Written by Angela Mae Watson

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Edited by Cory Dudak

Spring and summer are the most popular times of the year to buy a home, but there’s no reason why you can’t purchase one in the fall. Just be careful of where you choose to buy, as not every U.S. housing market is created equal. Not only do you have potentially high prices to contend with, but there are other factors to consider, like the local economy and environmental hazards.

We spoke with two real estate professionals, Cameron Walker and Jim Chamberlin, to find out the top cities to avoid buying a home this fall and why. Here’s what they said.

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Cape Coral, Florida

Median home sales price: $358,833

Year-over-year change: -5%

Life in Cape Coral has its appeal, especially if you love Florida and are into water sports. But Jim Chamberlin, a Realtor who also works in business development with Vulcan7, advised doing your homework before you buy.

“I love the area, don’t get me wrong, but I have seen people get very excited about the purchase price without realizing what insurance, flood requirements and ongoing ownership costs are going to look like,” he said. “Once you get to the point where you have all of that together, [it’s] a very different conversation.”

Florida has some of the highest homeowners insurance premiums in the country. About 125 miles away in Miami (more on that city later), homeowners spend roughly 24.05% of their income on home insurance alone, according to a study by The Zebra.

Austin, Texas

Median home sales price: $586,367

Year-over-year change: -4.4%

Home prices in Austin are already higher than the national median sales price of $410,700 (according to Federal Reserve Bank of St. Louis [FRED] data). But, surprisingly, the price tag isn’t why you might want to reconsider buying there this fall.

“Although it is one of my favorite cities in the U.S., another is Austin, Texas, and not because I think [it’s] a bad market by any means. [Moreso, it’s] because buyers finally have options there again (which is a good thing),” said Chamberlin.

If you love Austin, too, your best bet is to take your time before you buy. You’re much more likely to get a good deal that way.

“The problem I notice with some younger buyers is that they feel they need to make a decision the first weekend a home is listed, and in some markets that simply [isn’t true] anymore,” said Chamberlin.

For context, the typical Austin home stays on the market for about 42 days.

Phoenix, Arizona

Median home sales price: $424,983

Year-over-year change: -1.8%

Phoenix is beautiful, especially if you love the “big city in the desert” feel. Homes are also reasonably priced. However, that alone shouldn’t be a reason to buy there.

“My number one rule for young buyers: Don’t buy a home based solely on a cheap price,” said Cameron Walker, real estate agent and manager of the Agent Network at Clever Real Estate. “Stable housing markets, not cheap ones, make it financially sound to buy a home.”

The Phoenix housing market, he pointed out, has been declining. While this does mean potentially better upfront deals, it also makes the city a potentially “bad market to be in.”

Tampa and Miami, Florida

Tampa median home sales price: $403,833

Tampa year-over-year change: -1.3%

Miami median home sales price: $593,333

Miami year-over-year change: -0%

Walker advised against buying a home (particularly condos) in other areas along the Florida coast, like Tampa and Miami.

“There are high homeowner’s insurance costs that are both difficult and expensive to secure,” he said. “There is exposure to hurricane risk, and high special assessments are being passed on to unit owners as older condo buildings are funding reserves after the 2021 Surfside collapse.”

Bottom Line

None of these cities are inherently bad to buy a home in. It comes down to personal preference and knowing what to expect as far as costs go.

“Maybe more than anything […] I would tell Gen Z buyers not to cross a city off a list because of a headline or move there because everyone else is talking about it,” said Chamberlin. “The best opportunities are usually found after you’ve spent some time understanding the local market instead of following the crowd.”

Take your time and do your due diligence, even if that means waiting a while longer to buy.

Editor’s note: All median home sale prices were pulled from Zillow at the time of publication and are subject to change.

This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.

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