With 2020 being such a strange year, people are motivated to find new ways to move forward with their lives. For some people, this involves having to find new jobs and/or move to a different city or state. Mortgage rates are hitting an all-time low, but individuals are still struggling financially due to COVID-19. House and rental rates vary across the U.S. based on supply and demand.WalletHub, a personal-finance website, has released its report on 2020's best real estate markets.
Historical market trends and the economic health of residents should hold more value to home buyers/renters than tangible factors such as square footage and style. To determine the best real-estate markets in the U.S., the experts at WalletHub compared 300 cities based on two key dimensions: "Real-Estate Market" and "Affordability and Economic Environment." Based on the data, they set scores for each city, determined by 24 key factors. Some of the more important factors were home values, days on the market, sales turnover ratio, and building-permit activity.
WalletHub first ranked the best places to buy a house, then they ranked the best place to buy a house by city size. A large city has more than 300,000 residents. A midsize city has between 150,000 to 300,000 residents. A small city has fewer than 150,000 residents.
New Orleans ranked 261st overall best place to buy a house and 58th best large city to buy a house. Out of a possible 100, New Orleans scored 48.03. The Real-Estate Market rank for New Orleans was 260th, and the Affordability and Economic Environment rank put the Big Easy in 173rd place. In most categories, New Orleans ranked significantly low. These categories include Percent of Homes With Negative Equity, with a ranking of 224th; Average Days Until Sale, with a ranking of 255th; Median Home-Price Appreciation, with a ranking of 227th; Job Growth Rate, with a ranking of 284th; Foreclosure Rate, with a ranking of 232nd; and Percent of Delinquent Mortgage Holders, with a ranking of 232nd.
However, there are categories in which New Orleans ranked a bit higher, such as Home Price As Percentage of Income, with a ranking of 174th; Population Growth Rate, with a ranking of 47th; and WalletHub's States With the Best Health Infrastructure of Coronavirus, with a ranking of 120th. New Orleans came in first place for the fewest unsold homes owned by the bank. Our city may not be at the top, like Seattle, but it is not at the bottom like Miami, either.
In comparison, Seattle was ranked as the second overall best place to buy a house and the number 1 best large city to buy a house. Miami came in dead last on WalletHub's Best Real-Estate Market for 2020 list, with a score of 37.07 out of 100.