The 20 Most Affordable U.S. Cities for Renters (May 2025)

Finding an affordable place to rent is a big challenge for many across the United States. While rents keep rising in some areas, new data points to cities where your money goes further. Knowing these places can make a big difference for renters.

This news piece looks at recent information from the Waller, Weeks, and Johnson Rental Index. We will show the 20 U.S. cities where you need the lowest income to comfortably afford rent. This means less money goes to housing, leaving more for other needs.

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Key Takeaways: Affordable U.S. Cities for Renters (April 2025)

• Affordable Options Exist: Despite high national housing costs, many cities offer more budget-friendly rents.

• Midwest and South Lead: Most cities on this list are in the Midwest and South. These regions often have a lower cost of living.

• Income is Key: The list shows the minimum yearly income needed to avoid spending too much on rent.

• What This Means for Renters: Finding a city on this list could mean a better financial situation and more savings.

Related: Best Real Estate Markets for First Time Investors in 2025

Understanding Rent Affordability in the U.S.

The Waller, Weeks, and Johnson Rental Index tracks rent details for 100 big U.S. cities each month. It also looks at “affordability.” This means the yearly income a household needs so that rent doesn’t take up more than 30% of their money. When housing costs more than 30% of income, a household is often called “rent-burdened.” This can make it hard to pay for food, healthcare, and other needs.

The latest report, from April 2025, helps us find cities where renters can live more easily. These are places where you need a lower income to comfortably afford your home.

Related: U.S. Real Estate market Forecast for the Next 5 Years to 2030

The 20 Most Affordable U.S. Cities for Renters (May 2025)

Here are the U.S. metro areas where renters need the lowest annual income to avoid being rent-burdened, based on the Waller, Weeks, and Johnson Rental Index for April 2025. This list is ranked from the lowest required income (most affordable) to higher required income (less affordable, but still within the top 20).

(Source: Waller, Weeks, and Johnson Rental Index, data as of May 2025)

What This List Shows:

• Midwestern Dominance: Many cities in Ohio, Iowa, Missouri, and Wisconsin offer more affordable rents.

• Southern Charm: Cities in Texas, Arkansas, Louisiana, Kentucky, Alabama, and Mississippi also provide budget-friendly options.

• Diverse Options: This list shows that affordable living can be found in various types of cities, from smaller metros to larger ones.

• Impact on Budgets: In these cities, a lower income can comfortably cover rent. This leaves more money for daily needs, savings, or other goals.

Related: Expert Predictions for the U.S. Housing Market 2025 to 2029

Why Some Cities Are More Affordable

Several factors contribute to why rents are lower in some U.S. cities:

• Cost of Living: Overall, the cost of living (including groceries, transportation, and services) can be lower in these areas. This helps keep rents down too.

• Housing Supply: These cities might have enough homes available to meet demand. Or, new homes might be built at a steady pace. When there’s enough supply, landlords have less reason to raise rents quickly.

• Local Economy: While these cities may have healthy economies, they might not have the same rapid job growth or high-paying industries as some of the most expensive coastal cities. This can keep wage growth and, in turn, rent growth more moderate.

• Population Trends: Some affordable cities might not be seeing huge surges in population. Steady or slower population growth means less pressure on existing housing.

For renters, understanding these factors can help you find a place where your budget stretches further.

Related: Top 10 U.S. Real Estate Markets Where House Prices are Falling in 2025

Conclusion: Opportunities for Affordable Living

While news often focuses on rising rents, the Waller, Weeks, and Johnson Rental Index for April 2025 shows that many U.S. cities remain affordable for renters. Cities primarily in the Midwest and South offer living situations where a lower annual income is enough to avoid being rent-burdened.

This information is valuable for anyone planning a move or looking to improve their financial well-being. Finding an affordable rental market can greatly ease financial stress and improve quality of life.

Previous Article: Rents Are Now Falling in these 4 U.S. Cities

Frequently Asked Questions (FAQs) on Affordable U.S. Cities for Renters

Here are common questions about finding affordable rental housing in the U.S.

Q: What does “rent-burdened” mean?

A: “Rent-burdened” means spending more than 30% of your income on housing costs (rent, and sometimes utilities). When you’re rent-burdened, it can be hard to afford other important things like food or healthcare.

Q: What is the Waller, Weeks, and Johnson Rental Index?

A: It’s a monthly report that tracks rent prices in 100 top U.S. cities. It also estimates the income needed to avoid being rent-burdened, helping show affordability.

Q: Why are cities in the Midwest and South often more affordable for renters?

A: Cities in the Midwest and South often have a lower overall cost of living. They might also have a better balance of housing supply and demand compared to more expensive coastal areas, which helps keep rents lower.

Q: Does “affordable” mean the rents are very low?

A: “Affordable” in this context means that the required income to comfortably cover rent (less than 30% of income) is lower than in many other major U.S. cities. The exact rent amount will still vary by city, neighborhood, and property type.

Q: Can rents in these affordable cities change quickly?

A: Yes, rent markets can always change. While these cities are currently more affordable, factors like job growth, new construction, and population shifts can affect rent prices over time. It’s always good to check the latest data.

Q: How can I use this information if I’m looking for a place to rent?

A: You can use this list to start your search for cities where your budget might go further. Then, research specific neighborhoods within those cities to find rentals that match your needs and desired price range.

Q: Is the required income listed before or after taxes?

A: The income listed in the Waller, Weeks, and Johnson Rental Index refers to the minimum annual income needed before taxes to ensure that rent (without utilities) does not exceed 30% of income.