Car Affordability by State

What car can you actually afford based on where you live? We calculated safe car budgets for all 50 US states using median household incomes and the 20/4/10 rule.

In zero out of 50 states can a median-income family safely afford the average $48,000 new car. Select your state below for a detailed affordability breakdown, local costs, and vehicle recommendations.

All 50 States Ranked by Car Affordability

Ranked by how close the safe car budget comes to the average new car price ($48,000). #1 = smallest gap (most affordable).

#StateSafe BudgetGap
1Maryland$28,14141%
2New Jersey$27,70342%
3Massachusetts$27,49943%
4Hawaii$26,94444%
5California$25,87246%
6Connecticut$25,43347%
7New Hampshire$25,64047%
8Washington$25,46947%
9Colorado$24,57449%
10Utah$24,32249%
11Virginia$24,45949%
12Alaska$24,17050%
13Minnesota$23,49551%
14Oregon$20,88456%
15Rhode Island$20,93356%
16Delaware$20,54857%
17New York$20,73557%
18Illinois$20,18258%
19North Dakota$20,09558%
20Wyoming$20,10258%
21Arizona$19,64259%
22Pennsylvania$19,67559%
23Texas$19,79159%
24Vermont$19,59359%
25Wisconsin$19,60259%
26Nebraska$19,19860%
27Idaho$18,52961%
28Kansas$18,71161%
29Florida$18,11062%
30Georgia$18,04962%
31Iowa$18,37362%
32Maine$18,22062%
33Nevada$18,29562%
34South Dakota$18,34062%
35Michigan$17,80563%
36Montana$17,59363%
37North Carolina$17,06464%
38Indiana$16,89265%
39Missouri$16,68265%
40Tennessee$16,60765%
41Ohio$16,52666%
42South Carolina$16,09266%
43Oklahoma$15,95867%
44Kentucky$14,66069%
45Alabama$14,50970%
46New Mexico$14,28770%
47Louisiana$13,84571%
48Arkansas$13,05673%
49West Virginia$12,75273%
50Mississippi$11,77075%

Income data: U.S. Census Bureau ACS estimates (2024 vintage). Calculations use the 20/4/10 rule with 6.5% APR, 48-month loan, $5,000 down payment, 7% sales tax, $150/mo insurance, $75/mo maintenance.

How We Calculate State Affordability

Each state page uses the median household income from the U.S. Census Bureau and applies the 20/4/10 rule:

  • 20% down payment: Put at least 20% down to reduce your loan amount
  • 4-year loan maximum: Finance for no more than 48 months to minimize interest
  • 10% of gross income: Keep total car costs under 10% of your gross monthly income

State pages also show local costs like average insurance premiums, registration fees, gas prices, and sales tax rates that affect real-world car ownership costs in your state.

Want to see results based on your actual income instead of the state median?

Built to help you make informed car buying decisions. Always consult with a financial advisor for advice.

This calculator provides estimates only and should not be considered financial advice.

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