With the dream of buying a house growing out of reach, aspiring real estate owners may want to consider Pittsburgh. The city of Pennsylvania is the best metropolitan area in the country for first-time buyers, according to a new study.
The Steel City offers a healthy mix of affordable housing and good neighborhoods, with a steady stream of properties coming on the market, Bankrate found. The personal finance website has looked at the country’s 50 largest metropolitan areas and ranked their attractiveness to first-time home buyers based on 11 different measures, including access to cultural hubs and the job market. local.
The median home price in Pittsburgh in the first quarter of 2022 was $169,000, according to ATTOM Data Solutions, compared to a national median of $320,500. And those lower prices have become very attractive in today’s competitive real estate market, a Pittsburgh real estate agent told CBS MoneyWatch.
“For newcomers to the area, especially if they are from a major metropolitan area, our housing values are a pleasant surprise,” said John Petrack, executive vice president of the Realtors Association of Metropolitan Pittsburgh. “We tend to have a very stable housing market. We don’t experience the big ups or downs of other big cities, although the last two years have seen unusually high appreciation for us.”
Rounding out Bankrate’s top five cities for new home hunters are Minneapolis, Minnesota; Cincinnati, Ohio; Kansas City, Missouri; and Buffalo, New York.
Minneapolis ranks second in part because of its unemployment rate, which ranked sixth in the study’s labor market category. Housing inventory in the Twin Cities is low and prices are rising, “but the area’s excellent schools, healthcare, job opportunities and variety of arts and entertainment options make living here a fantastic value,” said Denise Mazone, president of Minneapolis Area Realtors.
According to a Bankrate study, the worst places for first-time home buyers were Los Angeles, Las Vegas and Seattle due to their low housing inventory, high prices and high unemployment rates.
The median home price in Los Angeles in April was $1 million, up 13% from a year ago, according to data from Redfin. The median home price in Las Vegas for the same period was $435,000, up 30% from a year ago, and the median home price in Seattle was $889,000, up 11 % compared to a year ago.
A million dollar price tag is one thing, but families looking to buy in Los Angeles also need to generate enough cash to compete with cash and institutional buyers, said Anthony Vulin, president of Greater Los Angeles Realtors. . Competition is tough when there is a shortage of homes available for sale in the first place, he said.
“Big picture, we need to address the housing production issue in Los Angeles to really make the area friendlier to first-time buyers,” Vulin told CBS MoneyWatch.
Home prices have soared this year, largely because demand for housing has outstripped supply after construction companies cut new home construction during the. Home prices also soared because some longtime homeowners chose to delay sales and stay put as the pandemic swept across the country.
The price hike was widespread, with Florida cities Miami, Orlando and Tampa seeing some of the. High prices ripped off the away from some middle-class Americans – many of whom have on the market in recent weeks. Others have decided to stay the course and look for cheaper homes in other cities.