Are you thinking about purchasing a home in the near future? Whether you are contemplating a move or just looking to invest in a new property, consider the following U.S. cities, which are home to some of the hottest housing markets in the country.
Across the country, the housing market is showing a continuing increase in year-over-year (YOY) appreciation. However, some local markets are definitely appreciating at a higher rate than others. Denver, for example, has shown a 9.4% YOY appreciation in home prices, with an estimated 7% overvaluation. With a healthy economy, low unemployment rates, and the appeal of being in one of the healthiest cities in the country, Denver has seen an influx of home owners in recent years.
San Jose, California
While a home in Silicon Valley might be on the pricey side, recent trends in the housing market indicate that a San Jose home could be a worthwhile investment. Overvaluation comes in at 10%, but the YOY appreciation is 10.4%, indicating that those desirable Bay Area homes are still accruing value for their owners. In fact, California takes up quite a few spots on the list of booming housing markets with San Francisco, Oakland, and Los Angeles also making appearances.
Whether you are looking for a single family home or a luxury condo, Miami is another hotspot to keep on your radar. With YOY appreciation coming in around 15.6% and overvaluation estimated at only 5%, Miami could offer you that sunny beach home you have always wanted, while also being a great investment for the future.
Compared to the housing prices in some of the other thriving markets, such as California, Portland offers a more affordable option for younger buyers looking to purchase their first home. Portland has seen a YOY appreciation of 8.5% with an overvaluation of 6%, although these numbers are likely to rise as recent buyer competition continues to pushes up prices.
Fueled in part by a healthy job market, encouraged Millennials are striking out on their own to purchase their first homes. With the current increase in home ownership, the housing market is predicted to continue to grow through 2015 and beyond. In December 2014, Realtor.com projected that Denver, for example, would see a 14% rise in home sales. Atlanta, Minneapolis, and Phoenix were also forecasted to see continued growth. Experts predict that mortgage rates will rise and that recent price increases will begin to slow down.
When you are shopping for your next home or real estate investment, be sure to check out these booming cities to see why people from all over the country are flocking to call them home.