What makes a real estate market “hot?” According to Realtor.com®, it’s a balance of market demand and how long a listing stays on the market. Realtor.com uses these metrics (measured by unique listing views on Realtor.com and how long a property has been listed on the portal) to compile the current hottest U.S. markets.
Heat is not often a lasting quality—ironically enough, the current market hotness across real estate is inversely correlating to climate. It’s the northern U.S. markets that are showing signs of heat, while the southern markets are the coolest.
The bottom 10 coolest metro areas (out of 300 surveyed) are all located across four different southern states: Georgia, Texas, Florida and Louisiana.
But current rankings only tell part of the story, especially in a regularly updated ranking such as this. Cooling is an active process, not a permanent state of being—so which markets are cooling (i.e., dropping in the Realtor.com hottest ranking) the most?
Many metro areas in North Carolina experienced noticeable year-over-year drops in “hotness.” Asheville, for instance, dropped 79 places in the ranking from 104th hottest market (in May 2024) to 183rd in May 2025, which puts it beyond the threshold from “hot” to “cool.”
However, it’s important to note that North Carolina was hit by tropical storm Hurricane Helene in September 2024—Asheville in particular was heavily affected by this.
Exempting North Carolina due to extreme circumstances, many (but not all) of the real estate markets that are cooling the most are located in California. And while a cooling market might not be a great sign overall, it could make these cities more attractive to buyers due to potentially lower prices.
Redding, California
Tying with Asheville at 183 on the hotness list is another big year-over-year drop: Redding, California.
With a population of around 90,000, the city fell 71 spots in hotness ranking year-over-year; its current median listing price is $455,000. Redding’s listings face an average of 43 days on the market, below the currently reported 51 days on market national median.
Located in the northern part of Northern California (it’s closer to the Oregon border than to state capital Sacramento), Redding is a former gold rush town incorporated in the late 19th century. The town advertises itself as a tourist spot, both for its downtown shopping center as well as hiking trails and national parks.
Bloomington, Indiana
Falling 66 places year-over-year to a 187 ranking was Bloomington, Indiana. The city’s median listing price was found to be $409,000, or slightly below the current national average. Listings are, on average, remaining on the market for 44 days.
In 2021, Bloomington was cited by Realtor.com as the best market in the country for first-time homebuyers, a ranking compiled by comparing job opportunities, commute time, home pricing, etc. The town is also home to a University of Indiana campus, ensuring a steady population closer to young first-time homebuyers’ age bracket.
San Diego, California
The San Diego, California, metro area (including cities Chula Vista and Carlsbad) is still considered “warm” overall, but it experienced a 64 place drop year-over-year to 146th place.
San Diego is, by population size (1.4 million), the second-largest city in California after Los Angeles. The city’s median listing price is well above the national level at $995,000, while average days on the market for a San Diego listing (37) also suggest a seller’s market.
San Diego, like Los Angeles, was one of the major metro areas caught in the wildfires that hit Southern California in January 2025, which could account for some cooling buyer interest.
Bakersfield, California
The Bakersfield-Delano metro area dropped 63 places year-over-year down the hot market ranking to 175. As of May 2025, the area shows a relatively low median listing price—$399,999—with listings spending an average of 37 days on the market.
Realtor.com classifies the area as “slightly cool” as well as a balanced market, meaning market conditions are not tilted to especially favor buyers or sellers over one another. In terms of job opportunities that might attract new buyers, Bakersfield is one of California’s agricultural hubs, and one of the U.S.’s largest oil-producing regions.
Stockton, California
Dropping 59 places year-over-year to a 147 ranking, the Stockton, California, metro area is located in Northern California and includes the much smaller town Lodi. (Stockton’s population is over 320,000, while Lodi’s is closer to 60,000.) In 2021, Realtor.com used Lodi as an example of a “spillover” city, or a smaller more affordable region near a larger city that attracts expats from that city (in this case, Stockton).
The median listing price in the Stockton-Lodi metro area was reported by Realtor.com as $599,000, above the national median. Stockton listings face a median of 45 days on the market.
Clarksville, Tennessee-Kentucky
Looking eastward, the Clarksville, Tennessee, metro area dropped 54 points in hotness year-over-year to the lower rung of the list: 271 to 300. (Clarksville is located near the Kentucky border, and thus, its metro area stretches into the state.)
Realtor.com classifies Clarksville as both a cool market but also a balanced one; listings spend an average of 53 days on the market. The median listing price in the Clarksville metro area is $342,000, below the national median.
