T
he US regions that were once considered top destinations for homebuyers are now being left behind due to changing market conditions. The South and West, which were previously hotspots, have seen a decline in buyer interest as mortgage rates fell significantly from last October's peak.

    In the South, the issue lies with supply and demand. A surge in housing stock over the past year has led to fewer buyers per home, resulting in longer times on the market and lower "hotness" scores. Meanwhile, high home prices in the West have made it difficult for buyers to compete, leading to a slower market pace.

    In contrast, the Northeast and Midwest have taken center stage as the hottest real estate markets. Manchester, New Hampshire, has been a consistent leader, boasting a trifecta of attractive features: affordability, proximity to Boston, and no state income or sales taxes. The city's listings received 3.4 times more views than the national average in September, with homes selling within 25 days.

    Other cities tied for second place include Concord, New Hampshire; Rockford, Illinois; and Springfield, Massachusetts. Each of these cities had a unique factor contributing to their high demand: Concord saw the most views, Rockford offered the most affordable prices, and Springfield boasted the shortest time on market.

    As the hottest markets continue to drive up home prices, buyers should act quickly to secure a property. Homes in these areas are disappearing fast, with listing levels increasing by 23.8% year over year and spending just 34 days on the market. With housing affordability improving due to falling mortgage rates, this could lead to a shift in buyer demand and alter which markets remain hot.