The third annual study shows the best cities for entry-level home buyers.
SmartAsset pulled data for every U.S. city with at least 300,000 residents from such sources as Zillow, the Department of Housing and Urban Development, the Mortgage Bankers Association, among others and compiled a ranking of those 64 metros that are the best markets for first-time homebuyers.
Pittsburgh was the No. 1 city for entry-level buyers thanks to conventional mortgages becoming more accessible. Also the value per square foot there, calculated by using figures from Zillow’s online real estate database, was $82.08, the ninth lowest in the study. Oklahoma City was second thanks to the combination of being the least volatile market for home prices and for ranking in the top 25 in terms of its income-to-housing-costs ratio. First-time buyers are more likely to get approved for a loan in Omaha, Neb., where 84 percent of buyers who applied for conventional, non-jumbo loans got their applications processed. The value per square foot there is $107.08.
Indeed the Midwest provide good odds that buyers can get a loan with places like Omaha, Minneapolis and St. Paul have funding rates where more than 80 percent of conventional mortgage applicants get their applications approved and processed. Texas is the top state for first timers with San Antonio, Houston, Fort Worth, and four other Lone Star cities ranking in the top 25. To see the 25 most affordable cities for first-time buyers click here to read more.