Midland, Texas Fastest-Rising Housing Market for Second Time in a Row

In the two years that SmartAsset has ranked the top rising housing markets in the nation, Midland, Texas has come out on top both times.

Using Census Bureau data, SmartAsset looked at changes in home values, household incomes, population growth and housing growth over a five year period. Midland's median home value rose 22 percent over the past five years, in general alignment with household income growth in the city over that time at 20 percent. The top 10 rising markets were concentrated in four states: Colorado, Washington, Texas, and California. In fact, out of the 23 fastest-rising housing markets, only three were not in those states. Washington, D.C. took the 11 spot, Cambridge, Mass. ranked 16th, and Portland, Oreg. is in a three-way tie for 23rd.

From 2012 to 2016, the median home in the U.S. increased in value by roughly $33,000, from $172,000 to $205,000. That is great news for all the homeowners in the country. However those home investment returns have not been spread uniformly across the country. Some cities are experiencing faster than average home value growth due to the number of new residents moving to a city outpacing the number of new homes. This puts upward pressure on home values and mortgage costs.

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