How much the typical home cost in your state in 1950

After WWII, the prospect of owning a home became a tangible reality for a large swath of the American population. New Deal reforms and the G.I. Bill in particular guaranteed housing for veterans and their families, with sprawling suburbs and highway infrastructure created to accommodate a burgeoning middle class. 

It’s no surprise that the real estate landscape in 2024 is much different, with rampant inflation, soaring interest rates and material shortages all contributing to the rising cost of home ownership. Though the radically affordable housing prices of the ‘50s — likely the best decade in American history for the average citizen to purchase property — may induce jealousy, it’s important to keep in mind the societal shortcomings of this period, as well. 1950s economic reform may seem idyllic in retrospect, but it also carried a bigoted ugliness emblematic of the era, which reinforced racial segregation (for example, Black veterans were often shut out of G.I. Bill benefits) that coincided with phenomena like white flight and redlining. 

Read on below to see how the median values of homes in your state compare from 1950 to today, with prices adjusted for inflation. You’ll also see the rate of change calculated for states that present the highest and lowest increase in value over the past seven decades. 

Home values in 1950s by state

Unsurprisingly, states with eternally sought after real estate like California, Hawaii, New York, New Jersey, Massachusetts and Washington, D.C. were still some of the priciest back in the ‘50s. Even after adjusting for inflation, though, the median home value is tantalizingly low: Alabama, Arkansas and Mississippi all boast median prices under $55,000 by today’s standards. 

Alaska, which only became a U.S. state in 1959, predictably has the lowest housing cost, with the median value in 1950 just shy of $3,500. While it may not have been officially recognized as a state until the tail end of the decade, Russia sold the territory to the U.S. nearly 100 years earlier in 1867, which remained sparsely populated by Americans until prospectors arrived during the Klondike Gold Rush, which began nearly three decades later. 

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States that experienced the greatest increase in home value 

Alaska turns the table with a whopping 751% rate of change when comparing housing prices in 1950 versus today. Simply put, it takes a lot to build a home in the territory: land, building materials and labor are all in desperately short supply, meaning that the cost of acquiring a home is astronomical compared to most other states. 

The four other states that had an enormous increase in home value are all located in the country’s Western region. Inland, you have Montana and Colorado trailing considerably behind Alaska, with their high rate of change attributable in part to increased migration and a high cost of living. On the coast, Washington and California round out the top five, which both feature extremely desirable locales that have limited available housing, thus majorly driving up prices. 

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States that experienced the least increase in home value 

The states at the bottom of this ranking are equally, if not more, fascinating than those at the very top. Ohio experienced the lowest rate of change, with its 1950 cost adjusted for inflation ($101,889) only experiencing a 131% increase in the nearly 70 year interim. While homes in major cities like Cleveland, Columbus and Cincinnati likely cost a bit more, the Buckeye State is definitely the place to purchase property at the moment, as it was recently rated among the most affordable overall. 

Leading the bottom five is Iowa, which experienced a jump of 195%. Featuring an amazing school system, low crime rate and affordable cost of living, it is also the most rural of the bunch. 

The inclusion of Michigan, Illinois and Connecticut is especially intriguing. Many cities and towns in these states are regarded as high-income areas, so you’d think a major uptick in value would track. Perhaps their low rate of change overall is simply due to the fact that property has always been comparatively expensive to purchase. Even in 1950, homes in these areas ranged between $92,000 and $146,000, adjusted for inflation. In this sense, the low rate of change actually feels consistent for these states. 

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‍A note about our methodology: Home values represent single-family homes occupied by the owner of the home. The homes are also located on a property of fewer than 10 acres and do not have a business or medical office anywhere on the property. Values for single-family homes come from Redfin and Zillow, while 1950 median home values come from the Census.