Finding a home that meets your needs without breaking the bank can be a serious challenge. State-wide, Rhode Island has a median home value of $276,600. When you add in maintenance costs and property taxes, it can be difficult for many to buy and own a home.
That's why we've compiled a list of affordable cities in Rhode Island to help you find a new place to live. All of these places are more affordable than average, meaning you can get more bang for your buck.
Looking for the most affordable places in Rhode Island is a start, but you'll save even more money by working with a great agent.
The top Rhode Island real estate agents know the local market and where to find pockets of more affordable homes. They can also help negotiate a better price when you do find your dream home.
At Clever Real Estate, we can match you with agents in any area you're interested in — even multiple areas at the same time. You can interview as many agents as you like until you find the perfect place to call home — all at no cost or obligation to you.
Most affordable cities in Rhode Island
Whether you're looking for a quiet small town or a trendy suburban neighborhood, it's possible to locate pockets of affordability throughout Rhode Island.
Here are our top picks for Rhode Island residents on a budget:
Hopkinton is a town in Rhode Island with a population of 8,112. Located in Washington County, Hopkinton offers residents a rural feel, with highly rated public schools as a major bonus of the neighborhood.
According to data from Zillow, the median list price per square foot in Hopkinton is $190, which is lower than the Washington County average of $249. The median price of homes currently listed in Hopkinton is $350,000.
If you’re looking to buy a home in Hopkinton, now may be the perfect time to start the process. Home appreciation in the Hopkinton area is up 4.3% over the last 12 months.
But that’s not all: Hopkinton has seen the job market increase by 1.4% over the last year. Future job growth over the next ten years is predicted to be 30.2%.
The median household income of a Hopkinton resident is $71,636 a year, which far exceeds the US average of $53,482 a year.
Cranston is a mid-sized city with a population of 80,882 inhabitants. Being close to public transportation, grocery stores, parks, and other conveniences are all important when weighing your options for a new home in Cranston. With everything so close by, you’ll likely be filling up your car’s gas tank quite infrequently — which is extra money in your pocket every month.
Before you determine if any of these amenities are available in the area, you will also want to know if the real estate prices in Cranston are within your reach financially. The median home price for Cranston homes is $212,200, which is 10.9% lower than the Rhode Island average.
Purchasing your new home can come with many financial benefits — some of which are more lucrative than others. The most notable benefit could quite possibly be the appreciation of the value of your new home. Home appreciation rates are a good way to generate tax-free equity on a long term basis. The year-over-year appreciation rate in Cranston was 9.1%, and the five-year appreciation rate is 7.6%.
The median household income in Cranston is $61,646. That’s 11% higher than the US average, another financial perk of this Rhode Island neighborhood that will leave your wallet singing.
Furthermore, Cranston has seen the job market increase by 1.5% over the last year. Future job growth over the next ten years is predicted to be 30.2%.
Even after you've found a more affordable place to live in Rhode Island, moving there can be expensive. By working with a Clever Partner Agent, you'll have an expert in your corner and you may be able to take advantage of Clever Cash Back.
When you buy a home with a Clever agent, you might be eligible for up to 0.5% cash back to use on anything you want. For the average home value of $276,600, you'd pocket $1,383 to help you move (or splurge on a great housewarming gift for yourself).
3. Cumberland Hill
Cumberland Hill is a suburb of Providence with a population of 8,062. Living in Cumberland Hill offers residents a suburban feel. Many families are drawn to this area of Rhode Island — quite possibly due to their highly rated public schools.
Cumberland Hill has seen the job market increase by 1.5% over the last year, and future job growth over the next ten years is predicted to be 29.8%.
The median income in Cumberland Hill comes in at $83,168 and the median home value is $248,200 for 2019.
Pawtucket is a suburb of Providence, with a population of 71,770. Pawtucket offers residents an urban feel, with an abundance of bars, restaurants, coffee shops, and parks conveniently in the area.
One of the nice things about Pawtucket is that is its nautical vibe. Nearby bodies of water offer visitors and locals beautiful scenery and waterfront activities.
Overall, Pawtucket is a city of sales and office workers, service providers, and professionals. According to NeighborhoodScout, there are especially a lot of people living in Pawtucket who work in office and administrative support (15.08%) and sales jobs (10.04%).
According to Zillow, the median home value in Pawtucket is $218,300, and the median household income of a Pawtucket resident is $40,578 a year.
Pascoag residents have a higher income than 48.2% of the neighborhoods in America. The median home value is $244,300, while the median income for households in Pascoag, Rhode Island is $73,289
In Pascoag, 29.0% of the working population is employed in executive, management, and professional occupations. The second most popular occupation in this neighborhood is clerical, assistant, and tech support occupations, with 25.4% of the residents employed in these jobs.
Most neighborhoods in Pascoag residents have short commutes to work, which will help reduce the amount you spend each month filling up your car in no time.
The benefits of a great real estate agent
If you're just researching affordable places to live, you might wonder why you need a real estate agent. They're the ones that help you once you've already decided on a house, right?
Not necessarily. The truth is, it's never too early to start looking for an agent. In fact, talking to a realtor early on in the process can help you narrow down your options much faster than doing research on your own.
A real estate agent's job is to know everything about their local area. They'll find the best deals in desirable neighborhoods — and might just help you snag your dream home for an affordable price. Let a Clever agent help you discover your options today — all while you enjoy 0.5% cash back!
Frequently asked questions about affordable places to live in Rhode Island
In addition to shopping in some of the most affordable areas, you'll want to work with an experienced real estate agent. They can find you hidden gems at low price points. A good agent can also negotiate like a pro to get you a lower sale price and more buyer incentives. You may also be able to take advantage of home buyer rebates.
We recommend using the 28/36 rule to know how much house you can afford. This means your housing expenses shouldn't exceed 28% of your income, and all of your total debt shouldn't exceed 36%. Learn more about how to calculate your home buying budget.