The 99712 zip code in Fairbanks tops our ranking of the most affordable places to live in Alaska.
We looked at 22 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 | $312,297 | $1,853 |
| 2 | North Pole 🥈 | 87.3 | $324,081 | $1,994 |
| 3 | Anchorage 🥉 | 85.5 | $396,480 | $1,539 |
| 4 | Kenai | 84.1 | $316,938 | $1,853 |
| 5 | Eagle River | 82.7 | $477,851 | $2,297 |
| 6 | Ketchikan | 78.0 | $393,100 | $1,853 |
| 7 | Meadow Lakes | 75.9 | $366,913 | $1,621 |
| 8 | Palmer | 72.0 | $434,805 | $1,630 |
| 9 | Juneau | 69.8 | $476,934 | $1,853 |
| 10 | Kodiak | 69.0 | $426,124 | $1,853 |
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1. Fairbanks
Here's why the 99712 zip code in Fairbanks is Alaska's most affordable place to live.
🔎 Key data about Fairbanks
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 100.0 | No. 1 | N/A |
| Median home value | $312,297[1] | No. 3 | -$86,090.66 |
| Home affordability ratio | 2.8 | No. 1 | -1.2 |
| Home value five-year change | 4.4%[2] | No. 1 | -16.6% |
| Home value one-year forecast | -2.0%[3] | No. 1 | -1.3% |
| Rental costs | $1,853[4] | No. 12 | $0 |
| Rent affordability ratio | 1.86% | No. 10 | 0.0% |
| Median household income | $112,808[5] | No. 5 | $13,359 |
| Property taxes | $3,574[6] | No. 5 | -$629 |
| Energy costs | $0.30 kWh[7] | No. 19 | $0.07 |
Fairbanks's 99712 zip code is the cheapest place to live in Alaska, leading the 22 markets we evaluated.
The median home value is $312,297, making it the 3rd-cheapest housing market in the state. Forecasts project a -2.0% change in home values in the next year. Rent in the zip code averages $1,853 per month, which is the 10th cheapest amount in Alaska.
The median property tax for homeowners in Fairbanks is $3,574 per household, the No. 5 ranked market in Alaska.
Residents pay $0.30 per kWh of electricity, which ranks No. 19 among Alaska markets.
2. North Pole
The 99705 zip code is the 2nd-cheapest place to live in Alaska.
🔎 Key data about North Pole
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 87.3 | No. 2 | N/A |
| Median home value | $324,081[8] | No. 6 | -$74,306.00 |
| Home affordability ratio | 3.3 | No. 2 | -0.7 |
| Home value five-year change | 10.2%[9] | No. 4 | -10.8% |
| Home value one-year forecast | -1.9%[10] | No. 3 | -1.2% |
| Rental costs | $1,994[11] | No. 19 | $142 |
| Rent affordability ratio | 2.06% | No. 18 | 0.2% |
| Median household income | $96,964[12] | No. 11 | -$2,485 |
| Property taxes | $3,577[13] | No. 6 | -$626 |
| Energy costs | $0.30 kWh[14] | No. 19 | $0.07 |
North Pole's 99705 zip code has a median home value of $324,081, which is the 3rd-cheapest housing market in Alaska. You can rent for an average of $1,994 per month. That's the 19th-cheapest price in the state.
The average household income in the zip code is $96,964, which ranks 11th-highest in the state.
Homeowners in North Pole pay a median property tax of $3,577 per year, making it the 6th-most affordable market in Alaska.
North Pole ranks No. 19 among Alaska energy markets. You'll pay $0.30 per kWh of electricity.
3. Anchorage
The 3rd-cheapest place to live in Alaska is Anchorage's 99517 zip code.
🔎 Key data about Anchorage
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 85.5 | No. 3 | N/A |
| Median home value | $396,480[15] | No. 13 | -$1,907.20 |
| Home affordability ratio | 3.8 | No. 7 | -0.2 |
| Home value five-year change | 21.7%[16] | No. 14 | 0.7% |
| Home value one-year forecast | -0.4%[17] | No. 14 | 0.3% |
| Rental costs | $1,539[18] | No. 3 | -$314 |
| Rent affordability ratio | 1.48% | No. 2 | -0.4% |
| Median household income | $103,880[19] | No. 7 | $4,431 |
| Property taxes | $4,858[20] | No. 16 | $655 |
| Energy costs | $0.23 kWh[21] | No. 13 | $0.00 |
The No. 13 cheapest housing market in Alaska is Anchorage's 99517 zip code, with a median home value of $396,480. Rents in the market average $1,539 per month, making it the 3rd-most affordable rental market in the state.
The median property tax for households in Anchorage is $4,858, which makes it the 16th-cheapest place in Alaska. Anchorage ranks No. 13 among Alaska markets by energy costs. Residents pay $0.23 per kWh of electricity.
4. Kenai
The 99611 zip code in Kenai comes in at No. 4 on our list of the cheapest places to live in Alaska.
🔎 Key data about Kenai
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 84.1 | No. 4 | N/A |
| Median home value | $316,938[22] | No. 4 | -$81,449.03 |
| Home affordability ratio | 4.0 | No. 10 | 0.0 |
| Home value five-year change | 16.4%[23] | No. 7 | -4.6% |
| Home value one-year forecast | -0.7%[24] | No. 6 | 0.0% |
| Rental costs | $1,853[25] | No. 12 | $0 |
| Rent affordability ratio | 1.86% | No. 10 | 0.0% |
| Median household income | $79,757[26] | No. 18 | -$19,692 |
| Property taxes | $1,936[27] | No. 2 | -$2,267 |
| Energy costs | $0.25 kWh[28] | No. 15 | $0.01 |
The No. 4 cheapest housing market in Alaska is Kenai's 99611 zip code, where the median home value is $316,938. Renters here pay an average of $1,853 per month.
When it comes to energy costs, Kenai ranks 15th among Alaska markets. Residents pay $0.25 per kWh of electricity.
The median property tax for households in the zip code is $1,936, which makes it the 2nd-cheapest market in Alaska.
5. Eagle River
The 99577 zip code in Eagle River ranks No. 5 among Alaska's most affordable places to live.
🔎 Key data about Eagle River
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 82.7 | No. 5 | N/A |
| Median home value | $477,851[29] | No. 21 | $79,463.82 |
| Home affordability ratio | 3.5 | No. 4 | -0.5 |
| Home value five-year change | 20.0%[30] | No. 11 | -1.1% |
| Home value one-year forecast | -0.4%[31] | No. 14 | 0.3% |
| Rental costs | $2,297[32] | No. 21 | $445 |
| Rent affordability ratio | 1.68% | No. 4 | -0.2% |
| Median household income | $136,900[33] | No. 2 | $37,451 |
| Property taxes | $5,454[34] | No. 21 | $1,251 |
| Energy costs | $0.22 kWh[35] | No. 5 | -$0.01 |
Eagle River's 99577 zip code has a median home value of $477,851, the 21st-cheapest market in the state. Forecasts project a -0.4% change in home values in the next year.
The median property tax per household in Eagle River is $5,454. It's the 21st-cheapest market by tax rate in Alaska.
6. Ketchikan
The No. 6 most affordable place to live in Alaska is the 99901 zip code.
🔎 Key data about Ketchikan
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 78.0 | No. 6 | N/A |
| Median home value | $393,100[36] | No. 12 | -$5,287.39 |
| Home affordability ratio | 4.2 | No. 15 | 0.2 |
| Home value five-year change | 18.6%[37] | No. 9 | -2.4% |
| Home value one-year forecast | -1.1%[38] | No. 5 | -0.4% |
| Rental costs | $1,853[39] | No. 12 | $0 |
| Rent affordability ratio | 1.86% | No. 10 | 0.0% |
| Median household income | $92,885[40] | No. 12 | -$6,564 |
| Property taxes | $2,619[41] | No. 3 | -$1,584 |
| Energy costs | $0.25 kWh[42] | No. 16 | $0.01 |
The back half of our top 10 kicks off with Ketchikan's 99901 zip code, which has the 12th-cheapest home values in Alaska. The median home value is $393,100. Rents average $1,853 per month, making it the 12th-most affordable rental market in the state.
Residents pay $0.25 per kWh of electricity. It's the 16th-cheapest energy market.
7. Meadow Lakes
Meadow Lakes's 99623 zip code is the 7th-cheapest place to live in Alaska.
🔎 Key data about Meadow Lakes
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 75.9 | No. 7 | N/A |
| Median home value | $366,913[43] | No. 11 | -$31,474.58 |
| Home affordability ratio | 4.1 | No. 13 | 0.1 |
| Home value five-year change | 27.3%[44] | No. 19 | 6.3% |
| Home value one-year forecast | -0.5%[45] | No. 9 | 0.2% |
| Rental costs | $1,621[46] | No. 4 | -$232 |
| Rent affordability ratio | 1.83% | No. 9 | 0.0% |
| Median household income | $88,799[47] | No. 13 | -$10,650 |
| Property taxes | $3,804[48] | No. 11 | -$399 |
| Energy costs | $0.22 kWh[49] | No. 5 | -$0.01 |
You'll find the 11th-cheapest home values in Alaska in Meadow Lakes's 99623 zip code. The median value: $366,913. Renters in Meadow Lakes pay an average of $1,621 per month.
Homeowners in Meadow Lakes pay a median property tax of $3,804 per year, which is Alaska's 11th-most affordable market.
The average household income is $88,799, which ranks 13th-highest in the state.
8. Palmer
The 8th-cheapest place to live in Alaska is Palmer's 99645 zip code.
🔎 Key data about Palmer
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 72.0 | No. 8 | N/A |
| Median home value | $434,805[50] | No. 17 | $36,417.58 |
| Home affordability ratio | 4.3 | No. 17 | 0.3 |
| Home value five-year change | 33.2%[51] | No. 22 | 12.1% |
| Home value one-year forecast | -0.5%[52] | No. 9 | 0.2% |
| Rental costs | $1,630[53] | No. 5 | -$223 |
| Rent affordability ratio | 1.62% | No. 3 | -0.2% |
| Median household income | $100,455[54] | No. 9 | $1,006 |
| Property taxes | $3,673[55] | No. 8 | -$530 |
| Energy costs | $0.27 kWh[56] | No. 17 | $0.03 |
The 17th-cheapest housing market in Alaska is Palmer's 99645 zip code, with a median home value of $434,805. Renters pay an average of $1,630 per month, the No. 5 rental market in the state.
The median property tax for households in Palmer is $3,673, which makes it the 8th-cheapest place in Alaska. The average household income of $100,455 ranks 9th.
9. Juneau
Juneau's 99801 zip code sneaks into the top ten of Alaska's most affordable places to live.
🔎 Key data about Juneau
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 69.8 | No. 9 | N/A |
| Median home value | $476,934[57] | No. 20 | $78,546.89 |
| Home affordability ratio | 4.7 | No. 20 | 0.7 |
| Home value five-year change | 20.0%[58] | No. 13 | -1.0% |
| Home value one-year forecast | -0.5%[59] | No. 9 | 0.2% |
| Rental costs | $1,853[60] | No. 12 | $0 |
| Rent affordability ratio | 1.86% | No. 10 | 0.0% |
| Median household income | $102,217[61] | No. 8 | $2,768 |
| Property taxes | $4,280[62] | No. 14 | $77 |
| Energy costs | $0.13 kWh[63] | No. 1 | -$0.11 |
The 20th-cheapest housing market in Alaska is Juneau's 99801 zip code, where the median home value is $476,934. Renters pay an average of $1,853 per month. It's the state's 12th-cheapest rental market.
The median property tax for households within the zip code is $4,280, which makes it the 14th-cheapest property tax rate in Alaska.
10. Kodiak
The final spot on our list of the most affordable places to live in Alaska goes to the 99615 zip code in Kodiak.
🔎 Key data about Kodiak
| Data point | Value | Rank (out of 22 markets) | Difference from median or average |
|---|---|---|---|
| Affordability Score | 69.0 | No. 10 | N/A |
| Median home value | $426,124[64] | No. 15 | $27,737.12 |
| Home affordability ratio | 4.8 | No. 21 | 0.8 |
| Home value five-year change | 14.6%[65] | No. 5 | -6.4% |
| Home value one-year forecast | -0.7%[66] | No. 6 | 0.0% |
| Rental costs | $1,853[67] | No. 12 | $0 |
| Rent affordability ratio | 1.86% | No. 10 | 0.0% |
| Median household income | $88,456[68] | No. 14 | -$10,993 |
| Property taxes | $3,694[69] | No. 9 | -$509 |
| Energy costs | $0.19 kWh[70] | No. 2 | -$0.05 |
The 15th-most affordable market in Alaska is Kodiak's 99615 zip code. The median home value is $426,124. Rent in the market costs $1,853 per month on average, making it the 12th-most affordable rental market in Alaska.
The median property tax for households in Kodiak is $3,694, which is the 9th-cheapest property tax rate in the state.
Kodiak ranks No. 2 among Alaska markets by energy costs, with households paying $0.19 per kWh of electricity.
How we ranked the most affordable places in Alaska
We evaluated 22 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 13.0% 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 28.0% 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 10.0% 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 8.0% 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 7.0% 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 5.0% 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 17.0% 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 8.0% 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 4.0% 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.
