Philadelphia has jumped six spots in Zillow’s annual housing market ranking, thanks to its attractive affordability and growing job market. However, inventory remains a concern, with the city still facing a 46% shortage of available homes compared to pre-pandemic levels.
Nationwide, home inventories rose by an average of 17% over the past year, while Philadelphia’s saw a 5.5% increase. Experts attribute this growth to the city’s strong labor market, which continues to drive demand for housing.
However, sellers and new construction have struggled to keep pace with buyer demand, leaving many areas “starved for inventory.” Zillow’s ranking highlights markets that are experiencing high demand and low supply, often driven by affordability and job growth.
Other cities like Hartford, Connecticut, and Richmond, Virginia, are also on the rise, while San Francisco and Memphis face challenges due to oversupply and slower sales. Affordability remains key, with inventory levels playing a crucial role in determining market competitiveness.
Source: https://www.axios.com/local/philadelphia/2025/01/10/hottest-real-estate-markets-zillow-philly