Z
illow has named Buffalo, New York as the hottest real estate market of 2025. This may come as a surprise given the city's troubled past, but it marks the second year in a row that Buffalo has taken Zillow's top honor. So what's behind this transformation? Affordability is key, driven by a surge in new jobs and a resulting influx of new residents.
According to Zillow, "Buffalo has the most new jobs per new home permitted." This shift has allowed the city to shed its image as a desolate urban wasteland lacking in opportunities. Between 2018-2023, an estimated $22.6 billion was invested in development within the Buffalo Niagara region, with a focus on medical, manufacturing, and clean energy.
Buffalo's renaissance began in 2012 when then-New York Governor Andrew M. Cuomo pledged $1 billion in grants and tax credits to revitalize the area. The residential boom has led to new apartments being built in former warehouses, municipal buildings, and parking lots. While not all investments have been successful – a high-profile solar panel factory project fell short of expectations – Buffalo's transformation is undeniable.
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