We experienced numerous surprises as a result of the housing market's constant change, but recently, demand for homes in "unexpected" locations has increased nationwide. Homebuyers are no longer drawn to real estate in Florida or California's booming real estate markets. Instead, they are focusing on Connecticut, New Hampshire, and Indiana.
What draws people to buy homes in these areas? Let's examine the benefits these three states can provide to out-of-state homeowners and the most favored cities in each state.
Indiana: Cheap Prices
Due to the state's cheaper cost of living and lack of income or sales taxes, the towns of Manchester, Concord, and Claremont in New Hampshire have attracted the interest of out-of-state homeowners. Prior to the epidemic, New Hampshire was a well-liked vacation spot and the majority of retirees called it home. A greater number of out-of-state buyers are now purchasing second homes, while other investors are searching for properties for both short- and long-term rentals as a result of the pandemic and the rise of the work-from-home lifestyle.
Connecticut: “Affordable” Commute
Hartford, Norwich, and New Haven are at the top of the list of hot markets thanks to the small state of Connecticut. On Realtor.com's list, New Haven in particular rose 162 ranks in May to land at number 18. Although New Haven's housing costs are a little higher than those in Indiana and New Hampshire, purchasers benefit from being close to major cities and employment areas.
On the Long Island Sound, near the junction of the I-95 and I-91 highways, New Haven is midway between Hartford and New York City. A property in New Haven offers the best of both worlds in terms of affordable housing and a convenient commute for the majority of homeowners who want to live and work in large cities.
Affordability is Trending
These well-liked and "unexpected" housing markets have affordability in common. The country's midwestern and northeastern regions, which are more cheap, have supplanted expensive options like California as preferred markets. In May 2022, the 20 hottest markets' average listing price was $374,000, 16.3% less than the national median.
With three ranking locations each, Connecticut and Indiana have the most markets on this list of May 2022 markets. On the list, Wisconsin and other midwestern states had a sizable presence.
An increasing interest in inexpensive seaside markets has emerged alongside homebuyers' search for an affordable place to call home. For instance, the most reasonably priced beaches have been found at Atlantic City, New Jersey; Deerfield Beach, Florida; and New London, Connecticut. The median home value in each area is less than $300,000.
The affordability of the following tiny towns has attracted those looking to escape the bustle of metropolitan life: Elk City, Oklahoma; Albert Lea, Minnesota; and Jamestown, North Dakota. The median cost of a home in these communities is under $250,000.
As buyers of real estate carefully consider prices before making their purchases, the topic of affordability can be seen throughout several facets of the real estate industry.
How Does This Help You?
Knowing current market trends will help you as a real estate agent establish more credibility and make it simpler for you to interact with and assist your clients. Because you will be more aware of what motivates different types of customers, you will feel more confident marketing yourself to them. You may show them that you are dedicated to being the realtor that finds them their ideal property.