NAR Names the 10 Top Housing Hot Spots for 2025

The National Association of Realtors (NAR) announced its picks for the 10 Top Housing Hot Spots 2025.

This year’s list was compiled based on 10 factors: 1) Share of locked-in homeowners; 2) Average mortgage rate; 3) Job growth; 4) Share of millennial renters who can afford to buy a home; 5) Net migration to population ratio; 6) Share of households reaching homebuying age in the next five years; 7) Share of out-of-state movers purchasing a home; 8) Share of homeowners surpassing the average length of tenure; 9) Share of starter-owner occupied units and; 10) Home price appreciation.

In alphabetical order, NAR’s 10 Top Housing Hot Spots for 2025 are:

• Boston-Cambridge-Newton, Massachusetts-New Hampshire
• Charlotte-Concord-Gastonia, North Carolina-South Carolina
• Grand Rapids-Kentwood, Michigan
• Greenville-Anderson, South Carolina
• Hartford-East-Hartford-Middletown, Connecticut
• Indianapolis-Carmel-Anderson, Indiana
• Kansas City, Missouri-Kansas
• Knoxville, Tennessee
• Phoenix-Mesa-Chandler, Arizona
• San Antonio-New Braunfels, Texas

The association also predicted that home prices will continue to increase in 2025, but at a slower pace compared to previous years – with increases likely to be around 2% – reaching a $410,700 median existing-home price.

“Homebuyers will have more success next year,” said NAR Chief Economist Lawrence Yun. “The worst of the affordability challenges are over as more inventory, stable mortgage rates and continued job and income growth pave the way for more Americans to achieve homeownership.”