Buy While You Can: 20 Hottest Neighborhoods in the US
Some of the hottest neighborhoods still offer a good deal.
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Across the U.S., the cost of living is increasing and wages aren’t rising fast enough to cover it. Because housing costs almost always account for the largest percentage of living expenses, you might want to consider moving to a cheaper area. The problem is, you might need to make your move sooner rather than later.
To help address this problem, GOBankingRates conducted a study to identify the top neighborhoods in America to buy into before they get too expensive. We analyzed over 1,700 neighborhoods throughout the U.S. and studied trends in home prices, home availability and how long homes sit on the market to find the neighborhoods that provide the best buying opportunity right now.
Click through to see which housing markets are on fire before everyone else gets in on the action.
20. Pleasant Valley: Portland, Ore.
- Median list price July 2017: $395,000
- Median list price July 2018: $473,900
- Year-over-year increase: 20 percent
- Median days on market: 16
Pleasant Valley is tied with one other neighborhood for the lowest year-over-year increase in home prices of all the neighborhoods included in this study — but 20 percent is still a large jump. This East Portland neighborhood is home to numerous parks and provides a mix of urban and suburban areas.
19. Bay Terraces: San Diego
- Median list price July 2017: $370,00
- Median list price July 2018: $444,900
- Year-over-year increase: 20.2 percent
- Median days on market: 15
California is known for its high home prices. And although Bay Terrace is a hot neighborhood in the state, the San Diego area had the second-lowest year-over-year increase in home price compared to the other neighborhoods on this list. The neighborhood received high scores from Area Vibes for its plethora of amenities, low crime rates and sunny weather.
18. Schiller Park: Buffalo, N.Y.
- Median list price July 2017: $39,900
- Median list price July 2018: $48,450
- Year-over-year increase: 21.4 percent
- Median days on market: 14
Schiller Park has the most affordable homes of all the neighborhoods included on this list. But with a median of 14 days on the market — the fifth-shortest amount of time of all the neighborhoods included in this study — you’ll have to act fast if you want to purchase a home in this Upstate New York area, which has lots of local amenities and a low cost of living.
17. Evergreen: San Jose, Calif.
- Median list price July 2017: $907,444
- Median list price July 2018: $1.1 million
- Year-over-year increase: 21.2 percent
- Median days on market: 13
California has a pricey housing market, and this is especially true in Evergreen, which has the third-most expensive homes of all the neighborhoods included in this study.
Although home prices are high, they’re also in high demand. The median number of days a home stays on the market in the San Jose neighborhood is 13, which is the third-shortest amount of time compared to the other neighborhoods on this list. Evergreen received high marks from Area Vibes for its local amenities, sunny weather, low crime rates and high graduation rates.
16. Silver Lake: Los Angeles
- Median list price July 2017: $979,900
- Median list price July 2018: $1.2 million
- Year-over-year increase: 22.4 percent
- Median days on market: 17
With the highest median list price of all the neighborhoods included in this study, Silver Lake might be too hot of a neighborhood for most to actually afford a home there. The hip east Los Angeles neighborhood is home to a thriving restaurant and nightlife scene.
Click to See: The Most Affordable Neighborhoods in the Most Expensive US Cities
15. Northside-Northline: Houston
- Median list price July 2017: $144,950
- Median list price July 2018: $181,400
- Year-over-year increase: 25.1 percent
- Median days on market: 27
Northside/Northline is a “super neighborhood” in the north central part of Houston. Housing is predominantly single-family homes, though there are large apartment complexes located near the I-45, which is one of the two major roadways that provide access to the area. Click to find out if you work enough to afford a home in these major cities.
14. Southdale: Indianapolis
- Median list price July 2017: $135,000
- Median list price July 2018: $162,000
- Year-over-year increase: 20 percent
- Median days on market: 6
Southdale is a hot market, but homes are still relatively affordable — the median list price in the Indiana neighborhood is the fifth-lowest of all the neighborhoods included in this study. But if you want to buy a home here, you’ll have to act fast. With a median of six days on the market, homes sell faster here than any other neighborhood on this list.
13. Windsor Park: Charlotte, N.C.
- Median list price July 2017: $199,990
- Median list price July 2018: $259,990
- Year-over-year increase: 30 percent
- Median days on market: 39
Prospective buyers in Windsor Park have a little more time in the homebuying process than in some of the other hot neighborhoods on this list. The area has the second-highest median number of days a home is on the market compared to the other neighborhoods included in this study.
Windsor Park is filled with curving streets and brick ranch homes, and is close to Uptown Charlotte and University City.
12. Downtown: San Jose, Calif.
- Median list price July 2017: $725,000
- Median list price July 2018: $893,500
- Year-over-year increase: 23.2 percent
- Median days on market: 12
Downtown is one of two San Jose neighborhoods on this list, and just like Evergreen, homes here are especially pricey. The median home list price here is the fourth-highest of all the neighborhoods included in this study. Despite high prices, homes only stay on the market for a median of 12 days — the third-shortest amount of time of all the neighborhoods on this list. The Silicon Valley neighborhood is home to a variety of shopping, dining and living options.
11. College Park: Orlando, Fla.
- Median list price July 2017: $389,900
- Median list price July 2018: $499,500
- Year-over-year increase: 28.1 percent
- Median days on market: 28
Orlando is one of the cities in danger of a housing crisis, but that doesn’t mean you should disregard all of its neighborhoods. College Park is located northwest of Orlando and is home to many locally owned businesses and shops along its main street.
10. South Seminole Heights: Tampa, Fla.
- Median list price July 2017: $224,900
- Median list price July 2018: $287,500
- Year-over-year increase: 27.8 percent
- Median days on market: 24
Tampa might be one of the U.S. cities where home prices are falling, but don’t overlook South Seminole Heights. South Seminole Heights has a population of 3,000 and is home to many families. The neighborhood has three parks, and a riverfront where residents can relax, fish, picnic, kayak, canoe and go for walks or jogs.
9. Cobbs Creek: Philadelphia
- Median list price July 2017: $85,000
- Median list price July 2018: $109,900
- Year-over-year increase: 29.3 percent
- Median days on market: 28
Homes in Cobbs Creek — known as “The Southside” to Philadelphia locals — are the fourth-cheapest compared to the other neighborhoods in this study. The neighborhood is home to the Cobbs Creek Automobile Suburb Historic District.
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8. Holiday Hill: Jacksonville, Fla.
- Median list price July 2017: $132,450
- Median list price July 2018: $175,000
- Year-over-year increase: 32.1 percent
- Median days on market: 32
Jacksonville is one of the cheapest cities for homeowners, but Holiday Hill is a hot neighborhood to consider. Homes stay on the market for a median of 32 days in this hot neighborhood, which isn’t very long. However, it’s actually the fourth-longest amount of time compared to the other neighborhoods in this ranking. A low cost of living, lots of local amenities and sunny weather make Holiday Hill a desirable place to live.
7. Washington Park: Denver
- Median list price July 2017: $899,000
- Median list price July 2018: $1.16 million
- Year-over-year increase: 29.5 percent
- Median days on market: 15
Denver is one of the best cities for aspiring millennial homeowners, found a previous study. However, they might not be able to afford a home in this hot Denver neighborhood.
The Washington Park neighborhood is home to lakes, flower gardens, a trolley car route and many specialty shops. The median list price has now exceeded $1 million, and it’s the second-most expensive neighborhood included in this study.
6. East Memphis-Colonial-Yorkshire: Memphis, Tenn.
- Median list price July 2017: $143,700
- Median list price July 2018: $193,700
- Year-over-year increase: 34.8 percent
- Median days on market: 34
East Memphis is home to tree-lined streets, boutiques, unique dining options and some Fortune 500 company headquarters. Home prices in the East Memphis area have increased by more than a third year-over-year. The neighborhood had the fourth-largest increase in home prices from 2017 to 2018 of all the areas included in this study.
Click to See: Best and Worst Cities for Homebuyers
5. Riverside: Atlanta
- Median list price July 2017: $279,900
- Median list price July 2018: $375,000
- Year-over-year increase: 34 percent
- Median days on market: 28
Like East Memphis, Riverside saw a large jump in home prices over the past year. The year-over-year increase in the Atlanta neighborhood — which is located on the city’s upper west side and is less than one square-mile — is the fifth-largest of all the areas included in this study.
Even if you don’t choose to buy a home in Riverside, consider the Atlanta area as a whole — especially if you’re looking to invest in real estate. Atlanta is one of the housing markets that beat the stock market over the years.
4. Twin Lakes: Las Vegas
- Median list price July 2017: $180,000
- Median list price July 2018: $250,000
- Year-over-year increase: 38.9 percent
- Median days on market: 45
If you can afford a home in Twin Lakes, buy one now — home prices are rising rapidly. The Las Vegas neighborhood saw the second-largest year-over-year increase in home prices of all the areas included in this study. Twin Lakes is a subdivision west of Rancho Drive, located between Washington Avenue and Vegas Drive.
Read This: Home Prices Are Rising Fast in These 20 Cities — Here’s Why
3. Near Eastside: Indianapolis
- Median list price July 2017: $55,000
- Median list price July 2018: $72,000
- Year-over-year increase: 30.9 percent
- Median days on market: 10
Near Eastside is one of two Indianapolis neighborhoods included in this list, and it has the second-cheapest homes overall. Prospective homebuyers who want to buy here will need to act quickly, as the median number of days a home stays on the market is the second-lowest of all the neighborhoods on this list.
The Near Eastside neighborhood is located east of downtown Indianapolis and contains a mix of green space, businesses, homes and schools.
Study Finds: This Is the City Most in Danger of a Housing Crisis
2. Acres Home: Houston
- Median list price July 2017: $129,900
- Median list price July 2018: $175,400
- Year-over-year increase: 35 percent
- Median days on market: 24
Home prices are rising quickly in Acres Home. The Houston neighborhood had the third-largest year-over-year increase of all the neighborhoods included in this study. The historic neighborhood has been the site of many new home developments over the past couple of years, the Houston Chronicle reported.
Click to See: Insanely Amazing Homes You Can Actually Afford
1. Bagley: Detroit
- Median list price July 2017: $63,000
- Median list price July 2017: $90,000
- Year-over-year increase: 42.9 percent
- Median days on market: 24
Home prices have jumped the most year-over-year in Bagley compared to the other neighborhoods on this list, but homes are still affordable — they’re the third-cheapest of all the neighborhoods included in this study. The neighborhood is home to many people who work in Detroit, but prefer suburban living.
Click through to read more about the best and worst states for homebuyers.
More on Real Estate
- The Best and Worst Cities to Own Investment Property
- Remodeling 101: From HELOC to a Happy Home
- The Biggest Homes for Sale Across America
Methodology: To determine the hottest neighborhoods in the U.S., GOBankingRates calculated 1) the year-over-year increase in median list prices for 1,761 neighborhoods across the country, July 2017 to July 2018, with neighborhood price data sourced from Zillow. The other principal factor was 2) median days on market, which is the median amount time homes stay on the market before being sold, sourced from Redfin.
Photo Disclaimer: Please note photos are for representational purposes only. As a result, some of the photos might not reflect the neighborhoods listed in this article.
About the Author
Gabrielle Olya
Gabrielle joined GOBankingRates in 2017 and brings with her a decade of experience in the journalism industry. Before joining the team, she was a staff writer-reporter for People Magazine and People.com. Her work has also appeared on E! Online, Us Weekly, Patch, Sweety High and Discover Los Angeles, and she has been featured on “Good Morning America” as a celebrity news expert.
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