Year-End Review: Best Cities for the Real Estate Market [2019]
The housing market is always a hot topic. As the year comes to an end, it is the perfect opportunity to look into how the 2019 real estate market performed across the country. Since the 2008 housing market crash and recession, the United States has steadily improved. With a stronger job market, lower interest rates, and increased population growth in major cities, housing demand has grown over the years. Though some worry of a real estate cooldown in the coming years, the market proved to be strong and steady in 2019.
After an analysis of the 50 largest metro areas in the United States, we have calculated the best cities for real estate from 2019. Read on to see 2019’s ten hottest real estate markets.
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Hottest Real Estate Markets →
Takeaways & Methodology →
The 10 Hottest 2019 Real Estate Markets
Washington, DC
- Median Days on Market: 35
- Median List Price: $625,000
- Median Income: $85,203
- Price-to-Income Ratio: 5.6
- Unemployment Rate: 2.8%
- Population Growth Rate: 1.5%
Austin, TX
- Median Days on Market: 223
- Median List Price: $435,000
- Median Income: $71,543
- List-Price-to-Income Ratio: 5.0
- Unemployment Rate: 2.6%
- Population Growth: 1.8%
Charlotte, NC
- Median Days on Market: 41
- Median List Price: $327,000
- Median Income: $60,764
- List-Price-to-Income Ratio: 5.7
- Unemployment Rate: 2.1%
- Population Growth: 1.8%
Seattle, WA
- Median Days on Market: 53
- Median List Price: $679,950
- Median Income: $93,481
- List-Price-to-Income Ratio: 6.4
- Unemployment Rate: 3.3%
- Population Growth: 2.8%
Denver, CO
- Median Days on Market: 35
- Median List Price: $515,000
- Median Income: $$68,799
- List-Price-to-Income Ratio: 7.3
- Unemployment Rate: 2.3%
- Population Growth: 1.8%
Columbus, OH
- Median Days on Market: 38
- Median List Price: $182,900
- Median Income: $52,971
- List-Price-to-Income Ratio: 5.5
- Unemployment Rate: 3.5%
- Population Growth: 1.1%
Nashville, TN
- Median Days on Market: 53
- Median List Price: $407,400
- Median Income: $60,324
- List-Price-to-Income Ratio: 6.1
- Unemployment Rate: 2.6%
- Population Growth: 0.9%
Atlanta, GA
- Median Days on Market: 63
- Median List Price: $364,948
- Median Income: $55,881
- List-Price-to-Income Ratio: 5.8
- Unemployment Rate: 2.9%
- Population Growth: 1.9%
San Francisco, CA
- Median Days on Market: 84
- Median List Price: $1,349,000
- Median Income: $112,376
- List-Price-to-Income Ratio: 8.3
- Unemployment Rate: 2.3%
- Population Growth: 1.0%
Portland, OR
- Median Days on Market: 71
- Median Income: $73,097
- List-Price-to-Income Ratio: 6.5
- Unemployment Rate: 3.5%
- Population Growth: 1.4%
2019 Housing Market Takeaways
This last year, the Millennial generation was the driving force behind the 2019 housing market. According to the 2019 NAR Home Buyer and Seller Generational Trends report, older and younger Millennials made up 37% of homebuyers in 2019, with the Boomer generation close behind at 32%.
The Millennial influence on the housing market is expected to increase in coming years as they encounter more stable jobs with increased incomes and begin to grow their families. For those under 63, the reason for home buying was the desire to own a home of their own. For those over 63, home purchases were due to wanting to be closer to friends and family and looking to downsize for retirement.
While large cities will continue to see population growth, 2019 also began to see the shift in people moving more frequently to smaller cities with more affordable housing options. Homebuyers in 2019 were interested in finding affordable homes in smaller metro areas near a strong job market. There was also an emphasis on living in areas with appealing amenities such as shops and restaurants, recreational activities, and school systems.
So, what’s to come in 2020? Stay tuned for our 2020 housing market predictions to learn more about the real estate forecast for the next year and beyond.
Methodology
Home Junction scaled 6 variables for the 50 largest U.S. metro areas and combined them to form a score for determining the best cities for 2019 real estate. Variables include:
- Median Days on Market and Median List Price calculating the median days on the market and list price throughout 2019 using Home Junction real estate data.
- Median Income from Statista indicating median household income of the top 25 most populated US cities from most recent 2018 data.
- Price-to-Income Ratio demonstrating the ratio between median list price and median household income.
- Unemployment Rate highlighting most recent unemployment rate by city from the Bureau of Labor Statistics database.
- Population Growth Rate indicating the population growth from the United States Census Bureau 2010 Census Data to 2019 projected populations.
