Santa Barbara, California, has been identified as the most expensive college town in the U.S., with a median home-sale price of $1,964,170 from January to July 2025. This figure is more than double that of the second most expensive college town, Boca Raton, Florida, which has a median home-sale price of over $820,000. Flagstaff, Arizona, home to Northern Arizona University, ranks third with a median home-sale price just under $700,000. These coastal and amenity-rich locations contribute to the high real estate prices.
The Redfin report, which analyzed data for 240 college towns, highlights that rising home prices in these areas significantly increase rental costs, often making housing the largest expense for students, sometimes even exceeding tuition. Redfin Chief Economist Daryl Fairweather noted that high housing costs in places like Santa Barbara and Flagstaff can deter faculty and staff from living near campus or even from teaching there. For students, these costs may lead to increased debt or living farther from campus.
The least expensive college town identified is Dayton, Ohio, home to Wright State University and the University of Dayton, where the median home-sale price is approximately $137,000, less than a third of the national average. Other affordable college towns include Syracuse, New York ($170,000), and Mount Pleasant, Michigan (just over $200,000). These three towns are all located in the Rust Belt, offering significantly cheaper housing options compared to the national median.
While most students rent, the strong demand for rental units in college towns, combined with landlords passing on higher home-buying costs, has driven up rents. In August, asking rents climbed nearly 3% year-over-year, the most since 2022. Some parents also contribute to the demand by purchasing homes for their children attending college, particularly noted in places like Provo, Utah, near Brigham Young University.
