Cheapest Places to Live in Kentucky

Access hyperlocal data to help you make a confident and informed decision.

Kentucky, with its rolling hills, horse farms, and rich cultural heritage, offers a charming and affordable living environment. Landmarks such as Mammoth Cave National Park, the Kentucky Derby at Churchill Downs, and the Louisville Slugger Museum highlight the state's attractions. The state's economy is diverse, driven by sectors such as agriculture, manufacturing, and bourbon production. Kentucky's tax structure includes relatively low income and property taxes, contributing to its overall affordability. Despite recent inflation and rising food costs, Kentucky remains one of the more affordable states in the southeastern region, especially in its smaller towns and rural areas. The combination of a diverse economy and manageable living costs makes Kentucky an attractive place for those seeking affordability and quality of life.

Affordable living in Kentucky can often be found in smaller towns and suburban areas where housing costs and everyday expenses are lower. These regions provide a more manageable cost of living, which is essential for maintaining financial stability. Affordability is a crucial factor in livability, as it allows residents to enjoy a comfortable standard of living without undue financial strain. Factors contributing to the cheapest places to live in Kentucky include lower housing demand in less populated areas, supportive local economic policies, and efficient public services. Utilizing C2ER's cost of living data helps to identify these affordable regions, ensuring that potential residents can make informed decisions. In a state known for its rich traditions and economic opportunities, finding affordable living options enhances the overall living experience.

Williamsburg Population: 5,440 14% cheaper than Kentucky average

Med. Home Value: $146,006 Med. Rent: $867 Med. Household Inc.: $44,451

With a cost of living index that is 14% cheaper than the state average, Williamsburg is the cheapest place to live in Kentucky. This area offers residents a remarkable blend of relatively low housing costs, budget-friendly grocery prices, affordable utilities, and economical health care services, making it an attractive destination for those seeking to stretch their dollars further. Whether you're a young professional, a growing family, or someone looking to enjoy a more relaxed pace of life, Williamsburg provides an inviting and cost-effective environment to call home.

Middlesborough Population: 9,518 12% cheaper than Kentucky average

Med. Home Value: $132,233 Med. Rent: $826 Med. Household Inc.: $43,541

The second most affordable city in Kentucky is Middlesborough and stands out for its cost-effective lifestyle. With an overall cost of living that is 12% cheaper than the Kentucky average, overall goods and services, housing, utilities, transportation and health care costs fall within a reasonable range. Median household income levels are steady and come in at , which helps to increase the purchasing power of the local residents.

Monticello Population: 6,193 10% cheaper than Kentucky average

Med. Home Value: $171,053 Med. Rent: $861 Med. Household Inc.: $55,794

Monticello lands in the #3 spot for the cheapest cities to live in Kentucky, with a cost of living that is 10% cheaper than the state average. With home prices averaging and rental rates coming in around , it helps that household income levels average about , which assists with paying the mortgage or your monthly rent. Its robust public school system and accessible health care further enhance its appeal, making it a great place to settle down. The strong community spirit and ample recreational opportunities add to its charm.

Corbin Population: 7,722 8% cheaper than Kentucky average

Med. Home Value: $220,962 Med. Rent: $870 Med. Household Inc.: $57,755

The cost of everyday grocery items, goods & services and of course housing, can have a significant impact on the overall cost of living in any area. Corbin offers a picturesque and affordable living environment, with a cost of living that is 8% cheaper than the state average. Everyday items like ground beef , eggs , coffee and pizza are all fairly reasonable compared to most other cities, which helps reduce those grocery bills. Home prices are also fairly affordable (compared to the state average), coming in at around .

Ashland Population: 21,089 7% cheaper than Kentucky average

Med. Home Value: $182,336 Med. Rent: $985 Med. Household Inc.: $62,631

For those wanting to live well on a budget, Ashland is ideal, with a cost of living that is 7% cheaper than the state average. Reasonable housing prices (compared to the Kentucky average) of and rental prices of are paired with economical goods and services and a range of free or low-cost recreational activities. The city's proactive economic development initiatives also ensure a steady stream of job opportunities, making it a smart choice for those prioritizing financial ease.

Hazard Population: 5,076 6% cheaper than Kentucky average

Med. Home Value: $203,411 Med. Rent: $1,029 Med. Household Inc.: $81,841

Hazard comes in at #6 on our list of the cheapest cities in Kentucky and is a haven for those seeking affordability without sacrificing convenience. The city is known for its discount shopping centers and budget-friendly dining options and has a cost of living that is 6% cheaper than Kentucky. The city's local markets provide fresh produce and other groceries at reduced prices, while parks and community centers offer free entertainment and leisure. This city is perfect for enjoying a high quality of life at a low cost.

Flatwoods Population: 7,406 6% cheaper than Kentucky average

Med. Home Value: $173,286 Med. Rent: $1,317 Med. Household Inc.: $79,420

With its cost-effective lifestyle, Flatwoods is an attractive destination for those looking to live affordably. The city boasts suitable housing costs, affordable healthcare, and a variety of budget-friendly dining options. The community is welcoming and vibrant, providing residents with a rich social life at a fraction of the cost. Median income levels come in at , which provides financial stability, purchasing power and increases the quality of life in the city.

Russellville Population: 7,211 6% cheaper than Kentucky average

Med. Home Value: $179,363 Med. Rent: $849 Med. Household Inc.: $50,999

A lower cost of living allows individuals to manage their expenses more effectively, reducing the risk of financial stress and debt. When essential costs such as housing, food, transportation, and healthcare are more affordable, people can achieve greater financial stability and resilience. Russellville fits that mold and has a cost of living that is 6% cheaper than Kentucky.

Mayfield Population: 10,031 5% cheaper than Kentucky average

Med. Home Value: $188,052 Med. Rent: $892 Med. Household Inc.: $53,713

Lower living costs can lead to a higher quality of life by making it easier for people to afford comfortable housing, nutritious food, and access to healthcare. It can also provide opportunities for better education, recreational activities, and community engagement, contributing to overall well-being. Mayfield is one of the most affordable cities in Kentucky, and has a cost of living that is 5% cheaper than the state average.

Lebanon Population: 6,121 5% cheaper than Kentucky average

Med. Home Value: $177,845 Med. Rent: $917 Med. Household Inc.: $45,322

With a cost of living that is 5% cheaper than Kentucky, Lebanon comes in at #10 on our list of the cheapest places to live in Kentucky. Financial stress is a significant factor affecting mental and physical health. By lowering the cost of living, individuals can experience reduced anxiety related to meeting monthly expenses, thereby improving overall health and well-being. The ability to afford basic necessities without constant worry contributes to a more balanced and fulfilling life.

Full list of the cheapest places in Kentucky

Rank	Location	Population	COL Index	Med. Home Value	Med. Household Inc.
1	Williamsburg	5,440	77	$146,006	$44,451
2	Middlesborough	9,518	79	$132,233	$43,541
3	Monticello	6,193	81	$171,053	$55,794
4	Corbin	7,722	82	$220,962	$57,755
5	Ashland	21,089	83	$182,336	$62,631
6	Hazard	5,076	84	$203,411	$81,841
7	Flatwoods	7,406	84	$173,286	$79,420
8	Russellville	7,211	84	$179,363	$50,999
9	Mayfield	10,031	85	$188,052	$53,713
10	Lebanon	6,121	85	$177,845	$45,322
11	Princeton	6,227	86	$133,645	$68,302
12	Glasgow	14,955	86	$219,853	$56,407
13	Leitchfield	6,951	86	$194,424	$51,575
14	Harrodsburg	8,799	87	$193,231	$62,323
15	Shively	16,091	88	$194,070	$62,919
16	Hopkinsville	31,974	88	$210,875	$59,958
17	Somerset	11,896	88	$201,044	$41,892
18	Cynthiana	6,419	89	$221,345	$57,603
19	Campbellsville	11,676	89	$232,660	$59,563
20	Oak Grove	7,524	89	$203,080	$57,609
21	Franklin	9,114	90	$222,494	$68,960
22	London	8,371	90	$233,755	$60,253
23	Dayton	5,734	91	$201,283	$79,308
24	Bardstown	13,551	91	$240,731	$79,417
25	Radcliff	23,674	91	$237,687	$67,072
26	Winchester	18,950	91	$234,207	$65,197
27	Covington	41,847	91	$217,616	$68,856
28	Paris	10,056	91	$239,799	$61,777
29	Mount Sterling	7,404	91	$257,300	$61,112
30	Henderson	29,267	91	$216,563	$60,547
31	Paducah	25,703	92	$218,217	$58,279
32	Berea	16,202	92	$239,960	$65,934
33	Central City	5,956	92	$228,975	$75,988
34	Frankfort	28,807	92	$242,057	$74,858
35	Lawrenceburg	11,704	92	$251,681	$74,312
36	Maysville	9,021	92	$248,397	$53,356
37	Madisonville	19,522	92	$217,722	$63,123
38	Murray	19,988	92	$291,388	$48,279
39	Highland Heights	7,638	93	$218,540	$62,752
40	Danville	17,223	93	$264,119	$63,627
41	Richmond	37,087	93	$271,736	$59,260
42	Bellevue	5,940	93	$250,877	$100,825
43	Shepherdsville	14,123	93	$277,449	$95,912
44	Morehead	7,952	93	$283,921	$43,619
45	Hillview	9,250	94	$231,983	$85,835
46	Owensboro	62,157	94	$230,497	$69,353
47	Nicholasville	31,738	94	$269,318	$81,952
48	Erlanger	19,751	95	$253,605	$107,188
49	Elsmere	8,876	95	$212,072	$83,234
50	Bowling Green	74,252	95	$305,100	$63,517

Methodology

To formulate the list of the cheapest places to live in Kentucky, AreaVibes utilized comprehensive data from the Council for Community and Economic Research (C2ER) cost of living index. The report is released annually and offers a detailed comparison of living expenses across various urban areas. The data is meticulously gathered by over 300 independent researchers, ensuring a high level of accuracy and reliability. The C2ER index encompasses more than 60 goods and services, categorized into six essential areas that significantly impact the cost of living. These categories and their respective weightings in the index are as follows: goods and services (33%), groceries (13%), health care (5%), housing (30%), transportation (9%), and utilities (10%).

Map of Cost of Living by State

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The map above is a great way to help you discover the most affordable states across the U.S. By highlighting states with the lowest cost of living, this map provides an in-depth look at where you can get the most value for your money. By visually representing this data, the map allows users to easily compare different regions and make informed decisions about potential relocations or investments. Additionally, it provides valuable insights into the economic conditions and lifestyle factors that influence these cost of living statistics. Whether you're planning a move, considering a new job, or simply curious about the economic landscape, this map is a useful resource for understanding and navigating the financial implications of living in different states.