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Mississippi vs Alabama

Side-by-side construction cost comparison for 2026. Building a 2,000 sq ft home in Mississippi saves approximately $14,000.

More affordable for new construction

Mississippi

$147/sq ft vs $154/sq ft — saves $14,000 on a 2,000 sq ft build

MetricMississippiAlabama
2026 $/sq ft$147 $154
1,500 sq ft$220,500 $231,000
2,000 sq ft$294,000 $308,000
2,500 sq ft$367,500 $385,000
Labor Index0.76 0.80
Material Index0.80 0.84
Avg Permit Cost$1,600 $1,800
Median Home Price$178,000 $210,000
Home Price YoY+3.5% +3.2%
ClimateHumid subtropical Humid subtropical

Mississippi Notes

  • Lowest construction costs in the US
  • Coastal hurricane requirements
  • Expansive clay soils common
Full Mississippi guide →

Alabama Notes

  • Low labor costs
  • Hurricane-resistant construction in coastal areas
  • Clay soil foundation considerations
Full Alabama guide →

Cost by Home Size

SizeMississippiAlabamaDifference
500 sq ft$73,500$77,000Mississippi saves $3,500
1,000 sq ft$147,000$154,000Mississippi saves $7,000
1,500 sq ft$220,500$231,000Mississippi saves $10,500
2,000 sq ft$294,000$308,000Mississippi saves $14,000
2,500 sq ft$367,500$385,000Mississippi saves $17,500
3,000 sq ft$441,000$462,000Mississippi saves $21,000
4,000 sq ft$588,000$616,000Mississippi saves $28,000
5,000 sq ft$735,000$770,000Mississippi saves $35,000