Northeast Real Estate Markets Surge for 2026, Jersey City Jumps 17 Spots

UPDATE: The real estate landscape is rapidly shifting, with new reports confirming that the Northeast is set to dominate the market in 2026. According to the latest Emerging Trends in Real Estate report from consulting firm PwC and the Urban Land Institute (ULI), cities like Jersey City and Brooklyn are making significant strides, indicating a pivotal change in investment and development prospects.

This year, the report highlights a surprising growth in Northeast markets, with four cities making it into the top ten. This shift comes as professionals eye the rebound of urban living, particularly in areas close to major business hubs. Andrew Alperstein, a PwC partner, emphasized this trend, stating, “It’s really a story around New York City and the accessibility of places like Brooklyn and Jersey City.”

Jersey City emerged as the standout, skyrocketing 17 spots in the rankings due to its proximity to Manhattan. The city is becoming increasingly attractive for professionals returning to the office, as it offers vital amenities such as dining, shopping, and housing. In the first half of 2025, Jersey City saw a staggering investment of $177.4 million, with 65% directed toward apartments, according to data from CBRE Research and MSCI.

While Southern markets like Austin have gained attention in recent years, experts are noting a cooling trend due to a lack of job diversity. Alperstein remarked, “There was almost a little bit of an exuberance around Austin… it’s probably a little bit too technology centric.” Only two Texas markets made the top ten, underscoring the growing preference for cities that offer a mix of affordability, strong job markets, and diverse amenities.

The cities poised for success heading into 2026 are those providing a balanced lifestyle without sacrificing quality of life. The following markets are highlighted as ones to watch:

10. Phoenix, AZ
9. Manhattan, NY
8. Tampa-St. Petersburg, FL
7. Northern New Jersey
6. Nashville, TN
5. Houston, TX
4. Brooklyn, NY
3. Miami, FL
2. Jersey City, NJ
1. Dallas-Fort Worth, TX

As these rankings unfold, investors and homebuyers alike should pay close attention to the evolving trends in real estate. With the Northeast emerging as a powerful contender, the landscape of urban living is clearly shifting.

Stay tuned for further updates as these markets continue to develop and reshape the future of real estate.