Home buyers in the United States are being faced with a tough market, with listing prices hovering above $430,000 and mortgage rates remaining elevated.
The median sale price of homes in April settled at $432,903, marking a 6.1% increase year-over-year, according to data from Redfin. In addition, the mortgage rate for the 30-year term was 7.03% in the week ending May 30 while the rate for the 15-year term was 6.36% during the same period, per Freddie Mac.
However, some housing markets offer affordable homes to buyers. A recent analysis from Realtor searched for metro areas with low sale-to-listing price ratio, which means these areas had homes selling for the lowest price relative to their initial listing price.
Here are the five top buyer's markets where homes sold for 9% less than the initial listing price, on average.
1. Palatka, Florida
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Median List Price: $299,500
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Median Days on the Market: 58
Home buyers planning to live in Palatka will have access to outdoor activities such as boating and fishing. Palatka currently tops Realtor's list of the best buyer's markets in the country, but that may soon change as the city experiences increasing demand over the last several years.
2. Key West, Florida
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Median List Price: $1,300,000
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Median Days on the Market: 80
Key West is a known vacation destination due to its tropical vibe. Residents of the town have access to gorgeous beaches teeming with coral reefs and fishes. While it's listed as a buyer's market, housing is not cheap. The lowest-priced homes are currently below $800,000.
3. Breckenridge, Colorado
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Median List Price: $1,125,000
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Median Days on the Market: 54
Breckenridge is notable for its mountain views and charming downtown area. Its access to ski slopes also makes it a paradise for snowshoers, ice skaters, and snowmobilers.
But like Key West, homes in Breckenridge do not come cheap. The average home list price hovers around $1.8 million. However, there are cabins available for less than $500,000, per Realtor.
4. Sevierville, Tennessee
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Median List Price: $699,900
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Median Days on the Market: 58
Sevierville sits on the banks of the French Broad River, with nearby attractions such as Dollywood, a NASCAR race track, and the RainForest Adventure Zoo. Home prices in Sevierville range from $150,000 to millions of dollars.
5. Jackson, Tennessee
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Median List Price: $299,900
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Median Days on the Market: 47
Found an hour and a half from Nashville and Memphis, Jackson offers a warm and friendly atmosphere for potential residents. The city is also home to plenty of schools, including public, private, and dynamic homeschooling options.
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