An article from the Wall Street Journal and Realtor.com identified its updated list of some of the top metro areas for homebuyers who are seeking an appreciating housing market and lifestyle amenities. They named Topeka as an Emerging Market.
These higher ranking markets in the 1st quarter had home sales that sold faster, wages that tended to be higher, and commute times that were shorter than the market as a whole.
Here is our quick summary of the article. Please visit the WSJ website for the whole article.
Affordability is Driving Interest
Factors such as affordability, remote work flexibility, and changing location preferences are driving these trends.
Sam Khater, the chief economist at Freddie Mac, notes that people are reordering where they live in response to high housing prices and increased remote-work flexibility.
Overall, these markets tend to be smaller in size, averaging around 600,000 people each.
People are Moving
The article concludes by noting that as housing prices continue to rise and commute times increase, more people are likely to move out of larger cities and into areas with lower costs of living and better quality of life.
The text discusses the trend of more people moving to cheaper cities, as prices for housing have been increasing rapidly in coastal cities.
This is partially due to people looking for different lifestyles and more remote work opportunities during the Covid-19 pandemic.
Mortgage Interest Rates
The average 30-year mortgage rate has also increased recently, making housing even more expensive.
As a result, economists believe that this trend will continue in the future, with more people moving to cheaper and more affordable housing markets.
Conclusion
Overall, the trend of more people moving to cheaper cities shows no signs of slowing down in the near future.
This is due to rising housing prices, remote work flexibility, and changing location preferences driven by factors such as the Covid-19 pandemic.
As a result, markets such as Topeka are likely to see increased interest from homebuyers looking for an affordable and appreciating housing market.