The main factor when deciding to live or set up a business in the US is the cost of living. This refers to the amount of money required to meet necessary expenses like food, clothing, housing, health care, utilities, and taxes. These factors help a lot in determining the affordability of any state. Salary paid in a particular area also impacts the cost of living. If you are living in an expensive state, the salaries are high-scaled to help you maintain a high standard of living. Therefore, if you are establishing a business or planning to reside in a new state of the US, keep the salary factor into account.
As a matter of fact, there is no official comparison published by the government related to the cost of living, but some organizations have undertaken the reporting. Therefore, as a standard benchmark released by the Council For Community and Research on the cost of living index is widely accepted. As per the provided report and information by CCER, there are some cheaper states to live in. The index scores are mentioned in comparison to the national benchmark of 100. The states below 100 are considered cheaper. Apart from these, people are moving to small towns and cities because they offer a good education, healthcare, and community support to help enhance the quality of living.
Mississippi
According to CNBC’s list, this Magnolia State tops for the cheapest cost of living due to its reasonable food costs and housing facilities. It is the cheapest state to live in, with an 84.7 % housing cost. The average prices in the hospitable state are $128,600, and the rent for a one-bedroom apartment is $612, making it very affordable. It also excels in utility and healthcare services. Better employment opportunities in Mississippi lead to a wonderful quality of life. This state has the lowest cost of income in every aspect.
Missouri
This state focuses on professional services, health care, manufacturing, and biosciences. It offers housing and business opportunities at an affordable price. The average rent of a one-bedroom apartment is $650 p/m, and the price of a median home is $159,500. Due to fertile land, historic rivers (Mississippi and Missouri), watered prairies, and hills, this place has become a center for bound settlers. The shipping industry and transcontinental airways make the transportation of cargo and passengers very easy.
Arkansas
It has a diverse geography, which is why it’s called the Natural State. This state is also known for its low price of housing, transportation, and health care. As far as employment is concerned, Arkansas is the headquarters of Walmart. Among the major employers, Tyson food and Baptist health are very popular. Rich in mystery and history, Arkansas has a mixture of urban and ruler cultures. From tax benefits to purchasing a house, this state excels in providing the best services.
Oklahoma
When it comes to low housing costs, Oklahoma has a lot to offer. It is considered the most affordable city in the US. This state has sufficient land for future development, and the cost of living index registered at 69.8, the lowest score in the US. It also offers affordable prices for median housing and single-room apartments. It provides plenty of land for development due to the lack of mountains surrounding the city, leading to low home prices.
Michigan
Compared to the other states, the cost of living is very low in Michigan. It is the most reputed and affordable place for businesses and people to live in. The cost of groceries, health care, housing, utilities, transportation, and other services is within a score of 100, which makes this place an affordable state. The housing costs in Michigan are $132 p/square (average price) and $249,900 (median price).
Tennessee
This is the 6th cheapest state with a living wage of $50,152 P/m accompanied by $810 housing cost. Income tax and food costs are very low to facilitate happy living. The average cost of living is low, but the monthly bill for utilities is rather higher than the national average cost. The household income in Tennessee is very high, at over $200,000 per year. It’s very cheap to live in because the majority of people live in rural areas, so the state lacks income tax. The highest-paying jobs in Tennessee are Ophthalmologists, Surgeons, Orthodontists, Psychiatrists, Physicians, and Pediatrics.
Kansas
Are you planning to move to Kansas? Then, you are going to enjoy affordable housing, job opportunities, high-rated colleges, incredible culture, and sports events. As per Economic Research, the income and salaries in Kansas are $27,282 and $64,000, respectively. As the largest employer, the Federal government has employed 41,500 people directly or through contracts.
Texas
Among the best places to live in the US, the cost of living in Texas is 93.9, which is quite affordable. The home price of the median house is $195,000. Generally, houses are cheaper here for two reasons. Firstly, there is ample land, which is not good for farming, and the wages are low. The health care prices are above the average mark nationwide, as reported by the Health Care Cost Institute.
California
Among other states in the US, California is the most expensive state to live in. The main factor for the high cost of living is housing. The cost of living is 149.9, which means more than 100. When it comes to budget housing, there is a wide range of costs beginning from Ultra expensive houses in San Francisco to small towns and cities. As per the reports, the median houses cost $1,304,885 in San Francisco and $3,55,000 in Sacramento. If you still want to buy or get a house on rent, you need to consult a financial advisor to evaluate and enjoy long-term benefits before making a final decision.
After studying the various states of the US, if you wish to move to any of these, make sure that you keep the cost of living in your mind. Evaluate the cost of living by considering the average home price, health care, utilities, food, taxes, and monthly income. Before you decide to move to these places for a business establishment or to enjoy as a retiree, find a good Real Estate Manager or a good Financial Advisor who is well aware of the prices, job opportunities, culture, and interest rate to offer you the best customer services.
