What's the cheapest city in Texas to live in right now?

Texas home prices continue to climb, making it increasingly difficult for residents to buy a home. The rising cost of living in major cities has made homeownership feel out of reach for many Texans. Even as mortgage rates increase, demand remains strong. Housing prices show no signs of slowing down. 

A key factor driving these high prices is the limited housing supply. There simply aren’t enough homes being built to meet the needs of the state’s growing population. The housing shortage continues to push property prices upward, leaving many eligible borrowers struggling to find affordable options. 

Still, there are opportunities for your clients, especially those who are open to living outside of the big cities. Some towns in Texas offer less expensive home prices, making them attractive alternatives for clients looking for affordability without sacrificing quality of life.  

Want to help your clients climb the property ladder without breaking the bank? 

In this article, Mortgage Professional America has listed the cheapest cities in Texas to live in. We have included valuable data like earnings, property prices, and rental charges that can help your clients choose the most suitable property. We will also provide answers to these two questions: 

• Is Texas the cheapest state to live in?   
• What city in Texas has the lowest cost of living? 

What’s the cheapest city in Texas to live? 

Wichita Falls is the cheapest based on median home value. It’s a great option for nature lovers with its many parks and open spaces.   

There are other affordable cities in Texas to live in. We've listed ten locations where the property prices are affordable as well as the rental fees for those who are not looking for houses to buy. This is especially helpful for first-time home buyers who are unsure about renting or owning a property.  

Here are ten of the cheapest cities in Texas to live in: 

1. Wichita Falls 
2. Brownsville 
3. Abilene 
4. Amarillo 
5. Lubbock 
6. San Angelo 
7. Corpus Christi 
8. Killeen 
9. El Paso 
10. San Antonio 

Let's explore these cities further below. All numerical values below are sourced from Houzeo: 

1. Wichita Falls 

• Median home value: $163,276 
• Median house rent: $1,200 
• Median household income: $58,568 

Located in North Texas, Wichita Falls is the principal city of the Wichita Falls Metropolitan Statistical Area. It serves as the county seat of Wichita County. The city has a strong military presence with Sheppard Air Force Base. It also boasts various cultural amenities such as theaters and museums. 

For home buyers who want to live in areas with open spaces, Wichita Falls has 37 parks. This includes the famous Lucy Park. 

As for Wichita Falls’ economy, it drives revenue from manufacturing and healthcare. It also focuses on the educational sector, with primary and secondary schools scattered throughout the city. Wichita Falls is also home to universities like Midwestern State University and Vernon College. 

2. Brownsville 

• Median home value: $187,055 
• Median house rent: $1,500 
• Median household income: $48,675 

Brownsville, the southernmost city in Texas, is on the northern bank of the Rio Grande. It is directly across Matamoros, Mexico. Brownsville has a rich history, particularly related to Mexican-American culture.  

The city has three international bridges that connect to Mexico: 

• Brownsville & Matamoros International Bridge 
• Gateway International Bridge 
• Veterans International Bridge at Los Tomates 

Check out this walkthrough video of Brownsville and feel free to share it with your clients: 

And since we’re close to south of the border, check out this article if you have clients who want to purchase property in Mexico.  

3. Abilene 

1. Median home value: $188,764 
2. Median house rent: $1,295 
3. Median household income: $62,720 

Abilene serves as the principal city of the Abilene Metropolitan Statistical Area. It was established in 1881 as a shipping point for cattle. For home buyers who want to visit available houses in Abilene, they can find it in the counties of Taylor and Jones. 

The city has several tertiary education institutions, including Abilene Christian University and Hardin-Simmons University. It has also evolved into a regional center for commerce and healthcare. 

4. Amarillo 

• Median home value: $193,956 
• Median house rent: $1,375 
• Median household income: $62,469 

Amarillo is the largest city in the Texas Panhandle. It is the county seat of Potter County, extending into Randall County. Historically, it was known as "The Yellow Rose of Texas." Due to its efficient railroad system, it has been a flourishing cattle-marketing center. 

For renters and property buyers who want to venture into this industry, residing in Amarillo can be a smart move. Amarillo's economy also includes meatpacking and petroleum extraction. The city is also famous for attractions like the Cadillac Ranch and its proximity to Palo Duro Canyon. 

Let's take look at this video tour around Amarillo: 

5. Lubbock 

• Median home value: $199,759 
• Median house rent: $1,399 
• Median household income: $60,487 

The fifth cheapest city in Texas is often referred to as the Hub City. Lubbock serves as a central hub for education, healthcare, and economic activities in the South Plains region. Lubbock was established in 1890 and named after Thomas Saltus Lubbock, a Texas Ranger and Confederate officer. In 2023, it was the tenth most populous city in the state. 

The city is home to Texas Tech University, the sixth largest university in Texas. As for the weather here, Lubbock experiences a semi-arid climate with hot summers and mild winters. 

Would you like to see more of this city? Here is a touring video of Lubbock: 

6. San Angelo 

• Median home value: $214,971 
• Median house rent: $1,350 
• Median household income: $64,146 

Joining the list of cheapest cities in Texas is San Angelo. It is considered an oasis in West Texas due to its three lakes and the Concho River running through the city. Despite being a small city, it is often included among the best small cities for employment and commerce. 

San Angelo is a top choice for prospective homeowners and renters who want to launch small businesses. As for employment, your clients can easily find jobs in industries like: 

• oil-field service 
• telecommunication 
• meat-processing 
• agriculture 

7. Corpus Christi 

• Median home value: $215,604 
• Median house rent: $1,595 
• Median household income: $66,325 

Corpus Christi, meaning "Body of Christ" in Latin, is a coastal city in South Texas. It is the biggest city in Nueces County. The fifth largest port in the US, Port of Corpus Christi, can be found here. 

Aspiring residents who enjoy fishing will be delighted to know that it is a popular recreational activity in Corpus Christi. For clients who want to reside in locations near the shore, the city offers miles of beaches due to being on the Gulf of Mexico. 

Watch this video if your clients are looking for affordable housing in Texas beach towns: 

Did you know that coastal housing markets like Corpus Christi are threatened by rising ocean levels due to global warming? Always be clear to your clients. Tell them about the good stuff with the bad to establish your trustworthiness as a mortgage broker. 

Did you know that coastal housing markets, like Corpus Christi, are at risk due to rising ocean levels caused by global warming? Always be transparent with your clients—share both the benefits and potential challenges. This will establish your business as reliable and trustworthy. 

8. Killeen 

• Median home value: $217,009 
• Median house rent: $1,200 
• Median household income: $58,339 

Killeen is located in Bell County and is directly adjacent to Fort Cavazos, one of the largest military installations across the globe. The city's economy heavily relies on the military, with numerous businesses catering to soldiers and their families. 

Killeen has experienced rapid growth due to numerous soldiers coming in. If you have clients who have previously served in the military, encourage them to take advantage of VA loans. 

9. El Paso 

• Median home value: $223,218 
• Median house rent: $1,525 
• Median household income: $58,734 

El Paso, located in the far western corner of Texas, is the county seat of El Paso County. It stands on the Rio Grande, directly across from Ciudad Juárez, Mexico. This forms a notable international metropolitan area. El Paso boasts a rich cultural heritage like Brownsville. It is also influenced by its Mexican-American population. 

10. San Antonio 

• Median home value: $249,398 
• Median house rent: $1,678 
• Median household income: $64,146 

The tenth cheapest city in Texas to live in is San Antonio. It is the second most populous city in Texas. San Antonio is renowned for its colonial heritage. The River Walk, a network of walkways along the San Antonio River, is a major tourist attraction lined with shops and restaurants. Your clients can also enjoy visiting the Alamo and more: 

Do you want to see your name along with the best mortgage professionals in the industry? Learning not just the home prices of a local housing market but also its culture and history can be beneficial. Your clients will surely appreciate that extra bit of information that you can provide. 

Is Texas the cheapest state to live in? 

Short answer: no. In terms of cost of living, Arkansas is the cheapest state to live in. On the contrary, West Virginia ranks no. 1 when we talk about housing affordability. Here are other affordable states to buy property in the US, with West Virginia also topping the list in 2023. 

What city in Texas has the lowest cost of living? 

Out of the ten cheapest cities listed above, Amarillo has the lowest cost of living. Homeowners and renters in Amarillo get to experience a cost of living that is 26.4% below the national average. 

Cheap housing opportunities in Texas for your clients 

Texas can be an expensive place for home buyers, especially in major cities where the cost of living continues to rise. Many prospective homeowners struggle to keep up with increasing housing prices, rent, and everyday expenses like groceries and utilities. Even real estate investors face challenges as rising property costs outpace the increase in housing availability in Texas. 

However, mortgage brokers can guide their clients toward more affordable towns that offer lower home prices and reduced cost of living. Recommending the cheapest cities in Texas to live in can be a great way to help them find a home that fits their needs and financial situation. 

These areas can provide property buyers with opportunities to secure properties at reasonable prices while also benefiting from lower expenses on their day-to-day needs. For renters, choosing a budget-friendly town can help them save more and eventually transition into homeownership. 

If none of these locations seem like the right fit, there are still plenty of affordable areas in the US worth exploring. For instance, the Golden State might be an alternative for your clients. Here are some of the cheapest counties in California. 

Would you advise your clients to buy homes in any of these cheapest cities in Texas to live in? Let us know in the comments section.