Austin tops list for veteran life, even as mortgage costs rise

WalletHub has named Austin, Texas, the best U.S. city for veterans to live and work. The financial data firm evaluated the 100 most populated American cities using 19 metrics across four categories: employment, economy, quality of life, and health. Austin secured the top position primarily because of its educational resources and job market for those transitioning from military service.

The analysis measured factors such as the availability of jobs that align with military skills, median veteran income, unemployment rates, and access to Veterans Affairs health facilities. The data set for the rankings was collected as of October 5, 2026. It drew from sources including the U.S. Census Bureau, the Department of Veterans Affairs, and the Centers for Medicare and Medicaid Services.

Austin’s ranking was driven by its colleges serving veterans and its job growth rate, which placed it seventh nationally. Veterans in the Texas capital report a median annual income exceeding $66,000, ranking ninth highest among the cities studied. Madison, Wisconsin, finished in second place. That city posted a sixth highest average annual median income growth rate of approximately 8 percent for veterans.

Madison also recorded one of the lowest veteran homelessness rates in the nation. The data shows two homeless individuals for every 1,000 veterans in the city. Scottsdale, Arizona, took the third spot. Veterans there earn a median annual income of about $68,000, the sixth highest figure in the study. The city also ranked seventh for low unemployment and third for having the fewest homeless veterans.

Chip Lupo, a WalletHub analyst, noted that veterans need locations with good education, employment, and health care access. He stated that the top cities offer these core benefits plus community support from large veteran populations. He added that many local restaurants and entertainment venues provide discounts for veterans.

Other cities in the top five include Plano, Texas, and Fort Worth, Texas. The data indicates that veterans generally face lower unemployment than the general public. The veteran unemployment rate stands at 3.6 percent, compared with 4.2 percent for the overall population.

Despite these labor market advantages, housing stability remains a challenge. More than 32,000 veterans in the United States are experiencing homelessness. A separate report found that over 26,000 veterans are now paying higher monthly mortgage amounts. Many of these veterans face monthly increases of $1,000 or more.

These payment hikes followed the Trump administration’s elimination of the Veterans Affairs Servicing Purchase, or VASP, program. The VASP program helped veterans who fell behind on their VA backed home loans. It moved missed payments onto a new mortgage with a 2.5 percent interest rate. That rate is far lower than current average rates, which are hovering around 7 percent.

The Veterans Association reports that nearly 17.2 million veterans call the United States home. Finding affordable housing and quality health care remains difficult for many during the transition to civilian life. The WalletHub report provides a snapshot of where the economic and social infrastructure best supports that transition.