URGENT UPDATE: The Northeast is set to dominate the real estate landscape in 2026, with cities like Jersey City and Brooklyn making significant strides. According to the latest report from consulting firm PwC and the Urban Land Institute (ULI), these markets are experiencing remarkable growth, driven by a surge in job opportunities and a return to urban living.
The report, titled “Emerging Trends in Real Estate,” reveals that four Northeast markets are now ranked among the top 10, a notable shift that highlights the region’s resurgence. Andrew Alperstein, a partner at PwC, emphasized the importance of cities like New York City, stating, “It’s really a story around New York City and the back to office trend we’ve seen.”
Jersey City has emerged as a standout, jumping 17 spots in the rankings, now positioned as a prime location for those returning to work. Its proximity to Manhattan makes it highly attractive for residents seeking affordable living options without sacrificing access to amenities. In the first half of 2025, Jersey City saw investments totaling $177.4 million, with a staggering 65% directed towards apartment developments, according to data from CBRE Research and MSCI.
While the Sun Belt has been a hot topic for real estate growth, its appeal is waning due to economic limitations. Austin, once a frontrunner, has cooled off as it leans heavily on the tech sector. Alperstein noted, “There was almost a little bit of an exuberance around Austin,” contrasting it with more diversified markets like Dallas and Miami.
The latest rankings reveal the following top markets to watch as we approach 2026:
1. Dallas-Fort Worth, TX
2. Jersey City, NJ
3. Miami, FL
4. Brooklyn, NY
5. Houston, TX
6. Nashville, TN
7. Northern New Jersey
8. Tampa-St. Petersburg, FL
9. Manhattan, NY
10. Phoenix, AZ
These cities are thriving due to their blend of affordability, robust job markets, and vibrant amenities, making them increasingly attractive to both investors and residents. With 2026 fast approaching, the focus remains on how these dynamics will continue to evolve.
As the real estate landscape shifts, industry experts urge potential buyers and investors to keep a close eye on these emerging markets. The ongoing trend of urban migration and the need for diverse job opportunities are shaping the future of real estate in ways that could significantly impact housing availability and prices.
Stay tuned for more updates as these trends develop and reshape the real estate market landscape heading into 2026.
