Best Affordable Places to Live in Michigan in 2025

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If you’d like to land somewhere that isn’t quite a small town or a big city, then Jackson might be exactly what you’re looking for. With around 31,000 residents, this urban area is by no means tiny, but you won’t have to worry about the hustle and bustle of a big city. Top employers include CMS Energy Corporation and Allegiance Health. And there is plenty to do outside of work — with multiple museums and parks, you’ll never be bored. Jackson is a top spot for golf lovers, as well. Going for a smaller town can help you keep your budget nice and tight.

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When you want a bigger-city feel, but still like to keep things affordable, Kalamazoo enters the picture. You’ll appreciate that the rent prices here start at around $350. This area of Michigan is known for its craft beer, so you can’t miss out on brewery-hopping with the locals. The city is small but diverse, and there are plenty of outdoor recreation opportunities. You’ll also be located midway between Chicago and Ann Arbor. If you’re looking to purchase a home, to compete more effectively in the market, it may help to go through the mortgage preapproval process before your search heats up.

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Don’t let the idea of big city prices scare you off if you want to live in Michigan. Detroit is the biggest city on our list of the best affordable places to live in Michigan, with rental prices starting as low as $500. For a helpful point of reference: Portland, Oregon, has about the same number of residents as Detroit, but its average rent price is about 30% higher. Sure, there are areas in and around Detroit where you’re likely to need a jumbo mortgage loan, but home values in metro Detroit fall well below the national average. In the desirable (and walkable) Downtown and Midtown neighborhoods, there are condos and small homes priced below $500,000.

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Families may gravitate to Okemos due to its well-regarded public schools and solid job opportunities in government, health care, and manufacturing. The area benefits from its proximity to the state capital of East Lansing and to Michigan State University. Okemos is another example of a Michigan city that has much more affordable housing opportunities that can offer families on a budget some much-needed relief.

Why is Huntington Woods such a great place for families? Like Okemos, it has well-regarded schools. It also offers a low-key social scene, not to mention there are a lot of opportunities for outdoor family fun. You’re also close to Detroit if you want to commute to work there but not raise kids there. There are first-time homebuyer programs in Michigan that can help make home ownership affordable, and buyers who have previously owned a home can qualify in some cases.

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If you have water babies, get ready for sun fun on the sand. Muskegon has a handful of waterfront state parks where you can enjoy days in the sun. Art museums, hiking trails, theme parks, and many other attractions make Muskegon a really cool spot to raise active and curious kids.

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While Ann Arbor isn’t the cheapest place to live in Michigan, it is a very affordable big city. Finding a good job shouldn’t be a problem either. Education, health care, and automotive employers dominate, although the area is also home to the headquarters of Domino’s Pizza. There are also plenty of opportunities for young adults to let their hair down and have a little fun. For outdoor enthusiasts, the area offers kayaking, canoeing, and stand-up paddleboarding on the Huron River in the summer, as well as cross-country skiing, snowshoeing, and ice skating in the winter. Young creatives can explore renowned galleries, museums, and theatrical and musical organizations.

Young adults looking to start their career off may be looking to move somewhere with a high median household income and good job opportunities. They may want to consider East Grand Rapids, which has a median household income of $168,000. If this is your first time purchasing a home, consult a home loan help center to learn more about the ins and outs of this transaction.

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Young people will appreciate all the fun things to do in Kalamazoo. From breweries to live theater and musical performances to impressive dining destinations, there’s no shortage of ways to fill your nights and weekends. The median age of the population in Kalamazoo is 29, and a quarter of the population is made up of people in their twenties, so young singles will appreciate the opportunities to meet and mingle with others in the same stage of life.

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Most retirees live on a fixed income and may have a tight budget to stick to. Petoskey is an affordable spot for retirees whether they choose to rent or own. There are many opportunities to enjoy arts and culture in the area, and golf and ski resorts are plentiful. The Gaslight District boasts 90 specialty shops. And the area has several highly rated retirement communities and assisted-living facilities.

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Retirees just want to have fun, and they stand to have a lot of fun in Kalamazoo. Those looking for a slower pace can enjoy the farmer’s markets, antique shops, and museums. Seniors looking to stay active can hit the hiking and biking trails when they aren’t playing a round of golf or taking their grandkids to one of Kalamazoo’s many parks. The county has a local tax, approved by voters, that raises funds for community supports that enhance the quality of life for seniors.

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Retirees who dream of the charm of Europe but who also want to stay close to home can find everything they’re looking for in Holland, Michigan. The Dutch heritage of this town is still celebrated today with the preservation of unique architecture, blooming tulip fields, celebratory festivals, and of course, some impressive windmills.

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Play tourist whenever you feel like it in Grand Haven. Visitors flock there to take advantage of the seven area beaches, as well as its museums, galleries, shops, and restaurants. Make your move here and you can take advantage of everything Grand Haven has to offer, which includes catching a show at the Grand Haven Musical Fountain or strolling down the boardwalk. Retirees who don’t like to drive can catch a ride on the Lakeshore Trolley each summer. And with miles of Lake Michigan beaches, the soft sand and beautiful sunsets make summers in Grand Haven especially inviting.

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Morning strolls by the waterfront Bayfront Park sound like the perfect start to any day. From beach days to water sports, in Petoskey, there’s no shortage of ways to take advantage of being so close to the water.

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Traverse City is one of the pricier beachside towns we looked at but for good reasons. Families looking for an outdoorsy home will also appreciate that the area has a well-ranked public school system even as it also offers reasonable property taxes and all the waterfront amenities you could ask for. Residents here can make the most of weekends by indulging in wine tours, sailboat cruises, and hiking. When wine country combines with beaches, you know you’re in for a good time.