Top 20 Housing Markets Entering Q4

 In August, Manchester-Nashua, New Hampshire, reclaimed its position as the top housing market, marking the tenth time in the past year that this has occurred. Since March 2021, this region has occupied the number one spot in the hottest markets a total of 17 times. It wasn't until May of 2018 that Manchester finally broke into the top 20, and since the beginning of 2019 it has been a consistent top 20 city. Source: Realtor.com

 Continued Demand in Affordable Metropolitan Areas

 As opposed to the usual August figure of 8 Western hot markets, there are none this month, all of which are located in the East. There is a seasonal decline in the popularity of Western marketplaces throughout the summer, but the data shows that they have not completely dropped off the list by August. Seventeen of the twenty hottest markets are located in the Northeast and Midwest, where real estate is more inexpensive than in the West.

 The median listing price in 16 of August's most popular real estate markets was lower than the national average. The national median listing price was $417,000 in August while the average listing price in the 20 hottest markets was $332,000. This represents the largest disparity between the two figures since August 2021. As buyers fanned out across the country in search of inexpensive metro areas, real estate markets in 13 states dominated our August list of the 20 hottest housing markets.

 Only 9 of the top 100 were from the Midwest this month, which is one fewer than the region has had in any August since 2019. In August, three Indiana cities were featured on the list, the most of any state. Fort Wayne, Elkhart-Goshen, and Lafayette-West Lafayette in Indiana all have prices lower than the national median in August, making the state attractive to potential purchasers. La Crosse-Onalaska, WI; Springfield, OH; Monroe, MI; Columbus, OH; Racine, WI; and Saginaw, MI were all included as low-priced Midwest markets. Springfield, OH, with a typical house price of $167,400 in the month of August, was the most affordable market on the list.

 As of August, eight of the top ten markets were located in the Northeast, and several of those markets have zip codes that will be among the hottest in 2022. Rochester, New York, the third least costly area, and Portland, Maine, the most expensive market, are both among the hottest markets in the Northeast. In comparison to other pricey Northeastern metro areas, the ones on the list represent a good deal for homebuyers. Kingsport-Bristol, Tennessee; Johnson City, Tennessee; and Burlington, North Carolina, were the three Southern markets included.

 With a drop to $435,000 in August, the median price of a currently listed home across the country showed indications of slowing after rising 14.3% year over year in July. Most of August's top markets are located in the Midwest and Northeast, where housing is cheap. The nationwide median listing price was $435,000 in August, while the median listing price in the hottest markets was $332,000. This is a decrease of 23.6%.

 Portland, Maine stands out as the most costly market with a typical home price of $550,000 in August, which is 26.4% higher than the median US home price. At the end of August 2022, mortgage rates were over 250 basis points higher than they had been a year earlier in August 2021. Since many people are having trouble finding affordable homes due to rising loan rates and a lack of available properties, buyers' focus has switched to the issue of cost. Recent developments, such as a rise in available inventory and a slowing in the rate of price inflation, have given buyers cause for optimism.

 Top 20 markets

1. Manchester-Nashua, N.H. - The median number of days on market is 27 with a median list price of $483,450.
2. La Crosse-Onalaska, Wis.-Minn -The median number of days on market is 27 with a median list price of $349,650.
3. Rochester, N.Y. -The median number of days on market is 23 with a median list price of $225,450.
4. Springfield, Ohio - The median number of days on market is 30 with a median list price of $167,400.
5. Burlington, N.C. - The median number of days on market is 27 with a median list price of $375,000.
6. Portland-South Portland, Maine - The median number of days on market is 34 with a median list price of $550,000.
7. Monroe, Mich - The median number of days on market is 32 with a median list price of $245,950.
8. Worcester, Mass.-Conn - The median number of days on market is 30 with a median list price of $449,900.
9. Fort Wayne, Ind - The median number of days on market is 29 with a median list price of $295,000.
10. Springfield, Mass - The median number of days on market is 33 with a median list price of $344,900
11. Reading, Pa - The median number of days on market is 32 with a median list price of $264,950.
12. Kingsport-Bristol-Bristol, Tenn.-Va - The median number of days on market is 35 with a median list price of $289,000.
13. Johnson City, Tenn - The median number of days on market is 36 with a median list price of $382,200.
14. Elkhart-Goshen, Ind- The median number of days on market is 30 with a median list price of $255,000.
15. Lafayette-West Lafayette, Ind - The median number of days on market is 34 with a median list price of $290,750.
16. Columbus, Ohio - The median number of days on market is 29 with a median list price of $336,000.
17. Racine, Wis - The median number of days on market is 36 with a median list price of $334,000.
18. Providence-Warwick, R.I.-Mass - The median number of days on market is 33 with a median list price of $474,950.
19. Saginaw, Mich - The median number of days on market is 33 with a median list price of $344,900.
20. New Haven-Milford, Conn - The median number of days on market is 36 with a median list price of $359,000
    

 Most improved markets

 The rankings of the 40 major markets in the United States have moved up an average of one position since August 2021, remaining relatively stable this month.

 Milwaukee, Wisconsin (+128), Cincinnati, Ohio (+96), Cleveland, Ohio (+82), and Chicago, Illinois (+59) were all in the top five of the major 40 metros for housing market improvement. Listing prices in these areas were between $167,000 and $517,000 less than the median in the country, making them very attractive to buyers. Boston, Massachusetts, jumped sixty places to take fourth place as the most improved market.

 Among large markets, Milwaukee, Wisconsin, was the most dynamic in August, with a year-over-year increase in popularity that was the most in the metro's record history. This metro was the focus of the greatest attention from outside the Chicago, IL metro region in the second quarter of 2022. The Milwaukee metropolitan area jumped 128 places on the "hotness index" in August. After the August 2019 epidemic, the metro area's temperature dropped from 25th to 40th in the US. The average Milwaukee property stayed on the market for 36 days in August, just one day longer than the national average of 35 days. When compared to the national average, demand for properties in the metro area is 30.0% higher.

 Though affordable markets as a whole gained steam in August, Boston managed to outperform the trend and rise to the position of fourth most improved large market. Homes only stayed on the market for an average of 35 days in August, a significant decrease compared to the national average of 62 days. Even though locals made up the bulk of watchers, New Yorkers, Manchester-Nashua locals, Providence locals, Worcester locals, and Washington, DC locals all tuned in to see what was happening in Boston.

 When it comes to supplies, the five best-performing large markets all experienced a two-day decrease in inventory turnover compared to the previous year. This was a significant improvement over the United States. Comparatively, in the top 40 markets, homes stayed on the market an average of 5 more days than they did the year before. In the best-performing markets, the median listing period was 36 days, six days shorter than the national average.