Introduction to Real Estate Markets
FILE-A for sale sign is displayed outside of a home for sale in Los Angeles, California. (Photo by PATRICK T. FALLON/AFP via Getty Images)
Purchasing a home is a long-term investment requiring a lot of time and research when it comes to finding low interest rates and affordable down payments when searching for a place to settle down. This process can be overwhelming, especially for first-time buyers. However, with the right information and guidance, it can be a successful and rewarding experience.
While there’s plenty for consumers to consider in their housing journey, WalletHub released new data for the best real estate markets in the nation, comparing 300 cities across 17 categories. This report provides valuable insights for potential homebuyers, helping them make informed decisions about their investments.
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Here’s a list of the best real estate markets in the U.S. These cities have been ranked based on their real estate market and affordability, as well as their economic environment.
Best Real Estate Markets
Why you should care: The real estate market can be unpredictable, and it’s essential to stay informed about the current trends and conditions. By understanding the best real estate markets in the U.S., you can make a more informed decision about your investment.
WalletHub ranked the cities across two key areas: real estate market and affordability and economic environment. Researchers examined those tiers using 17 data points, which each one graded on a 100-point scale, with a score of 100 representing the healthiest housing market.
- McKinney, Texas
- Cary, North Carolina
- Irvine, California
- Durham, North Carolina
- Richardson, Texas
- Frisco, Texas
- Gilbert, Arizona
- Nashville, Tennessee
- Denton, Texas
- Allen, Texas
What Does the Report Say About the Top Three Real Estate Markets?
Dig deeper: To understand what makes these cities the best real estate markets, let’s take a closer look at the top three cities on the list.
Based on their data, WalletHub ranked McKinney, Texas, Cary, North Carolina, and Irvine, California as the best real estate markets in 2025. These cities have shown exceptional performance in terms of their real estate market, affordability, and economic environment.
McKinney, TX
McKinney, Texas, was the number one on the list for a few reasons. The city has the second-highest share of homes that were built between 2010 and 2023, at roughly 38%, meaning that consumers have more options for homes that may not need major maintenance for a while.
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According to WalletHub, the median home price in McKinney is roughly 365% of the median income, which is the 74th-cheapest out of the 300 cities. Meanwhile, McKinney has the 11th-highest job growth rate and ranks among the 40 least expensive cities for maintenance, telephone, and energy costs.
Cary, NC
Cary, North Carolina, has the second-best real estate market, primarily because of its low cost of living with the fourth-lowest home energy costs in the U.S. and the fifth-lowest phone service costs and home maintenance costs.
Although the city ranks 96th for housing affordability, WalletHub noted that it has the 29th-lowest mortgage delinquency rate and the second-lowest foreclosure rate. And the area also has one of the lowest unemployment rates in the nation and one of the best job growth rates.
Irvine, CA
WalletHub ranked Irvine, California, as the third-best real estate market, in part because the city has the third-highest share of homes that were built between 2010 and 2023, at nearly 32%. Moreover, Irvine is the 11th-cheapest city for phone services and the 20th-cheapest for maintenance and energy and has the 15th-lowest mortgage delinquency rate. And if you’re looking for work or a career change, Irvine has one of the best job growth rates in the U.S.
The Source: Information for this story was provided by WalletHub, which released a report on the real estate markets comparing 300 cities across two key areas: real estate market and affordability and economic environment. The cities were graded on a 100-point scale, with a perfect score representing the healthiest housing market. This story was reported from Washington, D.C.
Conclusion
In conclusion, the best real estate markets in the U.S. offer a combination of affordability, job growth, and a healthy housing market. By understanding the current trends and conditions in these cities, potential homebuyers can make informed decisions about their investments. Whether you’re a first-time buyer or an experienced investor, it’s essential to stay informed about the real estate market and its opportunities.
Frequently Asked Questions
Here are some frequently asked questions about the best real estate markets in the U.S.:
Q: What are the top three real estate markets in the U.S.?
A: The top three real estate markets in the U.S. are McKinney, Texas, Cary, North Carolina, and Irvine, California.
Q: What factors contribute to a healthy real estate market?
A: A healthy real estate market is characterized by factors such as affordability, job growth, low mortgage delinquency rates, and a strong economy.
Q: How can I find the best real estate market for my needs?
A: To find the best real estate market for your needs, research cities that offer a combination of affordability, job growth,
