroom	$1,107/month
Three Bedroom	$1,422/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Cedar Rapids	$913/month
Waterloo	$782/month
Marion	$801/month

 

What is living in Iowa like?

• Region of U.S.: Midwest
• Population: 3,241,488

Iowa is a flat state with many wide, open spaces between major cities. Most people live in rural areas and enjoy the slow pace of life and low cost of living, as the average rent in Iowa is $955/month. Communities are strong, with plenty of local events like farmers' markets and fairs. Most of Iowa consists of farms, making agriculture and bioscience huge industries.

Iowa is sandwiched between the Missouri and Mississippi Rivers, with the Des Moines River cutting through the center. Most of the land is flat except for the Loess Hills that rise, covered by forests and greenery, through Preparation Canyon State Park.

That level surface draws cycling enthusiasts, and the state has become a hub for cyclists with RAGBRAI, an annual event where people bike across Iowa. Biking is enjoyed as a pastime, but not as transportation, since it is hard to travel the vastness of Iowa without a car.

With part of the state in Tornado Alley, tornadoes whip through the northwest. Residents must also prepare for severe storms, blizzards, and flooding that sweep over the state. Iowa has both ends of the temperature spectrum, as winters are cold while summers are hot and humid.

Featured Cities

• Cheapest City: Cedar Rapids
  • Average Rent: $770/month
  • Average Rent vs. National Average: -51.1%
  • Cost of Living vs. National Average: -9.4%
  • Population: 135,598
• Popular City: Des Moines
  • Average Rent: $990/month
  • Average Rent vs. National Average: -37.2%
  • Cost of Living vs. National Average: -13.2%
  • Population: 210,381

Mississippi - $973/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$896/month
One Bedroom	$966/month
Two Bedroom	$1,121/month
Three Bedroom	$1,334/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Pascagoula	$773/month
Tupelo	$826/month
Gulfport	$909/month

 

What is living in Mississippi like?

• Region of U.S.: Southeast
• Population: 2,943,045

Hospitality and friendliness are cornerstones in Mississippi, with its small towns and close communities. Local events, food, and sports bring together neighbors and friends; football and baseball seasons ignite cheers for Ole Miss and the Bulldogs.

Mississippi is also the birthplace of blues music, which has influenced jazz, country, and other genres. At restaurants, tables overflow with classic dishes like fried catfish and hushpuppies, followed by pecan pie and banana pudding for dessert.

Besides the welcoming cities, the affordability entices people to relocate to Mississippi. The average rent in Mississippi is $973/month, and it can get even cheaper depending on the city you live in.

Large farms span the state’s landscape for crops and livestock, making agriculture a huge industry. Even the ocean, rivers, and lakes are involved, with shrimp, oysters, and catfish farming lining the shores and filling the water.

The Gulf brings mild winters and extremely hot and humid summers that seem to stretch forever. However, it also brings severe storms, flooding, and hurricanes that you must prepare to face.

Featured Cities

• Cheapest City: Tupelo
  • Average Rent: $826/month
  • Average Rent vs. National Average: -47.6%
  • Cost of Living vs. National Average: -16.9%
  • Population: 37,675
• Popular City: Jackson
  • Average Rent: $916/month
  • Average Rent vs. National Average: -41.9%
  • Cost of Living vs. National Average: -11%
  • Population: 143,709

South Dakota - $974/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$856/month
One Bedroom	$976/month
Two Bedroom	$1,158/month
Three Bedroom	$1,452/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Sioux Falls	$951/month
Rapid City	$1,165/month

 

What is living in South Dakota like?

• Region of U.S.: Midwest
• Population: 924,669

Life in South Dakota is quiet, and you’ll find plenty of welcoming and friendly residents. Even with a lower population compared to other states, the average rent in South Dakota is $974/month.

It is a large state; a car is necessary with everything so spread out. This means there is plenty of space for crop and livestock farming, which is why agriculture, bioscience, and manufacturing are major industries.

South Dakota is a beautiful state with lush, natural landscapes. To the west, the Black Hills are filled with caves, ridges, and canyons covered in forest. On the other side of the state, the prairies and fens of the Northern Tallgrass Prairie are great for seeing stunning scenery and wildlife.

There is quite a difference in the high and low temperatures in the state, with winters being harsh and summers sweltering. Blizzards, snow, and ice can be treacherous, but they also make perfect conditions for winter activities like snowshoeing, skiing, and snowboarding. The eastern part of South Dakota is in Tornado Alley, so tornadoes occasionally occur.

Featured Cities

• Cheap and Popular City: Sioux Falls
  • Average Rent: $951/month
  • Average Rent vs. National Average: -39.7%
  • Cost of Living vs. National Average: -9.6%
  • Population: 206,410

Alabama - $1,040/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$889/month
One Bedroom	$1,031/month
Two Bedroom	$1,185/month
Three Bedroom	$1,505/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Florence	$593/month
Decatur	$752/month
Dothan	$897/month

 

What is living in Alabama like?

• Region of U.S.: Southeast
• Population: 5,157,699

Alabama has a generally calm and relaxed pace of life in both the cities and rural areas. Wherever you go, you will be met with the southern hospitality the state is known for. The average rent in Alabama is $1,040/month, which is quite affordable compared to the national average.

With many major companies in aviation and aerospace in the state, it makes sense that the industry is one of Alabama’s biggest; biotechnology is the next largest industry, as the state is home to huge treatment and research facilities.

Alabamians love their football and food. Known for their fried green tomatoes, shrimp and grits, fried chicken, and boiled peanuts, there are plenty of delicious dishes to enjoy. Residents passionately cheer on the University of Alabama football team, the Crimson Tide, and the Auburn University Tigers at home and away games.

People are drawn to Alabama's stunning outdoor paradise with its many natural features. Sandy beaches line the coast, the Mobile-Tensaw Delta (called America’s Amazon) is home to many species of all kinds, the foothills of the Appalachian Mountains sneak down into Alabama, and caverns, canyons, craters, forests, falls, and more are all over the state.

The winters are mild, but the summers can get hot and humid due to its location near the coast. This coastal location also means residents battle hurricanes and flooding frequently. 

Featured Cities

• Cheapest City: Florence
  • Average Rent: $593/month
  • Average Rent vs. National Average: -62.4%
  • Cost of Living vs. National Average: -16.5%
  • Population: 32,917 
• Popular City: Huntsville
  • Average Rent: $1,082/month
  • Average Rent vs. National Average: -34%
  • Cost of Living vs. National Average: -8.4%
  • Population: 225,564

Kentucky - $1,049/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$876/month
One Bedroom	$1,035/month
Two Bedroom	$1,228/month
Three Bedroom	$1,547/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Owensboro	$829/month
Richmond	$849/month
Paducah	$869/month

 

What is living in Kentucky like?

• Region of U.S.: Southeast
• Population: 4,588,372

Centrally located between the south and north, Kentucky is a middle point with easy access to other states. This position makes logistics a huge industry for the state, with manufacturing and agriculture being two of the other biggest industries. While Kentucky is great for logistics and shipping, it can be a bit harder for residents to get around without a car, as there is limited public transportation.

Whether you live in a big or small city, the friendly communities are warm and will make you feel welcomed. The average rent in Kentucky is $1,049/month, and utilities are low, too. Music and sports unite residents with a strong love of bluegrass, country, horse racing, and basketball.

Kentucky is a beautiful state. Plenty of natural wonders exist to explore, such as the Appalachian Mountains, Mammoth Cave, and Red River Gorge. However, be wary of the weather, as it can be unpredictable. There can be lots of snowfall in the winter and decently hot summers. During the fall, the state is an autumnal treat, with beautiful foliage going from green to red.

Featured Cities

• Cheapest City: Paducah
  • Average Rent: $869/month
  • Average Rent vs. National Average: -44.9%
  • Cost of Living vs. National Average: -5.8%
  • Population: 26,749
• Popular City: Louisville
  • Average Rent: $1,106/month 
  • Average Rent vs. National Average: -29.8%
  • Cost of Living vs. National Average: -5.5%
  • Population: 622,981

Louisiana - $1,051/month

Average rent by apartment type

Bedrooms	Average Rent
Studio	$906/month
One Bedroom	$1,040/month
Two Bedroom	$1,200/month
Three Bedroom	$1,437/month

Cheapest cities

City	Average Rent (One-Bedroom Apartment)
Monroe	$788/month
Shreveport	$882/month
Alexandria	$901/month

 

What is living in Louisiana like?

• Region of U.S.: Southeast
• Population: 4,597,740

Louisiana is known for its food and music scene, as many are drawn to the enticing scents of gumbo, jambalaya, beignets, po’boys, shrimp, oysters, seafood and crawfish boils, and more. What the state is not known for, but should be known for, is affordable living, as the average rent in Louisiana is $1,051/month. The state has plenty for your ears, with jazz, zydeco, and blues filling the air.

There are many festivals and events, such as Mardi Gras, music festivals, farmers markets, art shows, and more in Louisiana. Sometimes called the festival capital of America, there is always an event happening. Sports fans will feel right at home as all sports get a spotlight in Louisiana, from football with the New Orleans Saints and LSU Tigers to basketball with the New Orleans Pelicans.

Louisiana has plenty to explore with a long coastline and various natural features. Explore beach towns and barrier islands on the Gulf Coast or bayous, swamps, forests, and rivers in Barataria Preserve, Kisatchie National Forest, and Atchafalaya Basin.

One of Louisiana's downsides is that it can be very hot and humid during the summer. Being on the coast brings natural disasters like hurricanes, tropical storms, and floods, so be prepared to face those challenges. However, the winters are not bad.

Featured Cities

• Cheapest City: Monroe
  • Average Rent: $788/month
  • Average Rent vs. National Average: -50%
  • Cost of Living vs. National Average: -13.6%
  • Population: 46,616 
• Popular City: New Orleans
  • Average Rent: $1,297/month
  • Average Rent vs. National Average: -17.7%
  • Cost of Living vs. National Average: +11.8%
  • Population: 364,136 

Compare the Average Rent for All the States

Use the table below to compare the cheapest states in the U.S. The states have been compiled into a table in order of the least expensive to the most expensive average rent. Still, even the states with the highest average rent on this list are more affordable compared to expensive states like New York, with an average rent of $2,660/month, or Massachusetts, where the rent is $2,513/month.

State	Average Rent (One-Bedroom Apartment)
Oklahoma	$895/month
West Virginia	$914/month
Arkansas	$931/month
North Dakota	$935/month
Iowa	$955/month
Mississippi	$973/month
South Dakota	$974/month
Alabama	$1,040/month
Kentucky	$1,049/month
Louisiana	$1,051/month
Ohio	$1,059/month
Kansas	$1,063/month
Nebraska	$1,075/month
Indiana	$1,098/month
Missouri	$1,107/month
Wyoming	$1,118/month
Michigan	$1,126/month
New Mexico	$1,172/month
Wisconsin	$1,224/month
Texas	$1,257/month
Alaska	$1,283/month
Minnesota	$1,317/month
Arizona	$1,346/month
Nevada	$1,347/month
Idaho	$1,354/month
North Carolina	$1,354/month
Tennessee	$1,355/month
Utah	$1,385/month
Montana	$1,386/month
South Carolina	$1,388/month
Georgia	$1,421/month
Oregon	$1,463/month
Delaware	$1,490/month
Pennsylvania	$1,504/month
Colorado	$1,589/month
Illinois	$1,637/month
Maine	$1,662/month
Maryland	$1,675/month
Florida	$1,695/month
Rhode Island	$1,783/month
New Hampshire	$1,790/month
Virginia	$1,792/month
Hawaii	$1,806/month
Vermont	$1,814/month
Washington	$1,821/month
Connecticut	$1,849/month
New Jersey	$2,051/month
California	$2,183/month
District of Columbia	$2,305/month
Massachusetts	$2,518/month
New York	$2,930/month

 

The average rent price can vary depending on what kind of apartment you want and how many bedrooms it has. Larger apartments with three bedrooms will cost more than a simple studio.

State	Studio	One Bedroom	Two Bedroom	Three Bedroom
Oklahoma	$787/month	$895/month	$1,065/month	$1,301/month
West Virginia	$627/month	$920/month	$1,095/month	$1,514/month
Arkansas	$830/month	$924/month	$1,034/month	$1,320/month
North Dakota	$787/month	$930/month	$1,101/month	$1,474/month
Iowa	$849/month	$944/month	$1,107/month	$1,422/month
Mississippi	$896/month	$966/month	$1,121/month	$1,334/month
South Dakota	$856/month	$976/month	$1,158/month	$1,452/month
Alabama	$889/month	$1,031/month	$1,185/month	$1,505/month
Kentucky	$876/month	$1,035/month	$1,228/month	$1,547/month
Louisiana	$906/month	$1,040/month	$1,200/month	$1,437/month

 

The cheapest cities in the most affordable states can vary in price point. In these cities, you can find the lowest rent, and your money will stretch the furthest.

State	City	Average Rent (One-Bedroom Apartment)
Oklahoma	Lawton	$772/month
	Midwest City	$784/month
	Stillwater	$893/month
West Virginia	Huntington	$764/month
	Charleston	$868/month
	Morgantown	$1,092/month
Arkansas	Texarkana	$772/month
	Fort Smith	$797/month
	Conway	$905/month
North Dakota	Mino	$992/month
	Fargo	$994/month
	Dickinson	$1,013/month
Iowa	Marion	$801/month
	Waterloo	$886/month
	Cedar Rapids	$913/month
Mississippi	Pascagoula	$773/month
	Tupelo	$866/month
	Gulfport	$897/month
South Dakota	Sioux Falls	$1,072/month
	Rapid City	$1,220/month
Alabama	Florence	$710/month
	Decatur	$890/month
	Dothan	$927/month
Kentucky	Owensboro	$829/month
	Richmond	$849/month
	Paducah	$998/month
Louisiana	Monroe	$862/month
	Shreveport	$900/month
	Alexandria	$946/month

 

Explore Apartments in the Cheapest States on Apartments.com

Now that you know the most affordable states to live in, dive deeper and explore the cities within those states on Apartments.com. Compare the average rent in each place to help you choose the perfect city to call home. Save even more by living in an affordable neighborhood, each of which has a unique vibe to fit your preferences.

Once you’ve narrowed your options, search for the apartment that matches your budget and needs by filtering based on price, bedrooms/bathrooms, and popular amenities. Apartments.com simplifies your search for budget-friendly apartments in the most affordable cities so that you can find your dream apartment.

Methodology

The rent data in this report is sourced from CoStar Group’s Market Trend reports from April 2025. CoStar Group is the leading authority in commercial real estate information, analytics, and news, trusted by real estate professionals for more than 37 years.

By combining this data with Apartments.com internal data and public records from the Council for Economic Research (COLI), we’re able to deliver the most up-to-date rental information available. COLI data looks more at new construction than at the entire stock of available housing.

To determine overall rent trends, we evaluate rent prices from more than 2,400 cities nationwide, including the top 80 national markets. This analysis includes year-over-year and month-over-month rent changes to provide a comprehensive view of market dynamics. All city and state population data is from the US Census Bureau.