Entry-level homes are selling faster than any other price point across the U.S., according to the latest NewHomeSource data. While sales have slowed a bit compared to last year, entry-level homes still lead the market, showing strong demand from a wide pool of buyers: first-time homeowners, younger families, and people moving to hotter, higher-relocation areas. Buyers at this level tend to move and buy based on their needs, rather than other factors, such as luxury.
Entry-level markets themselves “almost always will have a higher sales rate than more expensive product,” said chief economist at Zonda Ali Wolf. Here are the top five markets for entry-level buyers right now.
1. Miami
Miami is one of Florida’s prime real estate locations. Despite rising home prices across South Florida, demand remains fierce thanks to a steady flow of new residents, booming job growth, and strong local demand. On average, 5.3 entry-level homes were sold there in July 2025, and its year over year change was up 2.7%.
Miami can be an attractive place due to its vibrant lifestyle, diverse culture, and year-round warm weather. Miami has no state income tax, which can be a nice leg up, financially speaking. With its growing job market, access to beautiful beaches, and strong infrastructure, Miami has plenty of ways to appeal to first-time buyers.
2. Las Vegas
Nevada’s premier city, Las Vegas sold an average of 4.6 homes in July, still a hotspot for entry-level buyers despite cooling sales compared to last year (-23.2%) and pre-2019 levels.
Las Vegas is an appealing option for first timers thanks to the absence of state income tax, and the area continues to grow with new developments and job opportunities. It also offers a unique mix of entertainment, dining, and outdoor activities, and it’s a short drive to California.
3. Columbia
Nestled in South Carolina, Columbia is one of the most affordable and fastest-growing entry level markets in the country, as well as a top overall market. While sales slowed slightly year-over-year (-3.2%), it continues to shine as an affordable, family-friendly option, selling an average of 4.6 homes in July.
Columbia can be a good entry level city for new homebuyers due to its low cost of living and affordable housing market. It also benefits from a growing job market and proximity to outdoor recreation like Lake Murray and Congaree National Park. With its blend of warm weather, growing population, and steady economic development, Columbia provides a strong starting point for new homeowners.
4. San Diego
One of California’s many coastal attractions, the city of San Diego saw an average of 4.2 homes sold in July. Its year-over-year change was also down, by -18.9%.
San Diego offers a unique appeal for entry-level homebuyers thanks to its quality of life. With year-round sunshine, beautiful beaches, and a vibrant cultural scene, the city provides a lifestyle that's hard to match. For those entering the housing market, San Diego’s strong job market, particularly in tech, biotech, and healthcare, adds long-term value and stability.
5. Charleston
South Carolina makes another appearance in the top five with the city of Charleston, where entry-level sales are both strong and growing. An average of 4.1 homes per community were sold there in July, and it’s the only other city with a positive year over year change, up 3.8%.
Charleston can be an attractive option thanks to its blend of deep history, coastal lifestyle, and warm weather. It boasts a growing job market and access to beaches, parks, and cultural attractions. With its Southern charm and modern amenities, Charleston offers a welcoming, vibrant place to start your homeownership journey.
Bottom line for buyers:
Across the country, entry-level homes continue to sell faster than move-up or high-end homes. These properties attract the widest pool of buyers – especially those purchasing their first home. While every market has its nuances (an “entry-level” home in Miami or San Diego may look different than in Columbia), the trend is clear: demand for affordable housing isn’t going away.
If you’re planning to buy your first home in 2025, keep an eye on these markets. They’re leading the way in sales activity and may offer the right mix of opportunity and value for budget-conscious buyers.
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