Six of the ten best cities for first-time home buyers are in Texas, new report pinpoints.
First-time home buyers outside the Lone Star State might want to consider expanding their search to Texas, according to a new WalletHub real estate market trends report of the best cities for first-time home buyers.
Six of the ten best cities for first-time home buyers are in Texas, according to the report that assessed the affordability of homes as well as real estate market trends and conditions in the 300 largest American cities. Researchers considered 17 key metrics in three basic categories: affordability, real estate market and community environment.
Broken Arrow, Okla. topped the list of the best cities for first-time home buyers. Norman, Okla. placed third. Two cities in Colorado, Centennial and Thornton, placed eighth and ninth on the list. The rest of the list was occupied by Texas municipalities:
- Allen (No. 2)
- Denton (No. 4)
- Frisco (No. 5)
- Plano (No. 6)
- McKinney (No. 7)
- Richardson (No. 10)
What are the worst cities for first-time home buyers?: The WalletHub report pinpointed (in ascending order):
- Yonkers, NY
- Elizabeth NJ
- New Haven, CT
- Compton, CA
- Oakland, CA
- New Bedford, MA
- Paterson, NJ
- Salilnas, CA
- Newark, NJ
- Richmond, CA
The housing market is still on a shaky foundation following the economic collapse. First-time home buyers accounted for 28 percent of all sales of previously owned homes in June, according to the National Association of Realtors. The historical average is 40 percent.
Millennials, in particular, have been left out in the cold due to the job market, stagnant wages and student debt obligations, not to mention tighter credit and stricter lending. “We have millions of potential homeowners who are renters or living with their parents,” Susan Wachter, a professor at the University of Pennsylvania’s Wharton School, told the Seattle Times.
But for first-time home buyers, it’s all about location, location, location, and according to the WalletHub report, Flint, MI offers the highest house affordability. Which is 14 times higher than it is in Santa Barbara, CA.
New Orleans offers the highest median home price appreciation, while Mission Viejo the lowest crime rate per capita.
Donald Liebenson writes news and features for Millionaire Corner. He has been published in the Chicago Tribune, The Chicago Sun-Times, The Los Angeles Times, Fiscal Times, Entertainment Weekly, Huffington Post, and other outlets. He has also served as a marketing writer for Chicago-based Questar Entertainment and distributor Baker & Taylor.
A graduate of the University of Southern California, he is married with a college-age son. He also writes extensively about entertainment.