The top 25 states to live out the American Dream, ranked

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The top 25 states to live out the American Dream, ranked

salt lake city utah

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Utah is one of the best places to live the American Dream.

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  • The American Dream is more achievable in some states than others.
  • SmartAsset recently released a report on the best states to live for the middle class, defined as households with an income between $35,000 and $100,000.
  • Western and Midwestern states are the best places to live the American Dream, while northeastern states are the toughest.

With the cost of buying a home higher than it's ever been, it may seem like the American Dream is endangered. But in some states, it's closer within reach than it seems.

SmartAsset recently took a look at the best states for the middle class to live by examining seven metrics related to owning a home and retiring - two classic components of the American Dream. Specifically, they looked at SmartAsset and US Census Bureau data connected to income, homeownership, and taxes across all 50 states, plus Washington DC. This included the percentage of middle-class households in each state, which are defined as households with an income between $35,000 and $100,000.

SmartAsset then ranked each state in each metric and averaged each state's ranking, giving double weight to the percentage of middle-class households.

Turns out, the best states for Americans to live out the American Dream are located in the west, closely followed by states in the Midwest. The northeast is the toughest area for the American Dream to become a reality.

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"With high tax burdens, low homeownership rates, and unaffordable housing, it is not too surprising that states in the Northeast tumble down the ranks," states the report. Only two states in the northeast - New Hampshire and Maine - made the top 25.

Below, see the top 25 states for the middle class to live the American Dream.

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25. Colorado

25. Colorado

Percentage of middle-class households: 44.7%

Income tax rate: 19.9%

Median home value: $314,200

24. South Carolina

24. South Carolina

Percentage of middle-class households: 44.7%

Income tax rate: 18.7%

Median home value: $153,900

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23. Ohio

23. Ohio

Percentage of middle-class households: 45.2%

Income tax rate: 18.6%

Median home value: $140,100

22. Maine

22. Maine

Percentage of middle-class households: 45.4%

Income tax rate: 17.8%

Median home value: $184,700

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21. Oklahoma

21. Oklahoma

Percentage of middle-class households: 44.8%

Income tax rate: 18.3%

Median home value: $132,200

20. Texas

20. Texas

Percentage of middle-class households: 43.2%

Income tax rate: 15.3%

Median home value: $161,500

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19. New Hampshire

19. New Hampshire

Percentage of middle-class households: 44.7%

Income tax rate: 15.3%

Median home value: $251,100

18. Washington

18. Washington

Percentage of middle-class households: 44%

Income tax rate: 15.3%

Median home value: $306,400

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17. Missouri

17. Missouri

Percentage of middle-class households: 46.1%

Income tax rate: 18.6%

Median home value: $151,400

16. Florida

16. Florida

Percentage of middle-class households: 45%

Income tax rate: 15.3%

Median home value: $197,700

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15. Wisconsin

15. Wisconsin

Percentage of middle-class households: 47%

Income tax rate: 19.4%

Median home value: $173,200

14. Indiana

14. Indiana

Percentage of middle-class households: 47.3%

Income tax rate: 19.7%

Median home value: $134,800

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13. Montana

13. Montana

Percentage of middle-class households: 46.4%

Income tax rate: 19%

Median home value: $217,200

12. Kansas

12. Kansas

Percentage of middle-class households: 46.3%

Income tax rate: 18%

Median home value: $144,900

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10. Minnesota (TIE)

10. Minnesota (TIE)

Percentage of middle-class households: 44.8%

Income tax rate: 18.6%

Median home value: $211,800

10. Iowa (TIE)

10. Iowa (TIE)

Percentage of middle-class households: 47.4%

Income tax rate: 20.2%

Median home value: $142,300

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9. Nevada

9. Nevada

Percentage of middle-class households: 46.4%

Income tax rate: 15.3%

Median home value: $239,500

8. Nebraska

8. Nebraska

Percentage of middle-class households: 46.3%

Income tax rate: 18%

Median home value: $239,500

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6. Tennessee (TIE)

6. Tennessee (TIE)

Percentage of middle-class households: 44.9%

Income tax rate: 15.3%

Median home value: $157,700

6. Arizona (TIE)

6. Arizona (TIE)

Percentage of middle-class households: 45.5%

Income tax rate: 17.3%

Median home value: $205,900

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4. North Dakota (TIE)

4. North Dakota (TIE)

Percentage of middle-class households: 45.7%

Income tax rate: 16%

Median home value: $184,100

4. Idaho (TIE)

4. Idaho (TIE)

Percentage of middle-class households: 48%

Income tax rate: 19%

Median home value: $189,400

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3. South Dakota

3. South Dakota

Percentage of middle-class households: 49.1%

Income tax rate: 15.3%

Median home value: $160,700

2. Wyoming

2. Wyoming

Percentage of middle-class households: 46.2%

Income tax rate: 15.3%

Median home value: $209,500

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1. Utah

1. Utah

Percentage of middle-class households: 49.1%

Income tax rate: 19.7%

Median home value: $250,300