Which Surprising Cities Are Seeing the Biggest Bump in New Mortgages?
Which Surprising Cities Are Seeing the Biggest Bump in New Mortgages?
FabioBalbi/iStock
Baltimore is known for plenty of things, from very good (Chesapeake blue crabs) to very bad (racial tensions). Now here’s a new marker for the plus side of the equation: The city has the highest percentage gains in new mortgages.
The news came from a recent RealtyTrac report comparing the first quarter of 2016 to the same period last year—focusing on publicly recorded mortgages and deeds of trust. The real estate data firm measured single-family residences, townhouses, condos, and multifamily buildings with just two to four units.
New mortgages were up 26% in the resurgent Maryland city located an hour outside the nation’s capital, which continues to bounce back from years of high unemployment and last year’s much publicized protests against police brutality. The rise in mortgages was significant, because buyers seeking loans typically live in the properties versus investors who often pay cash for their properties.
“It’s a great city that’s a lot more affordable than Washington, DC, or Philadelphia,” says Baltimore real estate agent Ron Howard with Re/Max Preferred. “It’s growing. More businesses are coming to the city.”
The city with the second-biggest bump in new mortgages was Tucson, AZ, where the loans were up 18% over the previous year. It’s yet another smaller metro area close to a higher-priced city (Phoenix).
Local real estate broker John Mijac, of Long Realty Co., attributes the influx of new buyers to the city finally recovering from the housing bubble. A revitalized downtown is packed with new dining and shopping options, and even a streetcar for public transportation.
“We’ve had a good year,” he says. Tucson “has the qualities of a small town, but the opportunities of the big city.”
Rounding out the list for top year-over-year mortgage increases were Louisville, KY, at 17%; Minneapolis–St. Paul, MN, at 14%; and Nashville, TN, at 14%.
Other urban areas that saw hefty spikes included Washington, DC, at 13%; Atlanta, at 12%; and Chicago, at 11%.
“These are markets that are affordable compared more well-known cities like New York and Los Angeles,” says RealtyTrac spokesman Daren Blomquist. “They’re markets where the economy is doing well and jobs are coming back.”
The post Which Surprising Cities Are Seeing the Biggest Bump in New Mortgages? appeared first on Real Estate News and Advice – realtor.com.
Source: Real Estate News and Advice – realtor.com » Real Estate News