The 15 best US states for first-time homebuyers

In fact, 65% of millennials still consider buying a home part of the American Dream, more than any other generation.

But burdensome student loan debt, high rent prices, and low wages are affecting their ability to save up for a down payment, contributing to the lowest homeownership rate in the US in decades.

Still, these factors vary across cities and states, and there are some places where it's more attainable for first-time buyers to enter the market.

New data from Bankrate discovered how first-time homebuyers fare in all 50 US states considering five factors:

Bankrate weighted each category equally to determine its ranking. States in the Midwest and the non-coastal West proved to be the most accommodating to first-time homebuyers, while California, New York, and Hawaii are the toughest states.

Below, check out the 15 states where it's easiest to become a homeowner.

The metrics included below were all used to calculate Bankrate's ranking, with the exception of median home value, which was sourced independently from Zillow.

15. Alaska

Percent of median income toward mortgage : 20.1%

Unemployment rate: 7.2%

Under 35 homeownership rate: 35.5%

Median home value: $267,000

14. Oklahoma

Percent of median income toward mortgage: 14.6%

Unemployment rate: 5.5%

Under 35 homeownership rate: 37.6%

Median home value: $114,400

13. Montana

Percent of median income toward mortgage: 23.5%

Unemployment rate: 5.2%

Under 35 homeownership rate: 34.3%

Median home value: $197,900

12. Indiana

Percent of median income toward mortgage: 15%

Unemployment rate: 6.7%

Under 35 homeownership rate: 40.5%

Median home value: $119,500

11. Idaho

Percent of median income toward mortgage: 21.2%

Unemployment rate: 5.4%

Under 35 homeownership rate: 39.2%

Median home value: $183,000

10. Nebraska

Percent of median income toward mortgage: 13.9%

Unemployment rate: 3.8%

Under 35 homeownership rate: 38.4%

Median home value: $146,400

9. Vermont

Percent of median income toward mortgage: 16.9%

Unemployment rate: 4.4%

Under 35 homeownership rate: 33.8%

Median home value: N/A

8. Wyoming

Percent of median income toward mortgage: 18.3%

Unemployment rate: 4.5%

Under 35 homeownership rate: 41.5%

Median home value: $194,000

7. South Dakota

Percent of median income toward mortgage: 17.6%

Unemployment rate: 3.3%

Under 35 homeownership rate: 42%

Median home value: $172,100

6. North Dakota

Percent of median income toward mortgage: 17.2%

Unemployment rate: 3%

Under 35 homeownership rate: 37.1%

Median home value: $203,100

5. Missouri

Percent of median income toward mortgage: 16.4%

Unemployment rate: 5.6%

Under 35 homeownership rate: 38.7%

Median home value: $139,800

4. Kansas

Percent of median income toward mortgage: 17.7%

Unemployment rate: 4.5%

Under 35 homeownership rate: 37.3%

Median home value: $124,000

3. Minnesota

Percent of median income toward mortgage: 16.5%

Unemployment rate: 4.4%

Under 35 homeownership rate: 45%

Median home value: $202,800

2. Utah

Percent of median income toward mortgage: 21.8%

Unemployment rate: 3.4%

Under 35 homeownership rate: 44%

Median home value: $242,300

1. Iowa

Percent of median income toward mortgage: 13.1%

Unemployment rate: 4.6%

Under 35 homeownership rate: 44.1%

Median home value: $138,200

The 15 best US states for first-time homebuyers

Enhance Your Pulse News Experience!

JOIN OUR PULSE COMMUNITY!