The ability to buy a home has, in some areas of countries, been so out of reach that it’s just a wish in a bottle. Then the Covid-19 pandemic came along and made housing prices skyrocket, as sheltering-in-place often meant people scrambled to obtain that sheltering place. And the bump in mortgage interest rates was like someone smashed that bottle that held that wish. Yet some help is here, thanks to Realtor.com’s look at which areas are the best for first-time buyers. What we love about this list is that we can almost guarantee there’s at least one city on it that you’ve never heard of. It’s a true insider’s list—go grab a house!
Where do these more-affordable homes cluster? For the most part, in the northeast where you’ll battle cold weather and snow (but on the other hand, a cozy fireplace in your own home doesn’t sound too shabby) and in smaller cities. Settling into a town rather than a metropolis is a great idea if your job is online—you’ll still have day-trip access to the big city and might have a yard for kicking back and letting the dog roam. Other places on this list? Rural areas are gaining traction.
The methodology behind the list: Realtor.com looked at towns with at least 5,000 residents that centered near or in the country’s 100 largest metropolitan areas. Since the list focuses on first-time buyers who are often younger, the percentage of people aged 25-34 was a factor, as were commute times into the city and unemployment rates. The study looks at the number of homes for sale in the area and their affordability measured against the typical income for that younger age bracket. Finally, because we all want to venture out and have some fun, the study took into account the availability of food and drink hubs, while finally forecasting future sales and price growth.
Whew, okay, with that out of the way, here are the top 10 best places for first-time homebuyers to purchase a house:
1. Portsmouth, VA – median home price $239,000
2. DeForest, WI – median home price $389,900
3. Windsor Locks, CT – median home price $239,900
4. Gloucester City, NJ – median home price $160,000
5. Moore, OK – median home price $220,000
6. Magna, UT – median home price $410,000
7. Eggertsville, NY – median home price $230,800
8. Watervliet, NY – median home price $228,300
9. Mattydale, NY – median home price $128,900
10. Somersworth, NH – median home price $329,900