Real Estate
Cash Is King: Southwest City Where Nearly 3 in 4 Homes Are Paid For in Cash
House hunters willing to make an all-cash offer on a property typically have a major leg up on their competitors who require financing, because there is less of a chance the sale would fall through.
And a city in the Southwest tops the list for all-cash deals.
Close to three-quarters of homes bought in Albuqurque, NM, were paid for in all cash, entirely bypassing the often nerve-wracking mortgage process.
In the high-desert city with a population of more than a half-million, made famous as the setting of AMC’s “Breaking Bad,” 71% of home purchases were all-cash in October 2024, according to the latest figures available from Realtor.com®. The median list price in New Mexico’s largest metro was $399,900 at the time.
Albuquerque’s all-cash share was more than double the national average of 34.6% of all-cash home purchases.
“Albuquerque is relatively affordable, which makes cash purchases easier,” says Realtor.com senior economist Joel Berner. “It’s also an attractive market for investors … and investors are generally more able to pay in cash or secure their own financing other than a conventional mortgage.”
Berner adds that Albuquerque has led the national rate of all-cash purchases for a long time, “and the gap is growing.”
The Best Markets for First-Time Homebuyers in 2025 Revealed
First-time homebuyers currently face one of the toughest housing markets in decades, but in the right cities they can still find glimmers of hope.
A new report from the Realtor.com® economic research team identifies the best markets for first-time homebuyers in 2025, based on local prices, incomes, amenities, and several other factors.
Harrisburg, PA, tops the rankings this year, thanks to its moderate home prices, strong economy, and solid outlook for future price growth. The top 10 list also includes locations in upstate New York, Florida, Arkansas, Michigan, and the mid-Atlantic.
“The places highlighted offer opportunities for first-timers in terms of the cost of housing, availability of homes for sale, and quality of the location,” says Realtor.com Chief Economist Danielle Hale. “Even in these high-opportunity areas, trade-offs likely need to be considered for buyers to get to the closing table. Choosing the best place will come down to what’s most important to each buyer and their family, and our list of places, and their qualities, is a good guide.”
Last year, the share of all successful homebuyers who were first-timers dropped to 24%, the lowest on record. Record home prices and stubbornly high mortgage rates make this market one of the most challenging for buyers since the early 1980s. First-timers, who are often earlier in their careers with lower income and less savings, face the additional hurdle of entering the market without any prior home equity to lean on.
However, in the markets identified in the new report, starter homes should be within easier reach, and could even be cheaper and more accessible than renting.
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