Realtor.com has published a new analysis — The Boom Towns: America’s Fastest-Growing Neighborhoods — identifying the 10 fastest-growing cities in the United Stated based on projected five-year growth, household expansion, new development and job growth. Major cities on the list included Brooklyn, Los Angeles and Miami, as well as some lesser known neighborhoods across the nation.
“The strength of the residential real estate market is closely correlated to growth in jobs and households,” said Jonathan Smoke, chief economist for Realtor.com. “The good news for these markets is that these growth factors have already started to translate into new construction.
“At the same time, it may be a year or so before some markets on our list start to see an increase in inventory. If anything, this is a road map for where builders should be thinking about where to break ground next.”
The report combined projected measures of job creation, household formation and new construction for 2016 in order to identify the top growth counties in the U.S. According to Realty.com, every neighborhood on the list has experienced up to five times the job growth of the top 100 counties in the county; household growth in each of the top 10 cities is up to seven times the growth of the top 100 areas; and each individual ZIP is projected to see a growth in households of nine percent to 19 percent over the next five years.
“The markets we chose are the areas that are experiencing the most balanced growth. They are seeing the job creation that leads to the country’s greatest growth in households,” said Smoke. “But they are also seeing more new construction, which is needed to enable the forecasted growth.”
Top 10 Fastest-Growing Neighborhoods
Here are the top 10 fastest-growing neighborhoods in the United States, according to Realty.com:
10. Atlantic Station — Atlanta, Georgia
- Projected five-year household growth: 15.7 percent
The Atlanta real estate market continues to be Georgia’s crown jewel. In 2016, Atlanta is forecasted to have more than 10,000 new housing projects and 12,000 new jobs created, making it one of the top housing markets in terms of residential redevelopment.
9. The Loop — Chicago, Illinois
- Projected five-year household growth: 18.9 percent
The Chicago real estate market is among the largest and more desirable in the United States. Chicago is estimated to see more than 6,000 new housing projects start and over 38,000 new jobs created in 2016.
8. Williamsburg — Brooklyn, New York
- Projected five-year household growth: 9.2 percent
Brooklyn is forecast to see more than 8,000 new housing projects and 18,000 new jobs created in 2016.
7. Village of Rolesville — Rolesville, North Carolina
- Projected five-year household growth: 12.1 percent
Rolesville, North Carolina is forecast to see more than 10,000 new housing projects and 12,000 new jobs created in 2016.
6. Belltown — Seattle, Washington
- Projected five-year household growth: 11.9 percent
Belltown is anticipated to see more than 13,000 new housing projects and 21,000 new jobs in 2016, which is 3.1 times more new homes and 2.3 times more jobs than the average 100 counties in the U.S.
5. Mountain’s Edge — Las Vegas, Nevada
- Projected five-year household growth: 19.4 percent
The Las Vegas real estate market continues to catch fire in 2016. Households in Mountain’s Edge is expected to see more than 14,000 new housing projects and 23,000 new jobs created in 2016.
4. Downtown — Miami, Florida
- Projected five-year household growth: 14.9 percent
The Miami real estate market is thriving in 2016, as home prices and appreciation rates soar past the national average. Downtown Miami is estimated to see 13,000 new housing projects and 44,000 new jobs created in 2016.
3. Downtown — Dallas, Texas
- Projected five-year household growth: 14.9 percent
The Dallas real estate market reflects one of the m ore prosperous housing markets in Texas. Downtown Dallas is forecast to see more than 16,000 new housing projects and 40,000 new jobs created in 2016.
2. Historic Cultural Center Of Los Angeles — Los Angeles, California
- Projected five-year household growth: 8.8 percent
Los Angeles county is expected to see more than 22,000 new housing projects and 65,000 new jobs created in 2016, which is five times and 7.2 times more than the top 100 counties. That said, the Los Angeles real estate market is continuing on the right path in 2016.
1. Power Ranch — Gilbert, Arizona
- Projected five-year household growth: 15.9 percent
Gilbert, Arizona is expected to see more than 25,000 new housing projects and more than 53,000 new jobs in 2016.
In terms of investment properties, are you considering any of the following cities? If so, which ones?
