10 Best Southwest Cities Where Homes Cost Less Than $400K
You shouldn't have to sacrifice your quality of life to live in an area that you can actually afford. While home prices remain high in many parts of the U.S., several Southwest cities still offer strong livability and median home values under $400,000.
A recent report from Livability identified the Top 100 Best Places to Live in the U.S. in 2026 by analyzing more than 100 data points across categories that include economy, housing, amenities, environment, safety, health, education and transportation.
Based on Livability’s latest rankings, these Southwest cities stand out for both affordability and overall quality of life in 2026 — and they all have homes under $400,000.
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1. New Braunfels, Texas
Population: 105,592
Median home value: $357,203
2. Edmond, Oklahoma
Population: 97,532
Median home value: $346,387
3. Arlington, Texas
Population: 403,162
Median home value: $312,233
4. College Station, Texas
Population: 126,174
Median home value: $354,884
5. Midland, Texas
Population: 141,939
Median home value: $319,162
6. Rio Rancho, New Mexico
Population: 110,038
Median home value: $311,135
7. Tyler, Texas
Population: 108,570
Median home value: $273,835
8. Abilene, Texas
Population: 129,318
Median home value: $191,082
9. Tulsa, Oklahoma
Population: 425,712
Median home value: $229,105
10. Redding, California
Population: 92,697
Median home value: $366,551
As home prices remain elevated nationwide, these Southwest cities offer a rare combination of affordability, growth and livability, making them worth a closer look for buyers in 2026.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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