10 Best States to Live in Overall in 2027

Direct Answer

The best overall state to live in is Massachusetts, where top-ranked schools, the nation's best healthcare access, and high incomes offset a high cost of living, with a median home price near $600,000. For value, Tennessee wins as Best Value, with no state income tax, a median home price around $340,000, and a low overall cost of living.

This list is for people weighing the full package of education, healthcare, economy, safety, and affordability rather than any single factor. Cost of living ranges widely below, from well above the national average in the Northeast to roughly 10% below it in the South and Plains. Every state below is ranked on real, current data covering home prices, income tax, school quality, and healthcare metrics.

1. Massachusetts 🏆 BEST OVERALL

Massachusetts consistently ranks #1 nationally for education, from K-12 through its universities including Harvard and MIT. It also leads in healthcare access and outcomes.

The median home price is roughly $600,000, among the highest in the country, and the state income tax is a flat 5% with a 4% surtax on income over $1 million. The median household income exceeds $96,000, which helps offset costs. Major employers span biotech, finance, and higher education.

It ranks #1 for the strongest combination of schools, healthcare, and high-paying jobs. It fits families prioritizing education and professionals in tech, finance, or life sciences.

2. New Hampshire

New Hampshire offers no state income tax on wages and no general sales tax, a rare combination, alongside low crime and strong schools.

The median home price is around $480,000. The state benefits from proximity to Boston for jobs while keeping a lower cost of living and rural character. It frequently ranks among the safest states.

It ranks high for tax friendliness, safety, and quality of life. It suits commuters to Boston, retirees, and families wanting low taxes.

3. Tennessee 💎 BEST VALUE

Tennessee has no state income tax, a cost of living below the national average, and growing job centers in Nashville, Memphis, Knoxville, and Chattanooga.

The median home price is about $340,000. The economy spans healthcare (HCA in Nashville), automotive (Volkswagen, Nissan), and logistics (FedEx in Memphis). The state has no tax on wages or salaries.

It earns Best Value for affordability paired with real job growth and no income tax. It fits remote workers, families, and anyone seeking low taxes with a moderate climate.

4. Utah

Utah has one of the youngest populations and fastest-growing economies, anchored by the "Silicon Slopes" tech corridor between Salt Lake City and Provo.

The median home price is roughly $520,000, and the state income tax is a flat 4.55%. Unemployment is consistently among the nation's lowest. Five national parks and world-class skiing add quality-of-life appeal.

It ranks for job growth, outdoor access, and economic stability. It suits tech workers, outdoor enthusiasts, and growing families.

5. Florida

Florida has no state income tax, no estate tax, and a warm climate that draws retirees and remote workers alike.

The median home price is about $400,000, though property-insurance costs have risen sharply due to hurricane risk. The economy spans tourism, healthcare, aerospace on the Space Coast, and finance in Miami. There is no income tax on retirement income.

It ranks for tax friendliness and climate. It fits retirees, remote workers, and anyone prioritizing warm weather, though buyers should budget for insurance.

6. Minnesota

Minnesota pairs strong healthcare, anchored by the Mayo Clinic in Rochester, with top-tier schools and a high quality of life despite cold winters.

The median home price is around $340,000, and the income tax is progressive up to 9.85%. The Twin Cities host more Fortune 500 headquarters per capita than most regions, including Target, 3M, and UnitedHealth.

It ranks for healthcare, corporate jobs, and education. It suits families and professionals who can handle winter.

7. Colorado

Colorado offers a flat 4.4% income tax, a strong outdoor-recreation economy, and a highly educated workforce concentrated along the Front Range.

The median home price is roughly $580,000, reflecting Denver and Boulder demand. The economy spans aerospace, tech, and energy. The state has more than 300 days of sun in many areas.

It ranks for outdoor access and a diversified economy. It suits active professionals and remote workers with strong incomes.

8. Washington

Washington has no state income tax, a powerful tech economy anchored by Microsoft and Amazon, and access to both mountains and ocean.

The median home price is about $600,000, concentrated around Seattle. The state does levy a capital-gains tax on high earners. Outside the metro, costs drop and rural character increases.

It ranks for tech jobs and natural beauty. It suits tech professionals and outdoor lovers comfortable with high housing costs.

9. North Carolina

North Carolina combines a moderate cost of living, a flat 4.25% income tax (declining annually), and the Research Triangle's strong job market.

The median home price is around $370,000. The economy spans banking in Charlotte, research and pharma in the Triangle, and manufacturing statewide. The climate is mild with mountains, Piedmont, and coast.

It ranks for balanced affordability and job growth. It fits families, researchers, and finance professionals.

10. Virginia

Virginia offers strong schools, high median incomes driven by the DC-adjacent economy, and varied geography from the Blue Ridge to the coast.

The median home price is about $390,000, higher in Northern Virginia. The income tax tops out at 5.75%. Federal government, defense, and tech in Northern Virginia anchor jobs.

It ranks for income, education, and economic stability. It suits government and defense workers and families valuing schools.

How to Choose

• Decide whether income tax or sales tax matters more. No-income-tax states (Tennessee, Florida, Washington, Texas) favor high earners; the trade-off is often higher sales or property taxes.
• Weight education if you have school-age kids. Massachusetts, New Hampshire, and Minnesota lead in K-12 outcomes.
• Factor healthcare access. Minnesota (Mayo) and Massachusetts top healthcare rankings; rural states can mean longer drives.
• Match the climate you can live with year-round. Florida heat, Minnesota winters, and Colorado altitude each suit different people.
• Check natural-disaster and insurance costs. Florida hurricane insurance and Western wildfire risk materially change the real cost of ownership.

FAQ

Which state has the lowest overall taxes?

Tennessee, Florida, and Washington stand out with no state income tax. New Hampshire adds no general sales tax. The best choice depends on whether your costs lean toward income, sales, or property taxes.

Which state has the best schools?

Massachusetts ranks #1 for education in most national surveys, from K-12 test scores through its universities. New Hampshire, New Jersey, and Minnesota also rank near the top.

What is the most affordable state on this list?

Tennessee is the best value here, with a median home price near $340,000, no income tax, and a cost of living below the national average. North Carolina and Minnesota are also relatively affordable for the quality offered.

Which state is best for retirees?

Florida leads for retirees thanks to no income tax, no tax on retirement income, and warm weather, though insurance costs are a real factor. Tennessee and New Hampshire are strong tax-friendly alternatives.

Bottom Line

For the best overall state to live in, Massachusetts delivers the top combination of schools, healthcare, and high incomes despite a $600,000 median home price. For the best value, Tennessee pairs a $340,000 median home price with no state income tax and a low cost of living.

Sources

• U.S. News & World Report, Best States rankings
• Tax Foundation, state tax data and rankings
• U.S. Census Bureau, American Community Survey income data
• Zillow Home Value Index by state
• Bureau of Labor Statistics, state unemployment data
• WalletHub, Best States to Live in analysis
• Kaiser Family Foundation, state healthcare metrics