After months of frenzied activity, the US property market has entered a cooler period. House prices appear to be shifting downwards as mortgage interest rates move upwards, although inventory levels remain at rock-bottom levels. In this scenario, you may well be asking where is the best place to buy property in the US right now.
To come up with the answer, Realtor.com have crunched the numbers from their market data and produced a list of the top ten metros. Their criteria included limiting the list to one city per state. For Florida, Jacksonville has turned out to be the best place to buy property.
This Florida metro has several factors in its favour and when combined, they make a compelling case for purchase for homebuyers and buy-to-let investors.
Largest metro area
Firstly, Realtor.com highlights that Jacksonville is one of Florida’s “many banner cities”. However, it has two features that set it apart from other contenders in the state such as Orlando and Tampa. Jacksonville is the largest metro in the Sunshine State in terms of population and geography.
Burgeoning demand for property
Jacksonville has always been a hot spot for relocation within the US, but this popularity has soared since the pandemic. Remote workers from elsewhere in the country placed it on their radar because of its proximity to the coast and moderate climate.
According to Realtor.com, these two elements set Jacksonville apart from many other locations nationwide. Jacksonville is “the ideal location for those looking to escape the busy metropolitan hustle and take advantage of the new work-from-home lifestyle,” said the report.
Property market in Jacksonville
With supply at rock-bottom levels, the best place to buy property in the US could well be in a metro where buyers have a choice. Jacksonville is one such metro with its inventory levels close to “pre-pandemic normal”.
Prices, on the other hand, still stand well above those registered before 2020. Realtor.com cites the median listing price for Jacksonville property at US$341,000.
The figure is not far from the median sales price in August, which was US$343,995, according to the Northeast Florida Association of Realtors. The figure translates to a 0.9% drop from July.
Sourcing the best place to buy property in the US
To come up with their report, Realtor.com analysed housing statistics in 250 metros within the US. They included:
- A comparison of price per square foot and median income.
- How long a property spends on the market.
- The number of sellers who accepted a lower sales price than originally advertised.
- The ratio of homes for sale to the total number of households.
The report revealed that although the US housing market faces uncertainty, buyers have “new opportunities to buy the right home”. Realtor.com’s research team highlighted the fact that many markets are experiencing “a return to balance after lots of dramatic demand increases during the past couple of years”.
Joining Jacksonville in the top five best places to buy property in the US right now were Midland in Texas and Cedar Rapids on Iowa, in first and second place, respectively. Detroit and Lawrenceville completed the best quintet.