The 5 Fastest Growing Housing Markets in America

This spring, houses are selling in record time, despite a shortage on the market. Sales growth in March was up 9% from March 2016, and the average home was placed under contract in 49 days, which is the fastest for the month of March in the past eight years.

So what’s driving this growth?

Job gains, low unemployment, and rising wages, all of which help to attract people from other areas. Among the top five fastest growing housing markets are two cities in the State of Florida, where the market continues to recover from the housing crash.

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Top Growing Housing Markets in the U.S.

• Tampa

The housing market in Tampa continues to not only recover but also to flourish. The city leads the way in home price growth, as median existing home prices are up 13.1% from this time last year. In addition, home sales growth is tied for second, up 7.3% from the same time last year. Much of this has to do with the area’s population growth and solid economy, which has been growing 2 to 4% on average during the past five years.

• Dallas

Although Dallas didn’t experience the bust that occurred in many cities during the recession, its growth is beginning to take off. Home prices in Texas’s third-largest city are up 10.6% from a year ago and have increased 20 straight quarters. Thanks to its diverse economy, Dallas should continue to see population and employment growth, which will help its housing market.

• Columbus

Columbus, Ohio, not only continues to see substantial job growth but payrolls have reached an all-time high, 11.2% above the previous high. Home prices are up 9.6% from a year ago, while home sales have increased 6.6% and are now within 10% of their pre-recession peak. And with a median inventory age of only 46 days, that makes it the hottest city in the Midwest.

• Las Vegas

Of these five cities, Las Vegas has enjoyed the largest growth in home sales, at 11.4%. The city’s economy, particularly the education and health care services sectors, continues to thrive with growth around 5%. In addition, home prices have risen 9.7% from a year ago, which means that prices have gone up almost 90% since they bottomed out five years ago. Despite the increase, houses are still affordable, as prices are around 30% below their bubble peak.

• Jacksonville

Rounding out the top five is Jacksonville, which has the second-highest home price growth from a year ago behind Tampa, at 11.9%. Although there have been job losses in two of the past four months, the education and healthcare services sectors have experienced 5% growth from this time last year. Homes sales are up 7.3% from a year ago, which has brought them close to the level of their pre-recession peak. Add to that a population growth rate that has outpaced the U.S. average for the past two decades, and Jacksonville should remain on solid footing.

As Tampa’s housing market continues to heat up, we at Bay National Title Company will keep you up to date on how the increase in home prices and sales growth will affect you. If you’re looking for a title company that places the customer first and offers a better closing experience, contact us today.