The Hottest Housing Markets for January 2019
- California, once again, has more hot markets on the list than any other state. But, its dominant markets are losing ground
- Chico, CA has been replaced by Midland, TX as the number one spot on the list
- The affordable markets that are found in large metros are the biggest movers this month
Compared with January 2018, the housing market nationally appears to be cooling. While home prices are still accelerating in many areas, it is at a slower pace than last year, and some inventory growth is being experienced. As inventory has increased, price growth and days on the market have begun to decrease.
Some of the hottest markets in the nation appear to have stalled, with properties moving no quicker than last year. 11 of the top 20 markets are seeing housing move more rapidly than last year, but eight have slowed. For example, Vallejo (recently the second hottest market) has seen days on the market increase by 17, San Francisco (recently the hottest housing market in the U.S.A.) has seen days on the market increase by almost 33%, and Sacramento days on the market have increased by ten days year over year.
While California still dominates the list of the 20 Hottest Housing markets, there are now 11 states on the list. Some towns in California have decreased in ranking or fallen off completely. Smaller, more affordable, areas in California (Yuba City and Chico) have been big movers mostly fueled by the need for housing from people displaced by the Wildfires.
Rochester, NY, Fresno, CA, and Spokane, WA., are new to the list. Realtor.com has mentioned Rochester, NY and Milwaukee, WI as two of the larger metropolitan areas where year over year price growth is outpacing the national average of 7%. Rochester grew by 18% and Milwaukee by 16%. Spokane, WA has been an area that Realtor.com has repeatedly identified as a market that is worth watching.
Most Improved Markets for January 2019
|Metro||Rank||Median Days on Market||Median Listing Price||Listing Price Year over Year|
|San Francisco-Oakland-Hayward, CA||3||50||$837,475||-1%|
|Fort Wayne, IN||4||67||$183,450||8%|
|Colorado Springs, CO||5||63||$377,422||-4%|
|Yuba City, CA||7||67||$302,450||0%|
|Spokane-Spokane Valley, WA||9||68||$300,000||14%|
|Dallas-Fort Worth-Arlington, TX||11||67||$329,995||-4%|
|Milwaukee-Waukesha-West Allis, WI||16||69||$249,700||16%|
|Louisville/Jefferson County, KY-IN||20||69||$239,900||6%|
A big factor in the most-improved market was affordability. When reviewing the 40 largest metropolitan areas, Cleveland, OH (+54 spots); Cincinnati, OH (+47 spots); Milwaukee, WI (+38 spots); Philadelphia, PA (+34 spots) and Charlotte, NC (+31 spots) were the most improved. Except for Charlotte, which has a median listing price of $320,000, the others have a median listing price lower than the national average of $289,000.
Homes were moving eight days faster than this time last year on average in the most-improved markets. Charlotte’s inventory grew by 14% and in the other markets it was either down or flat.
Buyer interest is rising in these markets as well. Using views on Realtor.com as a guide, these most-improved markets saw higher than the national average of views, and 30% higher than last January.
|Metro||Rank||Rank Year over Year||Median Days on Market||Days on Market Year over Year||Views Per Property Year over Year||Median Listing Price||Listing Price Year over Year|
|Cleveland- Eyria, OH||52||54||82||-9||38%||$169,950||6%|
|Milwaukee-Waukesha-West Allis, WI||16||38||69||-11||25%||$249,700||16%|
Information gathered from https://www.realtor.com/research/our-research/