The 10 Best Housing Markets in America: Where Buyers and Sellers Win in 2024
America’s housing market is in a state of flux. Sky-high interest rates and a persistent shortage of affordable homes have created a challenging environment for both buyers and sellers. Yet, the picture isn’t uniformly bleak—the severity of the crisis varies dramatically from state to state. For companies considering relocation, the local housing market is a critical factor; prospective employees need affordable housing options that also represent sound investments. This makes the housing market a key indicator of a state’s overall economic competitiveness.
CNBC’s annual “America’s Top States for Business” study evaluates states on a comprehensive set of criteria, including affordability and value. This assessment considers price appreciation, seller gains, inventory levels, housing starts, and indicators of market stress like foreclosure rates and underwater mortgages. While every homeowner’s priorities differ, the following ten states offer some of the most compelling housing market dynamics for those looking to buy or sell in 2024.
Delaware: The First State’s Quiet Strength
Delaware presents a compelling case for the value-conscious homeowner. While its overall housing affordability is right around the national average, the state shines in one critical area: property taxes. With an effective tax rate of less than half a percent, Delaware boasts the fourth-lowest property taxes in the entire country. This advantage significantly stretches the purchasing power of buyers and boosts the net return for sellers.
In terms of market performance, Delaware is holding steady. The state ranks No. 10 in the 2024 Economy category with a B- grade. Price appreciation stands at a healthy 4.73%, and with two months of inventory, the market remains relatively balanced, though lean. The median sales price sits at $360,700, making it one of the more accessible markets on this list.
Key Metrics:
Economy Rank: No. 10 (Grade: B-)
Price Appreciation: 4.73%
Inventory: 2 months
Affordability Score (0-2): 0.56
Effective Property Tax Rate: 0.43%
Median Sales Price: $360,700
Indiana: Midwestern Affordability Meets Growth
The Hoosier State offers a rare and valuable combination: low property taxes and robust price appreciation. This synergy makes Indiana an attractive destination for both first-time buyers and seasoned investors. Despite inventory levels that remain tight, home prices are appreciating at an impressive rate of 8.02%, providing significant value to homeowners.
Indiana’s economy ranks No. 19 with a C grade. Housing starts are healthy, reflecting the state’s growing appeal, and the median sales price has reached $265,300—one of the most affordable on this list. With only two months of inventory, sellers still hold an advantage, but the state’s overall affordability score of 0.81 is a strong draw for buyers seeking value.
Key Metrics:
Economy Rank: No. 19 (Grade: C)\n Price Appreciation: 8.02%\n Inventory: 2 months\n Affordability Score (0-2): 0.81\n Effective Property Tax Rate: 0.86%\n Median Sales Price: $265,300
Georgia: A Balanced Market in the Peach State
Georgia is demonstrating a market that is maturing nicely. Home inventories are increasing, which is easing pressure on affordability, and homebuilders are actively meeting the demand with new construction. This equilibrium is contributing to healthy price appreciation of 7.16%. The state’s economy ranks No. 7 with a B grade, underscoring its overall business strength.
With three months of inventory, the market is well-balanced, offering opportunities for both buyers and sellers. The median sales price stands at $385,600, and the state’s affordability score of 0.59 reflects its relative accessibility compared to national averages. Georgia’s effective property tax rate is a modest 0.82%, adding to its appeal.
Key Metrics:
Economy Rank: No. 7 (Grade: B)\n Price Appreciation: 7.16%\n Inventory: 3 months\n Affordability Score (0-2): 0.59\n Effective Property Tax Rate: 0.82%\n Median Sales Price: $385,600
Tennessee: Innovation in Affordable Housing
Tennessee is tackling its housing challenges head-on through policy innovation. A new state law includes specific incentives aimed at increasing the supply of affordable multifamily units, addressing a critical need in the market. While affordability remains a concern, the single-family market is showing positive signs, with inventory beginning to build. This moderation in supply has helped temper price gains, potentially bringing more buyers into the market.
The Volunteer State ranks No. 3 in the 2024 Economy category with a strong B+ grade, supported by some of the lowest property taxes in the nation. Price appreciation is a solid 6.24%, and with three months of inventory, the market is moving toward greater balance. The median sales price is $393,000, and the affordability score of 0.49 reflects the ongoing challenges, despite the state’s low tax burden.
Key Metrics:
Economy Rank: No. 3 (Grade: B+)\n Price Appreciation: 6.24%\n Inventory: 3 months\n Affordability Score (0-2): 0.49\n Effective Property Tax Rate: 0.44%\n Median Sales Price: $393,000
Nevada: Managing Volatility with Active Construction
Nevada’s housing market is historically volatile, but 2024 is showing signs of stabilization. Inventory levels are manageable, and new housing construction remains active, providing a much-needed boost to supply. While affordability continues to be a challenge, price moderation is a welcome development for buyers. The state’s property taxes are low, and home equity remains healthy despite a recent uptick in foreclosure activity.
In the 2024 rankings, Nevada sits at No. 8 with a B grade. Price appreciation is a modest 3.39%, reflecting the market’s cooling from previous highs. With only two months of inventory and a median sales price of $458,300, the market remains tight. The affordability score of 0.43% indicates the significant hurdles buyers face, though low taxes offer some relief.
Key Metrics:
Economy Rank: No. 8 (Grade: B)\n Price Appreciation: 3.39%\n Inventory: 2 months\n Affordability Score (0-2): 0.43%\n Effective Property Tax Rate: 0.48%\n Median Sales Price: $458,300
New Jersey: High-Value Market with High Taxes
The Garden State is experiencing a robust housing market, with home prices surging over the past year. Affordability is a significant concern, as New Jersey has the second-highest property taxes in the nation, surpassed only by Illinois. This high tax burden, coupled with a relatively high foreclosure rate, presents considerable challenges for homeowners.
Despite these headwinds, the market remains active, with two months of inventory. The state ranks No. 17 in the 2024 Economy category with a C+ grade. Price appreciation is impressive at 11.38%, reflecting the strong demand for housing. The median sales price has reached $532,400, and the affordability score of 0.56 indicates that while prices are high, they are not entirely out of line with median incomes for those who can absorb the tax yük.
Key Metrics:
Economy Rank: No. 17 (Grade: C+)\n Price Appreciation: 11.38%\n Inventory: 2 months\n Affordability Score (0-2): 0.56\n Effective Property Tax Rate: 1.64%\n Median Sales Price: $532,400
North Carolina: Growth Fueled by Construction
North Carolina is one of the nation’s premier destinations for new home construction. The Tar Heel State ranks second nationally in housing starts, trailing only Alabama. This construction boom is a double-edged sword: it provides much-needed inventory but is not yet sufficient to meet demand, keeping price appreciation strong at 6.98%.
The state’s economy is robust, ranking No. 4 with a B+ grade. Property taxes are reasonable, especially considering the state’s rapid population growth. With two months of inventory and a median sales price of $383,700, the market is competitive. The affordability score of 0.52 reflects the balance between rising prices and available supply.
Key Metrics:
Economy
