Realtor.com recently released its “hottest market” list after studying June listing searches in all U.S. markets. How does a city get on the “hottest market” list? It takes four vital ingredients: Limited supply, strong demand, and rising prices are the first three. The fourth indicator is called Days on Market, or the Median Age of Inventory, according to Realtor.com.
Midland, TX was ranked #1 with 29 days on market. The median listing price was $350,000 thanks to an oil boom. A new listing for $315,000 could buy you a two-story 2,075 square foot home with four bedrooms and 3 full bathrooms.
Columbus, OH ranked second with 32 days on market. It’s moved up to #2 from fourth place in May. A possible HQ2 Amazon city, its attractive median listing price of $250,000 is below the national median listing price of $299,000. A ranch-style home with hardwood floors, sunroom, and nicely landscaped backyard was recently listed at $209,900.
There were some interesting reveals that came out of this report. For the first time in six years, California markets did not rank in the top five. Too much inventory at once helped pushed it off the list, as well as people’s interest and money shifting into less expensive secondary markets. In fact, eight of the top 20 cities were below June’s national median listing price.
The other big takeaway is that potential Amazon HQ2 cities all made the list, which means everyone wants Amazon to be their new neighbor. It makes sense – Who would say no to job creation and wage increases? It would also mean new home construction in the neighborhoods within commuting distance from Amazon headquarters.