Analyzing home prices, mortgage rates and mortgage payments from thousands of markets, this study found the top cities across the U.S. where you can own a home for $1,000 or less a month.
To determine mortgage payments, the report assumed a house bought for the current median list price with 20% down and the average mortgage rate for the state, according to Zillow.
In the seven cheapest cities — Milwaukee, St. Louis, Buffalo, Cleveland, Baltimore, Memphis and Toledo — mortgage payments aren't just less than $1,000; they're a fraction of it.
Even though mortgage rates have increased since the study was conducted, owning a home in St. Louis still costs less than $700 a month.
Buffalo’s median list price for a home is only $79,900.
With 20% down and a mortgage rate around 4.3%, you can own a house for under $450 a month in Buffalo.
Cleveland Based on a median list price of $69,500 and Ohio’s average mortgage rate, 4.29%, owning a home in Cleveland costs only $380 per month.
In Memphis, the median listing price for a home is just $75,000.
The median sale price is higher, at $103,100, but even then, mortgage payments with 20% down are only $541 per month.
Based on a 30-year fixed mortgage rate around 4.28% to 4.29%, it’d cost only about $380 a month to own a home.