Affordable Homes: Real Estate in Nation's 10 Most Cheap &
Livable Metro Areas
The 10 most livable and most affordable real estate metro areas
in the United States have a number of other favorable
characteristics in common, according to a new HouseHunt "Current
Real Estate Market Conditions" survey conducted by HouseHunt,
Inc., a consumer-oriented Internet firm that provides free
information to thousands of homeowners, home buyers and home
sellers across the nation. The survey shows median home prices
range from $130,100 to $194,400 for existing homes for sale and
also found: * The majority of the 10 metro areas report
balanced, good-to-active housing markets with sellers usually
getting 95% or more of their asking prices. Inventories of
unsold homes are mostly limited.
* The majority of the 10 metro areas are experiencing strong job
and population growth and good economic news. They offer quality
lifestyles, good schools and solid family recreation along with
other amenities. Sales data shows that many recent home buyers
are relocating from other, often more costly areas.
* All 10 metro markets are attracting both first-time and
move-up buyers because of affordable prices, low mortgage
interest rates and multiple financing options.
* Median real estate prices for existing single-family homes in
the 10 metro areas range between $130,100 and $194,400, compared
to the national median real estate price of $188,800. Four of
the 10 areas reported double-digit price appreciation in the
past 12 months.
* All 10 metro areas have major universities located there.
* Five of the 10 metro areas are popular tourism destinations.
Nine of the 10 metro areas are located in warm to moderate
climates.
The 10 most livable and most affordable metro areas as
determined by criteria developed by "Places Rated Almanac"
(David Savageau) and the latest quarterly median sales prices
compiled by the National Association of Realtors are:
1. Salt Lake City-Ogden, UT $157,000
2. Tampa-St. Petersburg-Clearwater, FL $172,800
3. Raleigh-Durham-Chapel Hill, NC $175,600
4. Houston, TX $138,100
5. Phoenix, AZ $193,800
6. Cincinnati OH, $139,600
7. Louisville, KY $130,100
8. Austin-San Marcos, TX $154,100
9. Orlando, FL $194,400
10.Nashville,TN $152,100.
Four of the 10 metro areas - Tampa-St. Petersburg-Clearwater,
Raleigh-Durham-Chapel Hill, Nashville and Austin-San Marcos -
are also listed in the latest edition of Lee and Saralee
Rosenberg's "50 Fabulous Places To Raise Your Family" (Melissa
Giovagnoli). Like Savageau, the authors give high marks for
schools, jobs and business opportunities, family fun, housing
affordability, living costs, climate, health care,
transportation and quality of life.
"With all the negative news about spiking home prices and the
widening affordability gap, it's refreshing to find highly
desirable metro areas where most buyers can find affordable
homes," said Michael Bearden, president and CEO of HouseHunt,
Inc. "Our quarterly 'Current Market Conditions' reports are
accessible on many of our HouseHunt.com agent websites across
the country. For recent home sales in their neighborhoods,
homeowners and home sellers can also find this information
easily and immediately on HouseHunt's new moveUp.com website."
Mark Jenkins of Realty Executives, exclusive HouseHunt member
agent for Salt Lake City, described housing activity in his
metro area as "improving" from a depressed buyers market." He
said many buyers are relocating from out-of-state to take
advantage of the lifestyle and lower home prices. A median price
of $157,000 would probably buy a 2,000 square foot home with
three bedrooms, two baths and a two-car garage on a one-third or
one-four acre lot in a good location. Highest home price
appreciation is occurring near the University of Utah. Another
hot spot is Park City, a popular ski resort in the nearby
mountains where Lee Merryweather of World Class Realty is the
exclusive HouseHunt member agent.
An active housing market is reported in the Tampa-St.
Petersburg-Clearwater metro area by Linda Ippolito of Keller
Williams Realty, exclusive HouseHunt member agent for Bayshore,
Westshore-South Tampa, and Davis Island-South Tampa. She said
the whole area is exploding with growth and new industries.
Available housing is in limited supply. Although the median
price home is $172,800 for the entire metro area, median home
prices are closer to $400,000 in South Tampa. Waterfront
properties are also priced higher. Average price appreciation is
15.7% in the past year. A slower-paced but high quality
lifestyle is reported in the Raleigh - Durham - Chapel Hill
metro area by Ray Lenahan of Robert Gray Realtors, exclusive
HouseHunt member agent with Robert Gray for Wake Forest,
Rolesville and Youngsville.
"The big attraction is our Research Triangle, three major
universities, excellent quality of life, and moderate weather,"
Lenahan said - He said the median home price of $175,600 in the
metro area is probably closer to $190,000 in his market area.
"That will buy a new home with 2,000 square feet with three
bedrooms, two baths on a half-acre lot. Either that, or, it
would buy an older home in a more established neighborhood," he
added.
Houston, with its "can do" entrepreneurial spirit and
liberal-to-zero zoning restrictions, is attracting people from
both the East and West Coasts to relocate and to invest in
rental properties, according to Kathi Frank of RE/MAX The
Woodlands, exclusive HouseHunt member agent for The Woodlands
and Woodland Springs. The Woodlands is a 27,000-acre planned
community located 27 miles north of downtown Houston. "Median
price home for the entire metro area is $138,100," she said.
"That will buy a new, 1,400 square foot home from a production
builder in North Houston or Woodland Springs." She added:
"Estate properties are priced from the low $200,000s to more
than $3 million."
Reva Schafer of West USA Realty, exclusive HouseHunt member
agent for Scottsdale and Northeast Phoenix, reported a limited
inventory and a very active seller's market, with sellers
usually getting 100% or more of their asking prices. The median
price for the metro area is $193,800 "but hard to find anything
under $300,000 in my area," Schafer said. "It's more like
$350,000 to $400,000 as a median price in Scottsdale.. Lots are
jumping in price. So are houses." Year-to-year appreciation is
24.4%! She cited tremendous growth in the suburbs of Peoria and
Chandler. "A year ago, investors were buying from builders and
flipping (re-selling) the properties. No more. Now, a buyer must
live in the property for at least one year to qualify."
Good job growth, corporate relocations and an improving local
economy is fueling the housing market in the Cincinnati metro
market, according to Saralou Durham of RE/MAX Preferred Group
and exclusive HouseHunt member agent for suburban Montgomery and
Hyde Park in Hamilton County, OH. "We have fabulous cultural and
recreational facilities and a good quality lifestyle," she
said.."A median home price of $139,600 seems a bit low,
depending on the area. That amount of money will probably buy a
small two bedroom, one bath home needing some repair or
remodeling in one of our small suburban communities."
In Louisville, Charlotte Wright and Michael McConnell of
Evergreen Realty are exclusive HouseHunt member agents for
suburban Jeffersontown. "Louisville is now the 16th largest
metro area in the nation," Wright said. "We're a hub for UPS and
have two Ford plants located here. Military personnel stationed
as nearby Ft. Knox and their families are also relocating here,
she said. "The median price of $130,100 is probably low -
$150,000 would be more accurate. The latter will buy a three
bedroom, two bath 1,200 square foot house with a garage in a
good area."
Ann Parr of RE/MAX Austin Advantage and exclusive HouseHunt
member agent for Westlake & Lake Travis said well-priced
listings are attracting multiple, full-price offers in a very
active seller's market. Average time on the market is 60-90
days. "We have younger professionals who want to live close to
downtown but the primary place to live is by the lakes," she
said. Prices range from $150,000 to $6 million. "Nice homes can
be purchased for $250,000 to $350,000. The median price home is
$154,100 in Austin. That would probably buy a starter home in
the Round Rock area or a home needing remodeling in Central
Austin. Patio homes for retired people near Lake Austin sell for
$200,000."
One of the hottest of the 10 metro markets on the list is
Orlando, according to Steve Farah of the Royal Realty Group.
Farah is exclusive HouseHunt member agent for Alafaya &
Waterford Lakes and Kissimmee: "We're experiencing unbelievable
growth and home appreciation," he said. "Our seller's market is
so active that listings sometimes last only hours, not days.
Buyers frequently must act immediately or the property will be
gone!" He feels that the median price of $194,400 is probably
low because of high demand and the low inventory. "A median
price of $250,000 would be more realistic and would buy a three
-bedroom, two bath home with 1,700 to 2,000 square feet." Since
the first quarter of 2004, the median price home has appreciated
28.7%.
Nashville, the 10th ranked metro area on the list, offers a
relaxed, friendly lifestyle and affordable home prices to
newcomers, according to Mary Barbee of Coldwell Banker Andrews
and Associates. Plus, there is no state income tax. Barbee is
the exclusive HouseHunt member agent for South East Nashville.
"The median price of $152,100 seems low - it's more like
$170,000, depending on location. That amount of money would
probably buy a three-bedroom, two-bath new home with 1,200-1,500
square feet in the suburban communities of Madison and Smyrna,"
she said. The median home price is up 11.3% in the past year in
the Nashville metro area.