10 Best Places for First-Time Homebuyers in 2023

Purchasing a home has been especially difficult for first-time buyers in recent years thanks to rising prices, increasing mortgage rates and stiff competition for homes in hot markets. Although 2023 is anticipated to still be a challenging year, there are some great opportunities for first-time buyers, especially those with some flexibility on location.

The Future of Finances: Gen Z & How They Relate to Money
Read: 3 Things You Must Do When Your Savings Reach $50,000

To find the best markets for first-time homebuyers, Realtor.com analyzed 659 cities across a number of factors including affordability, the share of 25- to 34-year-olds in the local population, availability of homes for sale, job opportunities, average commute time to work, amenities, and forecasted metro home sales and home price growth in 2023. Based on the analysis, these are the top 10 markets for first-time homebuyers in 2023.

• Forecasted 25- to 34-year-old population share: 14.9%
• Inventory per 1,000 households: 30.1
• Median listing price: $329,900
• Price-to-income ratio: 4.6
• Forecasted average travel time to work (minutes): 28

• Forecasted 25- to 34-year-old population share: 12.9%
• Inventory per 1,000 households: 40.9
• Median listing price: $128,900
• Price-to-income ratio: 2.2
• Forecasted average travel time to work (minutes): 21

Live Richer Podcast: How To Leverage Your Investments

• Forecasted 25- to 34-year-old population share: 15.9%
• Inventory per 1,000 households: 18.3
• Median listing price: $228,300
• Price-to-income ratio: 4.0
• Forecasted average travel time to work (minutes): 22

• Forecasted 25- to 34-year-old population share: 13.3%
• Inventory per 1,000 households: 39.0
• Median listing price: $230,796
• Price-to-income ratio: 3.4
• Forecasted average travel time to work (minutes): 20

• Forecasted 25- to 34-year-old population share: 16.8%
• Inventory per 1,000 households: 73.7
• Median listing price: $410,000
• Price-to-income ratio: 5.1
• Forecasted average travel time to work (minutes): 27

• Forecasted 25- to 34-year-old population share: 16.8%
• Inventory per 1,000 households: 54.7
• Median listing price: $220,000
• Price-to-income ratio: 3.0
• Forecasted average travel time to work (minutes): 27

• Forecasted 25- to 34-year-old population share: 13.6%
• Inventory per 1,000 households: 62.3
• Median listing price: $160,000
• Price-to-income ratio: 2.2
• Forecasted average travel time to work (minutes): 25

• Forecasted 25- to 34-year-old population share: 12.6%
• Inventory per 1,000 households: 41.9
• Median listing price: $239,900
• Price-to-income ratio: 2.7
• Forecasted average travel time to work (minutes): 23

• Forecasted 25- to 34-year-old population share: 15.1%
• Inventory per 1,000 households: 58.1
• Median listing price: $389,900
• Price-to-income ratio: 3.6
• Forecasted average travel time to work (minutes): 25

• Forecasted 25- to 34-year-old population share: 15.9%
• Inventory per 1,000 households: 58.8
• Median listing price: $239,000
• Price-to-income ratio: 3.9
• Forecasted average travel time to work (minutes): 25

More From GOBankingRates

• 7 Florida Cities That Could Be Headed For a Housing Crisis
• Do You Have a Tax Question? Ask a Tax Pro
• Safeguard Your Retirement From Economic Turbulence
• Here's How To Build a 6-Month Emergency Fund

Disclaimer: Photos are representational and may depict nearby cities. All data is sourced from Realtor.com’s Best Markets for First-Time Homebuyers in 2023 and is accurate as of Jan. 18, 2023.