This is a great time to own a home anywhere, especially in the South. The National Association of Realtors recently released its forecasts for 2023 and beyond. The NAR identified 10 US real estate markets that are expected to outperform other metro areas by 2023, and all of them are in the South.
According to Lawrence Yun, NAR’s chief economist and senior vice president of research, overall home sales are expected to fall 6.8% in 2023 compared to 2022. Meanwhile, the average home price will reach $385,800, an increase of only 0.3% from in 2022. average price $384,500.
In identifying next year’s top markets, the NAR considers a variety of indicators, including high job growth, faster population growth and better housing affordability.
Here is a look at the markets expected to outperform the others in 2023.
Atlanta-Sandy Springs-Marietta, Georgia
Top of the list is the metro area of the Georgian capital. NAR researchers praised the area’s affordability, noting that more than 20% of tenants can afford a typical home here. A strong job market, with offices for major companies including Apple, Microsoft and Visa, will help the population grow. Atlanta also took second place on a recent list of US cities with most new businesses per capita.
Raleigh, North Carolina
North Carolina’s capital city is also a great place for job seekers. Employment in Raleigh increased by 5.1% between October 2021 and October 2022, compared with the national average of 3.4% for the period, NAR reported. And who doesn’t want to take home a ton of cash? Raleigh topped a recent list of 15 affordable areas with the most six-figure jobs.
Dallas-Fort Worth-Arlington, Texas
Does the Dallas area attract you? Like Raleigh, the city scores highly in the NAR report for employment. The number of jobs in the region increased by 6.5% between October 2021 and October 2022, almost double the national average. No wonder it scored at No. 7 on the latest list of the 10 most popular places to move.
The NAR report credits the Fayetteville-Springdale-Rogers area as a new technology hub where ordinary families can still afford ordinary homes. And if you’re sick of emptying your bank account every month just to make ends meet and other expenses, you should know that Arkansas is No. 2 on our latest list of the 10 cheapest states for household bills.
Greenville-Anderson-Mauldin, South Carolina
The housing supply in this area can meet demand better than it could nationally, the NAR reported, noting that single-family housing permits were issued for every four new jobs in the past year. Snuggled in the foothills of the Blue Ridge Mountains, the area’s natural beauty has made it to our list of the seven most beautiful places to retire in America.
Charleston-North Charleston, South Carolina
South Carolina earns another entry on this list with the Charleston-North Charleston borough, and NAR notes that its fast-growing job market means the metro will thrive well into 2023. But maybe you’re nearing the end of your working year. In this case, Charleston took the top spot in WalletHub’s recent ranking of the best places to retire.
Your wallet can rest easy in Huntsville, which ranks as the most affordable city among the NAR’s top 10. The average family makes 20% more than the $80,300 qualifying income needed to buy a mid-priced home here. The area is also at No. 4 on a recent ranking of the best places for tech jobs.
Florida’s sun and sand will always attract new residents, but even in the Sunshine State, Jacksonville has the edge. NAR reports that it is more affordable than other areas statewide, with a strong job market and many housing options. What’s more, Jacksonville recently made a list of the top cities for remote workers in 2023.
San Antonio-New Braunfels, Texas
Remember the Alamo – as well as San Antonio – the site of the famous mission and battle. NAR credits San Antonio for its affordability, with a qualifying income for an average-priced home of just $85,000, compared to $130,000 in the state capital Austin. In fact the airport soars above the rest, earning a spot on the latest list of the best airports in the country.
You have a decent chance of finding a home that won’t break your budget in Knoxville. The NAR reports that housing here is 10% more affordable than national rates, and 1 in 4 renters can afford a regular house. And bustling Knoxville is also a great place for parents, taking the No. 1 spot. 4 on the latest list of America’s 15 most affordable cities for retirees.