Several factors were used in the calculations, including job growth rate and share of underwater mortgages.
LOUISVILLE, Ky. — The Louisville real estate market is one of the worst in the United States this year, according to a new study.
WalletHub analyzed 300 cities in the country and Louisville ranks near the bottom in several categories. Overall, the study ranked the Derby City No. 263 out of 300, and No. 60 among large cities.
It’s the ninth-worst among large cities, according to the study.
“Current home prices are extremely important, but there’s much more that you need to look at when determining the health of a city’s real estate market,” Analyst Cassandra Happe said. “Factors like the cost of living, the potential for the value of homes to increase, the availability of recently-built homes and the quality of the city’s job market are all important to consider in conjunction with asking prices and interest rates. The best cities may not always be the cheapest, but they offer excellent housing options and long-term stability.”
Here’s how the study ranked the Louisville market in several categories:
- Share of seriously underwater mortgages: 277 out of 300.
- Median days on the market: 39.
- Median home price appreciation: 225.
- Job growth rate: 288.
- Foreclosure rate: 230.
- Percentage of delinquent mortgage holders: 237.
- Home price as a percentage of income: 57.
- Maintenance costs as percentage of income: 199.
The best markets in the country are McKinney and Frisco, Texas, and Cary, North Carolina. Eleven of the top 20 markets are located in Texas or Arizona.
A big factor in WalletHub’s rankings was how many newer homes have been built in the city. For example, 35% of McKinney homes were built between 2010 and 2021.
