Gas Now Nearly as Cheap as Water in Some Places

What's Hot


2 Types of Black Marks Might Vanish From Your Credit File SoonBorrow

6 Ways the Obamacare Overhaul Might Impact Your WalletInsurance

7 Dumb and Costly Moves Homebuyers MakeBorrow

This Free Software Brings Old Laptops Back to LifeMore

Obamacare Replacement Plan Gets ‘F’ Rating from Consumer ReportsFamily

Beware These 12 Common Money MistakesCredit & Debt

21 Restaurants Offering Free Food Right NowSaving Money

17 Ways to Have More Fun for Less MoneySave

House Hunters: Beware of These 6 Mortgage MistakesBorrow

30 Household Uses for Baby OilSave

25 Ways to Spend Less on FoodMore

Nearly Half of Heart-Related Deaths Linked to These 10 Foods and IngredientsFamily

5 Surprising Benefits of Exercising Outdoors in WinterFamily

10 Ways to Save When You’re Making Minimum WageSave

Boost Your Credit Score Fast With These 7 MovesCredit & Debt

7 Painless Ways to Pay Off Your Mortgage Years EarlierBorrow

The Most Sinful City in the U.S. Is … (Hint: It’s Not Vegas)Family

The True Cost of Bad CreditCredit & Debt

10 Companies With the Best 401(k) PlansGrow

This Scam Now Tops ID Theft as the No. 2 Consumer ComplaintFamily

6 Stores With Awesome Reward ProgramsFamily

6 Ways to Save More at Lowe’s and The Home DepotSave

6 Healthful Treats for Your DogFamily

New Study Ranks the Best States in the U.S.Family

Thousands of Millionaires Moving to 1 Country — and Leaving AnotherGrow

Strapped for College Costs? How to Get the Most From FAFSABorrow

6 Overlooked Ways to Save at Chick-fil-AFamily

Ask Stacy: What’s the Fastest Way to Pay Off My Mortgage?Borrow

Where to Sell Your Stuff for Top DollarAround The House

8 Ways to Get a Good Price on a Shiny New AutoCars

Ask Stacy: How Do I Start Over?Credit & Debt

Secret Cell Plans: Savings Verizon, AT&T, T-Mobile and Sprint Don’t Want You to Know AboutFamily

30 Awesome Things to Do in RetirementCollege

14 Super Smart Ways to Save on TravelSave

The Rich Prefer Modest Cars — Should You Join Them?Cars

You’ll Soon Pay More to Shop at CostcoSave

10 Ways to Save When Your Teen Starts DrivingFamily

Gas prices continue to plummet, but that isn't necessarily all good news for consumers. Find out more.

The national average gas price has continued to creep downward since it hit a seven-year low of $1.99 per gallon last month.

As of today, it’s less than $1.96 per gallon, according to AAA’s Daily Fuel Gauge Report — but that’s a mixed blessing for residents of certain parts of the country.

In some states, gas is nearly as cheap as water from a store, and heating prices have fallen along with gas prices. In other states, however, home values could drop along with falling oil prices.

For example, the cost of gasoline at a Sam’s Club in Oklahoma City is 0.87 cents per ounce before state gas taxes, while the cost of Dasani bottled water at the same store is 0.74 cents per ounce, CBS MoneyWatch reports.

In many parts of the Northeast, home heating oil costs well below $2 per gallon — compared with $3.80 to $4 per gallon two years ago, CBS reports.

In states whose economies are tied to the energy sector, however, falling energy prices could lead to layoffs and, in turn, lower demand for housing, CNN Money reports.

Lawrence Yun, chief economist and senior vice president of research at the National Association of Realtors, explains to CNN Money:

“Fewer jobs means less home buying demand and that will naturally soften the housing markets in those job-impacted areas.”

Arch Mortgage Insurance refers to the states whose economies are most closely tied to the production of oil, gas or coal as “Energy Patch” states.

According to the latest quarterly Arch MI Risk Index, the average likelihood of home price declines nationwide over the next two years remains at 6 percent, which the company describes as “consistent with our baseline forecast of continuing growth in employment, home sales, construction and home prices.”

But the report continues:

“The exceptions to the rosy forecast are all in the Energy Patch states.”

According the index, those states at the greatest risk of seeing home price declines over the next two years are:

  • North Dakota — 46 percent (considered an “elevated” risk level)
  • Wyoming — 37 percent (elevated)
  • West Virginia — 33 percent (elevated)
  • Alaska — 33 percent (elevated)
  • New Mexico — 31 percent (elevated)
  • Oklahoma — 28 percent (moderate)
  • Louisiana — 28 percent (moderate)
  • Texas — 26 percent (moderate)
  • Mississippi — 8 percent (low)
  • Hawaii — 3 percent (low)

All other states have a “minimal” risk level of 2 percent or less.

Do you consider low gas prices good or bad news? Sound off in our Forums. It’s the place where you can speak your mind, explore topics in-depth, and post questions and get answers.

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!

💰🗣📰

Read Next: 8 Secrets to Building a Budget That Works

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 2,060 more deals!