Investing / Real Estate

The Best and Worst State Capitals To Live In

May 4, 2023

8 min Read

Written by Andrew Lisa

Edited by Katie Wudel

Downtown Austin Texas with capital and riverfront.

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State capitals serve as cultural and political hubs for the states they represent, so moving to a state capital can come with a certain amount of bragging rights. Additionally, state capitals are often centrally located near sights and amenities worth visiting.

However, every state has its own issues to consider, positive and negative, and their capitals are no exception. It’s important to understand some key demographics when considering a move to a state capital, as well as determining whether living in a state capital means a higher quality of life. To assess which state capitals are the best, and the worst, to live in, GOBankingRates analyzed all 50 state capitals by a set of criteria including such details as crime rates, cost of living, median household income, unemployment rate and the percent of people living below the poverty line.

Best State Capitals

The best state capitals all share a few characteristics, including a solid median household income, low poverty and unemployment rates, a low cost of necessities, affordable homes and a good grade for school districts.

Read:

25. Tallahassee, Florida

Tallahassee has one of the highest poverty rates of all state capitals, with more than a quarter of the population living below the poverty line. It also suffers from a low household median income of $45,734, though Florida residents can keep more of that money because there’s no state income tax. On the bright side, Tallahassee’s school district received a grade of B+.

24. Columbia, South Carolina

January 2023 unemployment rate: 2.70%
% of people below poverty line: 24.3
2023 home value: $262,963
Non-housing expenditures: $20,271.42

23. Springfield, Illinois

January 2023 unemployment rate: 4.30%
% of people below poverty line: 17.6
2023 home value: $136,430
Non-housing expenditures: $19,134.74

22. Oklahoma City

January 2023 unemployment rate: 3.00%
% of people below poverty line: 14.9
2023 home value: $195,204
Non-housing expenditures: $20,297.14

21. Charleston, West Virginia

January 2023 unemployment rate: 2.90%
% of people below poverty line: 17.5
2023 home value: $152,865
Non-housing expenditures: $21,234.37

20. Topeka, Kansas

January 2023 unemployment rate: 3.10%
% of people below poverty line: 15.2
2023 home value: $169,832
Non-housing expenditures: $19,363.30

19. Olympia, Washington

January 2023 unemployment rate: 3.10%
% of people below poverty line: 15.2
2023 home value: $169,832
Non-housing expenditures: $19,363.30

18. Saint Paul, Minnesota

January 2023 unemployment rate: 5.20%
% of people below poverty line: 14.0
2023 home value: $500,131
Non-housing expenditures: $18,399.53

17. Des Moines, Iowa

January 2023 unemployment rate: 3.30%
% of people below poverty line: 15.3
2023 home value: $190,118
Non-housing expenditures: $18,659.75

16. Cheyenne, Wyoming

January 2023 unemployment rate: 3.30%
% of people below poverty line: 15.3
2023 home value: $190,118
Non-housing expenditures: $18,659.75

15. Carson City, Nevada

January 2023 unemployment rate: 5.20%
% of people below poverty line: 10.0
2023 home value: $448,604
Non-housing expenditures: $20,080.08

14. Juneau, Alaska

January 2023 unemployment rate: 3.80%
% of people below poverty line: 7.2
2023 home value: $459,845
Non-housing expenditures: $21,561.93

13. Austin, Texas

January 2023 unemployment rate: 3.00%
% of people below poverty line: 12.5
2023 home value: $565,992
Non-housing expenditures: $21,054.20

12. Frankfort, Kentucky

January 2023 unemployment rate: 3.00%
% of people below poverty line: 16.3
2023 home value: $197,118
Non-housing expenditures: $18,271.19

11. Helena, Montana

January 2023 unemployment rate: 2.60%
% of people below poverty line: 9.4
2023 home value: $424,724
Non-housing expenditures: $18,018.72

10. Raleigh, North Carolina

January 2023 unemployment rate: 3.10%
% of people below poverty line: 12.1
2023 home value: $419,586
Non-housing expenditures: $19,678.30

9. Jefferson City, Missouri

January 2023 unemployment rate: 2.40%
% of people below poverty line: 12.6
2023 home value: $224,379
Non-housing expenditures: $19,908.67

8. Madison, Wisconsin

January 2023 unemployment rate: 2.00%
% of people below poverty line: 16.6
2023 home value: $370,096
Non-housing expenditures: $19,365.40

7. Lincoln, Nebraska

January 2023 unemployment rate: 2.00%
% of people below poverty line: 13.0
2023 home value: $263,302
Non-housing expenditures: $20,665.90

6. Annapolis, Maryland

January 2023 unemployment rate: 2.00%
% of people below poverty line: 13.0
2023 home value: $263,302
Non-housing expenditures: $20,665.90

5. Boise, Idaho

January 2023 unemployment rate: 2.80%
% of people below poverty line: 11.6
2023 home value: $469,840
Non-housing expenditures: $19,003.29

4. Bismarck, North Dakota

January 2023 unemployment rate: 2.70%
% of people below poverty line: 8.7
2023 home value: $333,220
Non-housing expenditures: $18,395.13

3. Concord, New Hampshire

January 2023 unemployment rate: 2.70%
% of people below poverty line: 9.3
2023 home value: $364,129
Non-housing expenditures: $19,136.10

2. Montpelier, Vermont

January 2023 unemployment rate: 2.80%
% of people below poverty line: 4.9
2023 home value: $358,723
Non-housing expenditures: $21,459.91

1. Pierre, South Dakota

January 2023 unemployment rate: 1.60%
% of people below poverty line: 15.9
2023 home value: $271,762
Non-housing expenditures: $19,122.77

Worst State Capitals

The worst state capitals usually feature low household income, high poverty and unemployment rates and high crime rates. They might also have expensive necessities and housing costs or poor school district grades. These factors become more extreme the lower a capital is in the rankings.

25. Indianapolis

January 2023 unemployment rate: 2.80%
% of people below poverty line: 21.2
2023 home value: $132,256
Non-housing expenditures: $20,401.24

24. Montgomery, Alabama

January 2023 unemployment rate: 2.90%
% of people below poverty line: 15.4
2023 home value: $401,335
Non-housing expenditures: $21,158.20

23. Phoenix

January 2023 unemployment rate: 2.90%
% of people below poverty line: 15.4
2023 home value: $401,335
Non-housing expenditures: $21,158.20

22. Santa Fe, New Mexico

January 2023 unemployment rate: 3.30%
% of people below poverty line: 18.5
2023 home value: $527,906
Non-housing expenditures: $18,556.21

21. Salem, Oregon

January 2023 unemployment rate: 3.60%
% of people below poverty line: 17.6
2023 home value: $676,915
Non-housing expenditures: $23,170.31

20. Boston

January 2023 unemployment rate: 2.70%
% of people below poverty line: 14.5
2023 home value: $422,587
Non-housing expenditures: $20,698.68

19. Nashville, Tennessee

January 2023 unemployment rate: 3.40%
% of people below poverty line: 19.8
2023 home value: $323,892
Non-housing expenditures: $19,483.22

18. Richmond, Virginia

January 2023 unemployment rate: 3.40%
% of people below poverty line: 19.8
2023 home value: $323,892
Non-housing expenditures: $19,483.22

17. Augusta, Maine

January 2023 unemployment rate: 4.00%
% of people below poverty line: 19.3
2023 home value: $238,910
Non-housing expenditures: $18,705.90

16. Denver

January 2023 unemployment rate: 3.00%
% of people below poverty line: 11.6
2023 home value: $567,384
Non-housing expenditures: $20,592.48

15. Sacramento, California

January 2023 unemployment rate: 4.30%
% of people below poverty line: 14.8
2023 home value: $462,952
Non-housing expenditures: $22,212.16

14. Columbus, Ohio

January 2023 unemployment rate: 4.10%
% of people below poverty line: 18.4
2023 home value: $234,537
Non-housing expenditures: $19,506.60

13. Atlanta

January 2023 unemployment rate: 3.20%
% of people below poverty line: 18.5
2023 home value: $374,018
Non-housing expenditures: $21,929.31

12. Honolulu

January 2023 unemployment rate: 3.10%
% of people below poverty line: 11.0
2023 home value: $810,660
Non-housing expenditures: $27,362.99

11. Salt Lake City

January 2023 unemployment rate: 2.50%
% of people below poverty line: 13.3
2023 home value: $536,558
Non-housing expenditures: $19,841.83

10. Albany, New York

January 2023 unemployment rate: 4.00
% of people below poverty line: 21.7
2023 home value: $267,515
Non-housing expenditures: $21,297.00

9. Providence, Rhode Island

January 2023 unemployment rate: 3.90%
% of people below poverty line: 21.5
2023 home value: $342,763
Non-housing expenditures: $21,494.12

8. Little Rock, Arkansas

January 2023 unemployment rate: 3.40
% of people below poverty line: 15.6
2023 home value: $189,770
Non-housing expenditures: $18,791.78

7. Harrisburg, Pennsylvania

January 2023 unemployment rate: 3.70%
% of people below poverty line: 28.2
2023 home value: $20,417.79
Non-housing expenditures: $20,417.79

6. Baton Rouge, Louisiana

January 2023 unemployment rate: 3.70%
% of people below poverty line: 28.2
2023 home value: $220,537
Non-housing expenditures: $20,417.79

5. Dover, Delaware

January 2023 unemployment rate: 5.20%
% of people below poverty line: 20.5
2023 home value: $296,526
Non-housing expenditures: $20,772.43

4. Lansing, Michigan

January 2023 unemployment rate: 5.20%
% of people below poverty line: 20.5
2023 home value: $296,526
Non-housing expenditures: $20,772.43

3. Hartford, Connecticut

January 2023 unemployment rate: 5.00%
% of people below poverty line: 21.8
2023 home value: $131,435
Non-housing expenditures: $19,091.44

2. Trenton, New Jersey

January 2023 unemployment rate: 3.30%
% of people below poverty line: 27.7
2023 home value: $261,225
Non-housing expenditures: $21,313.56

1. Jackson, Mississippi

January 2023 unemployment rate: 4.90%
% of people below poverty line: 26.1
2023 home value: $66,854
Non-housing expenditures: $19,262.27

More From GOBankingRates

Jordan Rosenfeld, Sean Dennison and Jami Farkas contributed to the reporting for this article.

_{Methodology: GoBankingRates analyzed data from all 50 states capitals to find the best (and worst) capitals to live in. GoBankingRates usedthe following criteria: (1) violent crime rate per 1,000 residents, and (2) property crime rate per 1,000 residents, both sourcedfrom Neighborhood Scout; (3) median home value, sourced from Zillow’s 2023 Home Value Index; (4) annual cost of livingexpenditures, based on the Bureau of Labor Statistics’ 2021 Consumer Expenditure Survey and local cost of living indicessourced from Sperling’s Best Places; (5) school district score, based on Niche’s Best School District index; (each school districthad an alphabetical grade, A+ through F, which was converted into a numerical value in order to score); (6) percent ofpopulation living below the poverty line and (7) the median household income sourced from the 2021 American CommunitySurvey done by the United states Census Bureau; and (8) unemployment rate for Janruary 2023 as sourced from the Bureau ofLabor Statistics: Janruary 2023 rates for Metropolitan Areas. All these factors were scored, summed up and then ranked frombest to worst for each state capital. All data was collected and is up-to-date as of April 27th, 2023}

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