Ever wondered where your dollar stretches furthest in Kentucky’s real estate market? The Zillow Home Value Index data reveals some fascinating patterns in the Bluegrass State’s most budget-friendly communities. From Louisville’s urban pockets to Owensboro’s charming districts, you’ll discover a variety of options that won’t break the bank.
You might be surprised to see that 17 of the 25 most affordable neighborhoods are located in Louisville, showing the city’s remarkable range of housing options. Even more interesting is that many of these affordable areas have seen remarkable growth over the past five years, with an average increase of 74% in home values since 2020. This suggests you’re not just getting affordability but potentially a smart investment opportunity.
What’s particularly striking is the dramatic recovery many neighborhoods have made since 2015, when prices hit rock bottom in numerous communities. If you’d purchased in California or Parkland in Louisville back then, you would have seen your investment triple in value over the decade! Even the most affordable neighborhood, Park Hill in Louisville, still offers homes averaging just over $61,000 in 2025 despite nearly doubling in value since 2020.
1. Midtown East
- 2025 Value: $152,966
- 2010 Value: $72,820
- 2015 Value: $70,066
- 2020 Value: $97,982
- % Change 2010-2025: 110.06%
- % Change 2015-2025: 118.32%
- % Change 2020-2025: 56.12%
Topping Kentucky’s 25 most affordable neighborhoods, Midtown East in Owensboro offers you small-city charm with a convenient central location. Since 2010, home values have more than doubled with a 110.06% increase bringing the average to $152,966 in 2025. The past five years have seen continued solid growth of 56.12%. As the most expensive entry on this affordable neighborhoods list, Midtown East represents a solid value at just over $150,000 while offering proximity to the amenities of Kentucky’s fourth-largest city.
2. Lexington Manor
- 2025 Value: $151,433
- 2010 Value: $74,206
- 2015 Value: $62,804
- 2020 Value: $89,936
- % Change 2010-2025: 104.07%
- % Change 2015-2025: 141.12%
- % Change 2020-2025: 68.38%
Just minutes from downtown Lexington, the Lexington Manor neighborhood provides you with affordable access to Kentucky’s second-largest city. Since 2010, home values here have doubled with a 104.07% increase bringing the average to $151,433 in 2025. The area hit its market low in 2015 before staging an impressive recovery with a 141.12% jump over the following decade. As Kentucky’s second most expensive neighborhood on this list, Lexington Manor presents an attractive entry point into the Lexington market, which traditionally maintains higher home values than many other Kentucky communities due to its strong economy anchored by healthcare, education, and technology sectors.
3. Iroquois
- 2025 Value: $151,013
- 2010 Value: $70,785
- 2015 Value: $64,826
- 2020 Value: $98,840
- % Change 2010-2025: 113.34%
- % Change 2015-2025: 132.95%
- % Change 2020-2025: 52.79%
Surrounding one of Louisville’s largest parks in the city’s south end, Iroquois offers you stunning natural beauty coupled with affordable housing. Since 2010, home values have more than doubled with a 113.34% increase bringing the average to $151,013 in 2025. The area experienced its market low in 2015 before rebounding impressively with a 132.95% growth over the following decade.
4. Lone Oak
- 2025 Value: $144,414
- 2010 Value: N/A
- 2015 Value: N/A
- 2020 Value: N/A
- % Change 2010-2025: N/A
- % Change 2015-2025: N/A
- % Change 2020-2025: N/A
South of Paducah in western Kentucky, Lone Oak presents you with a unique opportunity among the state’s affordable neighborhoods. With limited historical data available, this area represents something of a hidden gem with 2025 values averaging $144,414. As Kentucky’s fourth most expensive neighborhood on this affordable list, Lone Oak represents an attractive option for those seeking small-city living with modern amenities at a reasonable price point.
5. Old Owensboro
- 2025 Value: $134,956
- 2010 Value: $56,634
- 2015 Value: $52,626
- 2020 Value: $81,533
- % Change 2010-2025: 138.29%
- % Change 2015-2025: 156.44%
- % Change 2020-2025: 65.52%
In the heart of Owensboro along the Ohio River, Old Owensboro offers you historic charm at an appealing price point. Since 2010, this neighborhood has more than doubled in value with a 138.29% increase bringing the average to $134,956 in 2025. The area reached its market low in 2015 before staging an impressive recovery with a 156.44% jump over the next decade.
6. Wilder Park
- 2025 Value: $134,448
- 2010 Value: $59,110
- 2015 Value: $59,291
- 2020 Value: $88,658
- % Change 2010-2025: 127.45%
- % Change 2015-2025: 126.76%
- % Change 2020-2025: 51.65%
Located in south-central Louisville near Churchill Downs, Wilder Park invites you to explore a neighborhood with strong historical character and steady appreciation. Since 2010, home values have more than doubled with a 127.45% increase bringing the average to $134,448 in 2025. The past five years have seen continued solid growth of 51.65%. Ranking sixth on this list of affordable Kentucky neighborhoods, Wilder Park offers excellent accessibility to central Louisville amenities and cultural attractions while maintaining a value price point.
7. Lexington Cemetery
- 2025 Value: $128,580
- 2010 Value: N/A
- 2015 Value: $44,516
- 2020 Value: $59,084
- % Change 2010-2025: N/A
- % Change 2015-2025: 188.84%
- % Change 2020-2025: 117.62%
Adjacent to its namesake historic cemetery in Lexington, this neighborhood offers you an affordable entry point into Kentucky’s second-largest city. Since 2015, home values have nearly tripled with a remarkable 188.84% increase bringing the average to $128,580 in 2025. Even more impressive is the 117.62% surge just in the past five years – the highest five-year growth rate among Kentucky’s affordable neighborhoods.
8. Hazelwood
- 2025 Value: $127,660
- 2010 Value: $45,459
- 2015 Value: $43,749
- 2020 Value: $76,067
- % Change 2010-2025: 180.82%
- % Change 2015-2025: 191.80%
- % Change 2020-2025: 67.83%
Positioned in Louisville’s south end, Hazelwood presents you with an affordable neighborhood that has experienced dramatic appreciation. Since 2010, home values have nearly tripled from $45,459 to $127,660 – an impressive 180.82% increase. The area hit its market low in 2015 before staging a remarkable recovery with a 191.80% jump over the following decade. The continued strong growth trajectory suggests ongoing demand for housing in this accessible south Louisville area.
9. Dugan Best
- 2025 Value: $125,878
- 2010 Value: $45,147
- 2015 Value: $42,877
- 2020 Value: $66,085
- % Change 2010-2025: 178.82%
- % Change 2015-2025: 193.58%
- % Change 2020-2025: 90.48%
In western Owensboro, the Dugan Best neighborhood offers you small-city charm with remarkable growth potential. Since hitting its market low in 2015, this area has seen values nearly triple with a 193.58% increase bringing the average to $125,878 in 2025. Even in the past five years, you’ve witnessed a substantial 90.48% appreciation.
10. Wyandotte
- 2025 Value: $123,188
- 2010 Value: $48,689
- 2015 Value: $48,501
- 2020 Value: $73,030
- % Change 2010-2025: 153.01%
- % Change 2015-2025: 153.99%
- % Change 2020-2025: 68.68%
Nestled in Louisville’s south side, Wyandotte welcomes you to a neighborhood that has seen consistent and impressive growth. Since 2010, home values have increased by 153.01%, rising from $48,689 to $123,188 in 2025. The past five years have maintained this strong upward trajectory with a 68.68% jump.
11. Jacobs
- 2025 Value: $121,796
- 2010 Value: $51,333
- 2015 Value: $44,321
- 2020 Value: $79,646
- % Change 2010-2025: 137.27%
- % Change 2015-2025: 174.80%
- % Change 2020-2025: 52.92%
Adjacent to the University of Louisville in central Kentucky, Jacobs offers you an appealing blend of affordability and convenient location. Since 2010, home values here have increased by 137.27%, rising from $51,333 to $121,796 in 2025. The neighborhood experienced its market low in 2015 before staging an impressive recovery with a 174.80% increase over the following decade.
12. South Louisville
- 2025 Value: $117,292
- 2010 Value: $37,523
- 2015 Value: $38,039
- 2020 Value: $68,685
- % Change 2010-2025: 212.59%
- % Change 2015-2025: 208.34%
- % Change 2020-2025: 70.77%
Stretching south from the University of Louisville campus, South Louisville presents you with an area that has undergone remarkable transformation. The neighborhood has more than tripled in value since 2010, with a stunning 212.59% increase bringing average home prices to $117,292 in 2025. Even since 2020, values have jumped by 70.77%, demonstrating continued strong momentum.
13. Taylor Berry
- 2025 Value: $116,668
- 2010 Value: $53,465
- 2015 Value: $41,919
- 2020 Value: $72,186
- % Change 2010-2025: 118.21%
- % Change 2015-2025: 178.32%
- % Change 2020-2025: 61.62%
Straddling Churchill Downs in south-central Louisville, Taylor Berry gives you access to one of Kentucky’s most iconic locations at a surprisingly affordable price. The neighborhood has more than doubled in value since 2010, experiencing a 118.21% increase to reach $116,668 in 2025. Since hitting its low point in 2015, the area has seen values surge by 178.32%, with continued strong growth of 61.62% just in the past five years.
14. Hallmark
- 2025 Value: $116,231
- 2010 Value: N/A
- 2015 Value: $43,658
- 2020 Value: $72,667
- % Change 2010-2025: N/A
- % Change 2015-2025: 166.23%
- % Change 2020-2025: 59.95%
Tucked into Louisville’s south end, the Hallmark neighborhood presents you with an opportunity for affordable urban living with strong appreciation potential. Since 2015, this area has seen property values increase by 166.23%, climbing from $43,658 to $116,231 in 2025. The past five years have continued this upward trajectory with a solid 59.95% growth.
15. Northwest Side
- 2025 Value: $103,871
- 2010 Value: $34,385
- 2015 Value: $35,405
- 2020 Value: $52,330
- % Change 2010-2025: 202.08%
- % Change 2015-2025: 193.38%
- % Change 2020-2025: 98.49%
In Owensboro, Kentucky’s fourth-largest city, the Northwest Side neighborhood offers you small-city living at an attractive price point. Since 2010, this area has experienced extraordinary growth with values tripling from $34,385 to $103,871 – a remarkable 202.08% increase. Even more impressive is the 98.49% jump just in the past five years, nearly doubling home values since 2020.
16. Chickasaw
- 2025 Value: $101,435
- 2010 Value: $36,453
- 2015 Value: $35,689
- 2020 Value: $55,572
- % Change 2010-2025: 178.26%
- % Change 2015-2025: 184.22%
- % Change 2020-2025: 82.53%
Centered around the magnificent Chickasaw Park in western Louisville, this neighborhood offers you substantial value with homes averaging $101,435 in 2025. The area has witnessed remarkable growth, with values nearly tripling since 2010 – an impressive 178.26% increase. Even in the past five years, you’ve seen robust 82.53% appreciation.
17. Park Duvalle
- 2025 Value: $98,647
- 2010 Value: $63,844
- 2015 Value: $42,957
- 2020 Value: $62,643
- % Change 2010-2025: 54.51%
- % Change 2015-2025: 129.64%
- % Change 2020-2025: 57.48%
Situated in Louisville’s west end, Park Duvalle showcases an impressive transformation story you’ll want to explore. This neighborhood experienced a dramatic recovery from its 2015 low point, with values increasing 129.64% over the decade to reach $98,647 in 2025. The past five years alone saw a robust 57.48% growth.
18. Woodlawn-Oakdale
- 2025 Value: $96,271
- 2010 Value: $62,243
- 2015 Value: $55,381
- 2020 Value: $76,735
- % Change 2010-2025: 54.67%
- % Change 2015-2025: 73.83%
- % Change 2020-2025: 25.46%
Located in Paducah in western Kentucky, Woodlawn-Oakdale presents you with small-town charm at an appealing price point. This neighborhood has experienced more modest but steady growth, with a 25.46% increase since 2020 – the smallest five-year growth among Kentucky’s affordable neighborhoods. At $96,271 in 2025, home values here have recovered nicely from their 2015 low but still offer exceptional value.
19. Shawnee
- 2025 Value: $87,679
- 2010 Value: $29,423
- 2015 Value: $30,421
- 2020 Value: $53,262
- % Change 2010-2025: 198.00%
- % Change 2015-2025: 188.22%
- % Change 2020-2025: 64.62%
Bordering the Ohio River in Louisville’s west end, Shawnee invites you to discover one of Kentucky’s most beautiful and affordable neighborhoods. Home values here have nearly tripled since 2010, with a remarkable 198.00% increase bringing the average to $87,679 in 2025. The area has maintained strong momentum with a 64.62% growth just in the past five years.
20. Algonquin
- 2025 Value: $86,222
- 2010 Value: $26,290
- 2015 Value: $26,992
- 2020 Value: $49,370
- % Change 2010-2025: 227.97%
- % Change 2015-2025: 219.43%
- % Change 2020-2025: 74.64%
Adjacent to Louisville’s Parkland neighborhood, Algonquin offers you a remarkable investment opportunity with homes that have more than tripled in value since 2010. The community has experienced a staggering 227.97% growth over 15 years, with average values rising from $26,290 to $86,222. Even in the last five years, you’ve seen a robust 74.64% increase.
21. Russell
- 2025 Value: $81,680
- 2010 Value: $46,015
- 2015 Value: $25,900
- 2020 Value: $43,434
- % Change 2010-2025: 77.51%
- % Change 2015-2025: 215.37%
- % Change 2020-2025: 88.06%
Positioned in Louisville’s west end, Russell presents you with a neighborhood rich in history and remarkable growth potential. You’ll discover that home values here have undergone a stunning transformation, rising 215.37% since their 2015 low point of $25,900. The momentum has continued with an 88.06% increase just in the past five years. At an average of $81,680 in 2025, Russell ranks as twenty-first on this list of affordable Kentucky neighborhoods while offering proximity to downtown Louisville and ongoing community revitalization efforts.
22. Parkland
- 2025 Value: $76,448
- 2010 Value: $28,056
- 2015 Value: $22,377
- 2020 Value: $35,875
- % Change 2010-2025: 172.48%
- % Change 2015-2025: 241.63%
- % Change 2020-2025: 113.09%
In western Louisville, Parkland showcases one of Kentucky’s most dramatic real estate recovery stories for your consideration. This neighborhood has experienced extraordinary growth, with property values increasing by a remarkable 241.63% since the 2015 market bottom, when homes averaged just $22,377. Even in the last five years, you’ve seen prices more than double with a 113.09% surge. Despite this impressive appreciation, Parkland remains highly affordable at $76,448 in 2025, ranking twenty-second on this list of affordable Kentucky neighborhoods.
23. Portland
- 2025 Value: $69,770
- 2010 Value: $44,035
- 2015 Value: $23,123
- 2020 Value: $37,104
- % Change 2010-2025: 58.44%
- % Change 2015-2025: 201.74%
- % Change 2020-2025: 88.04%
Situated along the Ohio River in Louisville’s northwest, Portland gives you access to one of Kentucky’s most historic neighborhoods at a remarkable price point. You’ll find that home values here hit a low of just $23,123 in 2015 before staging an impressive comeback, growing by 201.74% over the next decade. The neighborhood has maintained strong momentum with an 88.04% increase just since 2020, showing its continued desirability. At $69,770 for the average home in 2025, Portland ranks twenty-third on this list of affordable Kentucky neighborhoods while offering you the charm of historic architecture, proximity to the river, and a rapidly improving community atmosphere that has attracted increasing interest from homebuyers and investors alike.
24. California
- 2025 Value: $69,043
- 2010 Value: $32,831
- 2015 Value: $21,565
- 2020 Value: $32,803
- % Change 2010-2025: 110.30%
- % Change 2015-2025: 220.16%
- % Change 2020-2025: 110.48%
Located in western Louisville, the California neighborhood shows you just how dramatic Kentucky’s real estate recovery has been. If you had purchased property here in 2015 at the market low of $21,565, you would have seen your investment more than triple in value over the decade, with a staggering 220.16% increase. Even more recently, the neighborhood has demonstrated remarkable momentum with values more than doubling (110.48%) just since 2020. Despite this impressive growth, California ranks twenty-fourth on this list with average home values at $69,043 in 2025, offering you an excellent entry point into the Louisville market while still maintaining strong appreciation potential.
25. Park Hill
- 2025 Value: $61,495
- 2010 Value: $39,222
- 2015 Value: $22,082
- 2020 Value: $31,833
- % Change 2010-2025: 56.79%
- % Change 2015-2025: 178.48%
- % Change 2020-2025: 93.18%
Nestled in Louisville’s west end, Park Hill offers you the most affordable neighborhood option in all of Kentucky. The area has experienced a remarkable recovery from its 2015 low point when average home values sat at just $22,082. Since then, you’ve witnessed a stunning 178.48% increase, nearly tripling in value. Even more impressive is the 93.18% growth just in the past five years, making this neighborhood not only budget-friendly but potentially a wise investment. Despite this rapid growth, homes in Park Hill remain surprisingly affordable at an average of $61,495 in 2025, representing tremendous value in the Louisville metro area while ranking as the most affordable neighborhood on this list.
