Discover the 10 Hottest Homebuying Destinations for 2026 as Mortgage Rates Anticipated to Fall
Serhant founder & CEO Ryan Serhant shares his perspective on the housing market on ‘The Claman Countdown.’
With mortgage rates projected to approach 6% in the upcoming year, ten U.S. markets are poised for significant growth as buyers regain their purchasing power.
The National Association of Realtors (NAR) recently analyzed ten key indicators, including the impact of lower rates on buying power, the alignment of home prices with local incomes, migration trends, and job growth. This analysis aims to identify where “home sales will likely be liveliest in the coming year.”
To qualify for this list, each area needed a population exceeding 250,000, outperforming the national average on at least five indicators, and presenting clear opportunities for buyers and Realtors, as stated in the report.
FED CUTS INTEREST RATES FOR THIRD STRAIGHT TIME AMID UNCERTAINTY OVER LABOR MARKET, INFLATION
The top ten home buying hot spots include:
Charleston, South Carolina
The French Quarter in Charleston, S.C. (iStock)
Charleston is witnessing an increase in inventory within the $200,000–$350,000 range, with over 20,000 additional households qualifying for a median-priced home at a 6% rate. Millennials constitute 36% of local households, and the area is experiencing robust job and income growth, according to NAR.
“Charleston has a large pool of renters who are just at the edge of affordability,” the report noted. “A shift from 7% to 6% significantly expands the number of local households who qualify for the median home.”
Charlotte, North Carolina
In Charlotte, over 52,000 more households would qualify for a median-priced home at a 6% mortgage rate. The metro area benefits from strong migration inflow, income gains, job growth, and a high concentration of millennials.
“Charlotte’s winning formula in 2026 is simple: young buyers, strong jobs, and more listings where people need them,” the report stated.
Columbus, Ohio
A view of Columbus, Ohio. (iStock)
Columbus is also seeing over 41,000 additional households qualifying at a 6% mortgage rate. Millennials represent 37.5% of the population, with incomes rising compared to the previous year and strong job growth, according to the report.
“Columbus continues to outperform expectations as one of the Midwest’s most resilient and stable housing markets. Income growth remains stronger than the U.S. average, and investments — including logistics expansions — are bringing high-quality jobs that support long-term housing demand,” NAR noted.
RYAN SERHANT SAYS HIS DAUGHTER WILL HAVE TO ‘FIGURE IT OUT’ AS HOUSING MARKET RESETS FOR GEN Z
Indianapolis, Indiana
Indianapolis is recognized as one of the “most balanced and opportunity-rich markets heading into 2026,” according to NAR.
With over 42,700 additional households qualifying at a 6% rate, the area boasts a strong millennial presence, solid job gains, and a favorable match between home prices and local incomes.
Jacksonville, Florida
“Jacksonville is one of the Florida markets where both affordability and inventory are improving simultaneously,” NAR noted.
More than 39,700 additional households qualify for a median-priced home at a 6% rate, supported by strong income growth and rising migration.
Minneapolis–St. Paul, Minnesota
A view of Minneapolis. (iStock)
The Twin Cities could see over 81,000 newly qualified households with rates at 6%. More homes in the $250,000–$450,000 range are returning to the market, supported by strong job growth and a high concentration of millennial households.
“Minneapolis is one of the nation’s most responsive markets to lower rates — and 2026 will show it,” NAR noted.
Raleigh, North Carolina
Nearly 27,000 more households qualify with lower rates. Raleigh enjoys strong income growth, a high millennial population, solid job gains, and a favorable match between incomes and home prices.
“Raleigh’s combination of fast-growing incomes and better-aligned inventory makes it one of the clearest opportunity markets of 2026,” NAR stated.
ICONIC HOLLYWOOD HILLS HOME HITS MARKET FOR FIRST TIME EVER WITH $25M ASKING PRICE
Richmond, Virginia
More than 25,500 additional households qualify for a median-priced home with mortgage rates at 6%. Richmond is recognized as one of the “most quietly powerful opportunity markets in 2026,” with strong job gains, fewer price cuts than the national average, and a favorable match between home prices and incomes.
“Richmond’s strength lies in its stability — and in 2026, that stability becomes opportunity,” the report noted.
Salt Lake City, Utah
A view of downtown Salt Lake City (iStock)
Approximately 25,000 additional households could afford a median-priced home at 6%. Salt Lake City boasts a strong millennial presence, robust income growth, solid job gains, and listings increasingly aligning with local incomes.
“Salt Lake City’s youthful demographics and improving inventory make it one of the biggest beneficiaries of lower rates in 2026,” NAR noted. “Listings aligned with incomes surged 20.7% year-over-year, making it one of the biggest affordability rebound markets.”
Spokane, Washington
“Spokane is one of the few Western metros where both affordability and inventory are trending in the right direction,” the report stated.
Over 9,500 additional households in Spokane qualify for a median-priced home with mortgage rates at 6%. The market also benefits from strong income growth, a high concentration of millennials, and fewer price cuts than the national average.
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Recently, mortgage rates saw a slight increase as markets reacted to the Federal Reserve’s decision to cut its benchmark interest rate for the third consecutive time, according to Realtor.com.
The average 30-year fixed mortgage rate rose to 6.22% for the week ending December 11, up from 6.19% the previous week, while a year ago, rates averaged 6.60%.
Serhant founder & CEO Ryan Serhant shares his perspective on the housing market on ‘The Claman Countdown.’
With mortgage rates projected to approach 6% in the upcoming year, ten U.S. markets are poised for significant growth as buyers regain their purchasing power.
The National Association of Realtors (NAR) recently analyzed ten key indicators, including the impact of lower rates on buying power, the alignment of home prices with local incomes, migration trends, and job growth. This analysis aims to identify where “home sales will likely be liveliest in the coming year.”
To qualify for this list, each area needed a population exceeding 250,000, outperforming the national average on at least five indicators, and presenting clear opportunities for buyers and Realtors, as stated in the report.
FED CUTS INTEREST RATES FOR THIRD STRAIGHT TIME AMID UNCERTAINTY OVER LABOR MARKET, INFLATION
The top ten home buying hot spots include:
Charleston, South Carolina
The French Quarter in Charleston, S.C. (iStock)
Charleston is witnessing an increase in inventory within the $200,000–$350,000 range, with over 20,000 additional households qualifying for a median-priced home at a 6% rate. Millennials constitute 36% of local households, and the area is experiencing robust job and income growth, according to NAR.
“Charleston has a large pool of renters who are just at the edge of affordability,” the report noted. “A shift from 7% to 6% significantly expands the number of local households who qualify for the median home.”
Charlotte, North Carolina
In Charlotte, over 52,000 more households would qualify for a median-priced home at a 6% mortgage rate. The metro area benefits from strong migration inflow, income gains, job growth, and a high concentration of millennials.
“Charlotte’s winning formula in 2026 is simple: young buyers, strong jobs, and more listings where people need them,” the report stated.
Columbus, Ohio
A view of Columbus, Ohio. (iStock)
Columbus is also seeing over 41,000 additional households qualifying at a 6% mortgage rate. Millennials represent 37.5% of the population, with incomes rising compared to the previous year and strong job growth, according to the report.
“Columbus continues to outperform expectations as one of the Midwest’s most resilient and stable housing markets. Income growth remains stronger than the U.S. average, and investments — including logistics expansions — are bringing high-quality jobs that support long-term housing demand,” NAR noted.
RYAN SERHANT SAYS HIS DAUGHTER WILL HAVE TO ‘FIGURE IT OUT’ AS HOUSING MARKET RESETS FOR GEN Z
Indianapolis, Indiana
Indianapolis is recognized as one of the “most balanced and opportunity-rich markets heading into 2026,” according to NAR.
With over 42,700 additional households qualifying at a 6% rate, the area boasts a strong millennial presence, solid job gains, and a favorable match between home prices and local incomes.
Jacksonville, Florida
“Jacksonville is one of the Florida markets where both affordability and inventory are improving simultaneously,” NAR noted.
More than 39,700 additional households qualify for a median-priced home at a 6% rate, supported by strong income growth and rising migration.
Minneapolis–St. Paul, Minnesota
A view of Minneapolis. (iStock)
The Twin Cities could see over 81,000 newly qualified households with rates at 6%. More homes in the $250,000–$450,000 range are returning to the market, supported by strong job growth and a high concentration of millennial households.
“Minneapolis is one of the nation’s most responsive markets to lower rates — and 2026 will show it,” NAR noted.
Raleigh, North Carolina
Nearly 27,000 more households qualify with lower rates. Raleigh enjoys strong income growth, a high millennial population, solid job gains, and a favorable match between incomes and home prices.
“Raleigh’s combination of fast-growing incomes and better-aligned inventory makes it one of the clearest opportunity markets of 2026,” NAR stated.
ICONIC HOLLYWOOD HILLS HOME HITS MARKET FOR FIRST TIME EVER WITH $25M ASKING PRICE
Richmond, Virginia
More than 25,500 additional households qualify for a median-priced home with mortgage rates at 6%. Richmond is recognized as one of the “most quietly powerful opportunity markets in 2026,” with strong job gains, fewer price cuts than the national average, and a favorable match between home prices and incomes.
“Richmond’s strength lies in its stability — and in 2026, that stability becomes opportunity,” the report noted.
Salt Lake City, Utah
A view of downtown Salt Lake City (iStock)
Approximately 25,000 additional households could afford a median-priced home at 6%. Salt Lake City boasts a strong millennial presence, robust income growth, solid job gains, and listings increasingly aligning with local incomes.
“Salt Lake City’s youthful demographics and improving inventory make it one of the biggest beneficiaries of lower rates in 2026,” NAR noted. “Listings aligned with incomes surged 20.7% year-over-year, making it one of the biggest affordability rebound markets.”
Spokane, Washington
“Spokane is one of the few Western metros where both affordability and inventory are trending in the right direction,” the report stated.
Over 9,500 additional households in Spokane qualify for a median-priced home with mortgage rates at 6%. The market also benefits from strong income growth, a high concentration of millennials, and fewer price cuts than the national average.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Recently, mortgage rates saw a slight increase as markets reacted to the Federal Reserve’s decision to cut its benchmark interest rate for the third consecutive time, according to Realtor.com.
The average 30-year fixed mortgage rate rose to 6.22% for the week ending December 11, up from 6.19% the previous week, while a year ago, rates averaged 6.60%.
