Top U. S. Town Where First-Time Buyers Can Finally Snag a Home in 2022?

Written By: By Clare Trapasso Published by Realtor.com, Jan 10, 2022 The Realtor.com® economic research team found the best real estate markets for first-time homebuyers for 2022—places where it’s a bit easier for typically younger, more cash-strapped buyers to become homeowners in areas they would likely want to live in. These towns and small cities tend to be a bit more affordable and offer more homes for sale as well as boast plenty of younger millennial residents, job opportunities, and places to go for dinner or a drink. (People still go out for dinner and drinks, right?) These places tend to be suburbs of larger cities, some farther out in more rural areas, where real estate is more affordable. “It’s always a challenge to buy your first home, and it’s been especially challenging the last couple of years because the housing market has been so competitive,” says Realtor.com Chief Economist Danielle Hale. “Despite that, there are pockets and neighborhoods across the country where it’s a little easier for first-timers to get their foot in the door—and where they’d want to live, too.”

How The List Was Compiled:

To compile this list, the team focused on housing affordability (specifically the ratio of list prices to the incomes of 25- to 34-year-olds in the city); availability of homes for sale (measured by the number of active listings per 1,000 households), and forecasted home sales and price growth in 2022 in the metropolitan areas. The latter is a good indicator that homes will appreciate over time. In addition, these places all have plenty of younger residents (higher percentage of 25- to 34-year-olds compared with the local population); lower unemployment rates in the metro and commute times to work; and plenty of things to do as measured by the number of restaurants and bars per 1,000 households. The team looked only at towns and cities in the nation’s 100 largest metropolitan areas. (Metros include the main cities and surrounding towns, suburbs, and smaller urban areas.) Only one place per state was included to provide geographic diversity. So where exactly are odds tilting a bit more in favor of first-time homebuyers?

 Magna, Utah

 

Magna is located just 15 miles southwest of Salt Lake City.

Metropolitan area: Salt Lake City, UT

Median home list price: $355,000*

Forecasted price growth in 2022: 8.5%

Why Magna, Utah?

It’s no secret why Magna topped our list: It offers homebuyers a great location just 15 miles southwest of popular Salt Lake City—at a surprisingly attractive price. While the median-priced home costs $367,900 in the more rural Magna, which boasts a historic downtown, list prices were a hefty $485,000 in Salt Lake City in November, according to the most recent Realtor.com data. The town may not be the most popular in the area, but its prices are attracting first-time buyers on a budget who can’t afford Salt Lake City as well as Californians and other out-of-staters looking for deals

Close To The Salt Lake City Airport

Magna is close to the airport and less than an hour away from some of America’s best skiing. The town is home to the Great Salt Lake State Park, the largest saltwater lake in the Western Hemisphere, and the Empress Theatre, a century-old theater that hosts local productions. It’s also in an up-and-coming jobs center. “We’re pricing people out of the more desirable locations, and it’s making cities like Magna shine a little more  for “first-time homebuyers, families just starting out, where their price range isn’t allowing them to purchase in other areas.”

Older Homes & Bungalows In Magna

Most of the homes in Magna are bungalows built in the 1950s and 1960s with anywhere from 1,800 to 2,200 square feet of living space. They are typically three-bedroom, 1.5-bathroom homes with a garage on about a fifth of an acre. This updated two-bedroom, one-bathroom cottage is on the market for $345,000.     Find Out What Other U.S. Towns are affordable: