Wall Street Journal and Realtor.com® Launch Emerging Housing Markets Index
Median wages in these top emerging markets are slightly above average at $1,034 vs. $1,016 (per week).\nStrong economies, especially for small businesses.
NEW YORK and SANTA CLARA, Calif., April 27, 2021 (GLOBE NEWSWIRE) -- The Wall Street Journal and Realtor.com® announced today the launch of the WSJ/Realtor.com® Emerging Housing Markets Index. The new index analyzes a slate of housing market data, economic vitality, and lifestyle metrics to surface emerging housing markets that offer a high quality of life and are expected to see future home price appreciation.
The Top-20 Emerging Markets Are:
Taking a Deeper Dive Into the Top Markets
Strong home price growth: The top 20 markets have seen home prices increase by 21% on average in the last year, compared to an average of 14% across all markets.
Robust job markets: On average, the top emerging markets have lower levels of unemployment, with a rate of 5.8%, compared with 6.3% for all markets. Median wages in these top emerging markets are slightly above average at $1,034 vs. $1,016 (per week).
Strong economies, especially for small businesses. The top 10 emerging markets have 42.6 Small Business Administration 7(a) loans for every million people, compared with 35.6 for the whole list of 300 metro areas.
Predominantly medium-sized markets vs. large metropolitan areas. These markets are not the biggest or most populated metropolitan areas. Despite their smaller size, these areas are growing, with an estimated population growth of 0.9% vs. growth of 0.5% on average for the list as a whole.
Grab the interest of out-of-towners. Interestingly, the top emerging markets are viewed the most on Realtor.com® by people who don’t live in the area. In fact, on average 61.1% of their home shopping traffic comes from viewers outside of their metro area.
“Our emerging housing markets list is another example of how different housing markets are being shaped by people using remote work flexibility to relocate to less urban locales,” said Danielle Hale, Chief Economist at Realtor.com®. “With outperforming local economies and many small businesses, these areas offer locals a great quality of life that is drawing new residents in. Whether it's boating, skiing or hiking, the majority of the markets on this list offer homebuyers a chance to get outdoors, which has become especially important over the last year. Looking forward, what happens in these housing markets as companies start to open their offices again, has yet to be seen, and could hinge on the degree to which workplace flexibility becomes a new norm.”
Read the full report and methodology here.
Methodology:
The ranking evaluates the 300 largest metros by population, as measured by the U.S. Census Bureau and defined by March 2020 delineation standards, for eight indicators across two broad categories: real estate market (50%) and economic health & quality of life (50%). Each market is ranked on a scale of 0 to 100 according to the category indicators, and the overall index is based on the weighted sum of these rankings. The real estate market category indicators are: real estate demand (16.6%), based on average unique viewers per property; real estate supply (16.6%), based on median days on market for real estate listings, median listing price trend (16.6%). The economic and quality of life category indicators are: unemployment (7.1%); wages (7.1%); regional price parities (7.1%); the share of foreign born (7.1%); amenities (7.1%), measured as per capita “everyday splurge” stores in an area; small businesses (7.1%); and commute (7.1%).
About The Wall Street Journal.
The Wall Street Journal is a global news organization that provides leading news, information, commentary and analysis. Published by Dow Jones, The Wall Street Journal engages readers across print, digital, mobile, social, and video. Building on its heritage as the preeminent source of global business and financial news, the Journal includes coverage of U.S. & world news, politics, arts, culture, lifestyle, sports, and health. It holds 38 Pulitzer Prizes for outstanding journalism.
About Realtor.com®
Realtor.com® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com® pioneered the world of digital real estate more than 20 years ago, and today through its website and mobile apps is a trusted source for the information, tools and professional expertise that help people move confidently through every step of their home journey. Using proprietary data science and machine learning technology, Realtor.com® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. under a perpetual license from the National Association of REALTORS®. For more information, visit Realtor.com®.
Contacts:
For The Wall Street Journal
Steve Severinghaus
[email protected]
For Realtor.com
Lexie Puckett Holbert
[email protected]