Buffalo Tops Zillow's List of Hottest Housing Markets for 2025

Limited housing supply and strong job growth continue to drive competition in Buffalo and other top-ranked cities.

Buffalo, New York, is ranked as the hottest housing market for the second consecutive year, with high demand and limited housing supply fueling competition.
Zillow's analysis highlights affordability and strong job growth as key factors in the competitiveness of top-ranked cities like Buffalo, Indianapolis, and Providence.
Buffalo's job market is a major driver, with two new jobs created for every home built, contributing to rising home values projected to grow by 3% in 2025.
Other cities in the top 10 include Hartford, Philadelphia, St. Louis, and Salt Lake City, with many located in the Midwest, Northeast, and South regions.
Nationwide, mortgage rates remain high, locking many homeowners into existing loans, while new construction struggles to meet demand in competitive markets.