Where To Invest? Here Are The Top 10 US Housing Market Hot Spots For 2025

The National Association of Realtors (NAR) has revealed the top 10 U.S. housing market hot spots to keep an eye on in 2025, with Boston and Kansas City among the top contenders.

What Happened: The NAR study indicates a promising outlook for home buyers in 2025. This positive forecast is attributed to an anticipated increase in housing inventory, steady mortgage rates, and sustained job and income growth.

The NAR expects mortgage rates to stabilize around 6% in 2025, which could motivate more potential buyers to enter or re-enter the housing market.

The association is projecting 4.5 million existing-home sales for the forthcoming year.

While home prices are predicted to continue their upward trend in 2025, the pace is expected to be slower than in previous years, with an estimated increase of approximately 2%. This would result in a median existing-home price of $410,700.

Leading the 2025 list is the Boston-Cambridge-Newton, Massachusetts-New Hampshire region, with an average home price nearing $700,000. The NAR believes this area will benefit from the stabilized mortgage rates in 2025.

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Other significant hot spots include the Charlotte-Concord-Gastonia, North Carolina-South Carolina, and Greenville-Anderson, South Carolina areas. Both regions have experienced substantial growth in recent years and provide affordable housing options.

Kansas City, Missouri-Kansas has also been highlighted, with its affordability and competitive financing options making it a desirable choice for millennial home buyers.

Why It Matters: The housing market has been a significant focus in recent years due to fluctuating mortgage rates and home prices. The NAR’s report provides valuable insight into potential market trends and hot spots for 2025.

This information can help potential buyers make informed decisions and could influence the housing market’s overall trajectory.

The inclusion of affordable areas like Kansas City and Charlotte-Concord-Gastonia indicates a shift towards more affordable housing options, which could have broader implications for the market and the economy.

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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.