Known for its down-to-Earth welcoming locals, family-friendly environment and outdoor adventures, the Midwest is a region that’s alluring and affordable. The cost of living is lower in the region and owning a home is a real possibility.
See More: 7 Cities With Homes Expected To Plummet in Value in the Second Half of 2025
Find Out: How Middle-Class Earners Are Quietly Becoming Millionaires — and How You Can, Too
Whether you’re putting down roots as a first-time buyer, looking to downsize in retirement or just looking for a cheaper alternative, GOBankingRates has rounded up the most affordable place to buy a home in every Midwestern state, using Zillow home values.
From quiet small towns to up-and-coming cities, these are the spots where your housing dollar goes furthest.
Illinois
Cheapest place: Venice
2025 Zillow Home Value Index: $33,318
Total population: 1,682
Venice is a quaint town tucked away from the hustle and bustle of city life. However, it borders Missouri so, if you’re craving excitement, you’re less than a 15-minute car ride away. While Venice offers historical sites and outdoor activities, the main draw is the affordability.
According to BestPlaces, cost of living is 17.5% lower than the national average.
Explore More: 10 Best Places To Buy a Short-Term Rental Property To Earn Passive Income in 2025
Find Out: Here’s the Minimum Salary Required To Be Considered Upper Class in California
Trending Now: Suze Orman’s Secret to a Wealthy Retirement–Have You Made This Money Move?
Indiana
Cheapest place: Hymera
2025 ZHVI: $81,003
Total population: 835
Hymera is a quiet rural area whose nearest big city is Indianapolis — about 90 miles away. The median home price is $81,000, which is 317% lower than the national average, and rent is around $850 a month (68% cheaper).
For You: What Salary Single People Need To Live Comfortably in 100 Major US Cities
Iowa
Cheapest place: Mystic
2025 ZHVI: $41,357
Total population: 257
If you’re seeking cheap housing, if you like the outdoors and if you don’t want neighbors, Mystic could be your place. While the population is under 300 people, it’s a tight-knit community with plenty of hiking, boating and swimming to do in the nearby Honey Creek State Park.
Kansas
Cheapest place: Sedan
2025 ZHVI: $48,162
Total population: 1,066
Surrounded by nature trails and falls, Sedan is a small town just under two hours from Wichita. The cost of living is 31.6% lower than the national average, according to BestPlaces.
Michigan
Cheapest place: Beecher
2025 ZHVI: $38,929
Total population: 8,507
Beecher is a suburb of Flint and is known for its beautiful well maintained colonial-style homes with perfect manicured lawns that are super cheap. A home will cost 89% less than the national average. Cost of living is 14.9% lower than the national average and 7% cheaper than the Michigan average.
See Next: 5 Cities Where Homes Will Be a Total Steal in 2 Years
Minnesota
Cheapest place: Elmore
2025 ZHVI: $73,383
Total population: 442
Situated on the Iowa border, Elmore is a small town with a population of less than 450 that primarily depends on agriculture for work. Living in Elmore will cost 28% less than the national average.
Missouri
Cheapest place: Hillsdale
2025 ZHVI: $51,956
Total population: 922
Hillsdale, a suburb of St. Louis, is mostly residential with affordable housing. It’s just a 16-minute commute to the city, making it an ideal spot to live while still being close to amenities. Cost of living is 6.9% cheaper than the national average.
Nebraska
Cheapest place: Walthill
2025 ZHVI: $59,525
Total population: 889
Situated near the Omaha Indian Reservation, Walthill is the cheapest area in Nebraska. A house costs 89.3% less than the national average, and the cost of living is 28.8% lower.
Check Out: 3 Best States To Buy Property in the Next 5 Years, According To Experts
North Dakota
Cheapest place: Drake
2025 ZHVI: $76,205
Total population: 245
Deeply rooted in agriculture, the small population of Drake relies on farming for the local economy and has a strong sense of community. A house is 75% less than the national average and cost of living is 17.1% cheaper.
Ohio
Cheapest place: Drexel
2025 ZHVI: $57,437
Total population: 1,659
Drexel is a small town with limited attractions, but is just 12 minutes to Dayton where you have conveniences like dining, festivals, museums and more. Cost of living is 20.2% cheaper than the American average.
South Dakota
Cheapest place: Lemmon
2025 ZHVI: $111,270
Total population: 1,214
Lemmon is small in size, but has plenty to offer. You can explore the Petrified Wood Park, museums or enjoy lake activities. Plus, it’s affordable. The cost of living is 26.7% lower than the national average.
Wisconsin
Cheapest place: Montreal
2025 ZHVI: $123,337
Total population: 800
Montreal is an idyllic small town that’s nearly 20% cheaper than the national average. Housing is 67% lower than the U.S. average.
Editor’s note: Photos are for representational purposes only and might not reflect the exact locations/items listed.
Methodology: To find the cheapest place to buy a home in every state, GOBankingRates analyzed every state to find the cities with the cheapest median home values, as sourced from Zillow Home Value Index. For each city, the total population was sourced from the U.S. Census American Consumer Survey as supplemental data. All data was collected on and is up to date as of May 27, 2025.
More From GOBankingRates
I’m a Realtor: This Is Why No One Wants To See Your Home
3 Things Retirees Should Stop Buying To Save Money Amid Tariffs
How Middle-Class Earners Are Quietly Becoming Millionaires — and How You Can, Too
7 Wealth-Building Shortcuts Proven To Add $1K to Your Wallet This Month
This article originally appeared on GOBankingRates.com: The Cheapest Place To Buy a Home in Every Midwestern State
