The days of house flipping appear to be over, but there are still good real estate bargains to be found in many parts of the country — places where homes are affordable, price appreciation is imminent, and the underlying economy is strong. Where can you find these good buys? Many of them are in the South, where the climate is appealing to both retirees and businesses.
With assistance from economists at Fiserv (FISV), Lending Solutions, and Moody’s(MCO) Economy.com, BusinessWeek compiled a list of the best metropolitan areas for bargain homes by looking at affordability, forecasts for price appreciation and job growth, and recent price fluctuations.
Here are their top picks, the median home prices in these areas and the predicted increase in value over the next two years:
* Austin-Round Rock, Texas: $186,600, 5.4 percent
* Baton Rouge, La.: $174,700, 7.7 percent
* Birmingham-Hoover, Ala.: $164,900, 9.2 percent
* Corpus Christi, Texas: $130,000, 10.3 percent
* Durham, N.C.: $180,100, 6.1 percent
* Gulfport-Biloxi, Miss.: $154,200, 10.8 percent
* Houston-Sugar Land-Baytown, Texas: $154,900, 6.4 percent
* Mobile, Ala.: $140,400, 8.1 percent
* Montgomery, Ala.: $150,100, 7.8 percent
* San Antonio: $154,300, 6.4 percent
Source: BusinessWeek.com, Maya Roney (9/18/07)
