20 most underrated housing markets in the USA

Since real estate investments are considered a path to wealth, one of the things potential homebuyers pay attention to is the community where housing prices will rise. Before choosing a place to live, homebuyers often work with a realtor to find out the average housing costs in the area, or they research the information online themselves. After all, new homeowners want to know that their investment is growing and to be confident that they made a great purchase.

However, which cities are best suited for purchasing real estate with the aim of financial growth in investments? GOBankingRates conducted a study for you, analyzing data from Zillow using Zillow Median List Prices and Zillow Home Value Index for single-family homes.

Cape Coral, Florida

The average price in the list for 2023 is $169,989.
The average cost of housing for 2023 is $419,840.
The difference between the listed price and the cost of the property is $249,851.

Eau Claire, Wisconsin

The average price in the list for 2023 is $178,089.
The average cost of housing for 2023 is $288,964.
The difference between the listed price and the cost of the property is $110,875.

Honolulu, Hawaii

The average price in the list for 2023 is $984,436.
The average cost of housing for 2023 is $1,057,256.
The difference between the listed price and the cost of housing is $72,819.

Punta Gorda, Florida

The average price in the list for 2023 is $318,481.
The average cost of housing for 2023 is $378,501.
The difference between the listed price and the cost of the property is $60,020.

San Francisco, California

The average price in the list for 2023 is $1,136,056.
The average cost of housing for 2023 is $1,189,841.
The difference between the listed price and the cost of the property is $53,785.

Milwaukee, Wisconsin

The average price on the list for 2023 is $286,044.
The average cost of housing for 2023 is $334,836.
The difference between the listed price and the cost of the property is $48,791.

Macon, Georgia

The average price in the list for 2023 is $123,167.
The average cost of housing for 2023 is $171,606.
The difference between the listed price and the cost of the property is $48,439.

Cedar Rapids, Iowa

The average price on the list for 2023 is $177,746.
The average cost of housing for 2023: $225,839
The difference between the listed price and the cost of the property is $48,093.

Baltimore, Maryland

The average price in the list for 2023 is $328,544.
The average cost of housing for 2023 is $374,024.
The difference between the listed price and the cost of the property is $45,480.

Philadelphia, Pennsylvania

The average price in the list for 2023 is $302,803.
The average cost of housing for 2023 is $344,873.
The difference between the listed price and the cost of the property is $42,071.

Lake Havasu City, Arizona

The average price in the list for 2023 is $320,231.
The average cost of housing for 2023 is $361,620.
The difference between the listed price and the cost of the property is $41,389.

Rochester, New York

The average price in the list for 2023 is $191,600.
The average cost of housing for 2023 is $230,830.
The difference between the listed price and the cost of the property is $39,230.

Asheville, North Carolina

The average price on the list for 2023 is $380,239.
The average cost of housing for 2023 is $415,625.
The difference between the listed price and the cost of the property is $35,386.

Buffalo, New York

The average price in the list for 2023 is $213,783.
The average cost of housing for 2023 is $247,822.
The difference between the listed price and the cost of the property is $34,039.

Racine, Wisconsin

The average price in the list for 2023 is $228,853.
The average cost of housing for 2023 is $262,844.
The difference between the listed price and the cost of the property is $33,991.

St. Louis, Missouri

The average price in the list for 2023 is $210,528.
The average cost of housing for 2023 is $243,391.
The difference between the listed price and the cost of the property is $32,864.

Muskegon, Michigan

The average price on the list for 2023 is $180,644.
The average cost of housing for 2023 is $211,526.
The difference between the listed price and the cost of the property is $30,882.

Detroit, Michigan

The average price in the list for 2023 is $211,200.
The average cost of housing for 2023 is $241,852.
The difference between the listed price and the cost of the property is $30,652.

Harrisburg, Pennsylvania

The average price in the list for 2023 is $236,172.
The average cost of housing for 2023 is $266,254.
The difference between the listed price and the cost of the property is $30,082.

Akron, Ohio

The average price in the list for 2023 is $177,300.
The average cost of housing for 2023 is $205,482.
The difference between the listed price and the cost of the property is $28,182.

Whether you're looking for a new home for the next few years or an investment property for extra income, these cities are a great place to start.