New-Home Construction Is Thriving in These Metros

As the U.S. continues to face a deficit of nearly 4 million homes, according to some estimates, new construction has become even more important in helping Americans achieve their dreams of homeownership. Building regulations, high material costs, and other challenges continue to get in the way of increasing housing supply, but in some markets, new homes are much more readily available. To figure out which markets are leading the way in new-home construction, real estate marketing platform Realtor.com analyzed metros across the U.S. based on the share of new-home listings, local demand from homebuyers for new-construction homes, and new-construction costs, among other factors.

The report found that new-home construction is largely dominating the Southern U.S. Seven of the top 10 metros for new construction are in the South. The top market for new-construction homes is Fayetteville, Ark., followed by Boise, Id.; Nashville-Davidson-Murfreesboro-Franklin, Tenn.; and McAllen-Edinburg-Mission, Tex., among others.

Noticeably absent from this list are any of the 20 largest metropolitan areas in the United States (though Charlotte ranks No. 21). Instead, these midsized markets are magnets for economic and population growth, drawing attention from builders and buyers alike. Tech startups, manufacturing centers, and lower costs of living compared with nearby large metros lead our list to attract movers from all over the world.