Home Buying 101: Coldwell Banker Real Estate Annual Listing Finds College Towns Are Undiscovered, Affordable and Stable Markets For Home Buyers
 

Coldwell Banker College Home Price Comparison Index: Average Four-Bedroom Home Costs Less Than $250,000 in 62 Percent of College Markets Surveyed

PARSIPPANY, N.J. (Nov. 5, 2009) – Every fall, college football fans feel nostalgic for the tradition, lifestyle and spirit of their college towns as they cheer on their favorite teams. This year’s Coldwell Banker® College Home Price Comparison Index (HPCI) reveals that these school-centric areas also sport very affordable homes, in addition to the culture and economic stability associated with higher education institutions – making them great areas to purchase real estate.
The annual College HPCI released by Coldwell Banker Real Estate LLC provides an apples-to-apples comparison of similarly sized 2,200 square foot, four-bedroom, two-and-a-half bathroom homes in college markets home to the 120 Football Bowl Subdivision schools. This year, Akron, Ohio (University of Akron) is ranked as the most affordable college town, where a typical four-bedroom home costs $121,885. Muncie, Ind. (Ball State University) took the No. 2 spot at $144,996. Ann Arbor, Mich. (a quintessential college town home to the University of Michigan) came in as the No. 3 most affordable college market, where the sample size home only costs $148,000.

Overall, the 2009 College HPCI revealed that real estate buyers can find a typical four-bedroom home for less than $250,000 in 62 percent of the college markets surveyed (72 total), including iconic American college towns such as:

- Syracuse, N.Y (Syracuse University): $171,711

- South Bend, Ind. (University of Notre Dame) $183,938

- Athens, Ga. (University of Georgia): $205,862

- Oxford, Miss. (University of Mississippi): $212,000

- Knoxville, Tenn. (University of Tennessee): $223,850

Further research indicates that the charm and affordability of college towns is appealing to more than just students.  According to the U.S. Census Bureau's 2008 American Community Survey; Austin, Texas (University of Texas), Provo, Utah (Brigham Young University), and Raleigh, N.C. (North Carolina State University) were among the metropolitan cities with the greatest population growth in 2008. In all three rising cities, home buyers can find a four-bedroom home for very a reasonable price; only $226,642 in Austin; $231,000 in Provo; and $241,462 in Raleigh.

“College markets have long-been one of the real estate industry best-kept secrets,” said Jim Gillespie, president and chief executive officer of Coldwell Banker Real Estate LLC.  “Real estate professionals have been investing in college towns for years, often purchasing homes for their children who are attending school. However, these vibrant cities are not only for students; many empty nesters and families are attracted to the health care systems, culture and overall quality of life that college towns offer.”

While real estate in college markets may be an undiscovered gem, pride for teams and alma maters are definitely not under-wraps, regardless of how pricey the school or city. For an added perspective, Coldwell Banker asked fans to share “what’s best” about living in their college towns for its new Coldwell Banker On Location video: http://www.youtube.com/watch?v=E0S7eKOih7k.

More expensive college towns are also worth the investment for many people. For example, students have been competing for years to get accepted into prestigious schools like Stanford University, despite its high tuition and cost of living. Located in the most expensive college market in the nation (Palo Alto, Calif.), an average 2,200 square foot home costs a whopping $1.49 million.

The Coldwell Banker College HPCI specifically examines the home markets in 120 Football Bowl Subdivision schools.  Additional information about this year’s College HPCI and the original Coldwell Banker HPCI study, which ranked 315 markets across the U.S. and Puerto Rico in affordability for the same 2,200 square-foot subject home, is available at http://hpci.coldwellbanker.com.

2009 Coldwell Banker College HPCI – Highlights & Interesting Real Estate Related Facts:

- This year, there is a $1,367,841 price difference between the sample size four-bedroom home in the most affordable college town (Akron, Ohio) and most expensive college market (Palo Alto, Calif.).

- Five schools with football-teams-to-watch this year currently ranked in the BCS top 25 standings are also front-runners for home buyers:

    - Fort Worth, Texas (Texas Christian University), $153,450
    - Houston, Texas (University of Houston), $159,847
    - Cincinnati, Ohio (University of Cincinnati), $189,750
    - Boise, Idaho (Boise State University), $215,432
    - Iowa City, Iowa (University of Iowa), $217,500

- The Mid American Conference is the most affordable conference overall, where a typical four-bedroom home costs an average of $182,322.

The top 10 most affordable college markets for home prices in 2009 are:

#1 - University of Akron
Akron, Ohio
$121,885 Average Home Price

#2 - Ball State University
Muncie, Ind.
$144,996 Average Home Price

#3 - University of Michigan
Ann Arbor, Mich.
$148,000 Average Home Price

#4 - Eastern Michigan University
Ypsilanti, Mich.
$151,500 Average Home Price

#5 - Texas Christian University
Fort Worth, Texas
$153,450 Average Home Price

#6 - University of Tulsa
Tulsa, Okla.
$154,800 Average Home Price

#7 - University of North Texas
Denton, Texas
$154,900 Average Home Price

#8 - Rice University &
University of Houston
Houston, Texas
$159,847 Average Home Price

#9 - Indiana University
Bloomington, Ind.
$164,433 Average Home Price

#10 - Kent State University
Kent, Ohio
$165,700 Average Home Price