While some cities face price declines, others continue to see strong demand, driving home values upward. Factors like job growth, population influx, and economic expansion contribute to these rising markets. According to Zillow, these five cities are experiencing notable appreciation in home values and remain attractive for buyers and investors.

1. Miami, Florida

Miami’s housing market remains red-hot, with home values soaring over 45% since 2020. A combination of strong job growth, international appeal, and limited housing inventory has kept demand high. Miami consistently ranks among the fastest-appreciating housing markets, with homes selling quickly despite rising mortgage rates. Additionally, the city’s appeal as a tax-friendly state with no income tax continues to attract buyers from high-cost regions, further fueling price increases.

2. San Diego, California

San Diego’s housing market is thriving, with home prices reaching a median of $910,000. Over 60% of homes listed are priced above $1 million, reflecting the city’s desirability. San Diego’s low housing inventory has kept competition fierce, driving up prices. Additionally, its coastal lifestyle, strong job market, and mild climate continue to attract buyers. Rental prices have also surged, making homeownership an attractive long-term investment despite affordability concerns.

3. Austin, Texas

Austin’s booming tech industry has made it one of the fastest-growing real estate markets in the U.S. Home values have steadily increased due to an influx of professionals relocating from expensive coastal cities. The city’s vibrant culture, business-friendly environment, and relatively affordable housing (compared to Silicon Valley) make it a top choice for buyers. With major employers like Tesla and Apple expanding in the area, Austin’s housing market remains in high demand.

4. Boise, Idaho

Boise continues to attract homebuyers seeking affordability and outdoor-friendly living. While home prices surged during the pandemic, demand remains strong, keeping values high. Boise has experienced steady price appreciation as buyers from expensive West Coast cities move in. The city’s lower cost of living, growing job market, and scenic surroundings contribute to its lasting appeal. Limited new construction further keeps supply tight, supporting continued price growth.

5. Nashville, Tennessee

Nashville’s housing market has been on an upward trajectory, with demand outpacing supply. The city’s affordability compared to other metropolitan areas, coupled with a thriving music and entertainment industry, has driven population growth. The job market is strong, attracting both young professionals and retirees. New developments continue to emerge, but demand remains high, keeping home prices on an upward trend. Nashville’s dynamic economy and cultural attractions make it a solid market for long-term investment.

While some cities see rising prices, others are experiencing a slowdown. Factors such as higher mortgage rates, declining buyer interest, and affordability concerns contribute to cooling markets. Zillow data shows that home price appreciation is slowing or even declining in these five cities, making them less favorable for sellers but potentially more attractive for buyers looking for a deal.

1. San Francisco, California

San Francisco’s once-booming housing market is now cooling due to high home prices and economic uncertainty. A drop in median home prices has been seen as more buyers are priced out. Tech layoffs, remote work trends, and high living costs have led to declining demand. Many buyers are relocating to more affordable cities, reducing competition and softening home prices. While still expensive, the market has lost some of its previous momentum.

2. New York City, New York

New York’s real estate market has slowed, especially in the luxury sector. Price growth has stagnated, with many high-end listings sitting longer on the market. Affordability issues and a shift toward remote work have led some buyers to seek housing in the suburbs. Rising interest rates have further dampened demand, making it a challenging market for sellers. While certain neighborhoods remain strong, overall market conditions indicate a cooling trend.

3. Seattle, Washington

Seattle’s housing market is losing some of its competitive edge. Rising mortgage rates and an increase in available inventory have led to slower price appreciation. During the pandemic, Seattle experienced rapid growth, but now, as remote work options stabilize and affordability becomes a concern, demand has softened. While the city remains a desirable place to live, buyers have more negotiating power, and bidding wars have cooled.

4. Portland, Oregon

Portland is seeing a shift in its housing market, with home prices stabilizing and some areas experiencing slight declines. Demand has slowed due to affordability concerns and a higher number of available listings. The city’s once red-hot market has cooled as more buyers hesitate due to higher interest rates. While Portland remains an attractive place to live, sellers are no longer seeing the rapid price increases of previous years.

5. Denver, Colorado

Denver’s housing market is showing signs of cooling after years of rapid appreciation. Home price growth has slowed, and more listings are staying on the market longer. While Denver still attracts new residents, higher mortgage rates and economic uncertainties have tempered demand. Sellers are adjusting expectations, and buyers are finding better deals than in previous years. While still competitive, Denver’s housing market is no longer as intense as it was at its peak.

This article was created with the assistance of AI but thoroughly edited by a human being.