The 99709 zip code in Fairbanks tops our ranking of the most affordable places to live in Alaska.
We looked at 23 zip codes in the state, evaluating home values, rental costs, energy rates, property taxes, and five other affordability indicators. We used the data we gathered to calculate our proprietary Affordability Score for each zip code.
Top 10 most affordable places to live in Alaska
| Rank | City | Affordability Score | Median home value | Rental costs |
|---|---|---|---|---|
| 1 | Fairbanks 🥇 | 100.0 | $300,436 | $1,175 |
| 2 | Anchorage 🥈 | 90.9 | $308,477 | $1,765 |
| 3 | Meadow Lakes 🥉 | 86.7 | $328,808 | $1,765 |
| 4 | Soldotna | 86.2 | $354,047 | $1,765 |
| 5 | North Pole | 83.9 | $308,549 | $2,000 |
| 6 | Kenai | 83.9 | $321,332 | $1,765 |
| 7 | Palmer | 78.7 | $387,430 | $1,765 |
| 8 | Eagle River | 78.3 | $459,592 | $2,287 |
| 9 | Wasilla | 74.8 | $388,574 | $1,772 |
| 10 | Ketchikan | 74.5 | $385,583 | $1,765 |
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1. Fairbanks
Here's why the 99709 zip code in Fairbanks is Alaska's most affordable place to live.
🔎 Key data about Fairbanks
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 100.0 | No. 1 | N/A |
| Median home value | $300,436[1] | No. 2 | -$78,441.84 |
| Home affordability ratio | 3.7 | No. 7 | -0.3 |
| Home value five-year change | 10.2%[2] | No. 4 | -7.7% |
| Home value one-year forecast | -2.9%[3] | No. 1 | -0.9% |
| Rental costs | $1,175[4] | No. 1 | -$590 |
| Rent affordability ratio | 1.46% | No. 1 | -0.4% |
| Median household income | $80,467[5] | No. 17 | -$12,815 |
| Property taxes | $3,843[6] | No. 13 | -$253 |
| Energy costs | $0.20 kWh[7] | No. 2 | $0.00 |
Fairbanks's 99709 zip code is the cheapest place to live in Alaska, leading the 23 markets we evaluated.
The median home value is $300,436, making it the 2nd-cheapest housing market in the state. Forecasts project a -2.9% change in home values in the next year. Rent in the zip code averages $1,175 per month, which is the 1st cheapest amount in Alaska.
The median property tax for homeowners in Fairbanks is $3,843 per household, the No. 13 ranked market in Alaska.
Residents pay $0.20 per kWh of electricity, which ranks No. 2 among Alaska markets.
2. Anchorage
The 99518 zip code is the 2nd-cheapest place to live in Alaska.
🔎 Key data about Anchorage
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 90.9 | No. 2 | N/A |
| Median home value | $308,477[8] | No. 5 | -$70,400.97 |
| Home affordability ratio | 3.547220606 | No. 4 | -0.5 |
| Home value five-year change | 0.1928028644[9] | No. 17 | 1.4% |
| Home value one-year forecast | -1.7%[10] | No. 18 | 0.3% |
| Rental costs | $1,765[11] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 86963[12] | No. 15 | -$6,319 |
| Property taxes | $3,667[13] | No. 10 | -$429 |
| Energy costs | 0.2021458545 kWh[14] | No. 2 | $0.00 |
Anchorage's 99518 zip code has a median home value of $308,477, which is the 18th-cheapest housing market in Alaska. You can rent for an average of $1,765 per month. That's the 7th-cheapest price in the state.
The average household income in the zip code is 86963, which ranks 15th-highest in the state.
Homeowners in Anchorage pay a median property tax of $3,667 per year, making it the 10th-most affordable market in Alaska.
Anchorage ranks No. 2 among Alaska energy markets. You'll pay 0.2021458545 per kWh of electricity.
3. Meadow Lakes
The 3rd-cheapest place to live in Alaska is Meadow Lakes's 99623 zip code.
🔎 Key data about Meadow Lakes
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 86.7 | No. 3 | N/A |
| Median home value | $328,808[15] | No. 10 | -$50,069.42 |
| Home affordability ratio | 3.768708297 | No. 8 | -0.3 |
| Home value five-year change | 0.2873795828[16] | No. 21 | 10.8% |
| Home value one-year forecast | -1.9%[17] | No. 9 | 0.1% |
| Rental costs | $1,765[18] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 87247[19] | No. 14 | -$6,035 |
| Property taxes | $3,524[20] | No. 7 | -$572 |
| Energy costs | 0.2021458545 kWh[21] | No. 2 | $0.00 |
The No. 10 cheapest housing market in Alaska is Meadow Lakes's 99623 zip code, with a median home value of $328,808. Rents in the market average $1,765 per month, making it the 7th-most affordable rental market in the state.
The median property tax for households in Meadow Lakes is $3,524, which makes it the 7th-cheapest place in Alaska. Meadow Lakes ranks No. 2 among Alaska markets by energy costs. Residents pay 0.2021458545 per kWh of electricity.
4. Soldotna
The 99669 zip code in Soldotna comes in at No. 4 on our list of the cheapest places to live in Alaska.
🔎 Key data about Soldotna
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 86.2 | No. 4 | N/A |
| Median home value | $354,047[22] | No. 12 | -$24,831.03 |
| Home affordability ratio | 3.998180598 | No. 11 | -0.1 |
| Home value five-year change | 0.2045535464[23] | No. 19 | 2.5% |
| Home value one-year forecast | -1.951678593%[24] | No. 6 | 0.0% |
| Rental costs | $1,765[25] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 88552[26] | No. 13 | -$4,730 |
| Property taxes | $1,988[27] | No. 2 | -$2,108 |
| Energy costs | 0.2021458545 kWh[28] | No. 2 | $0.00 |
The No. 12 cheapest housing market in Alaska is Soldotna's 99669 zip code, where the median home value is $354,047. Renters here pay an average of $1,765 per month.
When it comes to energy costs, Soldotna ranks 2nd among Alaska markets. Residents pay 0.2021458545 per kWh of electricity.
The median property tax for households in the zip code is $1,988, which makes it the 2nd-cheapest market in Alaska.
5. North Pole
The 99705 zip code in North Pole ranks No. 5 among Alaska's most affordable places to live.
🔎 Key data about North Pole
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 83.9 | No. 5 | N/A |
| Median home value | $308,549[29] | No. 6 | -$70,329.32 |
| Home affordability ratio | 3.475115932 | No. 2 | -0.6 |
| Home value five-year change | 0.1103079735[30] | No. 5 | -6.9% |
| Home value one-year forecast | -2.9%[31] | No. 1 | -0.9% |
| Rental costs | $2,000[32] | No. 21 | $235 |
| Rent affordability ratio | 2.25% | No. 21 | 0.4% |
| Median household income | 88788[33] | No. 12 | -$4,494 |
| Property taxes | $3,503[34] | No. 5 | -$593 |
| Energy costs | 0.2021458545 kWh[35] | No. 2 | $0.00 |
North Pole's 99705 zip code has a median home value of $308,549, the 6th-cheapest market in the state. Forecasts project a -2.9% change in home values in the next year.
The median property tax per household in North Pole is $3,503. It's the 5th-cheapest market by tax rate in Alaska.
6. Kenai
The No. 6 most affordable place to live in Alaska is the 99611 zip code.
🔎 Key data about Kenai
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 83.9 | No. 6 | N/A |
| Median home value | $321,332[36] | No. 8 | -$57,545.98 |
| Home affordability ratio | 4.425572122 | No. 19 | 0.4 |
| Home value five-year change | 0.1726586397[37] | No. 14 | -0.7% |
| Home value one-year forecast | -1.951678593%[38] | No. 6 | 0.0% |
| Rental costs | $1,765[39] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 72608[40] | No. 21 | -$20,674 |
| Property taxes | $1,759[41] | No. 1 | -$2,337 |
| Energy costs | 0.2021458545 kWh[42] | No. 2 | $0.00 |
The back half of our top 10 kicks off with Kenai's 99611 zip code, which has the 8th-cheapest home values in Alaska. The median home value is $321,332. Rents average $1,765 per month, making it the 7th-most affordable rental market in the state.
Residents pay 0.2021458545 per kWh of electricity. It's the 2nd-cheapest energy market.
7. Palmer
Palmer's 99645 zip code is the 7th-cheapest place to live in Alaska.
🔎 Key data about Palmer
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 78.7 | No. 7 | N/A |
| Median home value | $387,430[43] | No. 15 | $8,551.81 |
| Home affordability ratio | 4.155098875 | No. 13 | 0.1 |
| Home value five-year change | 0.3004596479[44] | No. 22 | 12.1% |
| Home value one-year forecast | -1.9%[45] | No. 9 | 0.1% |
| Rental costs | $1,765[46] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 93242[47] | No. 9 | -$40 |
| Property taxes | $3,520[48] | No. 6 | -$576 |
| Energy costs | 0.2021458545 kWh[49] | No. 2 | $0.00 |
You'll find the 15th-cheapest home values in Alaska in Palmer's 99645 zip code. The median value: $387,430. Renters in Palmer pay an average of $1,765 per month.
Homeowners in Palmer pay a median property tax of $3,520 per year, which is Alaska's 6th-most affordable market.
The average household income is 93242, which ranks 9th-highest in the state.
8. Eagle River
The 8th-cheapest place to live in Alaska is Eagle River's 99577 zip code.
🔎 Key data about Eagle River
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 78.3 | No. 8 | N/A |
| Median home value | $459,592[50] | No. 21 | $80,714.33 |
| Home affordability ratio | 3.481944124 | No. 3 | -0.6 |
| Home value five-year change | 0.1551826589[51] | No. 11 | -2.4% |
| Home value one-year forecast | -1.8%[52] | No. 12 | 0.2% |
| Rental costs | $2,287[53] | No. 22 | $521 |
| Rent affordability ratio | 1.73% | No. 6 | -0.2% |
| Median household income | 131993[54] | No. 2 | $38,711 |
| Property taxes | $5,369[55] | No. 22 | $1,273 |
| Energy costs | 0.2021458545 kWh[56] | No. 2 | $0.00 |
The 21st-cheapest housing market in Alaska is Eagle River's 99577 zip code, with a median home value of $459,592. Renters pay an average of $2,287 per month, the No. 22 rental market in the state.
The median property tax for households in Eagle River is $5,369, which makes it the 22nd-cheapest place in Alaska. The average household income of 131993 ranks 2nd.
9. Wasilla
Wasilla's 99654 zip code sneaks into the top ten of Alaska's most affordable places to live.
🔎 Key data about Wasilla
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 74.8 | No. 9 | N/A |
| Median home value | $388,574[57] | No. 16 | $9,696.48 |
| Home affordability ratio | 4.372145072 | No. 18 | 0.3 |
| Home value five-year change | 0.3022080137[58] | No. 23 | 12.3% |
| Home value one-year forecast | -1.9%[59] | No. 9 | 0.1% |
| Rental costs | $1,772[60] | No. 17 | $7 |
| Rent affordability ratio | 1.99% | No. 19 | 0.1% |
| Median household income | 88875[61] | No. 11 | -$4,407 |
| Property taxes | $3,816[62] | No. 12 | -$280 |
| Energy costs | 0.2021458545 kWh[63] | No. 2 | $0.00 |
The 16th-cheapest housing market in Alaska is Wasilla's 99654 zip code, where the median home value is $388,574. Renters pay an average of $1,772 per month. It's the state's 17th-cheapest rental market.
The median property tax for households within the zip code is $3,816, which makes it the 12th-cheapest property tax rate in Alaska.
10. Ketchikan
The final spot on our list of the most affordable places to live in Alaska goes to the 99901 zip code in Ketchikan.
🔎 Key data about Ketchikan
| Data point | Value | Rank (out of 23 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 74.5 | No. 10 | N/A |
| Median home value | $385,583[64] | No. 14 | $6,705.27 |
| Home affordability ratio | 4.658883604 | No. 21 | 0.6 |
| Home value five-year change | 0.1627218769[65] | No. 12 | -1.6% |
| Home value one-year forecast | -2.2%[66] | No. 5 | -0.2% |
| Rental costs | $1,765[67] | No. 7 | $0 |
| Rent affordability ratio | 1.89% | No. 7 | 0.0% |
| Median household income | 82763[68] | No. 16 | -$10,519 |
| Property taxes | $2,588[69] | No. 3 | -$1,508 |
| Energy costs | 0.3719626168 kWh[70] | No. 23 | $0.17 |
The 14th-most affordable market in Alaska is Ketchikan's 99901 zip code. The median home value is $385,583. Rent in the market costs $1,765 per month on average, making it the 7th-most affordable rental market in Alaska.
The median property tax for households in Ketchikan is $2,588, which is the 3rd-cheapest property tax rate in the state.
Ketchikan ranks No. 23 among Alaska markets by energy costs, with households paying 0.3719626168 per kWh of electricity.
How we ranked the most affordable places in Alaska
We evaluated 23 zip codes in Alaska with a population over 10,000 on nine metrics. We then assigned each market an Affordability Score based on its weighted and combined rankings.
Our proprietary Affordability Score is a score on a scale of 0 (worst in state) to 100 (best in state) that estimates the affordability of a particular zip code. It takes into account these key data points for each zip code.
- Median home value: The median home value for each zip code comes from the Zillow Home Value Index. The lower the median home value relative to the median value in Alaska, the higher our score on this component. We assign a weight of 23.8% to median home value.
- Home affordability ratio. The home affordability ratio is the typical median home value divided by the median household income in the zip code, which reveals the number of years of household income needed to afford a home in that zip code. A lower ratio is better because it means more households can afford a home. The data comes from the Zillow Observed Rent Index and the U.S. Census American Community Survey. We assign a weight of 23.8% to the home affordability ratio.
- Home value five-year change: The home value five-year change is the amount that the median home value in the zip code has risen or fallen during the last five years. Our data comes from the Zillow Home Value Index. We assign a weight of 4.8% to the home value five-year change.
- Home value one-year forecast: The home value one-year forecast comes from Zillow Forecast data. It projects how much home values in the zip code are forecasted to change in the next year. We assign a weight of 4.8% to the home value one-year forecast.
- Rental costs. The rental costs are the observed rents in the zip code, sourced from the Zillow Observed Rent Index. The index includes "listed rents that fall into the 40th to 60th percentile range for all homes and apartments in a given region." We assign a weight of 11.9% to rental costs.
- Median household income: The inflation-adjusted median household income figures for the zip code comes from the U.S. Census American Community Survey. We assign a weight of 4.8% to median household income.
- Rent affordability ratio. The rent affordability ratio is the ratio of rental costs divided by median household income, which provides the percentage of household income needed to pay a typical month’s rent in the zip code. The data comes from the Zillow Observed Rent Index and the U.S. Census American Community Survey. We assign a weight of 11.9% to the rent affordability ratio.
- Property taxes: The property tax figures are the median real estate taxes paid in the zip code, sourced from the U.S. Census American Community Survey. The lower the property tax rate relative to the Alaska average, the higher our score on this component. We assign a weight of 7.1% to property taxes.
- Energy costs: The energy costs are the costs of a kilowatt hour (kWh) of residential electricity in the zip code, sourced from the U.S. Department of Energy. The lower the cost of electricity relative to the Alaska average, the higher our score on this component. We assign a weight of 7.1% to energy costs.
✍️ Editor’s note: Our Affordability Score identifies the most affordable places in a state by zip code. Often the zip code we identify will represent an entire city or portion of a city.
Occasionally the zip code we identify will encompass an area that includes one or more small towns. In these cases, the data we’ve gathered applies to the entire zip code, not just the single town we’re using to help identify the zip code's location.
If you’re looking to move to one of these affordable places, we recommend doing additional research to make sure the costs in the area — and the quality of life it offers — meet your specific needs.
