Even with home prices and mortgage rates on the rise this year, dreams of owning a home are still alive and well. The only things that have changed, according to a new report, are the ideal locations.
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New data from Realtor.com’s 2019 top 10 markets report found that certain cities throughout the country are getting a record number of mortgage applications from millennials. Additionally, the markets are becoming a hotbed for job growth and new construction.
“These markets are millennial magnets with bustling economies, affordable housing for today’s standards, and an overall high quality of life,” Danielle Hale, chief economist at Realtor.com, said.
This year’s top markets include Lakeland, Florida, Grand Rapids, Michigan, El Paso, Texas, and Chattanooga, Tennessee.
Realtor.com said millennials, in particular, have the strongest hold in these markets, taking out up to 49 percent of mortgages for these areas. What’s more, homes in these markets are all expected to have higher price growth in 2019 than the national average.
Lakeland, Florida, topped this year’s list due to its low median forecasted price for a home, which is roughly $100,000 cheaper than the national average, coming in at $161,757. Additionally, residents of Lakeland don’t have to worry about private school tuition as its public schools received an overall high rating.
Grand Rapids, Michigan, which has been nicknamed Beer City, USA due to its plethora of microbreweries, came in second on the list for its reputation as a “fun place” with top schools and affordable housing. According to Realtor.com, homes are selling in 52 days.
Here are Realtor.com’s list of top 10 markets for homebuyers
1. Lakeland, Florida
Percentage of millennial mortgage takers: 32
2. Grand Rapids, Michigan
Percentage of millennial mortgage takers: 48.8
3. El Paso, Texas
Percentage of millennial mortgage takers: 45.7
4. Chattanooga, Tennessee
Percentage of millennial mortgage takers: 43.9
5. Phoenix, Arizona
Percentage of millennial mortgage takers: 31.9
6. Bridgeport, Connecticut
Percentage of millennial mortgage takers: 33.8
7. Las Vegas, Nevada
Percentage of millennial mortgage takers: 30
8. Boise City, Idaho
Percentage of millennial mortgage takers: 32.4
9. Miami, Florida
Percentage of millennial mortgage takers: 29.9
10. Boston, Massachusetts
Percentage of millennial mortgage takers: 41.8