Home Values Have Increased By 354% in One City — and It's Not in California or New York Properties in Oregon and Idaho also saw much higher-than-average returns.

By Amanda Breen Edited by Jessica Thomas

Ryan Martinez | Getty Images

Real estate has long been touted as one of the best long-term investments — but buying in certain areas can be extra lucrative.

Among 400 cities ranked by average home price growth since 1998, Austin is at No. 1; its home values have skyrocketed 354% over the past 25 years while those in other metro areas have risen an average of 154% from the first quarter of 1998 through the fourth quarter of 2022, according to a recent SmartAsset survey reported by CNBC Make It.

Related: 10 Reasons Why Every Entrepreneur Should Invest in Real Estate

The population in the Austin-Round Rock-Georgetown metro area has nearly doubled over the past several decades, per the survey. People are drawn to the area's lower cost of living, more-favorable tax laws and, in some cases, rising status as a tech hub.

In 2021, the city was especially popular with startup founders and venture capitalists, TechCrunch reported. The latter invested more than $5.5 billion across 412 deals in 2021, more than double the amount of capital invested in 2020, according to Pitchbook Data.

Perhaps not surprisingly, the rest of the top 15 markets ranked by price growth are predominantly in large coastal cities in California and Florida, per the survey.

Related: 8 Proven Ways to Make Money in Real Estate | Entrepreneur

But markets in Bend, Oregon; Boise and Coeur d'Alene Idaho; and Seattle, Washington also made the top 10.

Amanda Breen

Entrepreneur Staff

Senior Features Writer

Amanda Breen is a senior features writer at Entrepreneur.com. She is a graduate of Barnard College and received an MFA in writing at Columbia University, where she was a news fellow for the School of the Arts.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Leadership

7 Telltale Signs of a Weak Leader

Whether a bully or a people pleaser who can't tell hard truths, poor leadership takes many forms.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

Elon Musk's DOGE Is Hiring People Eager to 'Work Long Hours' to Eliminate 'Waste, Fraud and Abuse' in the Government. Here's How to Apply.

The Department of Government Efficiency is hiring U.S. citizens to help cut spending and headcounts in the federal government.

Business News

'Everyone Can Profit From It': What Is DeepSeek? China's 'Cheap' to Make AI Chatbot Climbs to the Top of Apple, Google U.S. App Stores

DeepSeek researchers claim it was developed for less than $6 million, a contrast to the $100 million it takes U.S. tech startups to create AI.

Business News

'I Love Doing Product Reviews': Bill Gates Stepped Down from Microsoft in 2020, But Admits He Still Spends 15% of His Time Working at the Company

In a new interview with the Wall Street Journal, Gates also said he is still close with Microsoft's CEO Satya Nadella.

Business News

Uber's CEO Says Drivers Have About 10 Years Left Before They Will Be Replaced

Uber CEO Dara Khosrowshahi says the jobs of human drivers are safe for the next decade, but after that, another type of driver will take over.