Cheapest Places to Live in Texas

Texas, the Lone Star State, is renowned for its vast landscapes, rich cultural heritage, and economic opportunities. Covering approximately 268,596 square miles, it is the second-largest U.S. state by both area and population, boasting over 31 million residents as of 2024. Beyond its size, Texas offers a cost of living around 7% below the national average, making it an attractive destination for those seeking affordable living without compromising on quality.

In this guide, we'll explore some of the most affordable places to live in Texas, highlighting their unique features and what makes them ideal for cost-conscious individuals and families.

Texas offers several cities with a cost of living below the national average, making them attractive options for affordable living. Here's a summary of some of the most affordable places to live in Texas:​

These cities provide a blend of affordability, economic opportunities, and cultural amenities, making them appealing choices for individuals and families seeking cost-effective living options in Texas.​

1. Wichita Falls

Located in North Texas near the Oklahoma border, Wichita Falls is celebrated for its affordability and community spirit. The city offers a cost of living significantly lower than the national average, with median home prices around $150,000. Residents enjoy amenities such as parks, museums, and proximity to Sheppard Air Force Base. The local economy thrives on sectors like education, healthcare, and military-related industries, providing stable employment opportunities.

2. Brownsville

Situated in the Rio Grande Valley near the Mexican border, Brownsville combines cultural richness with economic living. With median home prices around $180,000, the city offers affordable housing options. The cost of living is notably lower than the national average, particularly in housing, groceries, and healthcare. Its warm climate and proximity to South Padre Island make it appealing to those seeking both affordability and recreational opportunities.

3. Lubbock

Home to Texas Tech University, Lubbock is known for its vibrant arts scene and educational opportunities. The cost of living is nearly 20% lower than the national average, with median home prices around $180,000. The city boasts numerous parks and a strong job market in education, healthcare, and agriculture, making it suitable for students, professionals, and families alike.

4. Amarillo

In the Texas Panhandle lies Amarillo, a city where residents can enjoy a blend of small-town charm and urban amenities. With median home prices around $170,000 and an overall cost of living below the national average, Amarillo offers attractions like Palo Duro Canyon and Cadillac Ranch. The economy is bolstered by industries such as healthcare, agriculture, and energy, providing diverse employment opportunities.

5. Temple

Strategically located between Austin and Waco, Temple offers affordability coupled with accessibility to major metropolitan areas. Median home prices are approximately $200,000, and the city has a strong healthcare industry, thanks to the presence of Baylor Scott & White Health. Residents can enjoy various recreational activities, from lakes and parks to cultural events, making it a well-rounded community.

6. Killeen

Home to Fort Cavazos (formerly Fort Hood), one of the largest military bases in the country, Killeen boasts a robust economy and low cost of living. Median home prices are around $190,000, making it attractive to military families, young professionals, and first-time homebuyers. The city's economy is diverse, with opportunities in defense, retail, and education sectors.

7. Harlingen

Located in the Rio Grande Valley, Harlingen is one of the most affordable places to live in Texas. The cost of living is nearly 30% lower than the national average, with median home prices around $160,000. The city offers a warm climate, a strong sense of community, and easy access to the Gulf Coast. A growing healthcare sector and low unemployment rate make it an excellent choice for those seeking affordability and job stability.

8. Odessa

In West Texas, Odessa is known for its affordable housing and strong economy driven by the oil and gas industry. Median home prices are around $190,000, and the overall cost of living is lower than in many other parts of Texas. Beyond energy, Odessa offers opportunities in healthcare, education, and retail, along with a vibrant arts scene, including a replica of Shakespeare’s Globe Theatre.

9. Texarkana

Straddling the Texas-Arkansas border, Texarkana offers one of the lowest costs of living in the state. Median home prices are around $170,000, and residents benefit from affordable utilities, groceries, and healthcare. The city combines Texas and Southern culture, providing ample job opportunities in education, healthcare, and manufacturing.

10. Baytown

Located east of Houston, Baytown is ideal for those seeking affordability while remaining close to a major metro area. Median home prices are around $210,000, and the cost of living is lower than in Houston itself. The petrochemical industry offers job opportunities, and residents can enjoy various outdoor activities, including fishing, boating, and hiking along the Gulf Coast. Final Thoughts Texas's diverse and expansive landscape offers numerous affordable living options, each with its unique charm and opportunities. From the small-town feel of Wichita Falls and Harlingen to the mid-sized cities like Lubbock and Temple, there's a place for everyone seeking a budget-friendly lifestyle. The absence of state income tax, coupled with lower costs in housing, healthcare, and transportation, enhances the appeal of these cities.

Whether you're a retiree, young professional, or part of a growing family, Texas provides a high quality of life without overspending. With the right planning and research, you can find a Texas city that fits both your budget and lifestyle needs, allowing you to enjoy all the benefits the Lone Star State has to offer.