With the recent favorable movement in mortgage rates, numerous homebuyers have initiated their mortgage application processes.
The decision to buy a home requires careful consideration of when, where, and whether to make the purchase or not.
Economists at Realtor.com examined 2,738 cities within the 100 largest metropolitan areas to identify optimal locations for individuals purchasing their first home. These areas had a population of more than 5000.
They used different factors like the percentage of 25 to 34-year-old homeowners, number of available homes, lower unemployment rates, the median home list price, commuting time to work and more. The rankings are based on data from November 2023 and predictions for 2024.
The average home prices of the top 3 cities from the list were priced at $217,967, and around 7.7% of people between the ages of 25 to 34 were homeowners.
To identify the best option for first-time homebuyers Realtor.com analysis offers valuable insights for homebuyers. Starting from 10, keep looking to check which city ranks highest on the list.
No.10: Riviera Beach, MD
Riviera Beach is a small coastal town near Baltimore, around 15 miles southeast. The weather can be unpredictable, but overall, it has a nice and mild climate throughout the year.
| Median Listing Price | $264,079 |
| Price to income ratio | 2.7 |
| Predicted population share of 25 to 34 year olds | 10.9% |
| Inventory per 1000 households | 59.3 |
| Average time to commute | 33 |
No.9: Mattydale, NY
According to data from Realtor.com published in December 2023, in Mattydale, you can purchase a home for around one-third of the national average, which is $410,000.
| Median Listing Price | $138,450 |
| Price to income ratio | 2.0 |
| Predicted population share of 25 to 34 year olds | 7.4% |
| Inventory per 1000 households | 31.6 |
| Average time to commute | 20 |
No.8: Moore, OK
Just 10 miles south of Oklahoma City is the growing city of Moore. Despite large swaths of the suburb being destroyed by a tornado in 2013, locals have worked to rebuild their city within 'Tornado Alley,' introducing brand-new amenities and attractions for residents.
| Median Listing Price | $231,475 |
| Price to income ratio | 3.2 |
| Predicted population share of 25 to 34 year olds | 9.7% |
| Inventory per 1000 households | 43.6 |
| Average time to commute | 26 |
No.7: Grand Rapids, MI
Grand Rapids is a lively city in the Midwest with a busy downtown, famous breweries and distilleries, and top-notch universities. It's also known for making a lot of office furniture.
| Median Listing Price | $260,000 |
| Price to income ratio | 4.3 |
| Predicted population share of 25 to 34 year olds | 9.5% |
| Inventory per 1000 households | 33.1 |
| Average time to commute | 21 |
No.6: Cheektowaga, NY
Cheektowaga is close to downtown Buffalo (about 20 minutes away), a quick drive to Niagara Falls, and conveniently near Highmark Stadium, where the Buffalo Bills and Buffalo Sabres play.
| Median Listing Price | $199,000 |
| Price to income ratio | 3.1 |
| Predicted population share of 25 to 34 year olds | 7.2% |
| Inventory per 1000 households | 26.6 |
| Average time to commute | 21 |
No.5: Council Bluffs, IA
Situated on Iowa's western border near Omaha, Council Bluffs gives first-time buyers the best of both worlds – the bliss of a small town and the convenience of big-city.
| Median Listing Price | $200,000 |
| Price to income ratio | 3.0 |
| Predicted population share of 25 to 34 year olds | 6.4% |
| Inventory per 1000 households | 37.6 |
| Average time to commute | 21 |
No.4: Newington, CT
While Newington has a high price tag, its homes are still more affordable than those in the fancier suburbs around Hartford, Connecticut's nearby capital.
| Median Listing Price | $290,294 |
| Price to income ratio | 3.4 |
| Predicted population share of 25 to 34 year olds | 6.6% |
| Inventory per 1000 households | 37.8 |
| Average time to commute | 23 |
No.3: Winterset, IA
Winterset, the town where John Wayne was born and the movie "Bridges of Madison County" was inspired, is a welcoming and family-friendly community.
| Median Listing Price | $269,400 |
| Price to income ratio | 4.0 |
| Predicted population share of 25 to 34 year olds | 7.3% |
| Inventory per 1000 households | 47.8 |
| Average time to commute | 23 |
No.2: Benton, AR
Benton is a perfect small town, located between Little Rock and Hot Springs. It's great for a quick commute to the state capital (less than 30 miles) or a weekend spa getaway.
| Median Listing Price | $197,500 |
| Price to income ratio | 3.0 |
| Predicted population share of 25 to 34 year olds | 7.6% |
| Inventory per 1000 households | 50.2 |
| Average time to commute | 25 |
No.1: Irondequoit, NY
Irondequoit gets its name from the Iroquois language, meaning "where the land meets the water." True to its name, it is located between the Genesee River and Irondequoit Bay, with the northern border along Lake Ontario.
| Median Listing Price | $187,000 |
| Price to income ratio | 2.5 |
| Predicted population share of 25 to 34 year olds | 8.2% |
| Inventory per 1000 households | 34.1 |
| Average time to commute | 22 |
Before starting your mortgage application, compare and choose your options wisely.