The states with the highest and lowest average monthly rent in the U.S.

Doxo released its annual Household Bill Pay report, detailing the average U.S. household spending on essentials such as auto loans, utilities, health insurance, mortgages, and rent.

American households that pay rent constitute 32%, with an average monthly cost of $1,300, according to the report.

Doxo's report reveals that the five states with the highest rent costs also have the highest mortgage costs, indicating that housing remains the most expensive U.S. household expense for many Americans.

For its ranking, doxo used data from the U.S. Census Bureau.

The U.S. state with the highest average monthly rent: Hawaii

According to the doxo report, Hawaii has the highest average monthly rent among U.S. states, with residents paying an average of $1,983 a month.

Hawaii was identified as the most expensive U.S. state in a 2023 Doxo report, with residents spending an average of $3,070 per month on household bills, which is 50% higher than the national average of $2,046.

Hawaii was ranked as the most expensive state to live in according to CNBC's 2022 America's Top States for Business study, which took into account the cost of various goods and services.

Kailua, situated on O'ahu, is the priciest city in Hawaii.

10 U.S. states with the highest average monthly rent

1. Hawaii
2. California
3. Massachusetts
4. New York
5. New Jersey
6. Washington
7. Maryland
8. Colorado
9. Virginia
10. Florida

The average monthly rent in California is the second-highest in America, with residents on the West Coast paying an average of $1,927, according to a report by doxo.

The average monthly cost of bills in California is $2,838, which is 38.7% higher than the national average and 40% of the average household income, according to a 2023 Doxo report.

The Bureau of Economic Analysis reports that California's average cost of living annually is $53,082, according to 2021 data.

According to SoFi, California residents have to pay state income taxes as high as 13.3%, which is the highest in the country, in addition to their rent and other expenses.

The U.S. state with the lowest average monthly rent: West Virginia

According to the doxo report, West Virginia has the lowest rent costs and is also the most affordable state for mortgage payments.

RentCafe reports that West Virginia's average bill cost, including rent, is 25.2% below the national average, and the overall cost of living in West Virginia is 9% lower.

In West Virginia, the cost of basic necessities such as groceries is approximately 6% lower compared to the national average.

West Virginia, situated in the Appalachian region, is known as the Mountain State due to its hilly landscape. The state provides a range of outdoor pursuits, including mountain biking, hiking, whitewater rafting, and skiing.

Clarksburg, located in West Virginia, is the most expensive city in the state, with a cost of living that is 5% higher than the state average but 4% lower than the national average.

10 U.S. states with the lowest average monthly rent

1. West Virginia
2. Arkansas
3. South Dakota
4. Mississippi
5. North Dakota
6. Kentucky
7. Iowa
8. Alabama
9. Oklahoma
10. Wyoming

In the U.S., Arkansas ranks second in states with the lowest average rent, with households paying an average of $872 per month. Additionally, the state boasts the second-lowest average monthly mortgage payment.

According to RentCafe, the cost of living in Arkansas is 8% lower than the national average and housing costs are 22% lower.

Paragould is the most expensive city in Arkansas, with a cost of living 14% higher than the state average, while Conway is the cheapest major city in Arkansas, with a cost of living 10% lower than the state average and 17% lower than the national average, according to RentCafe.

SmartAsset considers Arkansas a tax-friendly state due to its exemption of Social Security retirement benefits and low property taxes.

In contrast to other states, sales taxes in Arkansas are relatively high.

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