California's cheapest place to live looks beautiful and an average home is $286,500 but there's a big drawback

Daily Mail​

20 hours ago

It looks like it offers an idyllic lifestyle with beautiful scenery, small-town living, and rock-bottom prices - but the enclave recently named the most affordable place to buy in California comes with one major caveat.
Lassen County, with a population of nearly 30,000, has officially been ranked the cheapest housing market in the state, according to the California Association of Realtors' latest report.
The median price for an existing single-family home in Lassen was just $286,500 in June 2025 - a fraction of the $899,560 statewide median and the $1.4 million average seen across the Bay Area.
While Lassen offers striking high desert landscapes and unbeatable value, some buyers may be surprised to learn that the local economy has long been tied to the state correctional system.
'There's a large prison there,' said Billy Taylor, a real estate agent based in neighboring Plumas County, 30 minutes from Lassen County.
'A lot of the locals work as prison guards, and others move there to be closer to incarcerated loved ones.'
The facility - High Desert State Prison - has been one of the region's largest employers since it opened in 1995.
But long before the prison arrived, Lassen County was known for something else entirely.
'It's a very rural town known for cattle ranching and timber harvesting,' Taylor said.
'That's what it was built on - it was strictly ranching before the prison came in.'
It's also a draw for outdoor enthusiasts, he added, with 'world-class hunting and fishing,' including large mule deer and the famous Eagle Lake trout, a prized species unique to the area.
Susanville, the county seat, has a population of nearly 10,000 and still reflects that rugged, frontier identity - one that may appeal to buyers looking for space, affordability, and access to nature.
Taylor emphasized that Lassen County offers exceptional value, particularly for those priced out of more populated markets.
'You can't build a house for what existing homes are selling for,' he said, noting that buyers can find ranchettes with acreage and 'elbow space' at prices rarely seen elsewhere in California.
Most homes, he added, are selling below asking price, typically within 5 to 10 percent of list.
Known for its high desert terrain and mountain ranges, Lassen County attracts outdoor enthusiasts and budget-conscious buyers alike
Lassen isn't the only county offering relative bargains – four others also posted median home prices well below the statewide average, according to the Realtors' report.
Lake County at $301,380; Trinity County at $311,000; Siskiyou County at $315,000; and Plumas County at $328,750 are the most affordable in the state.
Plumas, in particular, is attracting buyers from Nevada and the greater Reno area, thanks to its mountain views, small–town feel, and access to Lake Almanor – a quiet resort community locals call 'what Tahoe was 30 years ago.'
According to Zillow, California's average 30–year fixed mortgage rate stood at 6.88 percent as of July 18. But in Lassen and other rural areas, sellers are showing more flexibility.
Jordan Levine, senior vice president of the California Association of Realtors, said homes are staying on the market longer, and sellers are more open to negotiation.
'Amid stabilizing home prices and a greater availability of homes for sale, California's housing market rebounded in June, but remained below year-ago levels,' the Realtors Group said in a news release.
Heather Ozur, California Association of Realtors president, added: 'With more properties on the market and price growth flattening, conditions have become more favorable for prospective buyers who have been waiting on the sidelines to re-enter the market and take advantage of increased negotiating power.'
With scenic terrain, low prices, and a slower pace of life, Lassen County may offer an appealing alternative for budget–conscious buyers – as long as they're not deterred by its prison–town identity.