Top Housing Markets in the Country for 2015
Realtor.com did a report showing the top housing markets of 2015. I thought this was interesting because the old adage about “the market” is that once it goes up and stays up, it has to come down at some point. Well, rest easy readers, because this isn’t going to happen for at least another year. So if you’ve been thinking of selling or buying, you’ll still be just fine. They’re saying it’s because Millenials are coming back to the housing market, I assume that’s because they have jobs now. Well, Realtor.com came up with this list based on population growth, affordability, and employment. Here’s a rundown of the top housing markets in the country for 2015 in alphabetical order:
Why? Atlanta has a large influx of lower priced homes. Atlanta’s new home growth is expected to hit 6% in the next five years.
Why? Dallas has a stable, strong economy, while setting employment records in 2014 and a 3% projected employment growth rate in 2015. Dallas is also expected to lead the country in new home building over the next five years. Turns out there’s a lot of room down there.
Des Moines: +9%
Why? Wait…what? Des Moines, IOWA? Turns out Des Moines has a giant influx of affordable housing. The median home costs $180,000. The national median is $221,000. Des Moines also has a large number of Millenials with jobs. People with jobs + affordable houses = stable housing market.
Why? Uh, it’s Denver and we’re awesome. Oh, and we win in projected growth. Boo-ya, other cities! We have a below-average unemployment rate, we stayed strong through the recession recovery, our job growth is high, and who wouldn’t want to live here?
Why? More people are moving to Texas than any other state. Houston is on pace to set employment records this year, and will continue to add jobs at twice the national rate. There is a lot of new construction going on at a rapid pace, and in Texas there is definitely room to grow. Plus, you can get a large dream house for the price of a Denver bungalow. The only problem is that Houston and Dallas’ economies rely on the energy industry, and falling gas prices have the industry a little worried at the moment. This will be one to keep an eye on.
Los Angeles: +6%
Why? To start, Los Angeles’ population reached 13 million this year. By the law of averages, Los Angeles is going to show up on this list even with moderate home growth. The houses are not exactly affordable at a median price of $460,000.
Why? Minneapolis has a market very much like Des Moines’. Low unemployment rate, young residents, affordable homes. Their average income is also way above the national average at $83,000 compared to $64,000. Minneapolis is also rising on the “cool” scale, with an attractive downtown area.
Why? It’s a HOT market! Get it? Sorry, couldn’t help it. But really, it is a hot market now that the housing market is recovering after plummeting almost 60% after the market crashed. That translates to a lot of new home construction, a lot of flips, and a lot of up-and-coming neighborhoods. Realtor.com predicts a 22% rise in new construction projects next year.
San Jose, California: +3%
Why? San Jose is close to Silicon Valley and where do you go when one market is tapped out? The next one. New Silicon Valley residents are spilling over into the slightly less expensive San Jose market. However, “less expensive” is relative…the median home price is $689,000.
Washington, D.C.: +10%
Why? Washington D.C. has always remained a strong housing market despite the governmental gridlocks it has been experiencing. Employment growth slowed down for a time, but has returned strongly lately. D.C. has a strong tech industry and lots of job opportunities in the immediate surrounding areas for military and civilians alike.
There you have it – the top housing industries for 2015 as reported by Realtor.com. I’m quite happy to see Denver is so high (the highest) on the list and it’s still growing. I truly think Denver is one of those markets that continually reinvents itself because people who live here truly love their city and want to see it thrive.