Minnesota: ZIP 55912
> Location: Austin
> Metro area: Austin, MN
> Median home sales price: $132,000 (state: $264,900)
> Median household income: $50,274 (state: $71,306)
> Homes that are at least 50 years old: 70.3% (state: 40.0%)
The 55912 ZIP code in Austin, Minnesota, is by far the least expensive place in the state to buy a home. The median home sale price in 2020 was just $132,000. Meanwhile, the Minnesota ZIP code with the second lowest median home sale price is the 55412 postal code in Minneapolis, where the typical home sold for $190,000 in 2020. Across the state as whole, most homes sell for over a quarter of a million dollars.
Low home values in the area mean more people are able to afford a home without taking a loan. An estimated 40.6% of owner-occupied housing units in the area do not have a standing mortgage, nearly the largest share in the state and above the comparable 37.3% nationwide.
Mississippi: ZIP 38671
> Location: Southaven
> Metro area: Memphis, TN-MS-AR
> Median home sales price: $162,697 (state: $218,250)
> Median household income: $51,214 (state: $45,081)
> Homes that are at least 50 years old: 16.9% (state: 26.7%)
Only about 11,300 homes were bought and sold across Mississippi in 2020, nearly the fewest of any state. Partially as a result, only six ZIP codes in the state had a sample size of home sales last year large enough to be sufficient for analysis. Of them, the 38671 ZIP code, located near the northwest corner of the state, has the least expensive homes. The local median home sale value of $162,697 is well below the comparable median of $218,250 statewide.
Home values are often driven up by demand, and demand is driven by population growth. Between 2010 and 2019, however, the number of people living in the area climbed by just 4.9%, far less than half the comparable growth of every other ZIP code in the state with home sale data. For context, the U.S. population expanded by 6.8% over the same period.
Missouri: ZIP 63136
> Location: Saint Louis
> Metro area: St. Louis, MO-IL
> Median home sales price: $37,000 (state: $192,802)
> Median household income: $32,223 (state: $55,461)
> Homes that are at least 50 years old: 78.6% (state: 40.2%)
Some of the least expensive — and most affordable — real estate being sold in the United States is in St. Louis’ 63136 ZIP code, which covers a section of the northernmost part of the city. The median home sale price in the area was just $37,000 in the last year, only slightly higher than the local median household income of $32,223. For context, the median home sale price nationwide is 4.2 times higher than the national median household income of $62,843.
The area’s home prices are among the lowest in the country likely due in part to reduced demand, precipitated by population decline. Over the last five years, the number of people living in the area contracted by 6.0%.
Montana: ZIP 59101
> Location: Billings
> Metro area: Billings, MT
> Median home sales price: $224,000 (state: $295,154)
> Median household income: $49,514 (state: $54,970)
> Homes that are at least 50 years old: 51.8% (state: 36.2%)
Of the six ZIP codes in Montana with sufficient 2020 home sale data, the 59101 ZIP code in the south-central section of the state has the least expensive homes. The median sale price in the area last year was $224,000, compared to $295,154 across the entire state.
Home values in a given area can be affected by the local job market to some degree. Over the last five years, 5.4% of area workers were unemployed, the highest jobless rate of any ZIP code in Montana with sufficient home sale data. Like other parts of the country with lower than average home sale prices, homes in the 59101 ZIP code are also older than average. Over half of all area homes were built before 1970, compared to 36.2% of all homes in Montana.
Nebraska: ZIP 68104
> Location: Omaha
> Metro area: Omaha-Council Bluffs, NE-IA
> Median home sales price: $135,000 (state: $195,000)
> Median household income: $48,620 (state: $61,439)
> Homes that are at least 50 years old: 76.5% (state: 45.9%)
The median home sale price in the 68104 ZIP code in Omaha, Nebraska, was $135,000 in 2020 — $60,000 below the median home sale price of $195,000 across the entire state the same year.
Home values are often a reflection of what area residents can afford — and just as home values are low in the area, so are incomes. The typical household in the 68104 ZIP code earns just $48,620 a year compared to the statewide median household income of $61,439. Both incomes and home values are also affected by the local job market to some degree. Over the last five years, 7.2% of area workers were unemployed, more than triple the comparable unemployment rate in most other Nebraska ZIP codes with sufficient home sale data.