What's Happening?
Home prices across the United States are beginning to stabilize, yet they remain high, making homeownership challenging for many potential buyers. This situation is exacerbated by near record-high mortgage
rates, which significantly increase monthly payments. As a result, many prospective homeowners are looking beyond expensive urban areas, especially those who can work remotely. In Auburn, Alabama, data from Realtor.com's Cross-Market Demand Report reveals where local buyers are focusing their searches. The report, based on page views of active listings during the third quarter of 2025, highlights that Birmingham, Alabama, is the most popular area, with a view share of 10.2% and a median listing price of $299,900. Other notable areas include Atlanta, Georgia, and Columbus, Georgia, with view shares of 8.3% and 8.1%, respectively.
Why It's Important?
The trend of expanding home searches beyond urban centers reflects broader shifts in the housing market and consumer behavior. High mortgage rates are a significant barrier to homeownership, pushing buyers to consider more affordable regions. This shift could impact urban real estate markets, potentially leading to decreased demand and price adjustments in city centers. Conversely, suburban and rural areas may experience increased demand, driving up prices and stimulating local economies. The ability to work remotely further supports this trend, as it allows individuals to prioritize affordability and quality of life over proximity to urban job centers. This could lead to long-term changes in housing market dynamics and regional economic development.
What's Next?
As mortgage rates remain high, it is likely that the trend of searching for homes in more affordable areas will continue. This could lead to increased development and investment in suburban and rural regions, as well as potential policy responses aimed at addressing housing affordability. Real estate markets in urban areas may need to adapt to changing demand patterns, possibly by offering more competitive pricing or incentives. Additionally, the ongoing evolution of remote work policies could further influence housing market trends, as more companies embrace flexible work arrangements.
