The Best Cities for First-Time Homebuyers: Is Yours One of Them?
These cities offer first-time homeowners the most home-buying options, the best home values, and the greatest opportunity for property value growth, according to Zillow.
Buying any home can be a daunting endeavor, but it can be a particularly grueling process for first-time homebuyers, who often face fierce competition for great houses from other new homebuyers, among other challenges. In many cities, starter homes—relatively affordable properties that offer enough space for a new couple or small family—are rare, and those that are available are quickly snatched up by eager homebuyers.
Fortunately, in some cities, it's easier to find these homes, and property search site Zillow recently released a list of the Best Markets for First-Time Homebuyers. The site's real estate market analysts have flagged the real estate markets on this list as having a healthy balance of affordable home prices, low competition among potential buyers, and the potential for strong growth in property values—things every potential new homeowner should look for.
According to Zillow, the top markets for first-time homebuyers are:
- Tampa, Florida
- Indianapolis, Indiana
- Houston, Texas
- Orlando, Florida
- San Antonio, Texas
To calculate this list, Zillow's analysts ranked markets across the country on median home values; how much home values were predicted to grow in the next few years; how the supply of potential homes compares to demand from homebuyers; how competitive the market is; and how much more financially responsible it is to buy there than rent.
The real estate markets in these cities are strong, but so are the cities themselves: All five of the best cities for first-time homebuyers on Zillow's list boast population growth, meaning more people are moving to these cities to take advantage of job opportunities, cultural buzz, and more.
You can see more information on each market, including the typical home value and forecasted growth, in Zillow's full list.