Claman Countdown audio system Dolly Lenz and Jenny Lenz break down the highest locations Americans want to stay.
By all accounts, 2024 was a troublesome yr for folks wanting to purchase their first house, with house costs at document ranges, excessive rates of interest and skyrocketing insurance coverage prices worsening the housing affordability disaster in America.
In reality, the proportion of first-time homebuyers hit an all-time low final yr, accounting for simply 24% of purchases.
The market has been powerful for potential homebuyers, particularly these seeking to obtain the American dream for the primary time. A brand new examine reveals one of the best locations to buy in 2025. (Justin Sullivan/Getty Images/Getty Images)
However, demand is excessive, so for these nonetheless seeking to make a purchase order, Realtor.com just lately launched its annual report about which cities supply the brightest alternatives for these able to make the leap to homeownership – and there have been modifications from years previous.
“The most reasonably priced markets, particularly for first-time homebuyers, are beginning to skew extra in the direction of the South,” Realtor.com senior economist Joel Berner informed FOX Business.
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He stated that in final yr’s rankings, the digital actual property group noticed extra Northeast and Midwest markets within the combine, whereas this yr three of the highest 10 have been in Florida alone.
“The Sun Belt has been a significant point of interest for consumers through the overheated post-pandemic market, however as these Southern markets have cooled considerably, affordability is bettering amid flat to declining itemizing costs there,” Berner defined.
Here are one of the best markets for first-time homebuyers in 2025, when it comes to the mixture of housing price, availability of properties on the market, and placement high quality:
1. Harrisburg, Pennsylvania – Median record value $140,000
Harrisburg is the capital of Pennsylvania. (iStock / iStock)
2. Rochester, New York – Median record value $129,900
3. Villas, Florida – Average record value $236,950
4. Lauderdale Lakes, Florida – Average record value $154,850
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5. Altamonte Springs, Florida – Average record value $229,400
6. Lansing, Michigan – Median record value $135,000
Aerial view of Lansing, Michigan (iStock / iStock)
7. North Little Rock, Arkansas – Median record value $160,000
8. Baltimore, Maryland – Median record value $210,000
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9. Tonawanda, New York – Average record value $229,900
10. Wilmington, Delaware – Median record value $222,000
Overlooking Wilmington’s riverfront space from the Russell Peterson Wildlife Refuge, Wilmington, Delaware (Bo Shen / iStock)
While these could also be one of the best locations to purchase a primary house this yr, Realtor.com acknowledges that the present affordability disaster within the United States is not more likely to go away anytime quickly.
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“There will completely be challenges when it comes to affordability in 2025,” Berner informed FOX Business. “Our finest affordability hopes for 2025 are to see a rise in stock, significantly of smaller, extra reasonably priced properties, as builders reply to demand for reasonably priced housing and householders at the moment stay in Affordable properties transfer towards modernization.”
