Best Affordable Places to Live in Delaware in 2025

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The second largest city in the state and the capital, Dover offers affordability and much more. Residents praise this city and surrounding dense suburban area for maintaining a relaxing, small town feel; they also give thumbs-up to the area’s parks, school system, and shopping options. The fact that you can be in Wilmington (the state’s biggest city) or at the popular Rehoboth Beach in less than an hour is another asset. (If you’re thinking of buying, it can be wise to review the different types of mortgages to find one that suits you best.)

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Residents enjoy the friendly small-town vibe of Smyrna, which is located less than 20 minutes from Dover and about 40 minutes from Wilmington. Smyrna is a convenient location for all ages and life stages. The nearby Bombay Hook National Wildlife Refuge and Blackbird State Forest will please nature lovers, while those looking for a bit of local nightlife may want to visit Painted Stave Distilling or Blue Earl Brewing Company.

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Middletown is a popular location for many people in Delaware to settle. Downtown’s Main Street hosts an array of festivals and celebrations, such as the Old-Tyme Peach Festival, which adds to the friendly, lively atmosphere. Whether ax throwing or apple picking is your idea of fun, Middletown can deliver. Residents also praise the local school system. (Tip: You can read up on tips for qualifying for a mortgage if you are in home-buying mode and getting ready to apply for a home loan.)

Pike Creek is a popular place for families who want an easy commute to Wilmington. This community of almost 8,000 is set amid rolling hills with plenty of biking, hiking, and walking trails to keep active families busy. Parents may appreciate the public school options, the small-town feel, as well as Pike Creek’s convenient location to shopping malls and entertainment.

North Star appeals to families in part due to its convenient location: Parents may commute to either Wilmington (30 minutes by car) or Philadelphia (about an hour). Parents say they enjoy the public school system in North Star as well as the moderate housing prices. What’s more, the rural town offers a wealth of options to keep a clan busy, such as cafes, parks (like White Clay Creek State Park), shops, and the Mount Cuba Astronomical Observatory.

For those who want a rural setting, Townsend can make an affordable home base for families. Residents are often pleased with the well-regarded public school system. Townsend’s small-town feel amid farmland can provide a slower pace compared to more urban settings in Delaware. The Hagley Museum and Library, located on 200 acres of the former DuPont family estate, and Delaware Museum of Natural History are within easy reach for family outings.

Delaware Avenue is a neighborhood in Wilmington, the state’s biggest city. It’s considered among the best places to live for young professionals in Delaware thanks to its happening downtown feel. That means there are plenty of stores, restaurants, and bars to explore. Located near Brandywine Park, which borders Brandywine Creek, it has charming old brick buildings, and is also close to Trolley Square with its lively murals and artsy vibe. A reasonable home price-to-income ratio makes this a good bet for first-time homebuyers looking to see their investment pay off down the line.

A repeat list-maker, Pike Creek can be a great place for young professionals to put down roots, whether you are a recent grad or a bit further along in life. Just 10 miles west of Wilmington (which can make for an easy commute to the city), Pike Creek is known for its mix of natural beauty and fun activities, such as the Carousel Park Farmers Market and the Acadian Wine Company.

Forty Acres is a neighborhood in Wilmington, and its residents can appreciate the variety of activities there. Some enjoy the dog park at Rockford Park; others cite the beautiful Brandywine Park; and still others like the block parties that crop up. With live music at a number of bars, art galleries, and restaurants, Forty Acres can be a fun place for young professionals to settle.

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Lewes is a popular and affordable place to retire in Delaware. With a median age of 65.7, it seems as if word has gotten out that this is a good location for those of retirement age. In the summer, the beach is just six or so miles away, and the ferry to the Victorian community of Cape May, N.J., leaves from Lewes, which can make for fun outings. With an average home value of $578,475, you might want to visit a home loan help center to learn more about how much house you can afford.

Prefer a more suburban place to retire? With its rolling hills and easy access to both Philadelphia (about 55 minutes away) and Wilmington (25 minutes) for cultural activities, Pike Creek can be a smart choice. People 65-plus make up 16.2% of the population, so that means you’ll be part of a community with a dynamic mix of younger professionals and families.

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Sixty-two percent of the households in Hockessin are without children, meaning retirees will likely find others who are at the empty-next stage of life. Its location means residents can both explore the lush parks and countryside or zip into a nearby city to check out a museum or an array of dining options. Philadelphia, for instance, is about a 50-minute drive away.

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A well-known vacation destination, Rehoboth Beach is sometimes referred to as the Nation’s Summer Capital, thanks to its beautiful beaches, arcades, seafood, and farmers’ markets. But it can also be a year-round best place to live in Delaware. There’s nearby Henlopen State Park, a former military base, to explore as the hustle and bustle of warmer weather dies down, as well as a local theater company, movies, and shopping for entertainment.

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Lewes is a picturesque and historic place, making it one of the best affordable places to live in Delaware. It’s located at the mouth of the Delaware River, and public transportation can make it easy to get to Wilmington and Rehoboth, among other destinations. The town has a historical society, museum, and other cultural attractions.

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Home to just 300 or so people, Slaughter Beach is nestled between the Marvel Salt Marsh Preserve and Prime Hook Wildlife Management Area, with pristine beaches by the sea. It’s a tranquil place to live and commune with nature.