Over the past decade, Angelenos have continued to expand their search for more affordable housing and family friendly neighborhoods. Once up and coming Eastside areas like Silver Lake and Echo Park are now firmly established, forcing buyers to look even further east to Eagle Rock, Highland Park and Mount Washington. In more recent years Los Angeles magazine’s annual Hot Neighborhood survey has been won by once neglected neighborhoods like West Adams and Leimert Park.
Locally, you’re probably familiar with these trendy and growing neighborhoods. But what about on the national level? Don’t worry, here comes Redfin to make a very educated. With all of its data points from thousands of visitors as well as the observations of boots on the ground local real estate agents, Redfin thinks they can predict what neighborhoods are poised to make the jump in 2017.
Not surprisingly, the extreme job growth of the tech industry has a heavy influence on the hottest 2017 neighborhoods. What might surprise you is that Redfin’s data actually shows a greater increase in interest in areas outside of city limits of the tech hubs. In fact, their top three hottest neighborhoods are all right outside the tech driven towns of San Francisco and Seattle.
Remember that trendy new word, “Surban”? Despite increased commute times, surveyed real estate agents on Redfin answered that more and more buyers are looking for balance. They want to have it all, easy access to public transit, more dining and shopping options, but also larger move in ready homes with less shocking price tags.
“Redfin research shows that over the past five years, home prices in urban cores have shot up 50 percent faster than in the metro areas as a whole,” said Redfin chief economist Nela Richardson. “Our data on homebuyer activity shows that this year people are bypassing the most expensive areas in the center city in search for high-end amenities and renovated homes a few train or bus stops outside the city limits. The hottest neighborhoods of 2017 will be those edge communities that deliver urban convenience at prices that are closer to earth.”
Another predicted trend by Redfin that seems to be coming true is the rise of the “second-tier city”. The Top 10 List includes neighborhoods in Portland, Sacramento and New Orleans. These area “feature renovated homes that preserve the nature and charm of the area while offering updated amenities.” But prices are rising fast in reaction to these neighborhoods gaining popularity. Prices in New Orleans Treme along were up 75 percent last year.
Locally, we’re looking at a continued push into the Eastside into areas like Cypress Park. On the Westside, neighborhoods west of the 405 but inland from the beach are gaining popularity as Santa Monica and Venice are now some of the highest price and desirable real estate in the country.
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