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Moving overseas advice
Cheapest states to live in for the US 2026
Key takeaways
- The state with the lowest cost of living in 2026 is Oklahoma, according to the latest data from World Population Review (WPR).
- The top 6 cheapest states to live in are Oklahoma, Mississippi, Alabama, West Virginia, and Kansas.
What state has the lowest cost of living in 2026?
The state with the lowest cost of living in 2026 is Oklahoma, followed by Mississippi, West Virginia, Alabama, and Kansas, according to the latest data from World Population Review (WPR). The independent statistical aggregator translates existing institutional data from sources like the Council for Community and Economic Research into a standardised Cost of Living by State.
WPR's methodology compiles six subcategories: housing, utilities, groceries, transportation, healthcare, and miscellaneous services, into a single value. Results are measured against a national baseline of 100, allowing for a direct percentage-based comparison of state affordability relative to the US's average.
Oklahoma, whose cheap housing market features 200,000+ vacant homes, takes top spot with a Cost of Living Index of 86.0, meaning residents face expenses around 14% lower than the national average. In stark contrast, Hawaii ranks as the most expensive state, with an index of 185.0, with residents paying roughly 85% above the US average. High placings across all WPR's critical subcategories, including the top spot for affordable housing and groceries, further support Oklahoma's appeal.
The graphic below shows the Cost of Living score by colour for all US states in 2026:
Oklahoma, whose cheap housing market features 200,000+ vacant homes, takes top spot with a Cost of Living Index of 86.0...
6 cheapest states to live in 2026*
The cheapest states to live in in 2026 are Oklahoma, Mississippi, Alabama, West Virginia, and Kansas. These states consistently rank among the most affordable and best in the US, with lower-than-average housing costs, utility bills, and everyday living expenses, making them appealing to individuals and families seeking better value.
For those planning international removals to the United States, these locations offer a more accessible starting point without compromising on quality of life. Below, you’ll find more information about what makes each of these states a cost-effective choice for relocation.
1. Oklahoma
The Sooner State's low-cost housing market, which remains well below national averages, drives its affordability. As a result, individuals and families have more funds to enjoy.
In addition, a graduated tax structure that caps at 4.5% and a corporate tax rate of 4% further reduce the monthly burden on households and businesses.
Population: 4.1M
Avg. annual cost of living: US$44,398 (€37,960/£32,772)
Avg. annual salary: US$59,436 (€50,811/£44,041)
Avg. monthly utilities: US$241 (€206/£179)
Avg. weekly groceries: US$111 (€95/£82)
Median house price: US$218,822 (€187,067/£162,144)
In-demand jobs: cooks, personal care assistants, and fast-food assistants.
Mississippi consistently ranks among the US's most affordable regions, thanks to its exceptionally low housing costs...
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Source: numbeo.com
2. Mississippi
Mississippi consistently ranks among the US's most affordable regions, thanks to its exceptionally low housing costs compared to most other domestic metropolitan areas.
The Hospitality State also offers lower-than-average transportation costs and some of the most competitive university tuition rates in the country.
Population: 2.9M
Avg. annual cost of living: US$42,131 (€36,043/£31,098)
Avg. annual salary: US$52,260 (€44,656/£38,688)
Avg. monthly utilities: US$165 (€141/£122)
Avg. weekly groceries: US$112 (€96/£83)
Median house price: US$189,849 (€162,225/£140,544)
In-demand jobs: nurse practitioners, registered nurses, and personal care assistants.
3. Alabama
The Yellowhammer State entices expats with an alluring blend of southern charm and economic practicality. Alabama's median monthly rent is typically hundreds of dollars lower than in large coastal regions like California.
Additionally, the state's favourable effective property tax rate of 0.38% contributes to its overall affordability.
Population: 5.1M
Avg. annual cost of living: US$44,529 (€38,095/£32,896)
Avg. annual salary: US$63,024 (€53,854/£46,656)
Avg. monthly utilities: US$227 (€194/£168)
Avg. weekly groceries: US$114 (€97/£84)
Median house price: US$231,946 (€198,196/£171,708)
In-demand jobs: registered nurses, truck drivers, and customer service assistants.
4. West Virginia
Thanks to consistently affordable house prices, 78% of West Virginians are homeowners, which is almost 13% higher than the US average.
The Mountain State further benefits from favourable retirement tax incentives, low transport costs, and remote work subsidies, such as Ascend West Virginia, which pays eligible workers US$12,000 (€10,254/£7,591) in cash.
Population: 1.7M
Avg. annual cost of living: US$55,776 (€47,694/£41,205)
Avg. annual salary: US$58,292 (€49,810/£43,153)
Avg. monthly utilities: US$277 (€237/£205)
Avg. weekly groceries: US$113 (€97/£84)
Median house price: US$169,759 (€145,058/£125,672)
In-demand jobs: registered nurses, personal care assistants, and fast-food assistants.
5. Kansas
Homeownership rates in Kansas are almost 10% higher than the national average, driven by a median property price of around US$100,000 (€85,449/£74,029), which is well below the US benchmark.
What's more, the Sunflower State's Rural Opportunity Zone (ROZ) offers five years of tax-free income and $15,000 of student loan repayment for those moving to any of its 95 designated rural counties.
Population: 2.9M
Avg. annual cost of living: US$49,348 (€42,197/£36,458)
Avg. annual salary: US$61,308 (€52,387/£45,386)
Avg. monthly utilities: US$241 (€206/£178)
Avg. weekly groceries: US$112 (€96/£83)
Median house price: US$242,859 (€207,521/£179,787)
In-demand jobs: data scientists and software developers.
*figures accurate as of 2026
Sources: numbeo.com, weather-and-climate.com, remotepeople.com
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