Norada Real Estate Investments

  • Home
  • Markets
  • Properties
  • Membership
  • Podcast
  • Learn
  • About
  • Contact

5 Hottest Real Estate Markets for Buyers & Investors in 2025

April 28, 2025 by Marco Santarelli

5 Hottest Real Estate Markets for Buyers & Investors in 2025

As we approach 2025, the 5 hottest real estate markets for buyers and investors are garnering significant attention due to their unique characteristics and promising growth potential. Cities like Dallas, Miami, Houston, Tampa-St. Petersburg, and Nashville are leading the charge, thanks to factors such as a surge in population growth, economic stability, and affordable housing options.

According to the Emerging Trends in Real Estate 2025 report published by PricewaterhouseCoopers (PwC) and the Urban Land Institute (ULI), these cities are identified as prime investment locations for the coming year.

5 Hottest Real Estate Markets for Buyers and Investors in 2025

Key Takeaways

  • Rapid Population Growth: Cities like Dallas and Houston are experiencing significant influxes of residents.
  • Economic Opportunities: Strong job markets in Dallas and Miami are attractive to investors.
  • Affordability: Compared to coastal cities, these markets offer more affordable housing options.
  • Climate and Environmental Considerations: Markets like Miami and Tampa-St. Petersburg come with insurance risks that should be considered by investors.
  • Projected Price Appreciation: Sought-after neighborhoods in these cities show potential for property value increases.

Market Overview Table (Realtor.com)

City Median Home Price Median Monthly Rent Population Growth (2022-2023) Job Sector Influence
Dallas, TX $434,500 $1,475 Largest in the U.S. Finance and Corporate HQs
Miami, FL $535,000 $1,227 Steady Consumer Demand Tourism and Tech
Houston, TX $369,450 $1,375 +140,000 (2022-2023) Health and Green Energy
Tampa-St. Petersburg, FL $399,999 $1,720 Post-COVID Population Surge Hospitality and Services
Nashville, TN $542,447 $1,578 +86 People per Day (2023) Music and Entertainment

Dallas, TX: A Growing Powerhouse

Dallas stands at the forefront of the hottest real estate markets for 2025. The city’s growth is largely attributed to its robust economy and population increase. Supported by a significant concentration of Fortune 500 companies, including a $500 million Goldman Sachs facility, Dallas is transforming into a hotspot for potential residents and investors alike.

The median home price in Dallas is $434,500, while renters can expect to pay around $1,475 monthly. This attractive pricing structure, combined with the city’s job-centric moves and affordable lifestyle options, solidifies Dallas's place as a reliable market for real estate investments.

Key Highlights:

  • Economic Growth: The area has a business-friendly climate with a strong financial presence.
  • Diverse Opportunities: The job market attracts a mix of professionals, boosting housing demand.

Miami, FL: Attractive Rental Yields

Miami is another major contender on our list of top real estate markets. Known for its sunny beaches and cultural diversity, the city offers an appealing rental income potential with average yields between 5% and 7%. The median home price in Miami is approximately $535,000, and the median rent is about $1,227.

However, the market does come with its set of challenges. High insurance premiums due to climate risks can be a concern for investors. Nevertheless, the lack of state income tax continues to attract investment in real estate.

Investor Consideration:

  • Despite potential environmental challenges, properties in less flood-prone areas may yield better long-term profits.

Houston, TX: An Affordable Alternative

Houston showcases itself as a formidable competitor in the real estate market. With a median home price of $369,450, and a median monthly rent of $1,375, this city offers an attractive entry point for investors compared to other major cities.

The rapid influx of nearly 140,000 new residents in one year illustrates a booming job market influenced by thriving health care, technology, and green energy sectors. The absence of formal zoning laws offers additional flexibility for new developments, boosting Houston's position as a desirable market for investment.

Key Points:

  • Houston remains appealing for families due to its lower cost of living and job opportunities.
  • Increased startup activity adds to the local economy's vibrancy.

Tampa-St. Petersburg, FL: Job Growth and Market Resilience

The Tampa-St. Petersburg market has rebounded sharply post-pandemic, with an increasing number of people relocating to the area. The current median home price is $399,999, with rentals averaging around $1,720 per month. An anticipated job growth rate of 2.3 times the national average indicates sustained demand for housing.

Investors are particularly attracted to this market due to its low vacancy rates and supportive tourism sector. However, similar to Miami, climate-related risks demand prudent investment choices regarding property location and insurance coverage.

Market Insights:

  • Warm weather and beaches attract seasonal residents.
  • Those willing to navigate regulatory hurdles in short-term rentals can achieve significant ROI.

Nashville, TN: A Cultural and Economic Hotspot

Nashville, often called “Music City,” has solidified its reputation as one of the best places for real estate investment, even as it drops to fifth on this year's list. The city continues to grow at a remarkable rate of 86 new residents daily in 2023.

With a median home price of $542,447 and a median rent of $1,578, Nashville remains competitive among its peers. While real estate prices have surged, the overall business landscape maintains a favorable environment for investment. Nashville’s vibrant culture and entertainment scene draw new residents, enhancing housing demand.

Critical Factors:

  • The corporate tax structure remains attractive for businesses.
  • Continued population growth is expected to sustain housing needs.

Conclusion of Market Insights

The 5 hottest real estate markets for buyers and investors in 2025 reflect a combination of economic stability, population diversity, and investment potential. Cities like Dallas, Miami, Houston, Tampa-St. Petersburg, and Nashville provide fertile ground for those looking to enter or expand in the real estate sector.

As we delve deeper into these markets, it becomes clear that understanding local dynamics and broader trends will be essential for maximizing investment returns. Dallas, with its corporate strength, Miami with its rental prospects, Houston’s affordability, Tampa-St. Petersburg’s job growth, and Nashville’s cultural appeal all present unique opportunities for real estate investors in the coming year.

Work with Norada in 2025, Your Trusted Source for

Real Estate Investment in the Hottest Markets

Discover high-quality, ready-to-rent properties designed to deliver consistent returns.

Contact us today to expand your real estate portfolio with confidence.

Contact our investment counselors (No Obligation):

(800) 611-3060

Get Started Now 

Recommended Read:

  • Hottest Real Estate Markets in Maine: Top Locations for 2024
  • 20 Hottest Housing Markets in the US – September 2024
  • The Hottest Housing Markets in Seattle Area (2024)
  • America's 20 Hottest Housing Markets: July 2024 Rankings
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • Zillow’s Predictions for the Hottest Housing Markets of 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Hottest Real Estate Markets, Housing Market, investment opportunities, real estate

Manchester, NH is Currently America’s Hottest Housing Market

February 17, 2025 by Marco Santarelli

Manchester, NH is Currently America's Hottest Housing Market

Yes, you read that right! Manchester, New Hampshire, has claimed the top spot as the hottest housing market in the United States, according to the latest Realtor.com® report. This isn't just a flash in the pan; it's a testament to the city's unique appeal and the enduring qualities that are drawing homebuyers in droves. I've been watching the trends in New England real estate for years, and this surge in Manchester is something special.

Manchester, NH, is No. 1 Among America's Hottest Housing Markets

What's Making Manchester So Hot?

So, what exactly is making Manchester so attractive to buyers? It's a perfect storm of factors:

  • Low Taxes: New Hampshire is known for its no income tax and no sales tax policy, which is a huge draw.
  • Affordable Living (Relatively Speaking): While the median list price in Manchester was $579,000 in January, it still offers a competitive price point when compared to nearby metropolitan hubs like Boston.
  • Strategic Location: A 55-mile drive will get you to Boston, meaning residents can access big city amenities without paying big city prices.
  • Strong Economy: Manchester boasts a thriving local economy with opportunities in various sectors.
  • Quality of Life: The area offers good schools, a strong sense of community, and plenty of options for outdoor recreation, from hiking and skiing to lakes and parks.
  • Fast Sales: Homes in Manchester are selling very quickly, indicating high demand. The median time on the market was just 46 days, much faster than the national average of 73 days.
  • High Buyer Interest: Listings in Manchester are getting a lot of attention online, suggesting a strong level of interest from potential buyers.

The Numbers Don't Lie: A Deeper Dive into the Data

Let's break down some of the key data points that highlight Manchester's hot market status:

  • Median List Price: $579,000 in January (a nearly 4% increase from the previous month). While this is a significant price, it's important to consider the overall value proposition that Manchester offers.
  • Days on Market: 46 days, significantly lower than the national median. This indicates a fast-paced market where buyers need to be ready to act quickly.
  • Listing Views: Listings are getting close to four times the average views compared to the rest of the country. This is a clear indicator of high buyer interest.
  • Poverty Level: New Hampshire had the lowest poverty level in the U.S. in 2023, at 7.2%, according to the U.S. Census Bureau. This speaks to the state's overall economic health and stability.

Recommended Read:

10 Best Places to Live in New Hampshire

New Hampshire Housing Market Trends and Forecast 2025

New Hampshire Home Prices Hit Record-Breaking $500,000

Northeast and Midwest Still Dominate

It's interesting to note that the Northeast and Midwest continue to dominate the list of hottest housing markets. This trend has been going on for quite some time and can be attributed to several factors, including:

  • Relatively Affordable Housing: Compared to coastal markets like California, housing in the Northeast and Midwest can be more affordable, especially when considering the size and quality of homes.
  • Strong Local Economies: Many cities in these regions have diversified economies with opportunities in various sectors, attracting both employers and employees.
  • Quality of Life: These regions often offer a good balance of urban amenities and access to nature, making them appealing to a wide range of homebuyers.

The Inventory Challenge: Why Demand Remains High

While the national inventory of homes for sale is improving, Manchester faces a unique challenge:

  • Low Inventory: The area is experiencing high demand with limited availability, which is driving up prices and creating a competitive market.
  • Limited Recovery: The ongoing demand has prevented inventory from recovering to pre-pandemic levels.

The Impact of Rising Interest Rates

Even with rising interest rates, the demand for homes in Manchester remains strong. While affordability is a concern for many buyers, the city's unique advantages continue to attract those who are looking for a place to call home. As Realtor.com® senior economic research analyst Hannah Jones stated, “Housing affordability continues to be a challenge for home shoppers as home prices and mortgage rates refuse to budge significantly.”

Other Cities Making Waves

Manchester isn't the only city experiencing a surge in demand. Other markets that are performing well include:

  • Hartford, CT: Ranked number two, boasting a high number of listing views.
  • Concord, NH: Another New Hampshire city making the list, indicating a broader trend in the state.
  • Rochester, NY: Showing increased popularity.
  • Boston, MA: Demonstrating resilience despite its high price point.
  • Bloomington, IL: Entering the top 20 for the first time.

Why I Think Manchester's Hot Streak Will Continue

I believe Manchester's popularity will endure for several reasons:

  • The Tax Advantage is a Game-Changer: The lack of income and sales tax in New Hampshire will always be a significant draw, especially for those looking to maximize their earnings.
  • Location, Location, Location: Its proximity to Boston provides access to a major metropolitan area without the steep price tag.
  • A Growing Sense of Community: Manchester has a unique charm and a strong sense of community that appeals to many buyers.
  • The Outdoor Lifestyle: New Hampshire offers endless opportunities for outdoor recreation, attracting those who value an active lifestyle.
  • Continued Economic Growth: The city's diverse economy and growing job market will continue to attract new residents.

Of course, no market is immune to fluctuations, and it's important to stay informed and consult with real estate professionals for the latest information. But based on the current trends and the underlying strengths of the city, I'm confident that Manchester will remain a highly desirable place to live for years to come.

What This Means for Buyers and Sellers

For Buyers:

  • Be Prepared to Act Fast: In a market like Manchester, you need to be ready to make a decision quickly. Have your financing in place and be prepared to put in a competitive offer.
  • Work with a Local Expert: A real estate agent who knows the Manchester market inside and out can be invaluable.
  • Don't Be Afraid to Negotiate: While the market is hot, it's still important to negotiate and try to get the best possible price.
  • Consider New Construction: With new construction offering potential incentives, this could be a viable option.

For Sellers:

  • Price Your Home Strategically: Work with your agent to determine the right price for your home.
  • Prepare Your Home for Sale: Make sure your home is clean, well-maintained, and staged to appeal to buyers.
  • Be Ready for Multiple Offers: In a hot market, it's not uncommon to receive multiple offers.
  • Consider All Offers Carefully: Don't just focus on the highest price. Consider the terms and conditions of each offer as well.

Conclusion

Manchester, NH, is No. 1 among America's Hottest Housing Markets for a reason. Its low taxes, strategic location, strong economy, and high quality of life make it an attractive destination for homebuyers from all over the country. While the market is competitive, the rewards of living in this vibrant city are well worth the effort. As someone who has been involved in real estate for a long time, I'm excited to see what the future holds for Manchester.

Work with Norada in 2025, Your Trusted Source for

Real Estate Investment in the Country

Discover high-quality, ready-to-rent properties designed to deliver consistent returns.

Contact us today to expand your real estate portfolio with confidence.

Contact our investment counselors (No Obligation):

(800) 611-3060

Get Started Now

Recommended Read:

  • Top 20 Hottest Housing Markets Predicted for 2025
  • Top 10 Hottest Housing Markets Where Home Prices Are Soaring
  • 5 Hottest Real Estate Markets for Buyers & Investors in 2025
  • Hottest Real Estate Markets in Maine: Top Locations
  • The Hottest Housing Markets in Seattle Area
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market Tagged With: 2025 Forecast, Hottest Housing Markets, Housing Market, Manchester, New Hampshire, real estate, Top Housing Markets

20 Hottest Housing Markets in America – January 2025

February 13, 2025 by Marco Santarelli

20 Hottest Housing Markets in America - January 2025

Ready to dive into the real estate scene of the new year? Based on a recent Realtor.com report, Manchester, New Hampshire, claims the top spot as America's Hottest Housing Market in January 2025. This means the demand for homes is incredibly high there while the number of available properties is low. Keep reading to learn more about what's driving this trend and which other cities made the top 20!

America's Hottest Housing Markets – January 2025

The Heat is On: Understanding the Hottest Markets

So, what exactly makes a housing market “hot”? It boils down to a few key factors:

  • High Demand: Lots of people are looking to buy in these areas.
  • Low Inventory: There aren't many homes available.
  • Quick Sales: Homes don't stay on the market for long.
  • Rising Prices: The combination of high demand and low supply usually pushes prices up.

When these elements come together, you've got a market that's sizzling! And right now, the Northeast and Midwest are where most of the action is.

Manchester, NH: The Reigning Champ

Manchester, New Hampshire, has clinched the No. 1 position, showcasing its appeal to homebuyers. According to Realtor.com's senior economic research analyst, Hannah Jones, Manchester's appeal is attributed to high demand meeting a scarce supply of available homes. This sustained demand has prevented the replenishment of inventory, keeping interest in properties high.

Here's a quick look at what makes Manchester so attractive:

  • Median List Price: $579,000 in January 2025, an increase of almost 4% from the previous month.
  • Days on Market: A speedy 46 days, much faster than the national median of 73 days.
  • High Interest: Listings in Manchester received close to four times the typical views on Realtor.com compared to the national average.
  • Location, Location, Location: Situated just 55 miles from Boston, it offers a blend of city access and smaller-town charm.
  • Tax Benefits: New Hampshire residents enjoy no sales or income tax.
  • Low Poverty: In 2023, the poverty level in the state was a low 7.2%, according to the U.S. Census Bureau.

The “Live Free or Die” state definitely offers something special! In my experience, the tax benefits alone can be a huge draw for people looking to relocate. Add in the proximity to Boston and the quality of life, and it's easy to see why Manchester is so popular.

The Top 20 Hottest Housing Markets: January 2025

Here's a rundown of the top 20 markets, according to Realtor.com:

Rank Metro Hotness Rank YoY Median List Price
1 Manchester, NH 0 $579,000
2 Hartford, CT -6 $408,000
3 Kenosha, WI -4 $335,000
4 Norwich, CT -2 $384,000
4 Worcester, MA 1 $527,000
6 Concord, NH -13 $541,000
7 Rockford, IL -11 $235,000
8 Lancaster, PA -2 $409,000
9 Providence, RI -8 $521,000
10 Rochester, NY 9 $258,000
11 Milwaukee, WI -10 $363,000
12 Racine, WI -13 $335,000
13 Springfield, MA 9 $328,000
14 Reading, PA -13 $330,000
15 Boston, MA 0 $799,000
16 Peoria, IL -28 $143,000
17 Bloomington, IL -172 $291,000
18 Toledo, OH -4 $220,000
19 Oshkosh, WI 14 $305,000
20 Canton, OH -9 $237,000

Data: Realtor.com

Several cities on this list also deserve a closer look:

  • Hartford, CT: Ranking second, Hartford saw particularly high listing views per property, exceeding the national median by over four times.
  • Bloomington, IL: This city made its debut in the top 20, showing significant growth in popularity from within the top 50 markets.
  • Boston, MA: Boston is a major metropolitan city with top educational institutions

What strikes me about this list is the strong presence of smaller to mid-sized cities in the Northeast and Midwest. This suggests that people are increasingly drawn to areas offering a balance of affordability, opportunity, and quality of life outside of major urban centers.

Regional Trends: Northeast and Midwest Dominate

For 16 months straight, the Northeast and Midwest have held the most spots on the Hottest Housing Markets list. Hannah Jones explains that this trend started around mid-2022 when mortgage rates began to rise. This suggests that buyers may be prioritizing affordability and value, which these regions often offer.

The real estate market is always influenced by economic factors like mortgage rates. When rates go up, people often look to areas where their money can go further.

Price Trends: Hot Markets See Slight Increases

Nationally, home prices fell by 2.2% year-over-year in January. However, the hottest markets saw a slight price increase of 1.5%. Demand in these hot markets was almost three times the national level, proving that high demand can still drive up prices even in a softening market.

In Manchester, for instance, the median list price rose by nearly 2.5% year-over-year. This shows that even though the national trend is downward, these high-demand areas are resisting that trend to some extent.

Inventory Challenges Persist

While the national increase in active listings was around 24.6% year-over-year, the hottest markets only saw an average increase of 12.7%. This indicates that inventory remains a significant challenge in these areas.

Even with the increase, the hottest markets had only about half the number of homes for sale in January compared to pre-pandemic levels. This is a much steeper decline than the national average, which is just under 25%.

These low inventory levels are a major factor in driving up competition and keeping homes selling quickly in these markets. It’s a tough situation for buyers, as there are fewer options and more people vying for the same properties.

Cooling Markets: Where's the Shift?

While the Northeast and Midwest are heating up, some Southern and Western markets are cooling down. Cities like Spokane, WA; Savannah, GA; and Rocky Mount, NC have seen the most significant declines in popularity.

This shift could be due to a variety of factors, including changing economic conditions, shifting demographics, and perhaps even a return to normalcy after the pandemic-fueled boom in certain areas. It's important to remember that real estate is local, and what's happening in one region may not be reflected in another.

Large Markets Showing Improvement

The 40 largest U.S. markets cooled by an average of seven spots in the hotness ranking compared to last year. However, they still drew 13.3% more views per listing than typical. Homes in these areas also spent nine fewer days on the market, despite list prices shrinking by 1.4%.

Cities like Philadelphia, New York City, and Kansas City, MO saw the biggest improvements in their hotness rankings among large cities. This suggests that these markets are starting to adjust to subdued buyer demand by lowering prices and offering more affordable options.

This is good news for buyers in these larger markets, as it indicates that they may have more negotiating power and a wider selection of homes to choose from.

Navigating the Hottest Markets: Tips for Buyers

If you're looking to buy in one of these hot markets, here are a few tips to keep in mind:

  • Get Pre-Approved: This shows sellers you're a serious buyer and can move quickly.
  • Work with a Local Agent: An agent who knows the market inside and out can be invaluable.
  • Be Prepared to Act Fast: Homes in these markets don't stay on the market for long, so be ready to make a quick decision.
  • Consider New Construction: As Hannah Jones mentioned, new construction can offer attractive prices and incentives.
  • Be Flexible: You may need to compromise on some of your wish-list items to find a home that fits your budget and needs.

Looking Ahead: What's Next for the Housing Market?

Predicting the future of the housing market is always tricky, but a few trends seem likely to continue:

  • Affordability will remain a key concern: As long as interest rates remain elevated, affordability will be a major factor for buyers.
  • Inventory will continue to be a challenge: The lack of available homes is likely to persist in many markets, particularly the hottest ones.
  • Regional differences will continue: The housing market is not a monolith, and different regions will experience different trends.

The housing market in 2025 is dynamic, with certain areas experiencing robust demand and others cooling off. It's crucial for both buyers and sellers to stay informed and work with experienced professionals who can help them navigate the complexities of their local market. I believe that understanding these trends and adapting to the changing conditions is key to making smart real estate decisions.

Work with Norada in 2025, Your Trusted Source for

Real Estate Investment in the Country

Discover high-quality, ready-to-rent properties designed to deliver consistent returns.

Contact us today to expand your real estate portfolio with confidence.

Contact our investment counselors (No Obligation):

(800) 611-3060

Get Started Now

Recommended Read:

  • Top 20 Hottest Housing Markets Predicted for 2025
  • Top 10 Hottest Housing Markets Where Home Prices Are Soaring
  • 5 Hottest Real Estate Markets for Buyers & Investors in 2025
  • Hottest Real Estate Markets in Maine: Top Locations
  • The Hottest Housing Markets in Seattle Area
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market Tagged With: 2025 Forecast, Hottest Housing Markets, Housing Market, real estate, Top Housing Markets

Top 10 Housing Markets for 2025: Zillow’s Predictions

January 20, 2025 by Marco Santarelli

Top 10 Housing Markets for 2025: Zillow's Predictions

If you're trying to pinpoint where the real estate action will be in 2025, look no further! According to Zillow’s analysis, the hottest housing markets for 2025 will be largely concentrated in the Northeast and Midwest, with Buffalo, NY topping the list again. These markets stand out due to their mix of relative affordability, job growth, and a fast pace of sales. In some cases, homes are selling within a week, far outpacing the national average. Let’s break down why these particular areas are poised for continued strength.

Top 10 Housing Markets for 2025: Zillow's Predictions

Why These Markets Are Heating Up

When Zillow crunched the numbers for its 2025 list, they looked at more than just prices. The analysis centered on several key factors:

  • Home Value Growth: This measures how much home values are projected to increase. It's not always about the biggest jump, but rather sustainable, steady growth.
  • Projected Change in Owner-Occupied Households: This gives a glimpse into future demand. More households means more people looking for homes.
  • Job Growth vs. New Construction: A vibrant job market attracts new residents, but if there aren't enough new homes being built, competition will surge, which can put upward pressure on home prices.
  • Speed of Sales: This looks at how quickly homes are going from listed to pending sale. Fast sales are a sign of high demand.

These factors working in combination reveal areas that not only are desirable now, but are predicted to maintain that momentum. The fact that only four cities from last year's list have remained shows a clear shift in market dynamics, further highlighting the importance of staying on top of these changes.

The Top 10: A Closer Look

Here are the 10 metros Zillow has identified as the hottest for 2025:

Rank Metro Area Expected Home Value Growth (2025) Typical Home Value (2025) Days to Pending Sale
1 Buffalo, NY 2.8% $267,878 12 days
2 Indianapolis, IN N/A $285,086 14 days
3 Providence, RI 3.7% N/A 12 days
4 Hartford, CT 4.2% $378,693 7 days
5 Philadelphia, PA 2.6% N/A 11 days
6 St. Louis, MO 1.9% $254,847 8 days
7 Charlotte, NC 3.2% $389,383 20 days
8 Kansas City, MO 2.7% $307,334 9 days
9 Richmond, VA 2.9% N/A 9 days
10 Salt Lake City, UT 2.3% $555,858 19 days
10 Hottest Housing Markets in 2025: Latest Predictions
Source: Zillow

Let's Go Through Each City:

1. Buffalo, NY: Buffalo is a repeat champion. The city's resilience, its unique blend of urban living and natural wonders like nearby Niagara Falls, and its relatively affordable homes, continue to attract people. While growth is expected to slow slightly, the market is still competitive with homes going off the market in just 12 days. I’ve always been intrigued by Buffalo. It has a very appealing ‘comeback’ feel to it, like it is really figuring things out as a city, and people want to be a part of that.

2. Indianapolis, IN: I am surprised to see this area on the list, to be honest. But a waterfront city, with its central location and a strong job market, particularly in the pharmaceutical sector with Eli Lilly's presence, are likely the contributing factors to the city’s increasing popularity. Homes in Indianapolis move pretty fast, averaging two weeks to pending sale. While this is slightly tilting towards buyers’ side, it still is a very fast pace.

3. Providence, RI: This city beautifully blends history, arts, and education. It seems the charm of its waterfront parks, and the presence of Brown University and the Rhode Island School of Design, are a huge draw. 12 days is all that it takes for homes here to get sold.

4. Hartford, CT: The city’s home values are forecasted to have the highest growth on this list, at 4.2%, although this is actually slower than last year's whopping 7.4% jump. With homes flying off the market in an average of just 7 days, potential buyers need to have their financing squared away ahead of time. I think the fact that it is close to other major cities in the region is also a factor.

5. Philadelphia, PA: Philly is a city with a deep historical presence and walkability. While the market isn’t quite as blazing hot as last year, a 2.6% growth forecast and homes going pending in 11 days means buyers still need to be ready to act quickly. Philly is a cool place; I can totally see why people want to live there.

6. St. Louis, MO: Affordability remains a key draw for St. Louis, especially for first-time buyers. With the lowest typical home value on the list at $254,847, its 1.9% growth forecast is a modest jump, while homes get sold in about 8 days. It also feels like a great city to live in.

7. Charlotte, NC: Charlotte, known as the “Queen City,” has a lot going for it: warm weather, lots of sports teams, and a growing population. A projected 3.2% increase in home values combined with a 20-day average to sale shows a pretty competitive market. Personally, I have always thought Charlotte was an underrated city.

8. Kansas City, MO: A place of culture, known for its barbecue, musical history, and stunning fountains, Kansas City is projected to see a 2.7% home value increase and an average sale time of just 9 days. Kansas City's historic vibe, combined with affordability, can definitely make it a hotspot for many people.

9. Richmond, VA: The historic capital of Virginia offers a rich social scene, dining, and arts. Buyers will need to be on their toes, as homes are selling quickly in an average of 9 days. The city’s market is forecast to grow by 2.9%. I think there is a certain charm to Richmond that can be very appealing.

10. Salt Lake City, UT: Salt Lake City makes it on the list due to its proximity to outdoor activities, especially skiing. With an average home value of $555,858, it is the most expensive market on the list. 19 days is the average sale time in this area, and home values are expected to jump by 2.3%. The surrounding mountains make for an amazing view from anywhere in the city.

Recommended Read:

10 Cities Where Home Prices Were Rising Fast in 2024: Buffalo Topped List!

What This Means for Buyers and Sellers

If you’re looking to buy in one of these hot markets, here are a few tips:

  • Get Pre-Approved: In a competitive market, knowing your budget and having pre-approval for a mortgage is critical. Be ready to make offers as soon as you find a house you love.
  • Don't Wait: If you are a buyer, you have to be ready to make your move fast in these locations.
  • Work With a Local Expert: A real estate agent who knows the local market can help you navigate the fast-paced market.
  • Be Prepared for Bidding Wars: In many of these markets, homes sell faster, so do expect a bidding war.

If you're a seller in one of these areas, consider:

  • Price Strategically: Don't overprice your home, but do price competitively. Look at comps and have your realtor advise you.
  • Get Your Home Ready: Make sure your home is clean, tidy, and shows well. First impressions count, and you might only get one shot with the fast turnaround times.
  • Be Patient: Even in hot markets, it is important to have patience and work with a trusted agent.

My Thoughts

As someone who has followed housing trends for a while now, what strikes me is that the hottest markets are changing, and it's not just about the big coastal hubs anymore. There's a lot of appeal in mid-sized cities in the Northeast and Midwest, offering a blend of affordability, good career opportunities, and a high quality of life. What I am seeing is that the appeal of these cities stems from their history, charm, and affordability, not just being a good financial deal.

It is hard to say what the future holds, but, one thing is clear, staying informed is key in this ever-changing real estate market. Whether you are a buyer or a seller, these cities are definitely places to keep on your radar for 2025.

Work with Norada in 2025, Your Trusted Source for

Turnkey Real Estate Investing

Discover high-quality, ready-to-rent properties designed to deliver consistent returns.

Contact us today to expand your real estate portfolio with confidence.

Contact our investment counselors (No Obligation):

(800) 611-3060

Get Started Now

Recommended Read:

  • 5 Hottest Real Estate Markets for Buyers & Investors in 2025
  • 10 Hottest Housing Markets Predicted for 2025: Sun Belt Boom
  • Top 20 Hottest Housing Markets Predicted for 2025
  • 68 Housing Markets Where Prices Have Doubled the Fastest
  • Hottest Real Estate Markets in Maine: Top Locations
  • The Hottest Housing Markets in Seattle Area
  • Top 10 Hottest Real Estate Markets in the World
  • Zillow’s Predictions for the Hottest Housing Markets of 2024

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Hottest Real Estate Markets, Housing Market, real estate, Top 10 Housing Markets for 2025

10 Hottest Housing Markets Predicted for 2025: Sun Belt Boom

January 7, 2025 by Marco Santarelli

10 Hottest Housing Markets Predicted for 2025: Sun Belt Boom

Are you curious about where the hottest housing markets predicted for 2025 are? Well, get ready to discover some amazing opportunities. Realtor.com forecasts that some markets across the country are poised for significant growth in both home sales and prices in 2025.

These markets, largely concentrated in the South and West, are seeing a combination of factors like increased inventory, younger populations, and government-backed mortgage programs that are fueling the surge in homeownership. Let's dive in and uncover the secrets to why these locations are being touted as the hottest housing markets for the coming year!

10 Hottest Housing Markets Predicted for 2025

The Sun Belt Reigns Supreme: Why These Areas Are Booming

Having analyzed the 100 largest metropolitan areas across the US, Realtor.com predicts that the hottest housing markets predicted for 2025 will be predominantly in the Sun Belt region. This region has been experiencing a surge in popularity, driven by a multitude of factors, including a favorable climate, lower cost of living, and a strong job market in many sectors. The South and West have emerged as prominent locations for new construction, which helps boost inventory levels. Also, these regions have attracted a younger demographic, which is a key driver of housing demand.

I believe that the Sun Belt's appeal is multifaceted. It's no secret that people are increasingly drawn to areas with a mild climate. Who wouldn't want to spend less time shoveling snow and more time enjoying the outdoors? This weather advantage has been a major pull factor for those looking to escape colder climates. Furthermore, many Sun Belt locations offer a significantly lower cost of living compared to traditional hotspots on the coasts. This makes it much easier for younger families and first-time homebuyers to realize the dream of homeownership.

Top 10 Metropolitan Areas for 2025

The hottest housing markets predicted for 2025 are primarily situated in the South and West. Realtor.com has ranked these markets based on their projected combined growth in both home sales and price. Here are the top 10 metropolitan areas:

Rank CBSA Title 2025 Existing Home Sale Counts Year-over-Year 2025 Existing Home Sale Counts vs 2017–19 Average 2025 Existing Home Median Sale Price Year-over-Year 2025 Existing Home Median Sale Price vs 2017–19 Average Combined 2025 Existing Home Sales and Price Growth
1 Colorado Springs, CO 27.1% -5.6% 12.7% 88.9% 39.8%
2 Miami-Fort Lauderdale-West Palm Beach, FL 24.0% -0.7% 9.0% 100.5% 33.0%
3 Virginia Beach-Norfolk-Newport News, VA-NC 23.4% 24.5% 6.6% 57.3% 29.9%
4 El Paso, TX 19.3% 1.3% 8.4% 71.1% 27.8%
5 Richmond, VA 21.6% 31.7% 6.1% 68.8% 27.6%
6 Orlando-Kissimmee-Sanford, FL 15.2% 32.1% 12.1% 82.6% 27.3%
7 McAllen-Edinburg-Mission, TX 19.8% 18.4% 7.0% 47.5% 26.8%
8 Phoenix-Mesa-Scottsdale, AZ 12.2% 19.1% 13.2% 76.1% 25.5%
9 Atlanta-Sandy Springs-Roswell, GA 15.1% -7.7% 10.2% 51.9% 25.3%
10 Greensboro-High Point, NC 17.3% 11.0% 7.7% 51.6% 25.0%

Key Factors Driving These Housing Markets:

Several key factors are contributing to the projected growth in these markets:

1. Improved Housing Inventory:

Nationally, the housing market is witnessing a slow but steady recovery in inventory levels. This recovery is more pronounced in the South and West, particularly in the hottest housing markets predicted for 2025. The increase in inventory is partly due to new construction, which has been actively responding to the demand for more homes. In many of these markets, builders are responding to affordability concerns by focusing on smaller homes. In half of the hottest housing markets predicted for 2025, new home construction prices have fallen in the past year.

I personally believe that the focus on smaller homes is a clever move by developers. It helps make homeownership more attainable for a broader segment of the population. This strategy also helps address the shifting preferences of buyers who might be prioritizing smaller footprints over larger, more extravagant homes.

2. New Construction and Existing Home Sales:

New construction is playing a vital role in these hottest housing markets predicted for 2025. Eight of the top 10 metros saw a year-over-year increase in the number of single-family home permits issued. This is crucial because the majority of new multi-family units are likely to be rentals, whereas single-family homes are mostly purchased by owner-occupants. However, new construction isn't the only driver of improved inventory. The recovery of the existing home market is also contributing to the increased number of homes available for sale. This creates a healthy balance for buyers, as they have a wider choice of both new and existing homes to consider.

3. Attracting Younger Families and Military Personnel:

The hottest housing markets predicted for 2025 are attracting a younger demographic. Most of these markets have a higher-than-average proportion of households with individuals under the age of 35. They also over-index in households in the 35-54 age group. This younger demographic is often associated with family formation, leading to a higher demand for homes. Many of these markets also have a higher than average share of households with children. Furthermore, these markets are home to a significant number of military personnel, including active duty and veterans.

I think this trend toward younger populations and military presence is significant. Younger families are typically more mobile and open to relocating to different areas for better job opportunities or a more affordable cost of living. Military households also tend to be more transient, as they might move frequently due to reassignments. These factors can influence the stability and dynamism of the local housing markets. Also, the availability of VA loans for military personnel and veterans plays a key role in making homeownership more accessible.

4. International Connections and a Growing Global Community:

Many of the hottest housing markets predicted for 2025 have a substantial number of foreign-born residents. This international connection can impact the housing market in several ways. It contributes to a more diverse and vibrant community. The presence of international residents and the appeal of these markets to international homebuyers can drive up demand and prices in some cases. For example, the international viewership of listings in El Paso and McAllen is 5 to 6 times higher than the average for the top 100 metros, demonstrating a clear interest from international buyers.

5. Government-Backed Mortgage Programs:

Government-backed mortgages such as VA, FHA, and USDA loans are more common in the hottest housing markets predicted for 2025. This is beneficial for buyers because these programs often allow for lower down payments. The ability to secure a mortgage with a lower down payment reduces the financial barrier to entry for many aspiring homeowners.

6. Affordability and Flexible Work Arrangements:

While affordability is a persistent challenge nationwide, the hottest housing markets predicted for 2025 tend to have a somewhat lower cost of living compared to the national average. This, coupled with the increasing adoption of flexible work arrangements, has made these areas more appealing to buyers. Many of these markets have a higher share of online or hybrid job postings, which gives people more flexibility in where they choose to live and work.

I find it compelling that the trend of remote work is playing a significant role in shaping the housing market. People no longer need to be tied to a particular location for work, which gives them the ability to select a location that aligns with their preferences and budget. This ability to pursue flexible work opportunities has opened up a wide range of possibilities for people who might not have considered relocating to the Sun Belt before.

Exploring the Hottest Housing Markets of 2025 in More Depth:

Colorado Springs, CO

  • Strong job growth, primarily in the aerospace and defense industries, is driving a steady influx of young professionals and families.
  • The presence of the United States Air Force Academy and Fort Carson military base has contributed to a high concentration of military households, leading to a notable presence of VA loans.
  • Relatively lower cost of living compared to other major Colorado cities.
  • Outdoor recreation opportunities, including stunning mountain views and nearby hiking trails, make it a desirable location for those who enjoy an active lifestyle.

Miami-Fort Lauderdale-West Palm Beach, FL

  • Booming tourism industry, a vibrant arts and culture scene, and a diverse population attract a global influx of residents.
  • International appeal, due to its location and strong ties to Latin America and other global regions, has boosted housing demand.
  • Strong economy, with growth in sectors like finance, technology, and healthcare.
  • Beautiful beaches and a year-round warm climate are major draws for both domestic and international buyers.

Virginia Beach-Norfolk-Newport News, VA-NC

  • Significant military presence, including the world's largest naval base, and a strong connection to the defense industry, contribute to stable housing demand and a notable share of VA loans.
  • Relatively affordable housing costs compared to the Washington, DC area.
  • Access to beaches and outdoor recreation make it a desirable place to live.
  • Growing technology sector and a diversified economy.

El Paso, TX

  • A relatively low cost of living, compared to other Texas cities and the national average, makes it attractive to first-time homebuyers and families.
  • Strong presence of military personnel and a large international community, particularly from Mexico, drive demand.
  • Proximity to the border with Mexico provides unique economic opportunities and fosters cross-border cultural exchanges.
  • A growing economy with job opportunities in sectors like healthcare, logistics, and manufacturing.

Richmond, VA

  • A thriving historical and cultural center, with a rich history and a growing arts scene.
  • A relatively affordable cost of living, particularly compared to Northern Virginia and Washington, DC.
  • Strong job market in sectors like finance, healthcare, and technology.
  • Easy access to outdoor recreation and a convenient location for those who might work in the Washington, DC area.

Orlando-Kissimmee-Sanford, FL

  • World-renowned theme parks, a major tourist destination, and a thriving entertainment industry draw a considerable number of visitors and residents.
  • Favorable climate, with warm weather year-round, attracts people seeking a sunny lifestyle.
  • Growing economy with job opportunities in various sectors.
  • Access to lakes, parks, and other outdoor recreation areas.

McAllen-Edinburg-Mission, TX

  • Extremely affordable housing, with one of the lowest housing costs in the country.
  • A high percentage of homeowners own their homes outright without a mortgage, making the market less affected by mortgage rate fluctuations.
  • A large Hispanic population and close proximity to Mexico create a distinct cultural and international connection.
  • A growing economy with opportunities in healthcare and agriculture.

Phoenix-Mesa-Scottsdale, AZ

  • Mild weather and a strong outdoor lifestyle appeal to those seeking a sunny climate and abundant outdoor recreation.
  • A growing economy, particularly in the tech sector, attracts young professionals and families.
  • Relatively affordable housing costs, especially when compared to other major Arizona cities.
  • A vibrant arts and culture scene and diverse population make it an attractive destination.

Atlanta-Sandy Springs-Roswell, GA

  • A major transportation hub and a strong economy, with a diverse job market across various industries.
  • A relatively low cost of living, compared to other major Southeastern cities.
  • A thriving culinary scene, vibrant arts and culture, and a welcoming atmosphere for newcomers.
  • Easy access to nature and outdoor recreation with nearby parks and the Appalachian Mountains.

Greensboro-High Point, NC

  • An affordable cost of living and a lower than average housing price point make it an attractive destination for first-time homebuyers.
  • A diverse and growing economy with opportunities in various sectors, including manufacturing, healthcare, and education.
  • Convenient location with easy access to major cities like Charlotte and Raleigh.
  • A strong sense of community and a comfortable suburban lifestyle.

Looking Ahead: Opportunities and Challenges

While the hottest housing markets predicted for 2025 hold enormous promise, it is important to acknowledge that they also face challenges. These markets, like many others across the country, are grappling with issues like rising inflation, supply chain disruptions, and a tight labor market. However, their unique advantages, including strong job markets, increased inventory, and government-backed mortgage programs, seem to be well-positioned to navigate the challenges ahead.

I believe that these markets will continue to attract both domestic and international buyers in the coming years. The strong fundamentals, including favorable demographic trends and a healthy supply of new housing, are a recipe for ongoing growth and development. However, potential buyers should conduct thorough research and due diligence before making any decisions.

Final Thoughts

The hottest housing markets predicted for 2025 are set to become the focal points for real estate investment and growth in the coming years. The Sun Belt region, with its appealing lifestyle, affordability, and government-backed programs, appears to be poised for significant growth. These markets are drawing in younger families, military personnel, and international buyers, creating a dynamic and evolving real estate environment.

Partner with Norada, Your Trusted Source for Turnkey Investment Properties

Discover high-quality, ready-to-rent properties designed to deliver consistent returns. Contact us today to expand your real estate portfolio with confidence.

Reach out to our investment counselors:

(949) 218-6668 | (800) 611-3060

Contact Us Today

 

Recommended Read:

  • 5 Hottest Real Estate Markets for Buyers & Investors in 2025
  • Hottest Real Estate Markets in Maine: Top Locations for 2024
  • 20 Hottest Housing Markets in the US – September 2024
  • The Hottest Housing Markets in Seattle Area (2024)
  • America's 20 Hottest Housing Markets: July 2024 Rankings
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • Zillow’s Predictions for the Hottest Housing Markets of 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Hottest Real Estate Markets, Housing Market, investment opportunities, real estate

Colorado Springs Will be the Hottest Housing Market in 2025

December 12, 2024 by Marco Santarelli

Colorado Springs Will be the Hottest Housing Market in 2025

Are you looking for the next big real estate opportunity? Colorado Springs is predicted to be the hottest housing market in 2025, according to a recent forecast by Realtor.com. This vibrant city in the heart of Colorado is projected to experience significant growth in both home sales and prices, making it a prime location for buyers and investors. Let's delve deeper into the reasons behind this prediction and explore what makes Colorado Springs such a desirable place to live.

Colorado Springs Housing Market to Boom in 2025

I've been following the real estate industry for a while now and the forecasts from reliable sources like Realtor.com are always interesting. For their 2025 National Housing Forecast, they ranked the 100 largest metropolitan areas based on their predicted growth in both home sales and prices. They identified several key factors influencing their predictions, and these factors seem to be especially favorable for Colorado Springs and other cities in the South and West.

Based on their study, these are some of the key factors that suggest a strong housing market in 2025:

  • Stronger Sales and Price Growth: Some areas in the country, particularly in the Sun Belt, are expected to experience far stronger growth than the national average.
  • Improved Housing Inventory: With mortgage rates potentially stabilizing and homebuilders increasing production, the housing inventory situation is gradually improving.
  • Regional Concentration: The top 10 markets for 2025 are clustered in the South and West, highlighting a growing demand in these areas.
  • Younger Populations: These markets tend to have a larger share of young families and individuals, boosting demand for housing.
  • Military and International Connections: In several top markets, there's a significant presence of military families and international residents, further impacting the real estate dynamics.
  • Government-Backed Loan Programs: The availability of programs like VA and FHA loans makes it easier for certain populations to buy homes in these markets, leading to increased homeownership.
  • Relative Affordability: Many of these markets, while not necessarily ultra-cheap, are more affordable compared to other parts of the country.
  • Flexible Work Arrangements: The shift towards remote and hybrid work has made these markets more attractive for those seeking a better work-life balance and lower living costs.

Why Colorado Springs Stands Out

While the Sun Belt in general is projected to experience significant growth in 2025, Colorado Springs is particularly noteworthy. I find it fascinating that it's predicted to be the hottest of all the markets. The factors that drive this prediction include:

  • Stronger Growth in Sales and Prices: Realtor.com forecasts a 27.1% year-over-year increase in existing home sales in Colorado Springs for 2025. Moreover, the median sale price is predicted to rise by 12.7%. These numbers are quite substantial and indicate a very robust market.
  • Military Presence: Colorado Springs has a significant presence of military personnel and veterans, with the share of households connected to the military being around 31.4%. This translates to a strong demand for housing due to frequent relocations and the presence of VA loan benefits.
  • Relatively Affordable Housing: Colorado Springs, compared to other areas in the state, like Denver, offers more affordable housing, which attracts a wider range of buyers, especially those seeking a good value for their money. This factor is further highlighted by the relative affordability when combined with government-backed loans that offer lower down payment requirements.
  • Outdoor Recreation and Lifestyle: Colorado Springs is renowned for its stunning natural beauty, surrounded by mountains and offering ample opportunities for hiking, biking, and outdoor activities. This lifestyle aspect is incredibly attractive to those who want a healthy and adventurous lifestyle.
  • Growing Economy: Colorado Springs is experiencing economic growth in sectors like aerospace, healthcare, and tourism. The stable and growing job market plays a crucial role in drawing in both residents and businesses, which in turn drives up housing demand.
  • Stronger Inventory: The forecast suggests that Colorado Springs may be nearing its pre-pandemic inventory levels, which implies that buyers may have more options compared to the recent past. New construction also plays a role in adding more inventory, creating a healthy market dynamic.
  • Good Schools: The quality of education is important to many families, and Colorado Springs boasts a strong educational system with highly rated schools. This is a crucial element for families with school-aged children.

The Impact of Government-Backed Mortgages

The availability of government-backed loan programs like VA loans is a significant factor contributing to Colorado Springs’ projected success. I've personally interacted with many homebuyers who have benefited from these programs. I see that they are especially helpful for:

  • Military Families: VA loans are a lifeline for many service members and veterans, especially those who are transitioning out of the military and looking to establish a new life.
  • First-Time Homebuyers: For those without substantial savings for a down payment, VA and FHA loans can be incredibly helpful in achieving homeownership.
  • Lower-Income Households: Government-backed mortgages can reduce the barrier to homeownership for households that might otherwise find it challenging to qualify for a conventional loan.

In Colorado Springs, the presence of VA loans, coupled with relatively lower home prices, means that the typical down payment needed is often significantly less than the national average. This advantage makes homeownership more attainable for more people, which in turn drives the housing market.

The Role of Flexible Work Arrangements

In the post-pandemic world, the ability to work remotely or in a hybrid model has drastically changed the dynamics of where people choose to live. I see it every day in my real estate practice. Colorado Springs has been fortunate enough to have a higher than average share of remote and hybrid job postings, which is attractive to people who don't necessarily have to be tethered to a specific location for their jobs.

The combination of affordability and a good quality of life, coupled with remote job opportunities, makes the city a great choice for those who wish to escape the hustle and bustle of larger metropolitan areas while still maintaining a fulfilling career.

Challenges and Considerations

While Colorado Springs presents a positive outlook for 2025 and beyond, potential buyers and investors should be aware of some challenges and considerations.

  • Rising Interest Rates: Although mortgage rates have started to decline, they are still relatively high compared to the past few years. This can affect affordability, especially for buyers with tighter budgets.
  • Inflation: Inflationary pressures can impact the cost of living and construction materials, potentially putting upward pressure on home prices.
  • Competition: With Colorado Springs gaining popularity, competition among buyers can be high, which could make it challenging to secure a desired property.
  • Limited Inventory in Certain Segments: Although inventory is recovering, certain segments of the market might still have limited supply, especially in the lower price ranges.
  • Water Resources: Being in the West, water resources are a concern that should be considered when buying a home, especially when looking at properties in drier regions.

The Future of Colorado Springs Real Estate

In my opinion, the future of real estate in Colorado Springs looks bright. The factors that are driving the growth seem to be pretty solid. I anticipate that it will continue to be a magnet for buyers and investors, leading to healthy growth in the coming years.

The factors that make Colorado Springs attractive—the combination of affordability, great lifestyle, strong economy, outdoor recreation, and a significant military presence—appear to be durable characteristics. I personally believe that these will continue to drive demand in the years to come.

Tips for Buyers and Investors

  • Get Pre-Approved for a Mortgage: Having a pre-approval letter in hand will demonstrate to sellers that you're a serious buyer and give you a head start.
  • Work with a Local Real Estate Agent: A knowledgeable agent can provide valuable insights into the local market, assist in your search for suitable properties, and guide you through the buying process.
  • Research Neighborhoods: Different neighborhoods in Colorado Springs have distinct characteristics, such as price points, school districts, and amenities. Do your homework to ensure the neighborhood aligns with your needs and preferences.
  • Stay Informed About Market Trends: The real estate market is dynamic, so stay up-to-date on market trends and changes in interest rates.
  • Be Prepared to Act Quickly: In a competitive market like Colorado Springs, you might need to act quickly to make an offer on a property.
  • Consider New Construction: New construction can offer a variety of benefits, such as modern amenities, energy efficiency, and warranties.
  • Look at Government-Backed Loans: Explore VA, FHA, and USDA loans if you're eligible. These loans can make it easier to afford a home.

I believe the combination of a strong local economy, attractive lifestyle, and government-backed loan programs positions Colorado Springs for continued real estate growth. If you're considering a move to the area, or are simply looking for a good investment opportunity, Colorado Springs is certainly worth a look.

Realtor.com's 2025 Housing Forecast Top 10 Markets

Rank CBSA Title 2025 Existing Home Sale Counts Year-over-Year 2025 Existing Home Sale Counts vs 2017–19 Average 2025 Existing Home Median Sale Price Year-over-Year 2025 Existing Home Median Sale Price vs 2017–19 Average Combined 2025 Existing Home Sales and Price Growth
1 Colorado Springs, Colo. 27.1% -5.6% 12.7% 88.9% 39.8%
2 Miami-Fort Lauderdale-West Palm Beach, Fla. 24.0% -0.7% 9.0% 100.5% 33.0%
3 Virginia Beach-Norfolk-Newport News, Va.-N.C. 23.4% 24.5% 6.6% 57.3% 29.9%
4 El Paso, Texas 19.3% 1.3% 8.4% 71.1% 27.8%
5 Richmond, Va. 21.6% 31.7% 6.1% 68.8% 27.6%
6 Orlando-Kissimmee-Sanford, Fla. 21.1% 23.6% 7.0% 60.4% 28.1%
7 McAllen-Edinburg-Mission, Texas 17.4% 23.6% 7.0% 60.4% 24.4%
8 Phoenix-Mesa-Scottsdale, Ariz. 18.0% 8.5% 7.2% 76.2% 25.2%
9 Atlanta-Sandy Springs-Roswell, Ga. 19.6% 23.6% 5.3% 59.0% 24.9%
10 Greensboro-High Point, N.C. 17.3% 16.6% 5.4% 61.5% 22.7%

 

Partner with Norada, Your Trusted Source for Turnkey Investment Properties

Discover high-quality, ready-to-rent properties designed to deliver consistent returns. Contact us today to expand your real estate portfolio with confidence.

Reach out to our investment counselors:

(949) 218-6668 | (800) 611-3060

Contact Us Today

 

Recommended Read:

  • Colorado Springs Housing Market Predictions 2025: Prices Will Drop
  • Colorado Housing Market Predictions 2025: Will Prices Fall?
  • Top 20 Hottest Housing Markets Predicted for the Next Year [2025]
  • 10 Hottest Housing Markets Predicted for 2025: Sun Belt Boom
  • 5 Hottest Real Estate Markets for Buyers & Investors in 2025
  • Hottest Real Estate Markets in Maine: Top Locations for 2024
  • Top 10 Hottest Real Estate Markets in the World
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Colorado, Colorado Springs, Hottest Housing Markets, Hottest Real Estate Markets, Housing Market, investment opportunities, real estate

Top 20 Most Affordable Housing Markets in America in 2024

October 24, 2024 by Marco Santarelli

Top 20 Most Affordable Housing Markets in America in 2024

Looking for a place to buy a home without emptying your savings account? Finding the 20 most affordable housing markets in Fall 2024 is a great first step! The housing market can be a wild ride, but some areas offer incredible value. Let's dive into where you can find amazing deals on homes this fall.

Why Now is a Great Time to Buy in Affordable Markets

The real estate market is always shifting, but right now, many buyers are finding significant advantages in more affordable housing areas. Interest rates, while still higher than in recent years, might be starting to stabilize. This, combined with the lower home prices in these markets, could make for a seriously sweet deal for smart homebuyers.

I've spent years in the real estate game, and my advice is to always do your research. What might seem like a “cheap” home in a struggling area might actually end up costing you more in the long run due to higher taxes, poor schools, or limited job opportunities. But done right, you can find some incredible value.

This article focuses on affordability, factoring in not only the median home price but also wider economic factors to offer a holistic view. Think of it as your personal guide to navigating the most affordable housing markets of 2024.

The Top 20 Most Affordable Housing Markets: A Detailed Look

This data comes directly from the Wall Street Journal/Realtor.com® Housing Market Ranking in September 2024, so you know it's reliable information. Remember, these prices are median list prices, and the actual price you pay can vary.

Rank City, State Median Home List Price Notable Factors
1 Canton, OH $259,000 Home of the Pro Football Hall of Fame; lower competition, faster sales
2 Akron, OH $230,000 Close proximity to larger cities like Cleveland; relatively affordable overall
3 Milwaukee, WI $390,000 Larger city with more amenities, but still relatively affordable compared to national averages
4 Manchester, NH $563,000 Higher price point, but still within the top 20 overall
5 Kalamazoo, MI $360,000 Offers a mix of urban and suburban living, strong job market
6 Springfield, MA $393,000 Historic city with a blend of old and new, growing job market
7 Rockford, IL $223,000 Lowest median home price in the top 20; strong value
8 Worcester, MA $525,000 Higher price than many others, but still on the list
9 Ann Arbor, MI $509,000 College town with a vibrant culture and higher cost of living than many on this list
10 Lancaster, PA $403,000 Rich history, charming downtown, growing economy
11 South Bend, IN $264,000 Home of Notre Dame, attractive to families and students
12 Fort Wayne, IN $308,000 Growing economy, good job market, family-friendly environment
13 Dayton, OH $250,000 Affordable housing, strong job market
14 Erie, PA $240,000 Lake Erie access, affordable cost of living
15 Hartford, CT $412,000 State capital, more expensive compared to other markets on the list
16 Columbus, OH $377,000 Large city with a strong economy, higher cost of living than some on the list
17 Burlington, VT $499,000 Beautiful natural setting, higher cost of living
18 Rochester, NY $283,000 Strong job market in various sectors, diverse neighborhoods
19 Toledo, OH $237,000 Affordable housing, significant industrial heritage
20 Appleton, WI $416,000 Charming city with a vibrant downtown, good schools

Why the Midwest is Winning

As you can see from the list above, the Midwest absolutely dominates the top 20 most affordable housing markets. Why? Several factors contribute:

  • Lower Cost of Living: Generally speaking, the Midwest boasts a lower overall cost of living than coastal areas. This includes everything from groceries and transportation to taxes and utilities.
  • Less Competition: The lower demand compared to hotter markets translates to less competition amongst buyers. This means you might have a better shot at a successful offer, or be able to negotiate a lower price.
  • Lower Climate Risk: Recent climate events have made people re-think where they want to live. The Midwest generally faces lower risks from hurricanes, wildfires, and other natural disasters compared to coastal regions. This added peace of mind is a major selling point for many buyers.

Things to Consider Before You Move

While the Midwest is winning the affordability game, remember to consider these things:

  • Job Market: Ensure there are job opportunities in your field within the city you’re considering.
  • Schools: If you have kids, research the local schools carefully.
  • Amenities: Do you need access to a vibrant cultural scene, shopping, dining? These might be more limited in smaller cities.

My Personal Opinion: I've seen firsthand how quickly the housing market can change, and these affordable markets could be prime targets for growth in the future. So, while things may be affordable now, it might not stay that way! By carefully considering the factors listed above, and by using this list as a starting point for your own research, you will be well-positioned to find the perfect home – at the perfect price. Don’t hesitate to reach out if you have any questions. Happy house hunting!

Recommended Read:

  • 20 Hottest Housing Markets in the US – September 2024
  • Hottest Real Estate Markets in Maine: Top Locations for 2024
  • The Hottest Housing Markets in Seattle Area (2024)
  • America's 20 Hottest Housing Markets: July 2024 Rankings
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • Zillow’s Predictions for the Hottest Housing Markets of 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Affordable Housing Markets, Hottest Housing Markets, Hottest Real Estate Markets

20 Hottest Housing Markets in the US – September 2024

October 12, 2024 by Marco Santarelli

20 Hottest Housing Markets in the US - September 2024

Want to know where the hottest housing markets are in America right now? September 2024's data is in, and it's a wild ride. Let's dive into America's 20 Hottest Housing Markets: September 2024 Rankings and uncover some fascinating trends.

This isn't just some dry statistics report; we'll break down the numbers and offer some real-world insights to help you make sense of this dynamic market. Trust me, the information here is useful whether you're looking to buy, sell, or just stay informed.

America's 20 Hottest Housing Markets: September 2024 Rankings

The Big Picture: A Nation Divided

The U.S. housing market continues to be a bit of a mixed bag. While national home prices dipped slightly in September, some areas are absolutely on fire. Realtor.com's “Market Hotness” ranking helps us understand this. It combines two key factors: the number of people looking at homes (demand) and how quickly homes sell (market pace). High demand and low inventory? That's a recipe for a hot market!

This month, the Northeast and Midwest regions completely dominated the top 20, just like they have for the past year. That's a significant pattern we need to understand.

Manchester-Nashua, NH: The Reign Continues

For the ninth month in a row, Manchester-Nashua, NH snatched the top spot! This area, close to Boston, has been consistently hot for over three years. What's the secret? High demand and a seriously low supply of homes for sale. Buyers are scrambling for available houses, leading to quick sales and intense competition. This makes Manchester-Nashua a prime example of a super-hot market.

Price Growth: A Tale of Two Markets

While national home prices edged down 1% year-over-year, the hottest markets showed moderate growth – around 3.6% on average. This is interesting, isn't it? It tells us that while the national trend is cooling off, high-demand areas are still seeing price increases, indicating resilient markets.

The top performers in price growth were Rochester, NY (+13.0%) and Milwaukee-Waukesha, WI (+11.4%). These areas have experienced remarkable price hikes. This variation highlights the importance of location, location, location!

Inventory: Still a Problem in Hot Markets

Nationally, the number of homes for sale went up. However, the hottest markets saw a less dramatic increase. These areas still have significantly fewer homes available compared to pre-pandemic levels. On average, there were 57% fewer homes for sale in September compared to before the pandemic hit, while nationwide it was 23.2%. This shortage continues to fuel the high demand.

September 2024: The Top 20 Hottest Markets

Let's get down to brass tacks. Here's the September 2024 ranking of the top 20 hottest housing markets, according to Realtor.com data: I've included some key stats to give you a more complete picture. Remember, this data is based on Realtor.com’s Market Hotness index which balances demand and sales pace. It's not simply the highest-priced markets.

Hottest Metros Hotness Rank Hotness Rank YoY Viewers per Property vs US Median Days On Market Days on Market YoY Median Listing Price (If Active)
Manchester-Nashua, NH 1 0 3.4 25 1 $563,000
Concord, NH 2 -4 3.2 31 0 $552,000
Rockford, IL 3 -7 3 29 -2 $223,000
Springfield, MA 4 -3 2.9 28 -3 $393,000
Hartford-West Hartford-East Hartford, CT 5 -12 3.8 33 -5 $412,000
Worcester, MA-CT 6 3 2.5 30 3 $525,000
Oshkosh-Neenah, WI 7 0 2.7 35 3 $305,000
Providence-Warwick, RI-MA 8 -7 2.3 35 -1 $568,000
Akron, OH 9 -8 2.3 36 0 $230,000
Racine, WI 10 -10 2.2 36 4 $323,000
Canton-Massillon, OH 11 -18 2 32 -5 $259,000
Erie, PA 12 -47 3.1 39 -5 $240,000
Boston-Cambridge-Newton, MA-NH 13 -3 2 31 0 $840,000
Dayton, OH 14 1 2.1 36 4 $250,000
Norwich-New London, CT 15 -31 2.9 39 -4 $474,000
Columbus, OH 16 8 2.2 37 7 $377,000
Janesville-Beloit, WI 17 -42 2.9 39 -5 $332,000
Rochester, NY 18 16 2.2 38 21 $283,000
Milwaukee-Waukesha-West Allis, WI 19 -13 1.8 31 1 $390,000
Peoria, IL 20 -26 2.2 38 -2 $173,000
Toledo, OH 20 -26 2 35 -2 $249,000

(Note: Data from Realtor.com, October 10, 2024. Always verify information with the original source.)

Who's Moving Up? Who's Falling Behind?

Looking at year-over-year changes is crucial. Some markets are gaining popularity, while others are cooling down. For example, Sioux Falls, SD, Bloomington, IL, and Poughkeepsie-Newburgh-Middletown, NY saw major jumps in their rankings, suggesting rising interest from buyers.

On the flip side, some Southern and Western markets saw a significant decrease in their hotness ranking, pointing to potentially softening demand.

What This Means For You

The housing market is complex, and national trends don't always tell the whole story. For buyers, areas with high demand mean more competition. Sellers in hot markets can expect strong interest but need to be prepared for the intensity of the market.

The good news is that lower mortgage rates are making homes slightly more affordable. However, many homeowners are “locked in” with their low rates, so a massive surge in demand is unlikely.

Ultimately, the best course of action is to do your homework, understand local market dynamics, and work with a knowledgeable real estate agent.

Recommended Read:

  • Hottest Real Estate Markets in Maine: Top Locations for 2024
  • The Hottest Housing Markets in Seattle Area (2024)
  • America's 20 Hottest Housing Markets: July 2024 Rankings
  • Top 10 Hottest Real Estate Markets in the World
  • Hottest Housing Markets Predicted for 2024
  • Zillow’s Predictions for the Hottest Housing Markets of 2024
  • 68 Housing Markets Where Prices Have Doubled the Fastest

Filed Under: Growth Markets, Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Hottest Real Estate Markets

America’s 20 Hottest Housing Markets: July 2024 Rankings

August 12, 2024 by Marco Santarelli

America's 20 Hottest Housing Markets: July 2024 Rankings

Forget the coasts! This summer, America's hottest real estate markets are whispering tales of affordability and a quieter pace of life. Ditching the typical big-city buzz, buyers are flocking to unexpected locales, snapping up homes with lightning speed.

As per Realtor.com's Market Hotness rankings, leading the charge in July is Oshkosh, WI, a name synonymous with beloved children's clothing but now making headlines for its scorching hot real estate. Boasting a median list price of $374,000—a whopping $65,950 below the national average—Oshkosh offers budget-friendly housing coupled with a peaceful atmosphere.

This shift towards affordability and a less frenetic pace is reflected throughout Realtor.com's July hottest housing markets list, which reveals some intriguing trends:

Price Surge and Soaring Demand: A Snapshot of the Hottest Markets

The hottest housing markets are outperforming the national average in both price growth and demand. While the national housing market witnessed flat year-over-year prices in July, the hottest markets told a different story.

Here's a glimpse into the trends:

  • Price Growth: July witnessed a significant uptick in price growth in the hottest markets. It rose from 8.1% in June to an average of 11.0% in July, fueled by intense competition.
  • Demand: Measured by views per property, demand in the hottest markets was an impressive 2.8 times higher than the national level in July, consistent with the previous month.

Let's take the example of Oshkosh-Neenah, WI, our hottest market for July:

  • Listing Viewership: This metro area saw an astounding 3.7 times more listing viewership compared to the US average in July.
  • Price Appreciation: Prices in the Oshkosh-Neenah metro area climbed significantly, registering a 15.0% year-over-year increase.

Inventory Struggles: A Tale of High Demand and Limited Supply

While active listings nationwide saw a 36.6% year-over-year increase in July, the hottest markets presented a contrasting picture. The average inventory growth in the top 20 hottest markets was a relatively modest 18.4% year-over-year in July.

Here's a closer look at the inventory landscape:

  • National Inventory: Inventory remained approximately 30% below pre-pandemic levels in July.
  • Hottest Markets Inventory: The hottest markets experienced a sharper decline, with an average 66.9% decrease in inventory during the same period.

This disparity in inventory levels between the national average and the hottest markets underscores the impact of surging demand coupled with limited supply. It's a classic case of too many buyers vying for too few homes, creating a highly competitive environment.

The combination of high demand and scarce inventory fuels higher views-per-property, intensifying competition in the hottest markets. As a result, homes in these sought-after locations are being snapped up at a faster pace.

In July, the average time a home spent on the market in the hottest markets was just 26 days – a remarkable 5 days faster than the previous year and roughly half the national median.

New Entrants and Notable Climbers: Tracking Market Movement

The July Hottest Housing Markets list welcomed some new entrants and witnessed some significant upward movement from previous contenders:

Consistent Performers: A significant majority – 14 out of 20 markets – from June's list maintained their presence in July's rankings.

  • Biggest Jumpers:
  • Monroe, MI: Leap frogged from 36th to 6th position.
  • Rochester, NY: Climbed impressively from 38th to 9th position.

Other Notable Climbers:

  • Lancaster, PA
  • Peoria, IL
  • Green Bay, WI
  • Cleveland-Elyria, OH

A year-over-year analysis of the 300 ranked markets reveals some noteworthy climbers:

  • Bellingham, WA: Shot up an impressive 131 spots.
  • Syracuse, NY: Climbed significantly, gaining 107 spots.
  • Champaign-Urbana, IL: Marked a notable rise of 102 spots.

Departing Markets: Shifting Dynamics

Six markets that enjoyed a spot in June's top 20 dropped off the list in July:

  • Bridgeport-Stamford, CT
  • Columbus, OH
  • Reading, PA
  • Erie, PA
  • Lafayette, IN
  • Norwich, CT

However, their departure wasn't a steep fall. They settled within a respectable range of 22nd to 43rd, demonstrating continued desirability. This persistence underscores the enduring appeal of Midwest and Northeast metros, which have dominated the hottest markets list since February 2022.

When we shift our focus to the metros that experienced the most significant decline in ranking over the past year, a pattern emerges:

  • Southern and Western Markets: The metros experiencing the steepest decline are primarily concentrated in the Southern and Western regions of the US.

The metros that have witnessed the most significant decline in ranking are:

  • Lubbock, TX: Dropped 131 spots.
  • Wichita Falls, TX: Fell 116 spots.
  • Decatur, AL: Experienced a decline of 112 spots.
  • Yuma, AZ: Slipped down 104 spots.

The Top 20 Hottest Markets – July 2024

1. Oshkosh, WI

  • Median List Price: $374,000
  • Days on Market: 18

Oshkosh has emerged as the hottest housing market, recognized for its affordability and rapid sales pace. Properties here are attracting immense buyer interest, boasting an average of only 18 days on the market—significantly quicker than the national average. Its picturesque setting by Lake Winnebago and a thriving local community make it a desirable place for families and first-time buyers.

2. Hartford, CT

  • Median List Price: $444,000
  • Days on Market: 22

Hartford continues to showcase a robust housing market with its rich history and proximity to major metropolitan areas. Homebuyers are drawn by a blend of urban conveniences and suburban living. Listings in Hartford are selling quickly, typically within 22 days, highlighting its growing appeal to families seeking a new home in Connecticut.

3. Manchester, NH

  • Median List Price: $585,000
  • Days on Market: 20

As the largest city in New Hampshire, Manchester offers a vibrant culture, excellent schools, and no state income tax. The median list price may be higher at $585,000, but homes spend only 20 days on the market, reflecting robust demand. This city attracts those looking for a balance between urban amenities and outdoor recreation.

4. Rockford, IL

  • Median List Price: $216,000
  • Days on Market: 24

Rockford is proving that affordability does not have to compromise quality of life. With a median list price of just $216,000, it remains one of the most accessible markets in the top rankings. Homes here typically remain on the market for 24 days, making it an excellent option for first-time homebuyers and those looking to relocate.

5. Akron, OH

  • Median List Price: $257,000
  • Days on Market: 25

Akron stands out due to its low median list price of $257,000, attracting buyers seeking homeownership without the hefty financial burden. With an average of 25 days on the market, homes are moving swiftly, showcasing the high demand for this affordable market in Ohio.

6. Monroe, MI

  • Median List Price: $305,000
  • Days on Market: 27

Monroe's location along Lake Erie and its family-friendly atmosphere contribute to its appeal. With homes spending 27 days on the market and a median price of $305,000, it finds a sweet spot for buyers searching for charm and affordability.

7. New Haven, CT

  • Median List Price: $425,000
  • Days on Market: 27

Home to Yale University, New Haven blends cultural vibrancy with historical significance. The competitive market sees homes being sold within 27 days, with a median list price of $425,000, catering to both academia aficionados and families looking for a dynamic urban setting.

8. Rochester, NY

  • Median List Price: $300,000
  • Days on Market: 21

Offering rich cultural experiences and strong community ties, Rochester has a lot to offer homebuyers. Properties are moving quickly, with a 21-day average on the market and a median price of $300,000, making it an attractive option for diverse demographics.

9. Janesville, WI

  • Median List Price: $335,000
  • Days on Market: 30

Janesville's appealing price point of $335,000 draws many to the region. Homes here stay on the market for about 30 days, appealing to buyers who appreciate affordability paired with a tight-knit community atmosphere.

10. Providence, RI

  • Median List Price: $599,000
  • Days on Market: 27

As Rhode Island's capital, Providence lures buyers looking for a mix of city life and coastal charm. With a higher median list price of $599,000, homes are still selling quickly at an average of 27 days on the market, highlighting its desirability.

11. Canton, OH

  • Median List Price: $270,000
  • Days on Market: 23

Canton is gaining traction due to its affordability and community spirit. Homes here average 23 days on the market and have a median price of $270,000, making it an attractive option for homebuyers.

12. Springfield, IL

  • Median List Price: $223,000
  • Days on Market: 24

With a median price of $223,000, Springfield's market is appealingly accessible. Homes are in high demand, selling within 24 days on average, making it an attractive destination for new families and first-time buyers.

13. Springfield, MA

  • Median List Price: $400,000
  • Days on Market: 30

Springfield, MA, carries historical significance and continues to attract new residents. Here, homes remain on the market for approximately 30 days with a median list price of $400,000, appealing to diverse buyers.

14. Syracuse, NY

  • Median List Price: $371,000
  • Days on Market: 30

Syracuse combines affordable living with a vibrant cultural scene, reflected in its median price of $371,000. Homes typically sell within 30 days, ensuring steady buyer interest.

15. Lancaster, PA

  • Median List Price: $432,000
  • Days on Market: 28

Lancaster's charming rural atmosphere attracts homebuyers, despite its higher median price of $432,000. Homes remain on the market for an average of 28 days, indicating strong buyer interest.

16. Peoria, IL

  • Median List Price: $179,000
  • Days on Market: 31

Peoria shines with an incredibly low median list price of $179,000. Homes typically linger on the market for 31 days, making it an excellent entry point for budget-conscious buyers.

17. Concord, NH

  • Median List Price: $637,000
  • Days on Market: 33

As the state capital, Concord commands higher prices reflected in its median list price of $637,000. Homes remain on the market for about 33 days, balancing luxury with a serene New England lifestyle.

18. Green Bay, WI

  • Median List Price: $474,000
  • Days on Market: 29

Known for its passionate sports culture, Green Bay’s real estate market features homes that average 29 days on the market with a median list price of $474,000, making it appealing to a wide range of buyers.

19. Worcester, MA

  • Median List Price: $550,000
  • Days on Market: 31

Worcester's rich educational institutions and cultural activities attract residents. Homes here have a median list price of $550,000 and typically spend 31 days on the market, reflecting growing interest.

20. Cleveland, OH

  • Median List Price: $272,000
  • Days on Market: 32

Cleveland rounds out the list with a low median list price of $272,000. Homes typically stay on the market for 32 days, reflecting its established market and affordable entry points.

Hottest Metros Hotness Rank Hotness Rank YoY Viewers per Property vs US Median Days On Market Days on Market YoY Median Listing Price If Active Within Period
Oshkosh-Neenah, Wis. 1 -9 3.7 18 -13 $374,000
Hartford-West Hartford-East Hartford, Conn. 2 1 4.3 22 -2 $444,000
Manchester-Nashua, N.H. 3 0 3.2 20 -3 $585,000
Rockford, Ill. 4 -3 3.3 24 0 $216,000
Akron, Ohio 5 -22 2.7 25 -10 $257,000
Monroe, Mich 6 -29 2.8 27 -10 $305,000
New Haven-Milford, Conn. 7 -4 3 27 -2 $425,000
Rochester, N.Y. 8 6 2.5 21 6 $300,000
Janesville-Beloit, Wis. 9 -49 3.3 30 -11 $335,000
Providence-Warwick, R.I.-Mass. 10 -16 2.5 27 -9 $599,000
Canton-Massillon, Ohio 11 -28 2.4 23 -12 $270,000
Springfield, Ill. 12 -39 2.3 24 -12 $223,000
Springfield, Mass. 13 8 2.7 30 7 $400,000
Syracuse, N.Y. 14 -107 2.5 30 -21 $371,000
Lancaster, Pa. 15 -14 2.2 28 -7 $432,000
Peoria, Ill. 16 -52 2.5 31 -10 $179,000
Concord, N.H. 17 13 2.8 33 9 $637,000
Green Bay, Wis. 18 -20 2.2 29 -8 $474,000
Worcester, Mass.-Conn. 19 10 2.4 31 6 $550,000
Cleveland-Elyria, Ohio 20 -44 2.4 32 -8 $272,000

Large Markets Heating Up: A Shift in the Landscape

The largest 40 housing markets across the country experienced a collective increase in heat this July, with an average of 3 ranks higher compared to July 2023. However, this year-over-year surge is the smallest since February 2023, signaling a potential stabilization.

  • Increased Demand: These larger urban markets witnessed approximately 6.5% more views per listing compared to the national average in July.
  • Faster Sales: Homes in these markets sold at a swifter pace, spending 9 fewer days on the market than the national median.
  • Price Adjustments: Interestingly, prices in these large markets saw an average annual decline of 1.1% – the first such instance recorded in the data's history. This suggests a potential market adjustment in response to somewhat subdued buyer demand, leading to the sale of lower-priced homes.

The observed slowing price growth, both nationally and in the largest markets, can be partly attributed to a shift in the available inventory:

  • Rise of Affordable Housing: There's been a surge in affordable inventory. Nationally, there are roughly 47% more homes listed within the price range of $200,000 to $350,000 compared to the previous year.

Top Gainers: Large Markets Making Strides

This July, five large metros stood out with the most significant jumps in their rankings:

  • Las Vegas-Henderson-Paradise, NV: An impressive leap of 73 spots.
  • Philadelphia-Camden-Wilmington, PA-NJ-DE-MD: A substantial climb of 69 spots.
  • Kansas City, MO-KS: A noteworthy gain of 63 spots.
  • Minneapolis-St. Paul-Bloomington, MN-WI: Another significant rise of 63 spots.
  • Chicago-Naperville-Elgin, IL-IN-WI: A remarkable jump of 61 spots.

These upward-trending markets secured rankings ranging from 55th (Chicago) to 184th (Las Vegas) on July's list.

Markets Seeing the Largest Jump in Rankings (July 2024): A Closer Look

Metro Hotness Rank Hotness Rank YoY Viewers per Property vs US Median Days On Market Days on Market YoY Median Days On Market Vs Us
Las Vegas-Henderson-Paradise, Nev. 184 -73 0.70 39 -7 -11
Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md. 108 -69 1.30 41 -4 -9
Kansas City, Mo.-Kan. 159 -63 1.20 47 -4 -3
Minneapolis-St. Paul-Bloomington, Minn.-Wis. 72 -63 1.20 32 -4 -18
Chicago-Naperville-Elgin, Ill.-Ind.-Wis. 55 -61 1.30 29 -7 -21

These top 20 hottest markets highlight the diverse opportunities available across the U.S. from budget-friendly options in cities like Rockford and Peoria to more expensive choices like Concord and Providence. As buyer interest surges, understanding the trends in each of these markets becomes crucial for potential homeowners and investors eager to navigate the current landscape effectively.


ALSO READ:

  • Housing Market 2024: Key Predictions for the Remainder of the Year
  • Midwest Housing Market: The Unexpected Trends You Won't Believe
  • Real Estate Forecast Next 5 Years: Top 5 Predictions for Future
  • Housing Market Predictions for the Next 2 Years
  • Housing Market Predictions for Next 5 Years (2024-2028)
  • Hottest Housing Markets Predicted for 2024
  • Top 10 Hottest Real Estate Markets in the World
  • 10 Hottest Housing Markets That Are Booming – May 2024
  • Will the Housing Market Crash in 2025?

Filed Under: Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Housing Market, Real Estate Market

Midwest Housing Market: The Unexpected Trends You Won’t Believe

August 12, 2024 by Marco Santarelli

Midwest Housing Market: The Unexpected Trends You Won't Believe

As the national housing market faces fluctuations due to rising interest rates and economic uncertainties, the Midwest has emerged as a beacon of opportunity for homebuyers. With cities like Oshkosh, WI, gaining momentum, this region is becoming increasingly appealing for those seeking affordability and quality of life. Here is the report on trends and insights driving the heat in Midwest real estate markets and what it means for buyers and sellers alike (Realtor.com® Hottest Housing Markets rankings for July).

Midwest Housing Markets Are Heating Up: Trends and Insights

A Shift in Buyer Preferences

In recent years, the Midwest has attracted attention as individuals and families look for more budget-friendly housing options. As mortgage rates began to climb in 2022, many potential homebuyers felt discouraged by the high prices prevalent in coastal and urban markets. Consequently, buyers redirected their focus to Midwest areas, which offer more affordable options without sacrificing community and lifestyle.

Oshkosh, WI, has recently gained fame for being rated the hottest housing market in the country, but it is not alone. Other cities like Janesville, Green Bay, Rockford, and Akron have also made their mark on the national stage. These cities exemplify what makes the Midwest an attractive destination, highlighting affordability, accessibility, and a friendly atmosphere.

Rising Demand and Limitations in Inventory

The increased popularity of Midwest markets has led to a stark contrast between buyer demand and housing inventory. While the inventory of homes for sale improved by 24.2% year over year in Oshkosh, it still remains 72.8% lower than pre-pandemic levels. Such scarcity creates a highly competitive atmosphere, with homes often receiving multiple offers and selling well above the asking price.

Real estate agents in the region express the intense competition among buyers, which has prompted various tactics for standing out in the market. Strategies such as waiving home inspections, arranging appraisal gap coverage, and offering favorable terms to sellers have become common as buyers attempt to secure their desired properties.

Highlighting Other Hot Markets

In addition to Oshkosh, several other Midwest cities are experiencing notable growth. For instance, Janesville, WI, ranks as the ninth hottest market with a median home price of $335,000. This affordability, alongside its family-friendly environment and outdoor recreational opportunities, makes it an attractive choice for those looking to settle down.

Rockford, IL, with a median price of $216,000, also stands out, providing ample opportunities for first-time homebuyers. Meanwhile, cities like Akron, OH, and Canton, OH, continue to draw interest due to their low median prices and cost of living. As these cities gain traction, the Midwest is positioning itself as a viable alternative to the more competitive and often unaffordable coastal markets.

The Impact of Remote Work on Housing Demand

The pandemic has reshaped the landscape of work, with many companies adopting flexible remote work policies. As employees seek homes that align with their new work-from-home lifestyles, the appeal of living in picturesque, lower-cost locales is growing. The Midwest, with its charming towns, supportive communities, and natural beauty, becomes a desirable option for individuals and families looking to find a balance between work and life.

Conclusion: A Bright Future for the Midwest Real Estate Market

The ongoing heating up of Midwest housing markets signals a meaningful change in American real estate dynamics. As buyers increasingly prioritize affordability, accessibility, and quality of life, cities like Oshkosh, Janesville, and Rockford are set to thrive in the coming years.

For potential homebuyers, the Midwest offers a unique opportunity to invest in property that combines value and lifestyle, ensuring that this region remains a hot spot in the evolving housing market. As trends continue to shift and develop, the heartland of America is rapidly establishing itself as a leading destination for homebuyers and investors alike.


ALSO READ:

  • Housing Market 2024: Key Predictions for the Remainder of the Year
  • Real Estate Forecast Next 5 Years: Top 5 Predictions for Future
  • Housing Market Predictions for the Next 2 Years
  • Housing Market Predictions for Next 5 Years (2024-2028)
  • Hottest Housing Markets Predicted for 2024
  • Top 10 Hottest Real Estate Markets in the World
  • 10 Hottest Housing Markets That Are Booming – May 2024
  • Will the Housing Market Crash in 2025?

Filed Under: Housing Market, Real Estate Market Tagged With: Hottest Housing Markets, Housing Market, Real Estate Market

  • 1
  • 2
  • Next Page »

Real Estate

  • Baltimore
  • Birmingham
  • Cape Coral
  • Charlotte
  • Chicago

Quick Links

  • Markets
  • Membership
  • Notes
  • Contact Us

Blog Posts

  • States With Lowest Mortgage Rates Today – May, 19 2025
    May 19, 2025Marco Santarelli
  • California Housing Market: Home Prices Hit a Record High in April 2025
    May 19, 2025Marco Santarelli
  • Today’s Mortgage Rates – May 19, 2025: Rates Drop Offering Savings to Buyers
    May 19, 2025Marco Santarelli

Contact

Norada Real Estate Investments 30251 Golden Lantern, Suite E-261 Laguna Niguel, CA 92677

(949) 218-6668
(800) 611-3060
BBB
  • Terms of Use
  • |
  • Privacy Policy
  • |
  • Testimonials
  • |
  • Suggestions?
  • |
  • Home

Copyright 2018 Norada Real Estate Investments