7 US Cities Where Middle-Class Families Are Quietly Thriving
Written by
Martin Dasko
Edited by
Levi Leidy
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A recent Redfin survey found that 44.4% of American homeowners and renters are struggling to make their payments, with just over 6% of those admitting to have moved in with their parents and another 6% choosing to live with other family members. The survey also found that 41% of those who struggle with their payments have reported eating out less often to make their housing payments, and 34.6% have either stopped or limited vacations.
The good news is that there are U.S. cities where middle-class families are succeeding the most, yet they are considered underrated or rarely discussed. GOBankingRates consulted with real estate experts and real estate data to determine the best cities for middle-class families to thrive in based on housing prices and cost of living.
Cost-of-living scores and information come from BestPlaces.net, with the baseline score (or national average cost of living) being 100. For example, since Cedar Rapids, Iowa, has a score of 81.8, that means that the cost of living is 18.2% lower than the national average for the total expenses, which include housing, food, childcare, transportation, healthcare and taxes.
Here’s a look at seven cities where middle-class families are doing especially well.
Cedar Rapids, Iowa
- Average monthly cost of living for a family: $2,940
- Median monthly after-tax salary: $3,738
- Median house price: $201,250
- Cost-of-living score: 81.8
“Cedar Rapids doesn’t grab national headlines, but it’s quietly one of the most stable middle-class havens in the country,” said Joe Ellul-Turner, a real estate professional and the founder of Darscover. “With good public schools, nicely kept parks and short commute times, it’s the type of place where a two-income family can manage both a house and a vacation.”
The combination of a lower cost of living and a surging jobs market, driven by manufacturing, insurance and food processing, makes this an ideal location for a middle-class family to thrive.
Huntsville, Alabama
- Average monthly cost of living for a family: $4,140
- Median monthly after-tax salary: $4,274
- Median house price: $324,625
- Cost-of-living score: 94.2
Ellul-Turner believes that Huntsville is the South’s best-kept secret. “Driven by aerospace, defense and engineering industries, Huntsville offers a rarely found combination: affordable housing, high-paying STEM jobs and low overall costs of living,” he said.
With lower housing prices, a middle-class family can afford to live comfortably without feeling financially strained compared to other cities.
Overland Park, Kansas
- Average monthly cost of living for a family: $6,600
- Median monthly after-tax salary: $5,347
- Median house price: $481,000
- Cost-of-living score: 106.2
Ellul-Turner noted that Overland Park is largely in the shadow of nearby Kansas City, but the low property taxes, A-rated schools, healthcare and tech-driven economy make it a poster child for sustainable suburban development.
Although housing prices are slightly higher here, this location can be ideal for families concerned about long-term financial health.
Buffalo, New York
- Average monthly cost of living for a family: $3,270
- Median monthly after-tax salary: $3,421
- Median house price: $228,250
- Cost-of-living score: 92.1
Harrison Stevens, VP of marketing for TurboTenant, noted that Buffalo often receives less attention, yet it remains affordable for middle-class families due to its lower housing prices. Since housing costs contribute significantly to overall living costs and a person’s or family’s ability to thrive financially, a family with remote work opportunities could purchase a home in Buffalo and save on their monthly costs.
Chattanooga, Tennessee
- Average monthly cost of living for a family: $4,350
- Median monthly after-tax salary: $3,896
- Median house price: $347,000
- Cost-of-living score: 89.7
“Combined with no state income tax and relatively low property taxes, Chattanooga offers attainable homeownership, long-term financial stability and a high quality of life,” said Alexis Scott, realtor at Alexis Scott Home Team at Keller Williams Greater Downtown Realty. “With a population just under 200,000, it’s large enough to meet someone new yet small enough that you’re likely to run into a familiar face when you go out to dinner.”
With lower housing prices and a revitalized downtown, middle-class families are doing well in this city.
Omaha, Nebraska
- Average monthly cost of living for a family: $4,020
- Median monthly after-tax salary: $4,098
- Median house price: $280,000
- Cost-of-living score: 90.8
“The middle of America is too frequently overlooked, but Omaha always offers a strange combination of robust corporate careers and bargain-basement living,” remarked Fred Loguidice, real estate expert and founder of Sell My House Fast Salt Lake City. “The dream of a comfortable, two-story family home on a serene, tree-lined boulevard remains very much within reach.”
The low housing prices allow a family to build equity without struggling to make monthly payments.
Rochester, Minnesota
- Average monthly cost of living for a family: $4,650
- Median monthly after-tax salary: $4,654
- Median house price: $345,000
- Cost-of-living score: 94.2
Loguidice noted that the Mayo Clinic provides a constant flow of high-paying, recession-resistant jobs, which boosts the median household income and makes the housing market affordable.
He added, “In Rochester, not only is the middle class surviving, but it’s maximizing income potential and keeping housing costs in check, providing a clear avenue to generational wealth.”
Families looking to save money on housing can enjoy a better lifestyle in this underrated city.
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