Zillow just released areportthat says the best cities for first time home buyers to purchase is in the Southeast and Texas! San Antonio and Dallas both are in the top 10 cities!
What makes these cities so first-timer friendly? Zillow used these bullets below to rank:
Lower median home value (aka more affordable down payment)
A strong home value forecast (building equity)
Higher inventory-to-household ratio (so buyers can more easily capture available supply)
A shorter Breakeven Horizon (to show a financial advantage of buying over renting)
A greater share of listings with price cuts (to indicate a less competitive market)
Dallas is doing great right now with the home market having 4.4 percent appreciation, while San Antonio has a low median home price of $158,500.
Houston ranked at #15 and Austin came in at #20. It takes almost a year longer to recoup your buying costs in Houston than it does in Dallas, and the median home price in Austin is more than $100,000 compared to San Antonio - a city not far from Austin.
Zillow found out that the biggest hurdle for a first time home buyer to overcome is saving for a down payment. In all but three of the 10 best markets for first-time buyers, the median home value is lower than the national median home value, which means they require less money up front as a down payment. Dallas is one of those pricey three, but San Antonio falls well below thenational median priceof $196,500.
Rogers Healy and Associates Real Estate is a DFW based residential and commercial real estate company that was founded in 2007 by Rogers Healy. RHAdfw is passionate about developing long lasting relationships with clients while representing them to buy, sell or lease any home in DFW.