When homebuyers are searching for a home, there are many factors to consider. Among these are style, proximity to family or large metro areas, safety, the job market, and school districts if the homebuyer has children. Two of the most important factors to consider when purchasing a home are price and location.
Buying a home is a huge financial commitment and is likely the largest investment an American will ever make. Determining the correct price point for your budget is necessary for making sure you can afford your monthly mortgage payments and keep your home. Home prices vary greatly by location, both state to state and city to city.
According to Zillow, the typical value of U.S. homes is $269,039 as of January 2021, a 9.1% increase from January 2020. Between 1999 and 2021, the median price has more than doubled from $111,000 to $269,039.
Because of the ever-increasing home prices, many people decide to delay buying homes or decide not to altogether. In the majority of U.S. states, the median home price is over $200,000. While a homebuyer can find a home in any state at that price, what one could get for $200,000 varies greatly between states. For example, a $200,000 home in Hawaii is about 421 square feet.
24/7 Wall Street evaluated data from real estate company Zillow to determine the median home value of each state and how much $200,000 (between $190,000 and $210,000) gets you.
Median Home Price by State
Each state has varying median home prices and typical home sizes. Generally, the states with higher median home values have higher median household incomes, while the states with less expensive homes have lower median household incomes.
States with the Highest Median Home Prices
Hawaii has the highest median home price of $638,388 and also has the third-highest average monthly rent in the U.S. at $2,333 per month so living in Hawaii is expensive whether you decide to rent or buy. A typical $200,000 home in Hawaii will only get you 421 square feet. The typical home size in Hawaii is the smallest among the states, at 1,209 square feet, and one could expect to get about 4.6 rooms. Luckily, Hawaii's median household income is the third-highest in the country, at $80,212 per year.
Hawaii's pricing and home sizes are a sharp contrast to Maryland's, which has the tenth-highest median home price at $310,744. In Maryland, the typical home size is 1,740 square feet, the 25th largest typical home size, and 6.2 rooms, which is the second-highest number of rooms in a typical home in any state. Maryland has the highest median household income of any state at $83,242.
States with the Lowest Median Home Prices
Below are the states with the lowest median home prices.
- West Virginia ($107,927)
- Mississippi ($127,206)
- Arkansas ($129,484)
- Oklahoma ($131,080)
- Alabama ($140,991)
- Kentucky ($148,662)
- Ohio ($151,382)
- Kansas ($151,970)
- Iowa ($153,802)
- Indiana ($156,543)
West Virginia's median home price of $107,927 is the lowest of any state in the United States. If a homebuyer is looking to pay $200,000, the typical home size would be around 2,140 square feet, more than four times the size of a similarly priced home in Hawaii.
For anyone looking to get the most space for $200,000, a typical home in Indiana for that price is 2,301 square feet, and in Mississippi, one could get about 2,236 square feet.