For the fourth year in a row, the nation's most in-demand housing markets are concentrated in the Northeast and Midwest regions, according to a 2026 ZIP code-level analysis by Realtor.com. The study identified suburban areas on the outer rings of major metropolitan centers as particularly competitive.
Peabody, Massachusetts, secured the top spot in the rankings, followed by Montclair, New Jersey, and Sewell, New Jersey. Other ZIP codes in the top 10 are located in Fairport, New York; Westfield, Massachusetts; Livonia, Michigan; Lititz, Pennsylvania; North Haven, Connecticut; New Berlin, Wisconsin; and Wheaton, Illinois.
"A lot of these ZIP codes fall in suburbs that are on the outer ring of major metro areas like Boston, New York, Philadelphia," said Hannah Jones, senior economist at Realtor.com. "It kind of paints this picture that you can still commute to the busy city center for your job, but you’re taking your big city income where you can get a little more bang for your buck, more space, more of that established suburban quiet life."
These high-demand markets are characterized by significantly tight housing supply. Inventory levels in the top 10 ZIP codes are approximately 60% below pre-pandemic levels, a stark contrast to the national average of 11% below pre-pandemic inventory. The study also found that buyers in these areas are largely originating from within the same metro area rather than relocating from other regions.
The scarcity of homes is driving prices up, with nine of the top 10 ZIP codes experiencing sales at or above the asking price. The average sale-to-list ratio in these areas reached 103.8%, whereas nationally, homes sold for about 2.3% below their list price in the first half of 2026. Buyers in these competitive markets are also making larger down payments, with the typical buyer putting down 17% compared to a national average of 13%. Both figures represent an increase from pre-pandemic levels.
"When we’re looking at these buyer profiles, we see that they tend to put down a lot as a down payment," Jones explained. "We also know they tend to have higher credit scores, and all this is pointing to this idea that today’s borrowers have to be more financially equipped and financially ready to participate in today’s housing market because with mortgage rates in the mid-to-high 6% range."
Buyers in these top markets are generally more financially stable, possessing greater resources for down payments and overall financial robustness compared to the average U.S. buyer. Realtor.com's methodology for the rankings analyzes market demand through unique property viewers on its platform and market speed via the duration listings remain active. 