Last year cities like New York and San Francisco received a lot of attention for the rising cost of rent and mortgages. However, this year those markets may see some relief and may even experience less growth than usual. In general home prices have returned to the levels seen before the 2008 financial crisis. Yet some areas, like the West and the South, have recovered faster than others, which means their real estate markets are in better shape than most of the country.
In order to determine which cities will see the most home value growth in 2017, Zillow looks at three variables (Visit this site to learn more about their process). Keep reading to find out which cities will have the best home value growth in 2017.
Nashville, TN is best known for country music. Yet this year it will also be known as the hottest real estate market. One of the biggest factors driving growth is the healthcare industry which is the largest industry in the area. Zillow predicts that the city will see a 4.3% growth in home appreciation value.
Second on Zillow’s list is one of the biggest cities in the Pacific Northwest. Housing prices are rising in part due to tech behemoth Amazon. The city is beginning to experience the same sort of issues that have plagued San Francisco in recent years—rising housing costs are making it difficult for non-tech workers to live in the city. Here’s a recent article that discusses how the rising costs are pushing millennials out of the city.
Zillow’s top ten list actually features three different Utah cities. Provo ranks above the other two, though. What’s driving home values in Utah? A low unemployment rate for one. Utah’s cities have the lowest unemployment rates compared to the other cities on the list. Provo is also home to big companies like Nu Skin Enterprises and Novell.
Walt Disney World’s home base is estimated to experience a 5.7% increase in home value appreciation in 2017—the largest increase on Zillow’s list. This situation is a fantastic turnaround for Orlando. Just two years ago it was at the top of another list—the most home foreclosures in the country. Although wages are lower than many other cities, jobs are plentiful and unemployment remains relatively low.
To learn more about what to expect in 2017 real estate trends, take a look at this informative article from MarketWatch.