10 Best Cities To Live on a Budget of $5,000 a Month

Where you live is one of the biggest factors affecting how much you need to earn to maintain a decent quality of life. If you live in an area that’s even just a little more expensive than what your budget allows, it could push you to make unwanted sacrifices in the long run. 

It’s also important to remember that living in the best area for you means not only affording general expenses like groceries and healthcare, but having money for fun as well.

As a starting point, GOBankingRates put together a list of the best cities in the U.S. for living on a budget of less than $5,000 a month.

• Livability score: 79
• Total monthly expenditures: $4,112.09

The average monthly rent of a one-bedroom apartment in College Station is $884.67. Even though it’s one of the more expensive entries, its a great town with a comfy suburban and urban atmosphere. Its public schools are rated highly, making it a great place to raise a family too. It earns its name from being the surrounding town for Texas A&M University.

• Livability score: 75
• Total monthly expenditures: $4,102.12

Although Temple has the highest average rent at $1,008.22, it’s known for being a hub for medical care. Temple is home to three major hospitals, so if being close to a medical center is a selling point for you, then the slightly heavier cost of living may be more than worth it for you.

• Livability score: 76
• Total monthly expenditures: $4,038.26

Norman is a quaint town with a reasonable one-bedroom rent of $826.22. It’s home of the National Weather Center which includes state and federal weather agencies like the Storm Prediction Center, the National Severe Storms Laboratory and the National Oceanic Atmospheric Administration.

• Livability score: 75
• Total monthly expenditures: $4,023.93

Known for its man-made landmark, the Roanoke Star, a large neon structure on the summit of Mill Mountain, Roanoke is a renowned mountain town. It was named the “Best Place to Raise an Outdoor Family” by Blue Ridge Outdoors Magazine.

• Livability score: 76
• Total monthly expenditures: $3,977.52

Parma Heights is a suburb of Cleveland. If you’re looking for a combination of suburbs with an urban feel without the full cost of living in a major city, then Parma Heights may be where you’ll find yourself happiest.

• Livability score: 75
• Total monthly expenditures: $3,951.71

Baytown is a city of industry that utilizes the Port of Houston. Some of the city’s main industries are rubber and oil. It’s also the third-cheapest town in Texas to live in on this list.

• Livability score: 75
• Total monthly expenditures: $3,853.67

Aside from being a good town for families, Abilene has a growing music scene and is home to several rock music festivals.

• Livability score: 70
• Total monthly expenditures: $3,764.39

Lake Charles is known for R&B music and its renowned cuisine. It boasts the most affordable rent on this list, with a one-bedroom apartment costing $696.33 per month.

• Livability score: 72
• Total monthly expenditures: $3,705.26

Also known as “Tall City” by locals, Midland is a city known for high rises that you can see from miles away.

• Livability score: 75
• Total monthly expenditures: $3,681.27

Des Moines earns the top spot on GOBankingRates’ list with an average rent of $775.67 and a livability score of 75. If you’re in search of an affordable suburban area with plenty of coffee shops, bars, parks and other local spots to check out, then you’ll find a home here.

Methodology: To find the best cities to live on less than $5,000 per month, GOBankingRates first used ApartmentList data to find (1) average 2022 one-bedroom rents. GOBanking Rates then used Sperling’s Best to find the (2) overall cost of living index for each selected city. Next, GOBankingRates used (3) data from the Bureau of Labor Statistics 2021 Consumer Expenditure Survey to find the annual expenditure amounts to determine how much a person might spend living in each city monthly. GOBankingRates then added monthly costs together. In order for a place to be qualified for the study, it had (4) to have a livability score of 75 or above, as sourced from AreaVibes. All data was collected on and up to date as of Oct. 27, 2022.