First-time homebuyers account for over one-third of home purchasers in the U.S., while entry-level homes represent less than 26 percent of overall listings. However, in some areas, the starter-home share is meeting demand, according Trulia's "Market Mismatch Score."
While Ohio and New Jersey had a couple cities each on the list, Memphis, Tennessee was ranked number one. Memphis' starter home listings account for 18.9 percent of its overall listings, with 5,690 starter home sales, per National Mortgage News.
While these markets are bucking the national trend, this excess inventory may not be around for long. The Mismatch Scores in each market were lower in 2017 than in 2016 for all these markets, reflecting a narrowing gap between supply and demand. Home listing and buyer demand data is ... based on the second quarter of 2017. The home sales data is for the first half of 2017.
