The Hottest U.S. Real Estate Markets Are Reporting New Record-High Prices

The median list price for the 20 hottest U.S. markets skyrocketed to a new high of $562,000 in February, 43% higher than the national median list price of $392,000, Realtor.com reports. Manchester, New Hampshire remains the hottest market of all with a relatively affordable median home price of $439,900 within commuting distance to the Boston metro, where the average home cost $725,000 in January.

The most expensive market in February was Santa Maria, California, where metro-area homes hovered around a median listing price of $1.625 million. Record high prices are a direct consequence of a housing shortage totaling nearly 5.8 million new single-family homes coupled with surging demand in nearly every market across the country.

So while 2021 saw buyers spread out across the country looking for a better deal, California is roaring back in 2022. The Golden State now boasts five of the top 20 hottest markets. In addition to Santa Maria, the metros of Santa Cruz, Salinas, Vallejo, and Santa Maria all made the list.

“California buyers have made it known [that] they are ready to play the game of real estate, despite the rising costs, even though they are over the national median,” says Chantay Bridges, a senior real estate specialist at EXP Realty in Beverly Hills, CA. “While some have opted for more desirable price points in other states, there is still a large number that love the weather and all that California has to offer. They are not going anywhere. They are paying whatever it takes to have their dream home, over national median or not.”

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