North Texas Cities Make Up Half of Top 10 Best Real Estate Markets
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A recent ranking of the best real estate markets in the United States has five North Texas cities in its top 10, a strong showing by D-FW as it further cements its place as a premier metro.
What makes a local real estate market one of the best, you may ask? Well, according to WalletHub, it depends on how one fares across 17 metrics having to do with the market itself and the local economy.
On the real estate front, WalletHub aimed to glean a balanced view of both short-term dynamics and long-term fundamentals for 300 cities. Forward-looking measures, such as Zillow’s Home Value Forecast and building permit activity, capture expectations for growth and development. Meanwhile, indicators like median home-price appreciation, days on market, and foreclosure rate reflect current demand.
As far as local economic conditions go, WalletHub placed a premium on housing affordability and maintenance costs. Things like job and population growth, unemployment, and underemployment were also taken into consideration as signals of the strength and stability of the labor market, which housing demand depends on.
So, with all that being said, here’s how the Metroplex stacked up in the top 10:
McKinney came out on top at No. 1 in the nation, Richardson ranked No. 5, Frisco earned the No. 6 spot, Denton came in at No. 9, and Allen placed No. 10.
North Texas’ population growth and dynamic economy have no doubt set the stage for this overrepresentation by D-FW. The region has seen a flood of new residents as well as a number of big-name corporate relocations, bringing more jobs and investment. While housing affordability remains an issue for many, quality of life benefits and economic opportunities in the Metroplex may be offsetting the downside.
Case in point, homes in McKinney cost roughly 365% of the median local income. The city consequently ranked No. 74 for home affordability — not great, but not the worst by any means. Despite this, its strong showing in other housing market metrics catapulted it to No. 1 overall.
“The best cities may not always be the cheapest, but they offer excellent housing options and long-term stability,” WalletHub analyst Chip Lupo said in the report.
Out of the 300 cities surveyed for the ranking, McKinney clocked the second-highest share of housing stock nationwide built between 2010 and 2023, giving buyers a range of newer homes (and ostensibly lower maintenance costs). Future supply is looking good, with the city coming in third for building permits. McKinney also has the 11th-fastest job growth rate.
Although a single-family home might be out of reach for many in the city, renters don’t appear to have it all that bad. As previously reported by CandysDirt.com, McKinney was ranked the No. 1 place for renters to live in the United States by RentCafe.
