Top Destinations for New Homebuyers in 2026

Metro Areas Where Buying a Home Is More Achievable

In certain metropolitan regions, stepping into homeownership is becoming more accessible for first-time buyers.

Main Insights

• According to research from Realtor.com, Rochester (NY), Harrisburg (PA), and Granite City (IL) are projected to be the most favorable markets for first-time homebuyers in 2026.
• The analysis considered not just home prices, but also local housing supply and economic prospects.
• Additional factors such as proximity to restaurants, childcare, shopping, and commute times were also evaluated.

Those looking to purchase their first home in 2026 will likely continue to encounter significant challenges, including high property prices and elevated mortgage rates.

Nevertheless, Realtor.com’s latest report identifies several locations where conditions may be more advantageous for new buyers.

Cities like Rochester, Harrisburg, and Granite City are expected to provide a blend of affordability, ample housing options, strong local economies, and convenient amenities—making them appealing choices for those entering the market for the first time.

Why This Matters

Affordable entry points for new buyers can have a ripple effect, influencing local economies, migration trends, and future consumer spending by enabling younger households to access the property market.

“Purchasing your first home is a major financial and lifestyle milestone. The location you choose can impact both how soon you’re able to buy and the compromises you’ll need to make,” explained Danielle Hale, chief economist at Realtor.com.

Limited Affordable Markets

To identify the top 10 markets for first-time buyers, Realtor.com focused on areas where individuals aged 25 to 34 with median incomes could afford homes. The criteria assumed a 10% down payment and a 30-year fixed mortgage at 6.25%, with monthly payments not exceeding 30% of median income. Only about one-third of U.S. markets met these affordability standards.

As housing costs have increased, recent studies show that first-time buyers are getting older. Data from the National Association of Realtors revealed that in 2025, the median age for first-time buyers reached 40—the highest since tracking began in 1981. Additionally, the homeownership rate for those 35 and under dropped to 37.5% in the third quarter of 2025, compared to over 40% before the pandemic.

Home Prices Significantly Lower Than National Average

Other cities making the list include Birmingham (AL), North Little Rock (AR), Syracuse (NY), Baltimore (MD), St. Louis Park (MN), Pittsburgh (PA), and Garfield Heights (OH). Four of these—Rochester, Harrisburg, North Little Rock, and Baltimore—were also recognized in last year’s report.

Many of these locations have median listing prices well below the national median of $409,000 reported by the National Association of Realtors in November. For example, Granite City’s median price was $119,000, Rochester’s was $139,900, and Harrisburg’s stood at $151,999.

Conversely, several Florida cities dropped off the list, and for the second consecutive year, no Western cities were included—highlighting ongoing affordability issues in those regions.

“Truly affordable markets are increasingly rare, especially for younger buyers,” noted Joel Berner, senior economist at Realtor.com. “The cities that stand out in this ranking do so because they still offer a realistic path to homeownership for newcomers.”

The Role of Local Amenities in Affordability

While affordability was a primary consideration, the study also placed importance on local amenities such as shopping centers, childcare facilities, restaurants, grocery stores, and nightlife. Commute times were another key factor, which is why many of the highlighted cities are central to their metropolitan areas—though Granite City (near St. Louis) and St. Louis Park (near Minneapolis) are notable suburban exceptions.

“For first-time buyers, this combination can make homeownership more attainable—without sacrificing the neighborhood qualities that make a place feel like home,” added Hale.