10 Cities Where Renters Can Afford to Buy a Home

For the average renter, buying a home is a challenging task, but in some regions of the US, becoming a homeowner is a lot less daunting
May 28, 2025
2 min read
45358558 © Dave Newman | Dreamstime.com
Des Moines, Iowa
Des Moines, Iowa, was named the top most affordable city for renters.

For many Americans, owning a home offers stability and a potential path to building wealth. However, many renters today struggle to buy a home due to rising home prices, high interest rates, and limited housing inventory. Despite these challenges, some cities have proven to be more affordable than others. GoBankingRates rounded up several cities where homeownership is within reach for the average renter.

Topping the list is Des Moines, Iowa, where over 71% of residents own their homes, the average home price there is $226,800, and mortgage approval rates are relatively high at 68.7%. Other "second tier" cities are experiencing similar metrics, as follows:

Minneapolis

  • Average home price: $346,700

  • Median down payment: $38,500

  • 15-year mortgage rate: 5%

  • Homeownership rate: 74%

  • Mortgage approval rate: 65.8%

  • Composite score: 96.9

Indianapolis

  • Average home price: $245,500

  • Median down payment: $17,500

  • 15-year mortgage rate: 4.94%

  • Homeownership rate: 73.3%

  • Mortgage approval rate: 60.9%

  • Composite score: 92.6

Morgantown, W. Va.

  • Average home price: $168,200

  • Median down payment: $6,600

  • 15-year mortgage rate: 5%

  • Homeownership rate: 77%

  • Mortgage approval rate: 54%

  • Composite score: 89.4

Find the full list of cities

 

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