Another year, another award for the great city of Louisville, KY. According to Forbes, Louisville ranks 8th of the most affordable cities in the U.S. How great is that?
How Forbes Ranks Affordable Cities
Here is how Forbes went about creating their rankings.
First we looked at housing affordability, using the Housing Opportunity Index (HOI) from the National Association of Home Builders and Wells Fargo WFC +0.26%. The quarterly index weighs median prices for homes sold against median income levels to determine the percentage of homes that are affordable to residents making the median income (the national median is $64,400).
Then, Forbes factored in the cost of living number and weighted the results with the same method that the Bureau of Labor Statistics uses for its Consumer Price Index (CPI).
Looking at the results, it’s clear that the best bang for your buck, when considering most affordable cities, keeps you in America’s South or Midwest. Both the Northeast and West are quite expensive.
Most Affordable Cities
Here is the list of the Top 10 Most Affordable Cities in America.
- Buffalo, N.Y.
- Memphis, Tenn.
- Cincinnati, Ohio
- Dayton, Ohio
- Knoxville, Tenn.
- Akron, Ohio
- Grand Rapids, Mich.
- Louisville, KY
- Oklahoma City, Okla.
- Warren, Mich.
As you can see, Tennessee, Ohio, and Michigan did quite well landing multiple affordable cities in this list.
At the end of the day, if you are comparing the most affordable cities in the U.S. you should definitely give Louisville some consideration. Located in the center of it all, great parks, all four seasons, big city amenities with a small town feel—Louisville is a wonderful place to call home!