Key findings:
- Zillow identified the most buyer-friendly housing markets of 2026 among the 50 largest U.S. metros.
- Indianapolis ranks No. 1 among 50 metros for buyer-friendly housing conditions in 2026. Atlanta, Charlotte, Jacksonville and Oklahoma City round out the top five most buyer-friendly housing markets.
- Indianapolis offers the best combination of affordability relative to local incomes, home value upside and lower competition according to Zillow’s Market Heat Index.
After several years of tough conditions for buyers, there are reasons for optimism in 2026. Zillow’s outlook for 2026 calls for the housing market to settle into a healthier state, with buyers seeing a bit more breathing room.
But the housing market isn’t moving in lockstep nationwide. An inventory crunch is creating competition among buyers in some markets — including Hartford, Zillow’s hottest housing market of 2026 — while strained affordability is limiting buyers in others.
To help identify where conditions may be most favorable, Zillow ranked the most buyer-friendly housing markets of 2026.
The ranking is designed to highlight places where buyers are more likely to find a balanced mix of opportunity and sustainability — not just lower prices, but a friendlier overall buying experience. Buyers in these markets can expect to see more homes within budget, while forecasted appreciation suggests strong long-term financial potential. With less competition for each home, buyers have more time to make decisions and a lower risk of being pulled into stressful bidding wars.
Zillow’s most buyer-friendly markets of 2026:
- Indianapolis
- Atlanta
- Charlotte
- Jacksonville
- Oklahoma City
- Memphis
- Detroit
- Miami
- Tampa
- Pittsburgh
What Makes a Market “Best” for Buyers?
Zillow analyzed housing conditions across major U.S. markets using three key measures that indicate buyer-friendly conditions:
This index emphasizes three themes:
1) Cooling now, but upside ahead
Markets score higher when the Zillow Home Value Index (ZHVI) shows downward month-over-month momentum currently, but the Zillow Home Value Forecast (ZHVF) shows expected home value growth in the coming year. In plain terms, that combination can look like a better entry point: less near-term froth, but potential appreciation ahead.
2) More affordable monthly burden
We incorporate the share of income a median earner would pay to buy a typical home in their metro area, assuming a 20% down payment. Lower values mean a smaller share of income goes toward housing costs — a tailwind for buyers in light of high mortgage rates and affordability challenges.
3) More negotiating leverage
We also include the Zillow Market Heat Index, a measure of buyer competition based on key metrics like days on market and the share of listings with a price cut. Lower heat suggests less competition and more room for buyers to negotiate.
What the Top Markets Have in Common
Most of Zillow’s top 10 buyer-friendly markets are in the Midwest and the Sun Belt. Midwest housing markets generally avoided the steepest pandemic-era price run-ups, helping maintain their relative affordability. In the Sun Belt, new construction booms have helped inventory recover and eased competition for each home.
In 5 of the 10 markets, a median household can afford a typical home — meaning a mortgage costs below 30% of income, assuming a 20% down payment. Buyers will still have to make tradeoffs to find a home in their budget that fits their needs, but with more inventory, more time and more latitude to negotiate on price, they will have more control over that process.
Zillow’s Most Buyer-Friendly Markets of 2026
Rank
Metropolitan Area
Typical Home Value, December 2025
Home Value Monthly Change, December 2025 (Smoothed, Seasonally Adjusted)
Forecasted Annual Home Value Change
Share of Median Household Income Needed for Typical Mortgage Payment
1
Indianapolis, IN
$283,040
0.2%
2.9%
26.9%
2
Atlanta, GA
$374,117
-0.1%
1.9%
30.5%
3
Charlotte, NC
$379,228
0.0%
2.6%
31.3%
4
Jacksonville, FL
$342,853
0.0%
1.5%
32.2%
5
Oklahoma City, OK
$238,791
0.2%
2.2%
26.8%
6
Memphis, TN
$237,882
0.2%
1.5%
27.5%
7
Detroit, MI
$254,355
0.4%
2.5%
25.9%
8
Miami, FL
$466,837
-0.1%
2.5%
46.7%
9
Tampa, FL
$351,532
-0.1%
1.5%
35.2%
10
Pittsburgh, PA
$217,499
0.1%
0.6%
22.2%
11
Columbus, OH
$317,149
0.2%
2.7%
29.8%
12
Nashville, TN
$445,402
0.0%
2.1%
35.1%
13
Orlando, FL
$380,414
0.0%
1.9%
36.1%
14
Louisville, KY
$268,280
0.4%
1.6%
27.0%
15
Houston, TX
$302,473
0.0%
0.9%
29.7%
16
Raleigh, NC
$429,457
-0.1%
1.5%
30.4%
17
Birmingham, AL
$250,472
0.3%
0.8%
24.0%
18
Cleveland, OH
$236,377
0.4%
3.4%
27.8%
19
Philadelphia, PA
$372,866
0.2%
2.5%
31.8%
20
Kansas City, MO
$310,274
0.4%
2.7%
29.2%
21
San Antonio, TX
$273,946
-0.1%
-0.3%
28.9%
22
Las Vegas, NV
$425,546
-0.1%
1.6%
36.2%
23
Virginia Beach, VA
$358,724
0.2%
2.2%
32.8%
24
St. Louis, MO
$261,724
0.4%
2.2%
25.6%
25
Phoenix, AZ
$442,002
0.1%
1.0%
33.1%
26
Dallas, TX
$358,078
-0.1%
0.2%
31.2%
27
Chicago, IL
$333,786
0.5%
2.3%
30.2%
28
Baltimore, MD
$390,591
0.1%
0.8%
29.2%
29
Milwaukee, WI
$362,368
0.7%
3.2%
34.5%
30
Richmond, VA
$379,600
0.3%
2.7%
33.2%
31
Hartford, CT
$376,811
0.5%
4.8%
33.2%
32
Austin, TX
$420,644
-0.3%
-2.0%
34.3%
33
Salt Lake City, UT
$553,982
0.4%
1.4%
37.7%
34
Riverside, CA
$574,669
0.3%
2.3%
45.0%
35
Buffalo, NY
$270,322
0.3%
3.6%
26.3%
36
Providence, RI
$499,429
0.4%
3.5%
45.8%
37
Washington, DC
$567,492
0.2%
0.3%
32.8%
38
Denver, CO
$558,508
0.0%
-1.0%
36.6%
39
Minneapolis, MN
$374,308
0.4%
0.2%
29.7%
40
New Orleans, LA
$248,920
0.1%
-3.8%
35.6%
41
Portland, OR
$534,614
0.3%
-0.4%
38.9%
42
San Diego, CA
$913,286
0.2%
2.1%
57.3%
43
Boston, MA
$706,281
0.4%
2.0%
43.7%
44
Sacramento, CA
$566,303
0.2%
-0.2%
41.0%
45
Seattle, WA
$727,761
0.3%
0.6%
46.4%
46
New York, NY
$699,658
0.5%
1.9%
55.1%
47
Los Angeles, CA
$936,939
0.4%
1.3%
67.0%
48
San Francisco, CA
$1,094,164
0.5%
-0.8%
56.4%
49
San Jose, CA
$1,543,938
0.9%
-0.2%
62.6%
*Note: Cincinnati was omitted from the rankings due to missing data.
