Which US city has seen property prices rise most in 2017?
Abi Harman
22 December 2017
Property hotspots across the land
Which US cities have seen property prices soar in 2017? We take a look at price rises across the nation, from lowest to highest, thanks to data from Zillow.
49. Oklahoma City, Oklahoma: up 1%
House prices in Oklahoma City have risen just 1% in the last year to reach an average of $136,500. One factor that could have contributed to this is new housing construction, meaning supply is keeping pace with demand.
48. Hartford, Connecticut: up 1.3%
Unemployment rates have been uncertain in Hartford for 2017, which means that the population isn't buying property. This has contributed to the low price increase of 1.3%, compared to the national average of 6.7%. The average home here is priced at $221,900.
47. St. Louis, Missouri: up 1.6%
At the moment in St Louis, the market favours neither sellers or buyers, despite an increase of 1.6%, which has put the average price at $150,300.
Joint 45. Washington DC: up 2.1%
Properties, settling at an average price of $385,500, are in high demand in Washington DC and are being snapped up at an increasing rate due to buyers worrying about a potential hike in interest rates. It's therefore slightly surprising that prices have only risen by 2.1% in the last year.
Joint 45. Virginia Beach, Virginia: up 2.1%
Housing prices in Virginia Beach have seen a modest 2.1% rise in the last year. This is perhaps because locals are struggling to buy the average $222,600 home, due to low incomes in the area.
44. Baltimore, Maryland: up 2.3%
Northeast Baltimore and the area around Johns Hopkins University have both seen strong pockets of real estate activity over the last year. Property prices in Baltimore have been pushed up by a small 2.3%, which has caused the average price to rise to $261,400.
43. Birmingham, Alabama: up 2.5%
Birmingham has a population of 1.1 million, and this is steadily rising as more people move to the city than leave it. Property prices are at a reasonable median of $133,700 for 2017, and have risen by 2.5%.
42. Philadelphia, Pennsylvania: up 3.4%
Philadelphia lost 20% of its affordable housing stock between 2000 and 2014. The city has never recovered, meaning that property prices have risen to an average of $220,700, with an increase of 3.4% this year alone.
41. Louisville, Kentucky: up 3.7%
There has continued to be a serious shortage of homes in Louisville. The consequences of this are rising house prices for 2017 at a rate of 3.7%. The average price of homes being sold is $148,900.
40. Milwaukee, Wisconsin: up 4%
Downtown Milwaukee is undergoing a building boom, which is evident by the construction cranes and soaring towers that dominate the city’s skyline. Office towers, hotels and commercial properties are revolutionising the city, and there has been a 4% increase in property prices this year alone. Properties are now selling for an average $215,600.
39. Houston, Texas: up 5.1%
Houston has been the hub of new homes in recent years, with that trend continuing in 2017, leading to property prices rising by 5.1%. Developers have been encourage by a booming job market and the average house is now priced at $184,500.
Joint 36. Minneapolis, Minnesota: up 5.2%
Known as one of the friendliest Midwestern cities, a good job market and plenty of homebuyers has seen house prices rise in Minneapolis by 5.2%, with expectations for them to rise a further 2.1% in 2018. You can purchase a property for a median price of $247,000.
Joint 36. Chicago, Illinois: up 5.2%
Prices in Chicago have risen by 5.2%, but only in certain areas of the city that are primed as new hotspots, such as Bridgeport and Humboldt. The average home price for the city is a reasonable $213,800.
Joint 36. Pittsburgh, Pennsylvania: up 5.2%
Property sales are up in nearly every region of Pittsburgh with homebuilders expressing a lot of confidence as their business grows in tandem with a booming economy. This year prices rose by 5.2% to bring the average price up to $138,900.
35. Memphis, Tennessee: up 5.6%
In Memphis, house prices are slowly rising after taking a fall in 2010. Due to the lack of new homes being built, house prices rose by 5.6% this year and are expected to rise by another 4.2% in 2018. The average house price comes in at one of the lowest in the country's cities at $122,900.
34. Portland, Oregon: up 5.7%
Property prices aren't cheap in the city of Portland, with prices hitting an average of $370,700. Would-be-buyers are continuing to bid at higher prices due to a continuing shortage of homes on the market. This has caused a rise of 5.7% over the last year.
33. Raleigh, North Carolina: up 5.8%
Raleigh has a one-year job growth rate of 3.2%, which is 1.4% higher than the national average. This has increased demand for housing in the area, causing sale prices to rise by 5.8% in 2017, with homes on sale for an average $233,900.
32. Cleveland, Ohio: up 6%
Millennials are flocking to Cleveland in the search for property in up-and-coming hip areas. This has bumped up prices by 6% this year to an average of $137,200.
31. Indianapolis, Indiana: up 6.1%
The market started heating up here two years ago due to high housing demand, low interest rates and a loosening of lending standards. Indianapolis' housing market continues to boom, leading to median prices of $141,700 and a rise of 6.1% this year.
30. Cincinnati, Ohio: up 6.2%
Families are flocking to Cincinnati due to great schools and a relatively low cost of living, which incudes house prices at an affordable average of $156,500. The increasing demand has upped home prices by 6.2% in 2017.
Joint 28. Los Angeles, California: up 6.3%
LA has continued to see property prices rise throughout the year with a median increase of 6.3%. With an average price of $625,600, how high can Los Angeles property prices possibly go?
Joint 28. Richmond, Virginia: up 6.3%
The metro area of Richmond, Virginia has a growing population. A number of families are choosing to move to the area due to the good universities and lifestyle opportunities. This in turn has increased the price of housing by 6.3% to an average of $212,400.
Joint 26. Denver, Colorado: up 6.5%
A healthy job market has led to a considerable number of new homes being built in Denver, with the average home priced at $376,500. There's been a price rise of 6.5% over the year.
Joint 26. Providence, Rhode Island: up 6.5%
The most populated city in Rhode Island, Providence has seen an increase of 6.5% in property prices during the last year, making the average house come in at $273,500. The West Side of the city has experienced a surge in gentrification in the last few years and has emerged as a hotbed for young, urban dwellers.
Joint 24. San Diego, California: up 6.6%
Property prices continue to rise in San Diego with a 6.6% average price increase in 2017, which Zillow predicts will go up a further 3.7% in 2018. Though house prices appear to have steadied over the past three months, the average asking price for a property is $560,800.
Joint 24. Austin, Texas: up 6.6%
Due to rapid population growth, Austin, Texas continues to experience one of the highest demands for housing in the US. House prices are on average a reasonable $277,600. However, the rise of the tech industry has driven house prices up in 2017 by 6.6%.
Joint 22. Boston, Massachusetts: up 6.7%
Boston has seen a 6.7% rise in property prices this year. You’re looking at an average price of $436,200 for a home, as upscale property developers continue to build shiny new dwellings in previously neglected neighbourhoods.
Joint 22. Columbus, Ohio: up 6.7%
Property prices in Columbus have risen, with a 6.7% average increase in the past year alone, and the average home worth $169,300. Why? There simply isn’t enough supply to match demand, as affordable new homes aren’t being built fast enough, meaning buyers have to compete for the properties that are available, making it very much a seller's market.
21. Riverside, California: up 6.8%
An improving economy and a shortage of homes for sale in 2017 propelled house prices up by 6.8% in Riverside, California. The average house price is currently $339,100.
20. Detroit, Michigan: up 6.9%
Built on the motor industry, the present US government has pledged to bring Detroit back to its former industrial glory. Interestingly, the city has gained a reputation for being something of a ‘hipster’ city, with the average age of residents just 36. And the push is clearly working with an increase of 6.9% in the average property price in 2017, which averages out at $143,300.
19. Phoenix, Arizona: up 7%
Phoenix has seen a rise of 7% in property prices this year. More people are flocking to Arizona's capital city due to the low house prices, which are on average an achievable $244,800.
18. Jacksonville, Florida: up 7.3%
With 3.8% job growth in 2016, there are serious job opportunities available in Jacksonville. This has contributed to a 7.3% rise in property prices in 2017, with great schools, fantastic weather and proximity to the ocean bringing in an influx of people too. The average property price is $187,300.
Joint 15. San Antonio, Texas: up 7.4%
San Antonio is one of the biggest military cities in the US, and the average home here costs $167,700. However, in the last year, property prices have increased by 7.4% due to a constant steady demand for homes.
Joint 15. Atlanta, Georgia: up 7.4%
With the economy having recovered in Atlanta, more and more young professionals are moving to the city and its up-and-coming film and tech industries. With the average home priced at an affordable $184,600, property prices have risen by 7.4%.
Joint 15. New York, New York: up 7.4%
It's not a surprise that the Big Apple has rising house prices. New York is in high demand for many reasons including the job market, lifestyle and culture. However, you'll pay a steep price with the average home costing $429,400 and millions in Manhattan. Prices are expected to rise by 2.7% in 2018, having already risen 7.4% this year.
Joint 13. Miami, Florida: up 7.5%
Due to Florida's economy growing and the job market stabilising, the housing market here has had a boost of 7.5% in 2017. For sellers it's a good time to list their homes as they continue to get a value close to the asking price, with the average property going for $262,400.
Joint 13. Orlando, Florida: up 7.5%
Home to Walt Disney World, employment rates have increased and wages have begun to improve in Orlando. This growth, coupled with limited housing supply, has increased house prices by 7.5% to an average of $212,100 in 2017.
12. San Francisco, California: up 8.1%
Nestled close to Silicon Valley, it’s no wonder San Francisco’s median home value has increased by 8.1% this year, but will this peak discourage future buyers from investing in the area in the near future? With a record high average price of $893,100, it’s no wonder first-time buyers are moving out to outlying areas in search of more affordable housing.
11. Kansas City, Missouri: up 8.3%
In Kansas City, there are 14% fewer homes on the market than last year. Due to this supply and demand inbalance property prices have risen by 8.3% to an average of $164,600.
Joint 9. Salt Lake City, Utah: up 8.4%
Home to the University of Utah, Salt Lake City is well known for its well-educated population, which attracts employers. It's also home to many tech start-ups and has been dubbed 'the next Silicon Valley'. House prices are expected to rise 3.4% in 2018, having already risen 8.4% this year to an average of $270,600.
Joint 9. Tampa, Florida: up 8.4%
Property prices in Tampa are still low after the housing crash of 2009 at an average of $191,800. However due to having no income tax and strong job creation prices rose at a rate of 8.4% this year.
8. Sacramento, California: up 8.7%
Property prices across Southern California have been going up due to a booming economy, low mortgage rates and a general shortage of available properties on the market. Sacramento is very much part of that, with property prices rising 8.7% in 2017, putting the average property price up to $380,000 as San Franciscans head to the region in search of more affordable housing.
7. Dallas, Texas: up 9%
Dallas truly is one of the fastest-growing cities in the US. A home to leading companies in diverse industries, plus no state income tax, is why the city is on the rise. The property market saw a sales increase of 9% in 2017, meaning the average home is worth $218,300.
6. Charlotte, North Carolina: up 9.3%
Charlotte has received a lot of attention as a job-creating engine on the east coast. With a substantial rise of 9.3% in 2017, property prices are on the move too to an average of $181,600.
5. Buffalo, New York: up 10.5%
Buffalo has become home to a number of service industries, including light manufacturing and service-orientated private sector companies, ensuring economic growth and a surge in property prices. Buffalo’s property boom has caused a rise in prices of 10.5% in 2017. With a median house price of $151,000, according to Zillow, who wouldn’t want to live this close to the Niagara Falls?
4. Seattle, Washington: up 12.3%
Seattle's mix of urban and outdoor activities is a big draw for millennials, and as the city has been slow to build more housing to match the surging demand, prices have hit the roof over the last year at a rate of 12.3%. The average property is now priced at $463,800 and set to rise another 5.4% in 2018.
3. Nashville, Tennessee: up 12.5%
Property prices in Nashville have seen a 12.5% increase over the past year. The city has a healthy property market, according to Zillow, with a median home value of $228,900. Areas such as Cleveland Park and East Hill are experiencing major makeovers, as new restaurants and stores open up in the neighbourhoods, raising property values and demand from wannabe homeowners and investors alike.
2. Las Vegas, Nevada: up 13.8%
You wouldn't necessarily pair Las Vegas and low-cost housing together, however people are moving to the city in droves from California due to high prices, and average property still costs $243,400. But this influx, combined with a growing economy, has increased property prices this year by a huge 13.8%.
1. San Jose, California: up 17.4%
It’s no wonder property prices are on the rise in San Jose. The city is a 15-minute drive from Silicon Valley and a 50-minute drive from San Francisco, as well as a beautiful place to live. San Jose has experienced a whopping increase of 17.4% in median home sales this year, although the average price is a huge $1,128,300.
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