What State Has the Cheapest Land in the US? Let’s Find Out

As an experienced real estate agent, I often get this question: What state has the cheapest land in the US?

I understand where this question comes from. Because let’s face it. Whether you’re a realtor, a land developer, or someone who wants to buy a piece of land, you must consider many factors.

Among these, price is the most crucial. It can determine whether you’ll buy a specific property or not. If you’d like to discover this state, stick around and read this article until the end.

Let’s get started.

What State Has the Cheapest Land in the US? The Answer

According to a World Population Review report, Arizona has the cheapest land in the US in 2024. This state's average cost per acre of land would be $4200. On the other hand, land acquisition in states such as Rhode Island and Massachusetts would be higher.

You can check the full report here to get more information on this.

Why is Land Cheap in Arizona?

As a developer, a home buyer, a land flipper, or a realtor, you’d want to know why land is cheap in Arizona. Well, this is down to several reasons, including:

The Land Buying Process Is Easy

Apart from the low land price compared to other states, buying land in Arizona is quite easy. Getting inexpensive land is not difficult; you can get financing from land sellers within the state.

Low Property Taxes

Property taxes vary by state. According to a report released by the Tax Foundation, Arizona had the fourth-lowest property tax rates in 2024, behind Hawaii (the lowest), Alabama, and Nevada.

Wide Range of Land Options

Arizona offers diverse land options for different residential, commercial, agricultural, or ranching needs. Available land types include desert, mountainous, rural, and urban land.

Large Tracts of Undeveloped Land

It’s easy to locate undeveloped land – especially outside city limits - that you can buy at a lower price. Eventually, this allows developers to make personalized improvements on the land they purchase to increase its value.

It’s Experiencing Fast Growth

Arizona has become home to hundreds of thousands of homeowners in recent years because it’s one of the fastest-growing states in the US.

If you want to buy a property in this state, you should look into the cost of homeowner insurance in Arizona. As prices vary per state, it’s important to get an understanding of all expected costs prior to embarking on this journey.

How Much Is an Acre of Land in Arizona?

The average cost of owning land in Arizona would be between $4200 to $4328 per acre.

However, I did check some listings online and found that some parcels of land can go as low as under $1,000, especially in desert areas. The cost of the land you desire to buy will increase or decrease depending on the location you want to buy it.

Is Arizona a Good Place to Live

Although buying land in Arizona could be cheap, this is another question you should answer before settling in this state.

Not only is land affordable in this state, but many people find Arizona a good place to live. Recent studies show Arizona is the 32nd best place to live in the US. What are the factors that lead to this success?

Other reasons why you might consider living in Arizona include:

Economic Growth

Arizona’s economy has been on steady growth over the years. The state offers different economic opportunities for different industries and businesses.

Recent reports show that the state is ranked 6th in economic growth. It offers a good business environment for entrepreneurs and will be a suitable location for businesses in the future.

Weather & Climate

If you love warm weather and outdoor activities, Arizona would be a good place for you to live—not just visit. The state boasts up to 300 days of sunshine, and the winters are pleasant and mild.

Lots of Outdoor Activities

This would be a good place for outdoor enthusiasts who love activities such as hiking, biking, rock climbing, and golfing. Most days are generally warm, so you have many days to have fun outdoors without worrying about harsh weather conditions affecting your activities.

Other reasons why you should buy land in Arizona would be:

-       It offers a suitable environment for people planning for their retirement

-       Arizona has a thriving job market

-       It has a diverse natural beauty

-       Offers affordable cost of living

-       a unique weather & geography

However, some people might not prefer to live in Arizona because of:

-       It can be extremely hot

-       Electricity cost is a bit high

-       Limited entertainment areas

-       Risk of natural disasters such as flash floods and seasonal dust storms

Is Buying Cheap Land a Good Investment?

The main benefit of buying cheap land is that it is a good long-term investment. Land prices appreciate over time, which could lead to a profit if you choose to sell it.

Other benefits include:

-       Lower initial buying cost

-       You can use the land for different purposes

-       You access specific tax incentives if you use it for conservation or agriculture

On the other side, buying cheap land comes with various drawbacks, including:

-       The land can remain undervalued if you buy in undesirable locations

-       Various zoning & restrictions can lower your property’s value

-       The land market can fluctuate

-       Cheap land deals attract scammers and hidden issues such as unpaid taxes

Final Words

We’ve come to the end of the article. We hope this answers the question: what state has the cheapest land in the US? Remember, before purchasing any piece of land, do a thorough background check to get land that suits your budget and other needs.