As inflation soars, these are the top 10 cheapest states in America to live in.
As inflation soars, these are the top ten cheapest states in America to live in.
Even though it’s nearly impossible to avoid inflation these days, some states are cheaper than others.
Working families are looking for areas to live where they can save money.
According to an index of costs for a wide range of goods and services, America‘s Top States for Business study ranks the states.
Inflation is a widespread problem that affects almost everything we purchase. Deal-hunting is a popular pastime because costs for goods and services worldwide are rising at rates that haven’t been seen in 40 years. Even hotter than anticipated, June’s most recent Consumer Price Index registered 9.1 per cent.
Companies are also on the lookout; in many cases, they relocate their operations to areas where their employees and their own money have more purchasing power. Cost of Living is, therefore, a factor in our formula for ranking the states in CNBC‘s annual analysis of America’s Top States for Business.
We rank the states based on an index of pricing for a wide range of products and services. Over the previous year, these ten states had the lowest cost of living. Based on the Council for Community and Economic Research’s (C2ER) 2021 Average Cost of Living Index, average prices for particular items from the previous year are also included. Since prices have increased this year, we have added the U.S. Bureau of Labor Statistics’ most recent regional inflation rate year-over-year.
Here is the list of the Top 10 cheapest places to live during Inflation:
1. Mississippi
In Meridian, Mississippi, you can purchase a home or rent an apartment for about half the price of Bozeman, Montana. Everything else is also less expensive. In Manchester, New Hampshire, a doctor’s visit costs around half what it would be there. Do you want some pizza? In this state in America that has the lowest cost of living, you may get a New York-style pie for 25% less than you would in Rochester, New York.
2022 Cost of Living Score: 50 out of 50 points (Top States Grade: A+)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Meridian): $305,417
Half gallon of milk: $2.03
Monthly energy bill: $160.90
2. Kansas
Kansas City residents are already experiencing higher prices as the inflation rate increased from 8.3 per cent to 8.6 per cent in May.
Prices are increasing, from gas to groceries.
Other everyday goods are becoming more expensive due to record-high petrol costs.
As they purchase produce, milk, and meats at the grocery store, many people are seeing an increase.
A ribeye steak will cost you roughly 25% less at the grocery store in Manhattan, Kansas, than it would in Manhattan, New York. That one was simple, I guess. Your home will cost roughly one-sixth as much in Manhattan, in the middle of the country, as it would on the renowned island in the east.
2022 Cost of Living Score: 49 out of 50 points (Top States Grade: A+)
Consumer Price Index (May, Midwest Region): Up 8.8%
Average home price (Manhattan) $350,219
Half gallon of milk: $1.82
Monthly energy bill: $173.50
3. Alabama
Going over Tennessee’s southern border, you may enter one of the best states for frugal living.
According to George Beatty, the creator of Problem Property Pals, Alabama is one of the most cost-effective states in the union. “The state can be an affordable stay for families, even with rising prices. Let’s say, for instance, that your home is approximately 2,000 square feet, has four bedrooms, two bathrooms, and a sizable property in the city of Auburn. You might anticipate paying about 33% of what you would for a comparable home in California. Alabama has a cost of living score of 68 out of 75, which is regarded as being quite good in terms of affordability.
In addition, a home in Auburn typically costs roughly $310,000. This is $60,000 less than the national average for home prices.
You will spend less than a third of what you would for a comparable property in Anaheim, California if you purchase a beautiful home in Birmingham. Do you believe your vision may be deceptive? Visit your neighbourhood optometrist; it will cost you roughly 30% less than it would in Vero Beach, Florida.
2022 Cost of Living Score: 48 out of 50 points (Top States Grade: A+)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Birmingham): $334,577
Half gallon of milk: $2.06
Monthly energy bill: $176.43
4. Georgia
Georgia’s consumer price inflation rate fluctuated between -0.9% and 162.7% throughout the last 26 years. A 9.6 per cent inflation rate was calculated for 2021.
The average annual inflation rate from 1995 to 2021, the monitoring period, was 13.2 per cent. The whole price increase was 1,312.80%. A product that cost 100 Lari in 1995 would have cost 1,412,80 Lari at the start of 2022.
In Georgia, a can of peaches costs around 30% less than one in Southern California, the state that is famous for them. Additionally, a litre of Coca-Cola costs about 20% less in Atlanta than in Wilmington, Delaware. What about a situation where there is no home-field advantage? In Atlanta, yoga classes are around 20% less expensive than in Los Angeles.
2022 Cost of Living Score: 47 out of 50 points (Top States Grade: A+)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Atlanta): $449,444
Half gallon of milk: $1.66
Monthly energy bill: $122.51
5. Tennessee
Despite the unexpected flood of residents, according to Erik Wright, owner of NewHorizon Home Buyers, Tennessee still has a very reasonable cost of living. “The average home still only costs $231,600. Additionally, Tennessee experienced the fastest increase in positions paying six figures, indicating a sizable pool of disposable income that might support the expansion of companies that generate more revenue.
In the Volunteer State, one area stands out as a sweet deal.
Despite rising inflation, Johnson City is one of the cities where the cost of living is around half that of Houston, according to Erick Nilsson, a housing expert and Rentola’s creator. Even doctor appointments cost 60 per cent less in the state than in other states. The region has 65 out of 75 scores for the cost of living.
Your ears will rejoice at this Nashville pricing. The price of a dozen eggs is around $1 less than in Stamford, Connecticut. Your Elvis Presley-style fried banana, peanut butter, and bacon sandwich will cost roughly 25% less in Memphis than in Boston.
2022 Cost of Living Score: 46 out of 50 points (Top States Grade: A)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Chattanooga): $357,465
Half gallon of milk: $2.19
Monthly energy bill: $134.42
6. Missouri
Inflation affects the entire United States. The rising fuel cost affects numerous businesses, including agricultural and food production. According to AAA, Missouri’s current average price per gallon is $4.53, less than the $4.95 national average.
According to U.S. Bureau of Labor Statistics data, the cost of groceries has increased 10.8% in the last 12 months. The price increase for food is the highest in more than 40 years.
Meat, poultry, and fish have seen the most significant increases among food types, rising by 14.3 per cent. Dairy goods have climbed by 9.1 per cent, while fruits and vegetables have increased by 7.8 per cent.
To be eligible for SNAP in Missouri, a family’s income must be below the federal poverty level. That equates to a yearly gross income of $16,751 for a single person. That amounts to a gross annual income of $34,452 for a household of four. The threshold is higher for those who are disabled or older than 60. Missouri residents who meet the requirements can apply online or by mail to the Department of Social Services; an interview may be required.
The Missouri Poverty Report estimates that 786,330 Missourians, or 13.2 per cent of the state’s population, are poor.
As of February, 640,799 Missourians were using SNAP, according to the most recent USDA data. As of February, Missouri had disbursed Pandemic EBT funds totalling more than $19 million for the fiscal year 2022.
I’ll show you a deal if you can show me a house in Columbia, Kansas City, or St. Louis. The Show Me State’s housing costs are nearly half of Boston’s. As a result, you will be able to pay your mortgage and have money left over for a night out. Possibly a movie? Compared to Lima, Ohio, Columbia will cost you 20% less.
2022 Cost of Living Score: 45 out of 50 points (Top States Grade: A)
Consumer Price Index (May, Midwest Region): Up 8.8%
Average home price (Columbia): $382,188
Half gallon of milk: $2.24
Monthly energy bill: $161.78
7. Iowa
Renting an apartment won’t break the bank, not even in a college town like Ames. For far under $1,000 per month, you may rent a lovely two-bedroom apartment. In Austin, Texas, a separate college town, you might anticipate paying 50–60% more.
2022 Cost of Living Score: 44 out of 50 points (Top States Grade: A)
Consumer Price Index (May, Midwest Region): Up 8.8%
Average home price (Ames): $401,052
Half gallon of milk: $2.29
Monthly energy bill: $148.81
8. West Virginia
In The Mountain State, how about a mountain of Southern fried chicken? You can get it for less than half the price per pound compared to Seattle, where it wouldn’t qualify as “Southern” fried chicken. The oil to fry it in is about half as expensive in Morgantown as it is up north.
2022 Cost of Living Score: 43 out of 50 points (Top States Grade: A-)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Morgantown): $329,832
Half gallon of milk: $2.41
Monthly energy bill: $142.65
9. Indiana
Your money doesn’t go as far these days due to rising inflation.
The consumer price index increased by 8.6 per cent during the previous 12 months, according to the Bureau of Labor Statistics (BLS).
The effects of high gas prices and record-high inflation throughout the economy are still being felt in Indiana. State legislators are currently thinking of regional solutions to help Indiana residents.
Gas prices in some areas of the state are approaching $5 a gallon as the busy summer travel season gets underway. More demands for action have been made as a result, including one to suspend Indiana’s gas tax. In addition to the $125 automatic return that Hoosiers have already received this year, Indiana lawmakers are now talking about another potential tax refund.
To counteract the consequences of inflation, many Democratic lawmakers want to provide $100 to every Indiana resident.
The Crossroads of America is easy to navigate while driving. Additionally, the cost of having your tyres balanced in Bloomington will be half that of Lafayette, Louisiana. Gas is expensive here, just like it is everywhere else. However, they are operating around 20% less than in California.
2022 Cost of Living Score: 42 out of 50 points (Top States Grade: A-)
Consumer Price Index (May, Midwest Region): Up 8.8%
Average home price (Bloomington): $408,649
Half gallon of milk: $2.00
Monthly energy bill: $161.50
10. Arkansas
With a median list price of $245,000, Arkansas has the third cheapest property market nationwide. Bentonville provides financial incentives for people to relocate, according to the research.
Even though Arkansas bills itself as The Natural State, sometimes all you want is a burger. You’re in luck since the price of a McDonald’s Quarter Pounder with Cheese in Hot Springs is only $4.13, which is around 30% less than the price in New York City. When you go to the doctor later to check your cholesterol, the cost will be roughly half what it would be in Dubuque, Iowa.
2022 Cost of Living Score: 41 out of 50 points (Top States Grade: A-)
Consumer Price Index (May, South Region): Up 9.2%
Average home price (Hot Springs): $390,814
Half gallon of milk: $1.89
Monthly energy bill: $152.49
edited and proofread by nikita sharma
