See which coastal and vacation towns made the list.


Written by May Ortega on February 19, 2026
The housing markets drawing a lot of attention aren’t always the hottest or most sprawling. Instead Zillow® economists are seeing page views, home value growth and fast-moving listings are clustering in a different kind of place: smaller cities within commuting distance to major metros.
Often referred to as “exurbs,” these markets — many of them in the Midwest — are some of the most popular housing destinations in the country based on shopper activity. Read on to see which 10 topped our list, the places that rose to most-searched in specific categories, and what the trends may signal for buyers and sellers.
Nestled along Lake Michigan's North Shore, Lake Forest, Illinois, is a community renowned for its commitment to historic preservation and lush, picturesque landscape design. While the city offers a secluded sanctuary feel with its numerous green spaces — plus estates designed by legendary architects like Howard Van Doren Shaw — it remains fairly accessible to the hustle and bustle of larger cities nearby. Located roughly 30 miles north of Chicago, residents can reach the Loop in about 35 minutes by car, or enjoy a scenic one-hour commute via the Metra Union Pacific North line. Meanwhile, Milwaukee, Wisconsin, sits about 60 miles — or about an hour’s drive — north; perfect if you want to explore a different part of Lake Michigan’s waterfront, or find your new favorite brewery.
Nearest Major City: Chicago (32 miles)
Current home values and trends
Kailua, Hawaii, is defined by its vibrant, salt-air energy and world-class windward coastline. Situated on the eastern shore of Oahu, this sun-drenched town is famous for Kailua Beach Park and Lanikai Beach, where powdery white sands and turquoise waters offer a playground for kiteboarders, kayakers, and beach lovers alike. Unlike the resort-heavy side of the island, Kailua maintains a laid-back, residential charm. Despite its feeling of a tropical escape, it is incredibly well-connected to the island's urban core; a quick, scenic drive over the Pali Highway puts you in the heart of Honolulu in about 20 minutes, offering a dramatic transition from calm coastal living to high-rise city life.
Nearest Major City: Honolulu (11 miles)
Current home values and trends
The coastal city of Portland, Maine, is famous for its Old Port district, where 19th-century brick buildings and original cobblestone streets lead directly to a bustling working waterfront where fishermen still haul in daily catches of world-renowned Maine lobster. Portland is frequently ranked as one of the best small cities for foodies and is a sensory experience of briny air, award-winning farm-to-table dining (like James Beard winner Nezicot Farm), and iconic landmarks like the most photographed lighthouse in America.
Nearest Major City: Boston (105 miles)
Current home values and trends
If you want to live in a desert oasis that trades manicured lawns for sun-bleached canyons and riverfront recreation, look to Bullhead City, Arizona. Located on the eastern bank of the Colorado River, the city’s reputation as a premier retirement destination is a major part of its identity, offering numerous 55+ communities (which you can filter for on Zillow), well-maintained golf courses, and easy access to the healthcare facilities of the Western Arizona Regional Medical Center. Bullhead City is a strategic desert hub: it sits directly across the river from the casino-lined skyline of Laughlin, Nevada, and is an easy 90-minute drive south of Las Vegas or a four-hour trek northwest of Phoenix.
Nearest Major City: Las Vegas (101 miles)
Current home values and trends
As the home of Illinois State University (the state's oldest public university, founded in 1857), Normal, Illinois, is a vibrant hub of youthful energy and academic prestige. The heart of the community is Uptown Normal, a modern, circular downtown district where students and locals gather at indie record stores, coffee houses, and the historic Normal Theater. Beyond the classroom, the town is a leader in sustainable urban design, featuring the LEED-certified Uptown Station and the expansive Constitution Trail for cycling and running. Geographically, Normal is positioned at the crossroads of the Midwest, offering a two-hour trip to Chicago or St. Louis via car, or the frequent Amtrak Lincoln Service.
Nearest Major City: Chicago (130 miles)
Current home values and trends
Toledo, Ohio, has taken the top spot for the most popular large city in the U.S. for the second year. Situated at the western tip of Lake Erie, Toledo offers a cultural scene anchored by the world-class Toledo Museum of Art and the revitalized Glass City Metropark along the Maumee River. This city’s location makes it a premier regional hub; residents are just a one-hour drive south of Detroit and roughly two hours west of Cleveland, providing easy access to professional sports, international airports, and major metropolitan amenities while maintaining a typical home value that remains a fraction of the national average.
Nearest Major City: Detroit, Michigan (56 miles)
Current home values and trends
While cities all over the Midwest are attracting lots of home buyers lately, Rockford, Illinois, takes the spot for the most popular city of them all, climbing up from second place last year. The surge for Rockford in particular has been fueled by a combination of factors: at about $170,000, the typical home value in Rockford that is nearly 50% below the national average, a revitalized downtown, and a location that serves as a budget-friendly alternative to the pricey Chicago suburbs. Rockford is about a 90-minute drive northwest of Chicago and just an hour south of Madison, Wisconsin. While Rockford is famous for its lush landscapes — like the world-renowned Anderson Japanese Gardens and the Nicholas Conservatory and Gardens — its fast-moving real estate market makes it particularly notable, with homes often going under contract in about five days, according to Zillow’s research.
Nearest Major City: Chicago, Illinois (86 miles)
Current home values and trends

Typical home value: $170,355 (+9.2% year over year)
Typical home value: $1,347,989 (-2.4%)
Typical home value: $309,941 (+3.6%)
Typical home value: $235,980 (+5.4%)
Typical home value: $124,491 (+5.7%)
Typical home value: $547,770 (+4.2%)
Typical home value: $182,894 (+4.1%)
Typical home value: $201,493 (+3.2%)
Typical home value: $161,800 (+7.0%)
Typical home value: $303,265 (+3.9%)
If you’re looking to buy in the Midwest, especially in a smaller town, chances are you’ll have competition. Homes tend to sell quickly in these cities, so it’s a good idea to line up your financing so you can make an offer quickly.
You can use the Zillow Home Loans BuyAbilitySM tool to get a personalized estimate of what you can afford, based on your personal financial situation and current interest rates.
If you’re selling in one of these markets, you’re likely to see a lot of buyer interest once you list your home for sale. An experienced agent can help you price your home correctly and market it to attract maximum interest from buyers.
*Editor's note: To determine the most popular city overall and most popular city by geographic region, Zillow analyzed cities with a population of at least 100,000 people, according to 2023 American Community Survey data. See more about our methodology.
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