Using current and forecasted housing fundamentals, Ten-X (formerly Auction.com) reported in its Top Single-Family Housing Markets Report for Winter released on Thursday that the top five single-family housing markets in the country are Seattle, Fort Lauderdale, Orlando, Portland, and Las Vegas.
The markets that ranked high on the list featured the best combination of rising home prices, favorable affordability, and strong demand mixed with demographic and economic conditions that suggest strong housing demand for the future, according to Ten-X.
A surprise entry to the list of the country’s top five single-family housing markets was Las Vegas, which ranked 20th on Ten-X’s single-family market rankings issued on October 20 and made the leap up to 5th in the rankings released on Thursday. The top three markets on the latest list (Seattle, Fort Lauderdale, and Orlando) were unchanged from October while Portland moved up one place on the list from 5th to 4th.
“The fact that Las Vegas—ground zero during the foreclosure crisis—has climbed back to become one of the five hottest markets in the country tells you just how far we’ve come in terms of a housing recovery,” said Ten-X Chief Marketing Officer Rick Sharga. “Destination cities like Las Vegas, Fort Lauderdale, and Orlando are benefitting from low oil prices, which increase leisure and hospitality business, and in turn boosts employment and home prices. We expect the housing recovery to see some choppiness, but generally continue building on its current momentum.”
The Florida markets as well as Las Vegas are now experiencing increased demand in the housing market, driven by revitalized local economies and population growth. The tech sector continues to drive healthy economic and demographic growth in Seattle and Portland, while many housing fundamentals in these two markets have surpassed their pre-crisis peaks, according to Ten-X.
“The U.S. housing market recovery continues to be supported by underlying economic fundamentals, particularly the improved labor market,” said Ten-X Chief Economist Peter Muoio. “Though new regulatory procedures induced some volatility in late 2015, home sales continued at a healthy pace, and while a tight inventory of homes constrained improvement in sales, it has contributed to accelerated gains in home prices.”
Click here to view highlights from the top five markets as well as a list that ranks the top 50 single-family housing markets from across the country.