Both homebuyers and real estate investors should be well informed ahead of purchasing property about how the housing market in any given location is performing. Is it thriving? Is it tanking? What could it look like a year from now?
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It’s important to know — an unstable local housing market could cause you to lose money on your investment .
In a new study, GOBankingRates looked at several data points to determine the 25 cities that could have the most stable housing markets by the end of 2025 .
25. Vidalia, Georgia
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24. Sidney, Ohio
23. Seymour, Indiana
22. Salem, Ohio
21. Pottsville, Pennsylvania
20. Macomb, Illinois
19. Peru, Indiana
18. Bainbridge, Georgia
17. Vincennes, Indiana
16. Thomaston, Georgia
15. Danville, Illinois
14. Toccoa, Georgia
13. Rio Grande City, Texas
12. Youngstown, Ohio
11. Madison, Indiana
10. Ashtabula, Ohio
9. Lafayette, Indiana
8. Kendallville, Indiana
7. Ashland, Ohio
6. Marion, Indiana
5. Bedford, Indiana
4. Eagle Pass, Texas
3. Kokomo, Indiana
2. Van Wert, Ohio
1. Clewiston, Florida
Methodology: For this study, GOBankingRates analyzed cities to find the most stable housing markets by the end of 2025. First, GOBankingRates found cities with a balance between sellers and buyers using Zillow’s Market Heat Index. Using every city with a market heat index, the average and median are found to be 43.5 and 44 respectively. All cities with a market heat index between 40 and 48 were used for this study. For each city, a number of factors were found including; total population, population ages 65 and over, total households, and household median income all sourced from the U.S. Census American Community Survey. Using this data the percentage of the population ages 65 and over can be calculated. The cost of living indexes were sourced from Sperlings BestPlaces and include the grocery, healthcare, housing, utilities, transportation and miscellaneous cost of living indexes. Using the cost of living indexes and the national average expenditure costs, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the expenditure cost for each location can be calculated. The average single-family home value was sourced from Zillow Home Value Index for September 2024. Using the average mortgage and expenditure costs, the total cost of living can be calculated. The shares of listings with price cuts were recorded from Zillow Research Data, the average home value forecast was sourced from Zillow Home Value Forecast for October 2025, and the foreclosure rate by state from quarter one of 2024 were recorded from SoFi. The foreclosure rate by state was scored and weighted at 1.00, the listings with a price cut were scored and weighted at 1.00, and the home value forecast for October 2025 was scored and weighted at 3.00. All the scores were summed and sorted to find the housing markets that will be the most stable at the end of 2025. All data was collected on and is up to date as of Oct. 15, 2024.
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This article originally appeared on GOBankingRates.com : 25 Cities That Could Have the Most Stable Housing Markets by the End of 2025