If you’re feeling the pinch from rising costs, there’s good news for budget-conscious Illinois residents. A new report has named the most affordable place to live in the state—and it may surprise you. This city could be the financial relief you’ve been looking for.
Danville Named Illinois’ Most Affordable City
Danville, located near the Indiana border in east-central Illinois, has officially been ranked the cheapest place to live in the state, according to a new 2025 study. The ranking considered factors like housing costs, income-to-home price ratios, and overall cost of living.
Here’s what helped Danville top the list:
- Median home price: $61,000
- Median rent: $669/month
- Cost of living index: Significantly below the national average
While Danville has long been known for its industrial roots and small-town charm, its ultra-low housing costs now put it on the radar for Illinoisans looking to stretch their dollars.
Why Danville Stands Out Among Illinois Cities
Compared to other Illinois cities like Chicago, Naperville, or Rockford, Danville offers a significantly lower cost of living. The average home in Chicago, for instance, sells for over $300,000, while homes in Danville can be purchased for a fraction of that price.
According to U.S. Census data, Danville’s population has steadily declined over the past two decades, which has kept demand—and housing prices—relatively low. That, combined with affordable utilities, groceries, and transportation costs, makes the city highly livable for those on fixed or modest incomes.
Who’s Moving to Danville—and Why
Danville is attracting new interest from:
- Retirees looking to downsize and save money
- Young families priced out of other markets
- Remote workers seeking affordable housing and quiet surroundings
Despite economic challenges in the past, the city is beginning to see revitalization in its downtown area and increased investment in infrastructure. City officials have emphasized improving quality of life while keeping housing affordable.
“There’s opportunity here,” said Danville Mayor Rickey Williams Jr., in a 2024 interview with WCIA News. “We’re working on economic growth, but we’re also making sure Danville remains an affordable place to call home.”
What to Know Before Making the Move
While Danville’s affordability is a strong draw, prospective residents should also weigh other factors.
Here are some quick insights:
- Job Market: Historically reliant on manufacturing, though healthcare and logistics are growing sectors
- Crime Rate: Higher than average for Illinois, though some neighborhoods are safer than others
- Schools: Danville public schools rank below the state average in test scores and performance metrics
Local leaders are aware of these concerns and have launched community-based efforts to improve public safety and education outcomes.
According to data from NeighborhoodScout, some areas within Danville have seen positive trends in safety and housing value appreciation, especially near the North Vermilion Street corridor.
Conclusion
With home prices well below the state and national averages, Danville stands out as Illinois’ most affordable place to live in 2025. For those looking to cut costs without leaving the state, this city offers real value—especially as more people rethink where and how they want to live.
Stay informed and follow us for more updates on affordable living across Illinois.
