Why West Virginia is a Cost-Effective Choice: From Low Housing Prices to Cheaper Utilities

It is widely known that the cost of living varies greatly from state to state. Hawaii, New York, and California are consistently ranked as the most expensive states, while Mississippi and Indiana tend to be more affordable, especially in the Southern and Midwestern regions.

The state’s ranking tends to be average. Living expenses in West Virginia are approximately 10 percent lower than the national average, with even more affordable options in specific cities and towns. For the purpose of our comparisons below, we will be using the median household income for the US, which is approximately $52,000.

Understanding Housing Expenses

The median list price for a home in West Virginia is $97,000, which is significantly lower than the national figure of about $181,000. Imagine the incredible difference in real estate prices between Washington, DC and an average West Virginia town. In the nation’s capital, the median home price has soared past $500,000, while in West Virginia, you could purchase about five times the amount of property for the same price.

With an income of $52,000, you can typically purchase a home within the price range of $130,000 to $180,000, depending on the amount you put down as a down payment. In West Virginia, you can find a spacious family home of about 2,000 square feet. It’s no surprise that West Virginia boasts the highest home ownership rate in the nation, coming in at an impressive nearly 74 percent.

However, the cost of rent in the Mountain State is significantly lower than the national average, with an average of around $600 compared to nearly $900.

What About Additional Costs?

West Virginia offers affordable housing and more. The state boasts electricity costs that are approximately one-third lower than the national average, while their overall utility costs, encompassing telephone and water services, are about seven percent cheaper. Utilities make up approximately 10 percent of the average household’s budget.

Healthcare costs are generally more affordable compared to the national average. West Virginia offers significantly lower grocery prices compared to Washington, DC. With food expenses accounting for approximately 15 percent of the average budget, these savings can accumulate rapidly. Transportation costs in West Virginia are higher than average.

Many residents in the state live in rural areas and commute to work outside of town. In many major cities, public transportation options are lacking or nonexistent, making it difficult to navigate without a personal vehicle. A mere one percent of commuters in the state rely on public transportation as their regular mode of travel, with the average daily commute lasting approximately 50 minutes.

Understanding Tax Rates and Amounts

The state’s income tax is divided into five brackets, with rates ranging from three to 6.5 percent. The highest tax bracket applies to incomes of $60,001 and above. The statewide sales tax rate is six percent, but certain cities and counties may add an extra tax of up to one percent.

Real estate and property taxes differ across counties, but the West Virginia Department of Commerce states that they are generally on the lower side. Inheritance is not subject to state tax, and there are several tax benefits available for veterans, the elderly, and the disabled.

Discover the Most Affordable Cities

Weirton is known for its affordability compared to the other major cities in West Virginia. The cost of living in this area is significantly lower than the national average, with a median home price of only $87,000. With an income of $52,000, you could afford a lovely three-bedroom, two-bath home in Weirton. Healthcare in the city is slightly more affordable compared to the average, while transportation costs are slightly higher due to limited public transit options.

Wheeling is proud to offer a cost of living that is 12 percent below average. However, it’s worth noting that homes in this area have a slightly higher price tag, with a median cost of $93,000. Parkersburg is also included among the affordable cities in West Virginia, with a cost of living that is approximately 11 percent below the national average.

Parkersburg homes have a median price of $88,000, and the city is known for its affordability when it comes to groceries and utilities. Fairmont offers a comparable cost of living to Parkersburg, with the added advantage of lower median home prices at $86,000.

Discover the Most Expensive Cities

West Virginia has a limited number of cities with populations exceeding 20,000. Among these locations, Morgantown stands out as being more expensive than the state average, but it remains relatively affordable when compared to national standards. Morgantown, the fourth-largest city in the state, has a cost of living that is approximately ten percent higher than the state average, which is in line with the national average.

The median home price is $172,000, which is approximately 30 percent higher than the state average, but it remains below the national figure. Charleston, the capital and largest city of West Virginia, holds the distinction of being the second-most expensive among the state’s most populous cities. However, it’s important to note that the term “expensive” is subjective.

The cost of living in Charleston is just slightly higher than the state average. In Charleston, the cost of health care and utilities is slightly higher, while the median home price is $142,000. The city’s median household income is $48,000, surpassing the state median of $40,000, although it falls below the national average.

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