Housing Market 2023: These 15 Cities Are Poised for the Most Stable Growth and Are Likely To Keep Their Value
Prospective homebuyers looking for value may want to head south.
A recent GOBankingRates study turned housing forecasts into a list of the top 15 cities where homeowners can expect stable growth. Of the cities that made the top 15, more than half are located in Southern states.
Georgia and Tennessee each landed three cities on the list. Arkansas and North Carolina are also represented.
“We’ve been seeing that the South is a really attractive choice for people,” said Jessica Lautz, deputy chief economist and vice president of research for the National Association of Realtors. “I think there are several reasons for that. A strong job market is a factor. The affordability of homes is a big draw as well.”
Lautz also noted the favorable tax codes in some Southern states.
“Lower property taxes can be a big part of the decision,” she said. “Especially for retirees.”
Without further ado, here’s our list.
15. Fayetteville, Arkansas
- One-month forecasted home value change: 0.80%
- Three-month forecasted home value change: 2.10%
- Year-over-year forecasted home value change: 8.70%
- Average of the three: 3.87%
Fayetteville is located in Northwest Arkansas and has a population of about 94,000, according to the 2020 United States Census. Sperling’s Best Places rates Fayetteville’s cost of living at 91.8, with 100 being the U.S. median. The median home cost is listed at $332,200.
14. Portland, Maine
- One-month forecasted home value change: 1.3%
- Three-month forecasted home value change: 2.5%
- Year-over-year forecasted home value change: 7.8%
- Average of the three: 3.87%
Maine’s largest city, Portland is located on the state’s southern coast and has a population of about 68,000. Its cost of living comes in at 111.9, above the U.S. median of 100. The median home cost is $451,100.
13. Kingsport, Tennessee
- One-month forecasted home value change: 1.0%
- Three-month forecasted home value change: 2.3%
- Year-over-year forecasted home value change: 8.3%
- Average of the three: 3.87%
Kingsport is located in northeast Tennessee, on the border with Virginia. Its population was listed at 55,442 in the 2020 census. Its cost of living is well below the U.S. median at 79.5, and the median home cost is $202,100.
12. Wilmington, North Carolina
- One-month forecasted home value change: 0.90%
- Three-month forecasted home value change: 2.3%
- Year-over-year forecasted home value change: 8.60%
- Average of the three: 3.93%
You’ll find Wilmington — a city of about 115,000 — on the coast in southeast North Carolina. Sperling’s lists its overall cost of living at 96.5, just below the national average. The median home cost is $372,400.
11. Athens, Georgia
- One-month forecasted home value change: 0.80%
- Three-month forecasted home value change: 2.10%
- Year-over-year forecasted home value change: 9.00%
- Average of the three: 3.97%
Athens is located in northeast Georgia, about 70 miles northeast of Atlanta. Its population swelled from about 46,000 to more than 100,000 during the 1990s and currently stands at about 128,000. The cost of living in Athens comes in at 88.1, and the median cost of a home is $280,500.
10. Savannah, Georgia
- One-month forecasted home value change: 1.00%
- Three-month forecasted home value change: 2.40%
- Year-over-year forecasted home value change: 8.60%
- Average of the three: 4.00%
Located about a four-hour drive southeast of Athens, Savannah has a population of roughly 148,000. The overall cost of living in Savannah is listed at 88.4, and the median cost of a home is $260,000.
9. Topeka, Kansas
- One-month forecasted home value change: 1.00%
- Three-month forecasted home value change: 2.40%
- Year-over-year forecasted home value change: 8.90%
- Average of the three: 4.10%
The capital of Kansas, Topeka is located in the northeastern part of the state and had a population of 126,587 in the 2020 census. Its overall cost of living is listed at 78.8, and the median home cost is $169,700.
8. Macon, Georgia
- One-month forecasted home value change: 0.90%
- Three-month forecasted home value change: 2.40%
- Year-over-year forecasted home value change: 9.30%
- Average of the three: 4.20%
One of three Georgia cities on our list, Macon is located in central Georgia, about 85 miles southeast of Atlanta. The median cost of a home in Macon is $141,200, the lowest figure on our list. Its overall cost of living comes in at 76.6. Between 2010 and 2020, Macon’s population surged more than 70%, from about 91,000 to 158,000.
7. Johnson City, Tennessee
- One-month forecasted home value change: 1.00%
- Three-month forecasted home value change: 2.40%
- Year-over-year forecasted home value change: 9.30%
- Average of the three: 4.23%
You’ll find Johnson City about 100 miles northeast of Knoxville in northeast Tennessee. With an overall cost of living of 81.9, it’s well below the national average. The median home cost in Johnson City is $233,400. Roughly 71,000 people live in Johnson City.
6. East Stroudsburg, Pennsylvania
- One-month forecasted home value change: 0.90%
- Three-month forecasted home value change: 2.40%
- Year-over-year forecasted home value change: 10.20%
- Average of the three: 4.50%
The borough of East Stroudsburg is located in the eastern part of the state, about a two-hour drive from New York City. Its median home cost is listed at $268,200, and its overall cost of living comes in at 90.7. Its population was listed at just below 10,000 in the 2020 census.
5. Bangor, Maine
- One-month forecasted home value change: 1.40%
- Three-month forecasted home value change: 3.40%
- Year-over-year forecasted home value change: 9.10%
- Average of the three: 4.50%
Bangor is a city of about 32,000 residents, located in eastern Maine. Its median home cost is $237,200. The overall cost of living is 84 compared to a national median of 100, according to Sperling’s Best Places.
4. Knoxville, Tennessee
- One-month forecasted home value change: 1.10%
- Three-month forecasted home value change: 2.60%
- Year-over-year forecasted home value change: 9.80%
- Average of the three: 4.50%
One of three entries from Tennessee in our list, Knoxville is located in the eastern part of the state. Its population in the 2020 census was 190,740, and its overall cost of living comes in at 89.6. The median cost for a home in Knoxville is $314,700.
3. Joplin, Missouri
- One-month forecasted home value change: 1.10%
- Three-month forecasted home value change: 2.90%
- Year-over-year forecasted home value change: 9.70%
- Average of the three: 4.57%
This city of about 210,000 residents is located in western Missouri, near the borders of Kansas and Oklahoma. Its overall cost of living is listed at 74.6, and the median cost for a home is $166,000.
2. Coeur d’Alene, Idaho
- One-month forecasted home value change: 1.00%
- Three-month forecasted home value change: 2.60%
- Year-over-year forecasted home value change: 10.20%
- Average of the three: 4.60%
Coeur d’Alene is a city on a lake in the Idaho Panhandle, about 20 minutes east of the Washington border. As of 2020, its population was listed at 54,628. It’s a relatively expensive place to live, with an overall cost of living at 114.1, with the national median at 100. The median cost of a home in Coeur d’Alene is $508,200. Both of those figures are the highest on our list.
1. Columbia, Missouri
- One-month forecasted home value change: 1.40%
- Three-month forecasted home value change: 3.10%
- Year-over-year forecasted home value change: 9.70%
- Average of the three: 4.73%
Based on these numbers, Columbia is your best bet for stable growth and homes likely to keep their value. Home to the University of Missouri, Columbia has a population of about 130,000. It’s located in the central part of the state. Its overall cost of living is listed at 89.8, and the median cost of a home is $269,200.
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Methodology: For this piece, we looked at Zillow’s June 2023 forecast trends for home values by metro. We looked at the 300 largest housing markets across the following factors: 1) one month (June to July 2003) forecasted home value change; 2) three month (June to September 2023) forecasted home value change; and year-over-year (June 2023 to June 2024) forecasted home value change. GOBankingRates then found 4) the average of the three forecasts for final rankings. Factors 1 and 3 had to both be positive to be considered. Factor 4 was used for ranking as it takes into account a stability of growth vs. having one forecast dominate.
