New Report Ranks California 35th Best State and Least Affordable
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South Orange County communities near Laguna Beach, Calif., on Oct. 15, 2020. (John Fredricks/The Epoch Times)
By Dylan Morgan
7/31/2026Updated: 7/31/2026

California, the most populous U.S. state and the one with the largest economy, ranked as the 35th best state in a new ranking published by U.S. News on July 28.

Utah ranked as the best state, followed by South Dakota, Minnesota, North Dakota, and Nebraska.

The ranking was based on scores in eight categories such as education, healthcare, economy, and fiscal stability, and it was weighted by survey opinions.

Despite a median income of more than $100,000 compared to the national average of $81,600, California ranked last in the category of opportunity. This was partially because it ranked last in affordability, which was based on a cost-of-living index score and housing affordability index score.

The state’s Department of Housing & Community Development considers a six-figure salary as low-income in many of its coastal hubs.

According to the income limits it set on June 23, $100,000 is classified as low in seven counties—San Francisco, Marin, San Mateo, Santa Clara, Santa Cruz, Santa Barbara, and Orange.

Santa Cruz County has the highest cutoff for what’s considered low-income at $122,200 for a single-person household.

California’s Legislative Analyst’s Office said a mid-tier house costs about $775,000 in the state, nearly double the national average of $398,771.

“California home prices continue to be much more expensive than the rest of the US,” it said in its 2026 Housing Affordability Tracker.

Among all categories in U.S. News’s ranking, the state’s highest score was in healthcare at 7th place, including 6th in healthcare quality and 5th in public health.

Public health looked at infant mortality rate, mortality rate, obesity rate, smoking rate, suicide rate, and mental health.

The report states that 8.4 percent of California’s population is without health insurance, compared to the national average of 11.3 percent. It added that its obesity rate is 29.1 percent compared to 34.2 percent nationally.

The state also ranked 25th in education but 6th in higher education, which assessed graduation rates as well as low debt at graduation and low tuition fees.

However, California’s K-12 education ranked 41st, which was based on high school graduation rates, preschool enrollment, and test scores.

A separate report last month listed six California cities—Visalia, Bakersfield, Modesto, Fresno, Stockton, and Salinas—among the 10 least educated metropolitan areas in the United States.

The list looked at the share of adults at least 25 years old who have a high school diploma or higher, who have at least some college experience, who have a bachelor’s degree or higher, and who have a graduate or professional degree.

While many Central Valley areas scored low, Silicon Valley’s San Jose metro ranked as the fourth most educated, while the San Francisco metro ranked eighth.

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