Money

15 states where millennials can afford to buy homes

Ohio State Buckeye fans having a little fun in the stands.
Icon Sports Wire | Getty Images
Ohio State Buckeye fans having a little fun in the stands.

The No. 1 reason millennial Americans aren't purchasing homes is because they simply can't afford it. Not only are home prices high, but young people have other financial priorities, including paying off massive student loans.

But when it comes to price, location matters. Although desirable coastal cities such as New York and Los Angeles might be out of reach, other Southern and Midwestern towns are good bets for millennial home buyers.

GOBankingRates identified the most and least affordable states for millennials to buy homes by analyzing home listing price data from Zillow. For this ranking, GOBankingRates used the national median income for millennials, $60,932, to determine how long it would take to save for a 20 percent down payment, assuming 20 percent monthly savings, and how much the monthly mortgage payment would be.

Here are the 15 states where millennials' paychecks go the farthest toward buying a home.

15. Nebraska

Median list price: $197,500
Number of years to save for a down payment: 3.2
Monthly mortgage payment: $881

14. Alabama

Median list price: $193,900
Number of years to save for a down payment: 3.2
Monthly mortgage payment: $881

13. Wisconsin

Median list price: $195,000
Number of years to save for a down payment: 3.2
Monthly mortgage payment: $868

Milwaukee, Wisconsin
Walter Bibikow | Photolibrary | Getty Images
Milwaukee, Wisconsin

12. Pennsylvania

Median list price: $189,900
Number of years to save for a down payment: 3.1
Monthly mortgage payment: $846

11. Oklahoma

Median list price: $179,900
Number of years to save for a down payment: 3
Monthly mortgage payment: $810

10. Mississippi

Median list price: $175,000
Number of years to save for a down payment: 2.9
Monthly mortgage payment: $789

Vicksburg, Mississippi.
Peeter Visimaa | Getty Images
Vicksburg, Mississippi.

9. Missouri

Median list price: $169,900
Number of years to save for a down payment: 2.8
Monthly mortgage payment: $768

8. Michigan

Median list price: $169,900
Number of years to save for a down payment: 2.8
Monthly mortgage payment: $767

7. Kansas

Median list price: $169,900
Number of years to save for a down payment: 2.8
Monthly mortgage payment: $766

Wichita, Kansas
Davel5957 | Getty Images
Wichita, Kansas

6. Kentucky

Median list price: $169,900
Number of years to save for a down payment: 2.8
Monthly mortgage payment: $765

5. Iowa

Median list price: $169,000
Number of years to save for a down payment: 2.8
Monthly mortgage payment: $766

4. Indiana

Median list price: $167,000
Number of years to save for a down payment: 2.7
Monthly mortgage payment: $757

Indianapolis, Indiana
John J. Miller Photogrpahy | Getty Images
Indianapolis, Indiana

3. Arkansas

Median list price: $164,900
Number of years to save for a down payment: 2.7
Monthly mortgage payment: $757

2. Ohio

Median list price: $154,000
Number of years to save for a down payment: 2.5
Monthly mortgage payment: $704