What Cities are the Best for First Time Home Buyers?

I was recently featured on the show “Real Estate Today” and we discussed the buyers position in this year’s housing market. The topic of the show “Buy That House” answered the question, “what do buyers need to do to be successful in the competitive Spring market?” Realtor.com just released a survey that studied home buyers in 146 markets to determine which areas were the most popular. As the consumer housing specialist, I provided valuable insight based upon the findings from our report. The survey studied focused on 5 key areas:

5 FACTORS THAT MAKE AN AREA GREAT FOR FIRST TIME HOME BUYERS

1- How often an area was searched- Ranking of the search online.
2- Median List Price- What price point was appealing?
3- Change of Inventory- How many houses go on the market from year to year?
4- Age of Inventory- How long are the homes on the market?
5- Unemployment Rate– Is it high, normal, low?

Based upon these factors, we chose the top 10 Metropolitian Statistical Areas (MSA’S) and noticed that each neighborhood shared commonalities that acted as incentives for first time homebuyers. Not only do these neighborhoods have low unemployment rates compared to the national average, certain characteristics makes these the perfect place for first time homebuyer to settle.

 FIRST TIME HOMEBUYER INCENTIVES

1- AFFORDABLE LISTED PRICE– For first time homebuyers, it is really important to consider things like down downpayment, and the monthly mortgage. Since this is likely the biggest purchase they have ever made, it is best to use caution and act carefully.

2- LOCATION– The saying “location, location, location,” has never been more true. First time homebuyers are very serious about  buying in areas that have value so that if they were to sell, they would be able to make some type of profit.

3- SUPPLY AND INVENTORY

4- REASONALBE TIME ON THE MARKET–  Homes that sell  fast show that the market is very competitive which can result in crazy bid wars and  multiple offer situations. Those houses that have been on the market for a decent amount of time are more likely to  sell at a reasonable price.

The median home price in these top 10 cities were all below $250,000, making it very affordable and possible for any first time homebuyers wanting to qualify for a loan.  Of the 10 cities chosen the top 3 where:

TOP 3 CITIES

3- PHILADELPHIA, PENNSYLVANIA & NEW JERSEY

• $174,000 median list price
• 141 days on market — This greatly decreases the possibility of encountering crazy bid wars.

2- TAMPA BAY, ST PETERBURG CLEAR WATER, FLORIDA

• 169,000 Median List Price
• 21,000 Homes for sale — healthy amount of inventory

1– PITTSBURG PENNSYLVANIA

• $135,000 MEDIAN HOME PRICE, VERY LOW UNEMPLOYMENT RATE 5.7% BELOW NATIONAL AVERAGE
• %5.7 unemployment rate which is far below the national average.

Would it be worth moving to one of these areas if you are a first time homebuyer? Absolutely! All these neighborhoods have great values and have something unique to offer for anyone looking to make that big purchase. To see houses for sale in these areas simply visit www.realtor.com. For the full interview click here. For any additional real estate questions contact me anytime at:

LESLIE PIPER

(415)990-4929

leslie@kurtpipergroup.com

http://www.kurtpipergroup.com

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Leslie Piper

Leslie a realtor with Pacific Union International and Realtor.com’s Consumer Housing Specialist, thrives in an environment that connects consumers with the home of their dreams. As a Realtor with 12 years of professional experience, she has successfully closed more than 100 transactions throughout her career. On the home buying side, Leslie has a keen eye that offers prospective buyers insight into what their future home might look like. On the listing side, she applies a business-savvy approach and expertise in interior design to help clients with staging, bringing their homes to life. Leslie grew up in Orinda and graduated from University of California, Berkeley. Prior to starting her career in real estate, Leslie worked in finance at Robertson Stephens and Morgan Stanley. She lived internationally in both London and Hong Kong where she was actively invol ved in the charity organization Room to Read. Leslie has continued her philanthropic support of the organization, which is based in San Francisco.

Please visit the Kurt Piper Group website www.kurtpipergroup.com to learn more about Leslie and the Kurt Piper Group or email leslie@kurtpipergroup.com.

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