According to North American Van Lines’ 2025 affordability study, Iowa is currently ranked the sixth-cheapest state to live in. Iowa offers a low cost of living and has an ever-growing job market with opportunities in manufacturing, healthcare, and agriculture. The low prices for current residents and newcomers are causing fluctuations in property value and increasing pricing competition across the state.

If you’re a current homeowner in Dubuque, here’s how the current data and trends may impact your everyday life.

Why Iowa Ranks #6

From Des Moines to Dubuque, you can expect the average cost of groceries, housing, and necessities to be significantly cheaper than the national average. North American Van Lines analyzes ten different metrics to determine which states are the most affordable to live in, including household income, mortgage rates, grocery costs, and inflation. A scoring methodology was then created to weigh the different factors. Iowa was given an index score of 89.7, which is significantly lower than Hawaii’s index score of 179.

Although the cost of living is relatively low, Iowa’s population has seen a very modest growth rate over the years. In 2024, the state added 23,074 people, a significant increase from the 15,594 people in 2023. These population fluctuations are mainly driven by international immigration and the agricultural industry. The low levels of population growth help keep housing costs low, providing more opportunities to current Iowa residents.

The Cost of Living in Dubuque 

Dubuque, Iowa, is an inviting community situated near the Mississippi River with a population of 60,000. Here you’ll find family-friendly suburbs and great public school districts. Whether you live in the Cathedral Historic District, West End, or Eagle Point, you’ll find that the overall cost of living is affordable. As of 2025, the cost of living in Dubuque, IA, is 20% lower than the state average and 9% lower than the national average.

The Dubuque Housing Market

Housing in Dubuque is incredibly affordable for families, retirees, and working professionals looking to buy their first home. In Dubuque, housing is 3% lower than the state average and 30% lower than the national average. According to Zillow, the average cost of a single-family home is $243,819. If you plan to rent, you can expect to pay around $790 to $1,000 a month for a one-bedroom apartment.

Iowa is the seventh most affordable housing market in the United States. However, the state is experiencing a housing shortage and has a deficit of around 10,736 homes as of 2024. Of that number, there is a deficit of 814 homes in Dubuque County. Since demand outweighs inventory, Dubuque homeowners are experiencing an increase in property value and equity gains. Dubuque, IA, has seen a 4.6% year-over-year increase in home value. 31.4% of homes listed have gone over the list price, and the median days to pending is only around six.

Steady Increase in Job Opportunities

Dubuque is experiencing significant growth in jobs in key markets, like manufacturing, healthcare, and agriculture. As of May 2025, the unemployment rate has been at a historical low of 3.5%. The local job market has experienced steady growth over the last few years, making it an intriguing place to relocate for recent college graduates and working professionals. Big businesses like John Deere and Dubuque Works have firms in Dubuque hiring for different roles in the area, making Dubuque an attractive place for newcomers.

The Economic Benefits of Relocating to Iowa  

Even with the uptick in demand and housing market competition, Iowa remains one of the most affordable places to live in the United States. Since Dubuque residents are paying less for groceries, utilities, and everyday necessities, the inexpensive living can better support your lifestyle and way of life.

If you’re looking to cut costs without sacrificing quality of life, Iowa is a great state to consider relocating to. If you’re looking to buy your first home, start a family, or retire soon, Iowa is the perfect state for you. Newcomers can look forward to affordable mortgage rates, moderate wages, and low housing demand.

While migration trends continue to trend upward, the shifts may affect Iowa and Dubuque’s real estate market. Now is the perfect time to relocate before your property value increases.

Article submitted for publication by North American Van Lines