Here Are the Best Housing Markets for First-Time Buyers

First-time homebuyers are at a major disadvantage in today’s undersupplied and overpriced housing market, but a few affordable metros still offer entry-level house hunters a viable path to homeownership. A recent analysis by SmartAsset revealed the top markets for first-time buyers based on affordability, growth potential, competition, and demographics, and among the 185 metros ranked in the report, five Texas cities landed in the top 15, CNBC reports.

Killeen, Texas, took the top spot with a median home price of $252,833, a higher-than-average share of available listings, and a large percentage of residents under the age of 40. Wichita Falls, Texas, came in second, followed by McAllen, Texas, where median home prices are $186,650 and $210,833, respectively.

Texas has long been a migration hotspot in the U.S. The population grew 43% between 2002 and 2022, according to U.S. Census data. But despite this growth, home prices are slightly cheaper than the U.S. average, which makes for some of the most affordable homes in the country.

There’s also less competition for homes in these markets, which favor new homebuyers who can’t afford to get into bidding wars. Listings in the top 15 cities are on the market for an average of 20 days — nearly double the average of all metro areas in the study.

Read more