America’s Top States for Real Estate: Where Buyers and Sellers Win (and Where They Don’t) in 2025
The American dream of homeownership feels more distant than ever for millions. Sky-high mortgage rates, a crippling lack of inventory, and prices that just keep climbing have created a perfect storm for both buyers and sellers. Yet, the housing market isn’t a monolith—the pain (and the opportunity) varies dramatically from coast to coast.
For companies making crucial decisions about where to relocate or expand, the local housing market is a major factor. After all, they need to attract talent, and that talent needs somewhere affordable to live that also represents a solid investment. That’s why the housing market is a cornerstone of CNBC’s annual America’s Top States for Business study, where we analyze the delicate balance between affordability and value.
In 2025, the landscape has shifted. High interest rates persist, inventory remains stubbornly low, and climate risks are forcing a reevaluation of what “safe” really means. But even in this challenging environment, certain states offer a glimmer of hope. Whether you’re looking to plant roots or cash out on years of equity, understanding where the market is working—and where it’s broken—is critical.
Here’s our in-depth look at the 10 best states for buying and selling a home in 2025, with a revealing look at the trade-offs you’ll face in each.
Delaware: The Quiet Contender
The First State consistently flies under the radar, but for homeowners, that’s often a good thing. Delaware offers a surprisingly competitive housing market, especially when you factor in the tax burden—or lack thereof.
What Makes It Stand Out:
Delaware’s most compelling feature is its ultra-low property tax rate. At less than half a percent, it’s the fourth-lowest in the nation. This immediately translates to lower monthly housing costs, even if the median sales price isn’t exactly a bargain. For buyers seeking long-term affordability, the tax savings alone can make up for a slightly higher sticker price.
The 2025 Reality:
Home affordability here is hovering around the national average. While price appreciation has been solid, it hasn’t reached the feverish levels of Sun Belt hotspots. Inventory remains tight—just two months’ supply in mid-2024—which keeps competition fierce for desirable properties. However, the state’s low tax structure provides a buffer against the impact of high interest rates, making it a more stable environment for both buyers and sellers.
2024 Economy Rank: No. 10 (Top States Grade: B-)
Appreciation: 4.73% (as of mid-2024)
Inventory: 2 months
Affordability Score (0-2, 2 being best): 0.56
Effective Property Tax Rate: 0.43%
Median Sales Price: $360,700
The Bottom Line: Delaware isn’t the flashiest market, but its combination of low taxes and stable appreciation makes it a smart, low-risk choice for those prioritizing long-term value over quick flips.
Indiana: Midwest Value on the Rise
The Hoosier State is quietly emerging as a haven for buyers priced out of more expensive regions. Indiana offers a rare combination: low property taxes, a relatively affordable cost of living, and healthy price appreciation that’s attracting new residents.
What Makes It Stand Out:
In 2025, Indiana stands out for its affordability. While supply constraints are a nationwide issue, the impact is felt less acutely here than in coastal markets. Homebuyers are finding more options at accessible price points, and the state’s property tax structure helps keep monthly payments manageable.
The 2025 Reality:
Indiana is experiencing a surge in demand, particularly in metro areas like Indianapolis and Fort Wayne. This has led to increased competition and bidding wars in desirable neighborhoods. However, compared to states like California or New York, the barrier to entry remains significantly lower. The state’s robust manufacturing sector and growing tech scene are attracting young professionals, further fueling housing demand.
2024 Economy Rank: No. 19 (Top States Grade: C)
Appreciation: 8.02% (as of mid-2024)
Inventory: 2 months
Affordability Score: 0.81
Effective Property Tax Rate: 0.86%
Median Sales Price: $265,300
The Bottom Line: Indiana represents the best of Midwest value—affordability, community, and growing economic opportunity. It’s a prime destination for first-time buyers and those seeking a more balanced lifestyle.
Georgia: The Peach State’s Continued Boom
Georgia, particularly the Atlanta metro area, has been a powerhouse of growth for years. In 2025, the state continues to offer a compelling mix of affordability, job growth, and a burgeoning housing market.
What Makes It Stand Out:
Georgia’s success lies in its ability to balance rapid development with relative affordability. Homebuilders have been aggressive in meeting demand, adding to inventory levels and preventing the runaway price growth seen in some other high-growth states. The state’s business-friendly climate continues to attract major corporations, ensuring a steady stream of new residents.
The 2025 Reality:
The Atlanta market remains hot, with strong demand in the suburbs and surrounding counties. While inventory is building, it’s not enough to fully satisfy demand, keeping price appreciation healthy. Property taxes are reasonable, and the state’s effective tax rate is well below the national average. However, buyers should be prepared for competition, especially in sought-after school districts.
2024 Economy Rank: No. 7 (Top States Grade: B)\
Appreciation: 7.16% (as of mid-2024)\
Inventory: 3 months\
Affordability Score: 0.59\
Effective Property Tax Rate: 0.82%\
Median Sales Price: $385,600
The Bottom Line: Georgia offers a well-rounded housing market that balances growth with affordability. It’s an excellent option for those seeking economic opportunity and a vibrant lifestyle, though buyers should expect a competitive environment.
Tennessee: The Volunteer State’s Growth Spurt
Tennessee has become a magnet for remote workers and companies seeking lower costs and a business-friendly environment. The state’s appeal—low taxes, no state income tax, and a high quality of life—continues to drive its housing market.
What Makes It Stand Out:
Tennessee’s lack of state income tax is a significant draw, boosting household disposable income and making homeownership more attainable. Property taxes are among the lowest in the country, further enhancing affordability. The state is also actively promoting more affordable housing through new legislation, particularly in multifamily units.
The 2025 Reality:
The Volunteer State is experiencing robust growth, with Nashville, Memphis, and Knoxville leading the charge. Home prices have appreciated steadily, though not at the breakneck pace of some coastal markets. Inventory remains tight, but new construction is helping to ease supply constraints. For sellers, the strong demand offers an excellent opportunity to cash out on years of appreciation.
2024 Economy Rank: No. 3 (Top States Grade: B+)\
Appreciation: 6.24% (as of mid-2024)\
Inventory: 3 months\
Affordability Score: 0.49\
Effective Property Tax Rate: 0.44%\
Median Sales Price: $393,000
The Bottom Line: Tennessee offers a compelling combination of affordability, economic growth, and a high quality of life. It’s a prime market for both buyers seeking value and sellers looking to capitalize on strong demand.
Nevada: Volatility and Opportunity in the Silver State
Nevada’s housing market is historically volatile, but in 2025, it’s offering a unique blend of opportunity and risk. While affordability remains a challenge, price moderation and active construction are creating new possibilities for buyers.
What Makes It Stand Out:
Nevada benefits from low property taxes and healthy home equity levels, even with a recent uptick in foreclosure activity. The state’s housing market is highly responsive to economic changes, creating a dynamic environment for investors and homeowners alike.
The 2025 Reality:
Las Vegas and Reno continue to drive housing demand, attracting new residents with job opportunities in tech, logistics, and tourism. Inventory levels are manageable, and homebuilders are active, helping to temper extreme price appreciation. However, affordability remains a concern, and buyers should be prepared for a competitive market. For sellers, the current climate offers a chance to capitalize on years of growth, but they should be aware that price appreciation may moderate in the coming years.
2024 Economy Rank: No. 8 (Top States Grade: B)\
Appreciation: 3.39% (as of mid
