Where Experts Say You'll Fare The Best With Real Estate Investments In 2023

The decision to buy a home is likely one of the largest you'll make in your lifetime. That's one of the key reasons why you should ensure you're buying a home that's not only beautiful and fitting to your family's needs but also a wise financial decision. The National Association of Realtors stated that, in August of 2022, 29% of all sales went to first-time home buyers, and the median existing house sale price was $389,500 across all types, which is a 7.7% jump from the previous year. With so much at risk when buying a home, especially if this is your first and with a rapidly changing real estate scene, it helps to have guidance.

Boyd Rudy, Associate Broker at Dwellings Michigan, provides some insight into what's to come in an exclusive interview with House Digest. "As with any investment, it is important to conduct thorough research before diving into the real estate market." Here's the advice Rudy offers based on recent trends.

The region to watch

For those who may wish to move across the country or just want more insight into what to expect locally, looking at regional data can be a valuable step. Boyd Rudy states, "While predicting the real estate market is never an exact science, many experts agree that the South and Southwest regions of the United States are expected to see continued growth in the coming years." When considering any area, it's important to look at the big picture to determine why one area may be a stronger investment opportunity than others.

Rudy believes the South and Southwest are ideal for several reasons, stating, "This can be attributed to a combination of factors, including population growth and a favorable job market." It's often beneficial to look at specific city data to get a good idea of what that community has to offer when data like this makes a difference in your life.

What specific cities make the list?

The South and Southwest are large areas, but for those looking for towns or cities to live in that offer the most investment potential, Boyd Rudy offers some specific recommendations. "Cities like Austin, Texas and Charlotte, North Carolina have seen considerable increases in both population and employment opportunities, leading to a higher demand for housing." Those are typically key factors in decisions for buyers, but there's often the bigger picture, too. Rudy makes that point by stating, "In addition, these areas typically have lower taxes and operating costs for businesses, making them attractive for individuals and companies looking to relocate and expand."

U.S. Census data shows that people are willing to move to other states, noting that, in 2021, over 8% of people had moved to a new state from the previous year, making it a viable option for some to leave their local areas. The same data shows about 253,000 people moved to the South from other regions, supporting Rudy's recommendations (per Bankrate).