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While major coastal hubs often steal the headlines, a new report suggests that the smart money is heading toward state capitals.
Cities like Austin, Texas, and Raleigh, North Carolina, are outperforming traditional metropolitan giants by leveraging a mix of economic stability, high earning power and robust educational infrastructure, according to personal finance company WalletHub.
The 2026 rankings, which evaluated all 50 state capitals across 48 metrics, including affordability, economic well-being and quality of life, highlight a growing trend: Capital cities are no longer just centers of bureaucracy; they are becoming premier economic engines in the U.S., WalletHub analyst Chip Lupo told Realtor.com.
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“Many offer stronger job markets [than regular cities], higher average salaries and access to world-class universities,” Lupo said. “Capitals also tend to have a greater number of attractions, restaurants and cultural amenities, along with better education and health resources.”
For investors and homebuyers, the appeal lies in the resilience of the capital city markets. Unlike cities dependent on a single industry, capitals benefit from the steadying presence of government employment alongside burgeoning tech and healthcare sectors.
1. Austin
Median home price: $455,000
Retaining its No. 1 spot from 2025, Austin remains the gold standard for capital city living. Despite rising home prices, the city boasts a median household income of $93,902, adjusted for cost of living, according to WalletHub.
“While home prices and rents in Austin are high in absolute terms, local earning power is also very strong,” Lupo said. “Austin performs much better than many coastal city capitals where incomes don’t stretch as far relative to housing.”
2. Raleigh
Median home price: $440,000
Raleigh climbed to the second spot this year, recording the fourth-highest median household income at $84,798, adjusted for inflation, according to WalletHub. It also has a highly educated workforce. Nearly 53% of residents hold a bachelor’s degree or higher, and the city ranks No. 5 in universities and colleges.
The city is filled with top-notch restaurants and ranks third-best for hockey fans.
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3. Atlanta
Median home price: $400,000
Atlanta surged in the rankings because of its high median household income of $85,352, according to WalletHub.
It’s also recognized as a Fortune 500 hub that’s home to giants like Coca-Cola, Delta Air Lines and Home Depot, Re/Max agent Bruce Ailion told Realtor.com. The city also ranks high in its number of affordable restaurants with at least 4.5 stars. It’s home to four national sports teams and dozens of theaters and museums.
4. Madison, Wisconsin
Median home price: $474,900
Madison remains a powerhouse of stability, boasting the lowest unemployment rate in the country, according to Realtor.com. Beyond the labor market, the city has a low foreclosure rate and some of the highest average credit scores in the U.S. Life expectancy in Madison is long, and 90% of adults in the city report being in good health.
5. Boise, Idaho
Median home price: $599,990
Boise’s rapid income growth and manageable debt-to-income ratios put it near the top of the Economic Well-Being category, Realtor.com reported. It’s also a magnet for younger people, with an influx of millennials attracted to the city for its vibrant nightlife, walkablility and high concentration of fitness centers.
6. St. Paul, Minnesota
Median home price: $404,950
St. Paul’s housing costs and cost of living are lower than the national average. The city’s public transportation network and low crime rate make it a good market for people who want metropolitan amenities without coastal prices.
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7. Lincoln, Nebraska
Median home price: $389,000
Lincoln’s high-quality public school system and number of residents with advanced degrees put it high in the Quality of Education & Health category, according to Realtor.com. The city’s healthcare system boasts high insurance coverage, quality public hospitals and a large share of adults in good health.
8. Bismarck, North Dakota
Median home price: $499,900
Bismarck is the No. 1 most affordable state capital in the U.S. With the low cost of living and a healthy median household income mean residents have more discretionary income – even if there aren’t many places to spend it, Realtor.com reported. Bismarck ranks lower in Quality of Life metrics like nightlife and coffee shop density.
9. Denver
Median home price: $550,000
Denver is the capital of active living and is characterized by some of the lowest obesity rates and highest physical activity levels in the U.S., according to Realtor.com. Home to institutions like the University of Denver, the city attracts a highly educated workforce. Proximity to skiing and hiking is a big draw, despite the city’s higher-than-average median home prices.
10. Salt Lake City
Median home price: $550,000
Salt Lake City’s educational and healthcare infrastructure lands it on the list at No. 10. The city has a high number of hospital beds per capita and a long life expectancy. The city has an educated population and is a good choice for families looking for a high-quality public school system and reliable social services.
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Building a resilient portfolio means thinking beyond a single asset or market trend. Economic cycles shift, sectors rise and fall, and no one investment performs well in every environment. That’s why many investors look to diversify with platforms that provide access to real estate, fixed-income opportunities, professional financial guidance, precious metals, and even self-directed retirement accounts. By spreading exposure across multiple asset classes, it becomes easier to manage risk, capture steady returns, and create long-term wealth that isn’t tied to the fortunes of just one company or industry.
Rad AI
Rad AI’s award-winning artificial intelligence technology helps transform data chaos into actionable insights, enabling the creation of high-performing content with measurable ROI. Their Regulation A+ offering allows investors to participate at $0.85 per share with a minimum investment of $1,000, providing an opportunity to diversify portfolios into early-stage AI innovation. For investors seeking exposure to the rapidly growing AI and tech sector, Rad AI offers a chance to get in on the ground floor of a data-driven growth story.
Paladin
Paladin Power is addressing the growing demand for energy independence with a fire-safe energy storage system that doesn’t rely on lithium-ion batteries. Instead, its ESS uses non-lithium, solid-state graphene battery technology designed for durability, safety, and long service life—positioning it as an alternative to fire-prone storage solutions that dominate today’s market. Since launching in 2023, Paladin has generated $185 million in contracted revenue, achieved strong year-over-year growth, and secured a manufacturing agreement with NYSE-listed Jabil. With systems already deployed across residential and commercial properties and a $500B global electrification market opportunity ahead, Paladin offers investors exposure to decentralized energy infrastructure backed by real contracts, U.S.-based manufacturing, and scalable next-generation technology.
Elf Labs
Elf Labs is an IP-focused entertainment company built on a strategy that has powered giants like Disney and Marvel: ownership of globally recognized character IP. After more than a decade of rights acquisition, the company controls 500+ protected trademarks and copyrights tied to iconic characters including Cinderella, Snow White, Rapunzel, Sleeping Beauty, and Peter Pan. This foundation has generated over $15 million in royalties, expanded licensing into 30+ countries, and supported development of 100+ product lines. With its Nasdaq ticker ($ELFS) reserved and valuation growth exceeding 1,600% in under two years, Elf Labs is now scaling distribution through patented production systems, global licensing, and streaming and mobile initiatives—offering investors exposure to a private entertainment company with a clear public-market trajectory.
Valley Center Wellness
Valley Center Wellness is setting a new benchmark in luxury behavioral health with its flagship facility in Corona, California. Designed as a private, resort-style wellness retreat on a 4.2-acre estate, the center combines discretion, comfort, and comprehensive care, offering patients private chefs, daily massages, acupuncturist sessions, and access to a pool, spa, gym, and basketball court. Focused on high-profile and affluent clients, Valley Wellness provides fully customized treatment plans outside the constraints of insurance, emphasizing long-term recovery, holistic wellness, and life-after-addiction strategies. Through its three-stage care model—including residential, outpatient, and transitional housing—patients experience continuity of care that supports lasting change. For investors, Valley Wellness has launched an equity crowdfunding opportunity, offering a way to participate in a fast-growing $42 billion behavioral health sector while gaining exposure to both high-end real estate and a premium healthcare business.
Immersed
Immersed is a private, pre-IPO technology company operating at the intersection of AI, spatial computing, and remote work. Best known for building the most widely used productivity app on the Meta Quest platform, Immersed enables professionals and teams to work full-time in shared virtual environments across macOS, Windows, and Linux. The company is expanding beyond software with its own productivity-focused XR headset and AI tools, supported by partnerships with major technology firms including Meta, Samsung, and Qualcomm. Immersed is currently allowing retail investors to participate in its pre-IPO round, subject to eligibility and offering terms.
Arrived
Backed by Jeff Bezos, Arrived Homes makes real estate investing accessible with a low barrier to entry. Investors can buy fractional shares of single-family rentals and vacation homes starting with as little as $100. This allows everyday investors to diversify into real estate, collect rental income, and build long-term wealth without needing to manage properties directly.
Lightstone
Lightstone DIRECT gives accredited investors direct access to institutional-grade real estate, going beyond typical crowdfunding platforms. By cutting out middlemen, it aligns investor and manager interests while providing exposure to a $12B+ portfolio spanning multifamily, industrial, hospitality, retail, office, and life science properties. This approach allows investors to diversify their portfolios across multiple property types and markets, gaining professional-grade real estate exposure without the fees or misalignment common on other platforms.
Masterworks
Masterworks enables investors to diversify into blue-chip art, an alternative asset class with historically low correlation to stocks and bonds. Through fractional ownership of museum-quality works by artists like Banksy, Basquiat, and Picasso, investors gain access without the high costs or complexities of owning art outright. With hundreds of offerings and strong historical exits on select works, Masterworks adds a scarce, globally traded asset to portfolios seeking long-term diversification.
Bam Capital
BAM Capital offers accredited investors a way to diversify beyond public markets through institutional-grade multifamily real estate. With over $1.85 billion in completed transactions and guidance from Senior Economic Advisor Tony Landa, the firm targets income and long-term growth as supply tightens and renter demand remains strong—especially in Midwest markets. Its income-focused and growth-oriented funds provide exposure to real assets designed to be less tied to stock market volatility.
Kraken
As digital assets become a larger part of diversified portfolios, traders increasingly look for platforms that offer transparency, efficiency, and control. Kraken Pro is an advanced trading interface from Kraken, one of the world’s leading cryptocurrency exchanges, designed for users who want more sophisticated tools without added complexity. With low, volume-based fees, a streamlined interface for managing spot, margin, and futures trading, and a strong focus on security and regulatory compliance, Kraken Pro provides a way to gain diversified crypto exposure through a clear, professional-grade trading experience.
Rex Shares
REX Shares designs specialized ETFs for investors who want more precision than traditional broad-market funds can offer. Its lineup spans options-based income strategies, leveraged and inverse exposures, spot-linked crypto ETFs, and thematic funds tied to structural trends. By targeting specific income objectives, volatility profiles, or market themes, these ETFs can be used alongside core holdings to introduce differentiated return drivers and reduce reliance on a single market outcome, while maintaining the liquidity and transparency of the ETF structure.
Motley Fool
Motley Fool Asset Management brings its long-standing “Foolish” investing philosophy into a lineup of passive ETFs designed around clear, rules-based investment styles. Built using decades of proprietary research from The Motley Fool, LLC, these factor-based ETFs focus on growth, value, and momentum strategies, selecting U.S. companies based on quality, risk, and long-term potential. For investors who want professionally vetted stock exposure without the demands of active trading, Motley Fool Asset Management offers a straightforward way to access expert-driven strategies through the simplicity and liquidity of an ETF.
Finance Advisors
Finance Advisors helps Americans approach retirement with greater clarity by connecting them to vetted, fiduciary financial advisors who specialize in tax-aware retirement planning. Rather than focusing on products or investment performance alone, the platform emphasizes strategies that account for after-tax income, withdrawal sequencing, and long-term tax efficiency—factors that can materially impact retirement outcomes. Free to use, Finance Advisors gives individuals with meaningful savings access to a level of planning sophistication historically reserved for high-net-worth households, helping reduce hidden tax risk and improve long-term financial confidence.
Public
Public is a multi-asset investing platform built for long-term investors who want more control, transparency, and innovation in how they grow wealth. Founded in 2019 as the first broker-dealer to offer commission-free, real-time fractional investing, Public now lets users invest in stocks, bonds, options, crypto, and more—all in one place. Its latest feature, Generated Assets, uses AI to turn a single idea into a fully customized, investable index that can be explained and backtested before committing capital. Combined with AI-powered research tools, clear explanations of market moves, and an uncapped 1% match for transferring an existing portfolio, Public positions itself as a modern platform designed to help serious investors make more informed decisions with context.
Money Pickle
Money Pickle helps people connect with vetted fiduciary financial advisors—professionals who are legally obligated to act in their clients’ best interests. Through a quick online quiz, users are matched with a fiduciary for a complimentary, no-obligation one-on-one strategy session tailored to goals like retirement planning, investing, tax strategy, or getting financially organized. With no upfront costs and no sales pressure, Money Pickle removes the friction and uncertainty from finding trustworthy advice, making personalized financial guidance accessible whether you’re building wealth, preserving it, or planning for the future.
Atari
Atari is bringing its iconic legacy into the physical world with the launch of the first-ever Atari Hotel, a construction-ready gaming and entertainment destination in downtown Phoenix. The Atari Hotel Phoenix blends immersive gaming, live events, dining, and technology-driven experiences into a next-generation hospitality concept, backed by secured land, licensing, and development partners. Through a Regulation A+ offering, investors can own a direct stake in the land, building, and branded hotel starting at $500, with targeted returns including a 15% preferred return and a projected 5.8x multiple. As gaming and experiential travel continue to converge, this opportunity allows everyday investors to participate alongside developers in transforming a legendary brand into a real-world destination.
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This article Top 10 State Capitals That Offer The Best Quality of Life in 2026 originally appeared on Benzinga.com
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