Here’s the Cheapest City in Every Southern State

If you’re looking to get the most value out of your money, but without compromising on charm or comfort, the South is home to some of the most affordable and beautiful places in the U.S. From rural living to nature lover’s paradise to lively cities, the region offers something for everyone.

Whether you’re in search of an inexpensive spot to relocate, you’re downsizing or you’re curious about budget-friendly Southern living, GOBankingRates has put together a list of the cheapest cities in every state in the South. Here’s a look at places that offer low housing prices and a quality of life that won’t blow your budget.

• Annual cost of living: $31,807

Gadsden is a scenic small town, with Noccalula Falls Park as a major highlight, but the main attraction is the price. Groceries are 7.8% below the national average and monthly rent in 2025 averages $750.

• Annual cost of living: $32,020  

Van Buren is a welcoming small town that has friendly locals and nearby hiking and biking for outdoor enthusiasts. Plus, it’s affordable. Groceries are 6.5% cheaper than the national average while healthcare is 7.2%, per GOBankingRates’ data.

• Annual cost of living: $39,727

There’s a reason Florida is high on the list for retirees to enjoy their golden years. The tax breaks alone are worth relocating. There is no state income tax and there are corporate income tax incentives, so your money goes much further. While groceries in Avon Park are 1.3% higher than the national average and healthcare is 6.3% more, the cost of living combined with the tax breaks make the small town worth checking out.

• Annual cost of living: $32,048

Waycross is a small town near the Okefenokee Swamp, where you can take boat tours and learn about the ecosystem; but, if you’re craving beaches, you’re just an hour away from Florida. Rent is around $850 per month and groceries are 4.8% lower than the national average, per GOBankingRates’ data.

• Annual cost of living: $32,454

Frankfort is the capital of Kentucky and is known for its prominent role in the bourbon industry. The city has a vibrant arts scene and is near the Kentucky River, so you can go boating, canoeing and kayaking. Monthly rent is around $980 and annual groceries are estimated to be near $5,756, nearly 5% lower than the national average.

• Annual cost of living: $33,595

Lake Charles is located in the southwest region of Louisiana and offers everything from a golf course to casinos and hunting and fishing. It’s a lively city that is affordable. Rent averages $976 a month while annual groceries are about $5,623, which is over 7% lower than the national average.

• Annual cost of living: $35,645

Jackson, the capital of Mississippi, is the entire package. It has a rich culture andplays a significant role in our history due to the civil rights movement. There’s plenty to do and see; it has a magical music scene and it’s affordable. Monthly rent is $1,151, groceries are 4.2% lower than the national average, while healthcare is 2.2% higher.

• Annual cost of living: $32,662

Asheboro is a quiet area that has a strong sense of community and lots of bars and restaurants. Redditors say it’s a nice place to raise a family. Monthly rent is around $973 and annual groceries are an estimated $5,678, which is 6.2% lower than the national average.

• Annual cost of living: $30,381

Greenwood is a small college town with a tight-knit community and a slower paced vibe with affordable living. Rent is estimated to be around $852 a month, groceries are 5.2% lower than the national average and healthcare is 7.3% cheaper.

• Annual cost of living: $32,092

Located in the Appalachian Mountains, Elizabethton has a family-friendly atmosphere and historic charm — and it is surrounded by beauty. Annual rent is $10,908 ($909 a month), and groceries are $5,726 a year, which is 5.4% cheaper than the national average.

• Annual cost of living: $30,770

Donna is a small town with just under 17,000 residents. The annual rent is $9,624 ($802 a month), and groceries will just cost $5,357, which is a whopping 11.5% lower than the national average. Healthcare is 2.3% cheaper.

• Annual cost of living: $35,677

Danville is a small town without much to do, but it borders the North Carolina state line and about 45 miles away is Greensboro, where there’s more action. Rent averages $1,181 a month, but groceries are where you can save the most. Food is estimated to cost around $5,599 a year, which is 7.5% less than the national average.

• Annual cost of living: $33,414

Clarksburg is an affordable area where rent is $900 a month and yearly groceries will only cost you $5,805, which is 4.1% lower than the national average. While it’s a reasonable town price-wise, healthcare is 32.6% more expensive than the national average.

Methodology: For this piece GOBankingRates looked at the 2,500 largest cities in terms of housing market size, according to Zillow’s March 2025 data. With these cities isolated, GOBankingRates found the city with the cheapest 2025 rent and from there found the annual essentials (Rent, Groceries, Utilities, Transportation, and Healthcare) cost of living for these places. Cost-of-living figures were calculated by first finding the annual average expenditure, as sourced from the Bureau of Labor Statistics 2023 Consumer Expenditure Survey and from there used cost-of-living indices sourced from Sperling’s Best Places. For ME, ND, and VT the market size was relaxed to 4,000. All data was collected on and is up to date as of May 14, 2025.