One Of The Most Affordable Places To Live In The US Is An Underrated Midwest City

If you're looking for a place to live that combines quality of life with affordability, you can't do better than Decatur, Illinois. This small city of nearly 67,000 people is about a three-hour car ride from Chicago, and it received first place in the U.S. News & World Report's rankings of affordable places to live for 2025 to 2026. When deciding these rankings, the site compared each city's median annual household income with its housing affordability index. It also took into account a wider regional cost of living index.

Known for its diversity, historic sites, and so-called "caffeine trail" — which maps out coffee shops in the area — Decatur came in at No. 17 on the U.S. News & World Report's cost of living rankings. The median rent is especially low at $570; according to Apartment List's National Rent Report of October 2025, the national median rent is $1,381. If you're looking to own instead of rent, the median home value is only $89,855, the second lowest in the U.S. News & World Report's rankings. Comparing this to the national figure of $370,489, homebuyers can enjoy paying 76% less than the country's median amount. Retirees moving to Decatur from another state can benefit even more too, because Illinois is one of the states that doesn't tax Social Security income.

According to data sourced by the World Population Review, Illinois ranked No. 31 in 2024's cost of living figures. To determine this, six categories were combined into one index: housing, utilities, grocery items, transportation, health care, and miscellaneous goods and services. Using 100 as the national value, Illinois came in at 94.4.

This means that Illinois has a cost of living that's 5.6% lower than average in the United States — and Decatur is a great example of these lower costs. When grocery shopping here, you can expect to spend a monthly total of $627 as a single person and $1,645 for a family of four, according to Livingcost's October 2025 data. Nationally, average figures for each are $651 and $1,698, respectively. If using public transportation, one person might pay the average monthly amount of $48.50, with a family of four averaging $130. Nationally, averages come in at $101 and $268. 

However, if you're considering a move to Decatur, you should know that Illinois has some of the country's highest gas prices. According to AAA data published on October 30, 2025, the national average for regular fuel was $3.038, with the Illinois average sitting at $3.224. That same month, the Tax Foundation noted that Illinois charged the second highest amount of taxes on fuel — around $0.67 per gallon — behind only California at about $0.71. This figure doesn't include local gas taxes, either; Decatur charges $0.05 per non-diesel gallon. 

At the Decatur Area Convention & Visitors Bureau, you can pick up a map pointing you to the town's historic connections to Abraham Lincoln. Lincoln moved to Decatur in 1830, building up the political relationships that he would use when running for U.S. President in 1860. Sites to visit include Lincoln Trail Homestead State Park, a bronze marker in downtown Decatur where Lincoln once tried five cases in a log cabin courthouse, and more.

Meanwhile, the Scovill Zoo is located along Lake Decatur. Visitors can observe 400 animals found on six continents, including endangered species — bringing the world to Illinois. Admission is free for children aged 1 and under; $8 for children aged 1 to 12; $10 for adults; and $9 for seniors aged 65 and over. It's worth noting, though, that the zoo closes for the season from late fall into spring. Next door, you'll find the free Scovill Sculpture Park, where intriguing statues stand along the 800-foot walkways between the zoo and Children's Museum of Illinois. That museum contains over 60 activities and exhibits, including areas to climb, a spiral staircase, an airplane that children can pilot, and a moon they can climb into. Entry is free for children under 2 years old; $12 for children 2 and up plus adults; and $6 for seniors aged 65 and up. Lake Decatur itself provides an ideal venue for fishing, boating, jet skiing, and sailing, and nearby recreational opportunities include picnic facilities and miniature golf. Finally, in Sportsman's Park, you can browse stunning plant life at the Schaub Floral Display Center, Greenhouse & Memorial Garden.