Investors are increasingly looking beyond big cities to find small town real estate opportunities that offer strong growth, attractive yields, and lifestyle appeal. The following 50 U.S. towns – divided into residential, short-term rental, commercial, and emerging categories – showcase some of the best small towns for real estate investment today. Each town offers unique advantages, from booming housing markets to thriving tourism economies and business-friendly climates. Read on to discover which growing small towns might fit your investment strategy, whether you’re targeting steady rental income, Airbnb potential, commercial development, or long-term appreciation.
Residential Real Estate Investment
These towns feature strong population growth or housing demand, making them ideal for long-term residential real estate investment. Investors can find affordable home prices relative to larger markets and steady rental demand from new residents.
Hickory, North Carolina
Hickory offers small-town charm in the foothills of the Blue Ridge Mountains along with an incredibly affordable housing market. It has been recognized as one of the most affordable metro areas in the U.S., attracting remote workers and retirees alike. A revitalized downtown and diversified economy (historically furniture manufacturing, now expanding into tech and healthcare) make Hickory a solid bet for residential investors. With rising in-migration from Charlotte and Raleigh, rental homes and starter houses in Hickory present great value and appreciation potential. Explore listings in Hickory on Brevitas.
Davenport, Florida
Davenport is a rapidly growing town in Central Florida benefiting from its proximity to Orlando’s attractions and booming suburbs. Once a quiet citrus town, Davenport is now a magnet for families and retirees relocating from high-cost states. New single-family home communities are springing up to meet demand. Investors are drawn to Davenport for its strong rental market (long-term tenants include local service workers and retirees) and the expectation of continued population growth. This small town real estate opportunity combines Florida’s warm climate and entertainment options with more affordable property prices than the Orlando metro proper.
Nocatee, Florida
Nocatee isn’t a traditional town but a master-planned community in Northeast Florida that has become one of the country’s top-selling developments. Located just south of Jacksonville, Nocatee offers new homes with resort-style amenities, top-rated schools, and an easy drive to the beach. Its carefully planned neighborhoods and town center have drawn in young families and professionals, making it the number one place to call home on Florida’s First Coast. For investors, Nocatee’s explosive growth and high median incomes mean demand for quality housing will remain strong. Rental properties here can attract stable, long-term tenants seeking the community’s family-friendly lifestyle.
Coeur d’Alene, Idaho
Coeur d’Alene has transformed from a sleepy mountain lake town into one of the Northwest’s hottest small-city housing markets. Set on a beautiful lake with year-round outdoor recreation, Coeur d’Alene has seen an influx of remote workers and retirees escaping West Coast cities. This has driven up home values yet demand still outpaces supply. Residential investors find Coeur d’Alene attractive for its mix of lifestyle appeal and growth – the city’s population is projected to keep climbing steadily in the coming decade. Rental homes and condos are highly sought after by new arrivals, and the tourist draw provides extra short-term rental possibilities on the side. Overall, Coeur d’Alene represents a balanced opportunity for both cash flow and appreciation.
Bozeman, Montana
Bozeman is a prime example of a “zoom town” where remote work and quality of life have fueled a real estate boom. Tucked in the Rocky Mountains, Bozeman offers a mix of small-town feel, a major university (Montana State), and a burgeoning tech/startup scene. The city’s population surged over 40% in the last decade, leading to a tight housing market and rapidly rising rents. Investors looking for long-term residential growth find Bozeman appealing despite higher entry prices – vacancy rates are low, tenant demand is high, and appreciation has been strong year-over-year. With world-class skiing, Yellowstone Park nearby, and an airport connecting to major hubs, Bozeman is likely to remain a magnet for affluent buyers and renters. Explore listings in Bozeman on Brevitas.
Georgetown, Texas
Georgetown has emerged as one of the fastest-growing small cities in America, offering investors an ideal mix of historic charm and explosive suburban growth. Located just north of Austin, Georgetown grew by more than 14% in a recent year – making headlines as the nation’s quickest-growing city. Its beautifully preserved town square, local wineries, and riverside parks make it a standalone destination, not just an Austin bedroom community. New home construction is booming as families and retirees flock to the area for affordable homes and low taxes. Residential investors can expect strong appreciation and reliable rental demand here, with Georgetown’s population and economy continuing to expand alongside greater Austin.
Fairhope, Alabama
Fairhope is a picturesque Gulf Coast town that frequently ranks among the nation’s best places to retire. Perched on the eastern shore of Mobile Bay, Fairhope features oak-lined streets, art galleries, and a welcoming small-town atmosphere that belies its recent growth. Affluent retirees and remote-working professionals have driven up housing demand – and prices – in Fairhope thanks to its mild climate and lack of state income tax on retirement income. For buy-and-hold rental investors, Fairhope offers a high quality tenant pool and low vacancy in single-family homes. Long-term appreciation is supported by the area’s strong quality of life reputation and steady influx of new residents from across the country.
Summerville, South Carolina
Summerville is a rapidly expanding town outside Charleston that blends historic Southern charm with booming new development. Known as “Flowertown” for its abundance of azaleas and crepe myrtles, Summerville has been transformed over the past decade by suburban growth spilling out of Charleston. The town’s revitalized Main Street, good schools, and comparatively lower housing costs have made it a magnet for young families. For investors, Summerville’s residential market offers rising rents and home values as the Charleston metro grows. New master-planned communities and apartment complexes continue to be built, but demand still exceeds supply. Real estate investors can find solid opportunities in Summerville’s single-family rentals or small multifamily properties serving the ever-growing workforce of the Lowcountry.
St. George, Utah
St. George has quickly gone from a quiet retirement enclave to one of the most dynamic small cities in the Southwest. Nestled in Utah’s red rock country, St. George enjoys year-round sunshine and sits within driving distance of Las Vegas and several national parks. Its low cost of living and scenic beauty have drawn waves of new residents, making it one of the fastest-growing metro areas in the country throughout the 2010s. Residential real estate in St. George appeals to both snowbird retirees and young families seeking an outdoor-oriented lifestyle. Investors can capitalize on strong housing demand and limited inventory – single-family rentals and new construction homes tend to lease quickly. With major healthcare and education employers expanding locally, St. George provides a stable economic base in addition to its tourism and retirement appeal.
New Braunfels, Texas
New Braunfels is a booming small city positioned between San Antonio and Austin, benefiting from growth of both metros. Originally a German settlement (home to famed water park Schlitterbahn), New Braunfels has retained its unique heritage while becoming one of Texas’s fastest growing communities. Families have flocked here for new housing developments, good schools, and recreation on the Guadalupe and Comal Rivers. The rental market is very tight – demand from both locals and newcomers often outstrips supply. Real estate investors in New Braunfels can expect reliable occupancy and rising property values as the I-35 corridor continues to thrive. The city’s mix of tourism (wineries, river tubing, festivals) and steady population growth provides multiple avenues for returns.
Madison, Alabama
Madison is a suburb of Huntsville that has become an investment hotspot in its own right, thanks to a surging tech and defense-fueled economy. Over the past 20 years, Madison’s population increased by over 500%, growing from a small town into a thriving city of 57,000. It consistently appears on “best places to live” lists due to top-ranked schools and high-paying jobs at the nearby Redstone Arsenal and Research Park. Residential investors are attracted to Madison’s high median rents and low vacancy rates – local renters include engineers, military officers, and medical professionals. With large employers like Mazda-Toyota opening new facilities in the area, Madison’s housing demand (for both rentals and sales) is projected to stay strong, offering a stable environment for long-term real estate investment.
Lancaster, Pennsylvania
Lancaster offers a compelling case for small-city residential investment in the Northeast. Known for its Amish country surroundings, Lancaster city itself has undergone a renaissance – old warehouses have become trendy lofts, and a vibrant arts and dining scene has emerged downtown. The city made headlines as a top “emerging housing market” in recent indexes, thanks to a combination of affordable prices and increasing remote-worker interest. Investors can find solid cash-flowing duplexes and single-family rentals in Lancaster’s historic neighborhoods, where demand comes from local college students, hospital staff, and telecommuters from larger East Coast cities. As more young professionals seek out Lancaster’s blend of urban amenities and country charm, property values and rents are poised to climb steadily.
Airbnb and Short-Term Rentals
Tourist-friendly small towns can generate excellent income through Airbnb investment and vacation rentals. These picks include mountain, beach, and historic destinations where visitor demand stays strong, offering investors lucrative short-term rental returns (with proper local regulation compliance).
Gatlinburg, Tennessee
Gatlinburg is often considered the crown jewel of cabin rental markets. Tucked at the gateway to Great Smoky Mountains National Park, Gatlinburg attracts millions of visitors year-round for its mountain scenery, family attractions, and Dollywood nearby. Investors in short-term rental cabins here have seen robust occupancy and cash flow, as travelers seek chalet-style accommodations with views. Gatlinburg’s STR market is well-established – many properties are rented out as vacation homes earning significant annual income. Despite increasing regulation on new rentals, this Smoky Mountain town remains one of the top grossing Airbnb locales, with typical cabin rentals easily averaging over 50% occupancy and healthy nightly rates. Owning a piece of Gatlinburg real estate means tapping into a stable pipeline of tourists that shows no sign of slowing down. Explore listings in Gatlinburg on Brevitas.
Breckenridge, Colorado
Breckenridge is a world-renowned ski town that doubles as a summer mountain paradise, making it an Airbnb investor’s dream. With its historic downtown and premier ski resort, “Breck” draws affluent visitors in both peak winter and the July-August hiking season. Short-term rental homes and condos in Breckenridge command high nightly rates – especially properties within walking distance of Main Street or ski lifts. Investors here target luxury vacationers, often renting out upscale chalets or modern condos with hot tubs and mountain views. While real estate prices are high, the rental yields can be impressive given the year-round demand from skiers, festivals, weddings, and corporate retreats. Breckenridge also benefits from being only 90 minutes from Denver, ensuring a steady drive-to market for weekend getaways in all seasons.
Palm Springs, California
Palm Springs has long been synonymous with vacation homes and weekend escapes, and it remains one of the best small cities for short-term rental investing. This desert oasis in Southern California combines Hollywood glamor, mid-century architecture, and abundant sunshine – an irresistible formula for Airbnb guests. Investors have turned many of Palm Springs’ iconic mid-century modern houses into profitable vacation rentals catering to design-conscious travelers. The city actively promotes tourism with events like the Coachella music festival and Modernism Week, which keep occupancy high in peak seasons. Despite some local regulations on rentals, owning a permitted vacation home with a pool in Palm Springs can generate substantial income during the fall, winter, and spring high seasons. Additionally, the area’s popularity with snowbirds means even longer-term seasonal bookings are common.
Destin, Florida
Destin is a Gulf Coast beach town that regularly ranks among the top vacation rental markets in the U.S. Known for its sugar-white sand beaches and emerald waters, Destin attracts families and groups throughout spring and summer. Condo investors enjoy particularly strong returns here – beachfront units and houses can book solidly from March through August at premium rates. The shoulder seasons also bring in snowbirds and anglers for Destin’s famed fishing rodeos. What makes Destin shine for Airbnb investors is the repeat visitor base and the family-friendly reputation of the whole “Emerald Coast.” Many southeastern vacationers return every year, providing reliable demand. With new attractions like waterfront shopping/dining complexes and an expanded airport nearby, Destin’s draw as an Airbnb hub should remain strong for the foreseeable future.
Cape May, New Jersey
Cape May is a charming seaside town at the southern tip of New Jersey that boasts one of the nation’s largest collections of Victorian homes – many of which now operate as B&Bs or vacation rentals. This historic beach resort has a unique appeal to travelers looking for a quaint, walkable town filled with gingerbread architecture, boutique shops, and pristine beaches. For short-term rental investors, Cape May offers peak-season rewards (summer weeks command top dollar) balanced by off-season tranquility. Properties within the historic district or near the beach see the highest demand. Many owners successfully rent out their Cape May homes during the summer months to cover annual expenses, then enjoy the properties themselves in the quieter fall and spring. The tight housing supply – due to historic preservation and limited land – also supports long-term appreciation for those investing in this classic Jersey Shore destination.
St. Augustine, Florida
St. Augustine, the nation’s oldest city, provides a rich blend of history and tourism that translates into a thriving short-term rental market. Visitors flock to St. Augustine year-round to experience its 17th-century Spanish colonial architecture, iconic Castillo de San Marcos fort, and lively waterfront. Many of those visitors prefer staying in quaint historic homes or downtown apartments available on Airbnb rather than chain hotels. Investors in St. Augustine can cater to a broad spectrum of guests – from families on beach vacations (the town is minutes from Atlantic beaches) to history buffs and wedding parties. The city has clear regulations that permit vacation rentals in certain zones, making it easier to operate legally. A well-located rental (for example, in the Colonial Quarter or Davis Shores areas) can stay booked most of the year. St. Augustine’s unique appeal as both a cultural and coastal destination ensures reliable short-term rental performance.
Bar Harbor, Maine
Bar Harbor is a quintessential New England vacation town situated on Mount Desert Island adjacent to Acadia National Park. During summer and fall, this small coastal town swells with tourists seeking fresh lobster, charming B&Bs, and access to Acadia’s mountains and shoreline. Short-term rentals in Bar Harbor range from rustic cabins to upscale cottages with ocean views. The peak season is relatively short (June through October), but high weekly rates make up for the off-season lull. Many investors pair their rental strategy with partial personal use – enjoying their Bar Harbor property outside of the busy tourist months. Because Bar Harbor has a finite housing supply and strict development limits (most of the island is protected parkland), owning a vacation rental here is a coveted opportunity. When managed correctly, a Bar Harbor rental can generate enough in one season to cover costs for the entire year, and then some.
Sedona, Arizona
Sedona is a Southwestern gem renowned for its stunning red rock landscapes and spiritual retreats – and it has become incredibly popular on Airbnb and Vrbo. Travelers come to Sedona for hiking, jeep tours, art galleries, and healing spas, often preferring to stay in private homes that capture the area’s unique vibe. Investors target luxury vacation homes in Sedona’s striking settings (imagine a patio with panoramic red rock views) to maximize nightly rates. Even smaller casitas or condos in town can do very well given the steady influx of tourists and wellness-seekers. Sedona’s city government has debated stricter vacation rental rules due to the boom, but as of now investors can operate in the area under state law protections. With an international reputation as a must-see destination, Sedona offers one of the most scenic and potentially rewarding markets for short-term rental investment. Explore listings in Sedona on Brevitas.
Leavenworth, Washington
Leavenworth is a tiny Bavarian-themed village in the Cascade Mountains that has gained outsized fame as a tourist magnet – and a top cabin rental market. Originally a logging town, Leavenworth reinvented itself with alpine architecture, beer gardens, and year-round festivals (the Christmas Lighting Festival is especially popular). The result is an illusion of Bavaria in the Pacific Northwest that draws crowds in all seasons. Short-term rental cabins and chalets around Leavenworth are in high demand from Seattleites on weekend getaways as well as international tourists. Many visitors come for outdoor activities like hiking and river rafting in summer or skiing at nearby resorts in winter, then relax in a cozy rental by night. Investors in Leavenworth focus on unique properties that fit the theme – think A-frame cabins or lodges with mountain views. Despite the town’s small size, it punches above its weight for STR performance thanks to clever marketing and its captivating atmosphere.
Traverse City, Michigan
Traverse City has earned a reputation as the Midwest’s premier summer vacation town, which translates into a robust Airbnb market every year. Sitting on Lake Michigan’s Grand Traverse Bay, this small city is famous for its Cherry Festival, numerous wineries on the Old Mission and Leelanau peninsulas, and a vibrant waterfront downtown. During July and August, tourists flood into the region for beachgoing, sailing, and exploring the Sleeping Bear Dunes nearby. Savvy investors have capitalized by offering short-term rentals ranging from downtown condos to lakefront cottages. The summer rates can be steep given the limited supply of rentals and high tourist demand. Traverse City also sees fall color tour traffic and has a growing winter scene (thanks to wineries and breweries that remain open), extending the rental season. As a result, well-located STR properties can generate strong income while also appreciating in value, due to the desirability of owning real estate in this four-season playground.
Branson, Missouri
Branson is a unique market dominated by live entertainment theaters, family attractions, and Table Rock Lake – often dubbed the “Las Vegas of the Midwest” (without the casinos). This makes Branson extremely popular for multigenerational family vacations and regional road trips. Investors in Branson’s short-term rentals often focus on large cabins or condos that can accommodate bigger groups coming to see the shows and theme parks. Properties in resort communities with amenities (pools, golf, lake access) tend to perform best. Branson’s peak season spans spring through Christmas, with a notable influx around the holidays for its famous Christmas shows. The short-term rental regulations are generally friendly in this tourist town. With around 9 million annual visitors, Branson provides a steady stream of potential guests. For those willing to manage bookings in a very hospitality-driven market, Branson can yield excellent cash flow and remains a relatively affordable place to acquire vacation rentals. Explore listings in Branson on Brevitas.
Key West, Florida
Key West is a tropical paradise at the end of the Florida Keys that commands some of the highest nightly rental rates in the country. Its perennial vacation appeal – turquoise waters, coral reefs, legendary sunsets at Mallory Square, and a free-spirited culture – means tourist demand is consistently strong. For Airbnb investors, Key West’s challenges include a high price of entry and strict licensing (the city has a capped number of weekly rental licenses). Those who do secure a legal vacation rental here, however, can reap outsized rewards. Small Conch cottages in Old Town can rent for thousands per week. Many owners choose to rent part of the year and use the homes themselves at other times (the classic “rent it out when you’re not using it” strategy). With Key West’s limited land, virtually no new construction in the historic core, and enduring global reputation as a getaway, short-term rental investments on the island are about as blue-chip as vacation properties get.
Myrtle Beach, South Carolina
Myrtle Beach has long been a favorite beach destination for East Coast travelers, and its condominium-lined shore provides ample opportunity for short-term rental investors. This city anchors the 60-mile “Grand Strand” and draws 20 million visitors annually for its wide sandy beaches, golf courses, and family attractions. Many oceanfront condos in Myrtle Beach are individually owned and rented to vacationers. The market is highly developed: professional management companies abound, and tourists are very accustomed to renting condos by the week. High-rise units with direct beach access see the strongest bookings, especially in summer. Investors can find units at a variety of price points, from budget studios to luxury three-bedroom suites. While rental competition is fierce, Myrtle Beach benefits from a very long peak season (spring through early fall) and even hosts winter “snowbird” renters. For those looking at commercial real estate in small towns via condotel or multi-unit vacation properties, Myrtle Beach offers scale and consistent demand, albeit with thinner off-season performance compared to some year-round markets.
Commercial Real Estate Investment
These small towns and cities punch above their weight in economic activity, making them attractive for commercial real estate investment. Whether it’s a big employer in town, a strategic location for logistics, or a revitalized downtown, each offers opportunities in retail, office, or industrial sectors beyond what their size might suggest.
Bentonville, Arkansas
Bentonville is world-famous as the hometown of Walmart, and this once-humble town has leveraged that into a thriving hub of commerce and culture. The presence of Walmart’s headquarters (and the many suppliers who maintain offices nearby) drives demand for office space, hotels, and retail in Bentonville far beyond a typical town of 55,000. The city’s downtown has been revitalized with museums like Crystal Bridges, trendy restaurants, and coworking spaces catering to traveling professionals. Commercial real estate investors are active in developing new office parks, shopping centers, and even multifamily projects to serve the growing workforce. With Walmart continuing to expand its operations (and now embracing tech with Walmart Labs), Bentonville’s commercial property market offers stability and growth. From triple-net retail buildings to new mixed-use developments, opportunities here attract national attention. Explore listings in Bentonville on Brevitas.
Rogers, Arkansas
Rogers is Bentonville’s neighboring city and part of the booming Northwest Arkansas region. It hosts the area’s major shopping district (Pinnacle Hills Promenade) and a large chunk of the region’s industrial parks. Rogers has benefited from the same Walmart-induced growth, landing distribution centers and offices for suppliers and vendors. It was highlighted among the top small cities for real estate investing due to low costs and high rent-to-price ratios. For commercial investors, Rogers offers opportunities in warehouse and logistics facilities serving the mid-South, as well as retail investments around its fast-growing residential communities. The city’s strategic location on I-49 and pro-business environment (Arkansas is known for its business-friendly policies) make Rogers a smart play for those looking at small-town commercial development with big potential upside as the region continues its rapid expansion.
Greer, South Carolina
Greer, located between Greenville and Spartanburg, is a small South Carolina city that has become an industrial powerhouse thanks to BMW. The German automaker’s massive manufacturing plant in Greer (its sole U.S. factory) has attracted dozens of auto suppliers and spurred development of the Greenville-Spartanburg International Airport nearby. The result is a commercial boom – warehouse complexes, trucking companies, and suppliers have set up facilities all around Greer. The city also developed a charming downtown (Greer Station) that’s benefiting from the influx of high-paying jobs. Commercial real estate in Greer ranges from industrial parks (with low vacancy and reliable tenants) to new hotels, restaurants, and retail built to serve the growing workforce. With BMW continually investing (recently adding electric vehicle production lines) and the Inland Port Greer rail terminal expanding, Greer offers long-term stability for investors interested in small market industrial and transportation-oriented properties.
Casa Grande, Arizona
Casa Grande is a desert city positioned halfway between Phoenix and Tucson that is emerging as a major logistics and manufacturing node. Once primarily an agricultural town, Casa Grande has landed high-profile projects like Lucid Motors’ electric vehicle factory and multiple distribution centers due to its strategic location along Interstate 10. Commercial real estate investors have taken notice – industrial land and warehouse developments in Casa Grande have surged to accommodate companies seeking cheaper land outside Phoenix. The city actively courts business with infrastructure improvements and tax incentives, making it one of Arizona’s up-and-coming small towns for commercial growth. Retail and hospitality have followed as well, with new shopping centers and hotels built to serve the influx of workers and residents. Given the continuing expansion of greater Phoenix, Casa Grande is likely to keep growing as a satellite hub, offering investors a chance to get in early on a still maturing commercial market.
Columbus, Indiana
Columbus, Indiana is a small Midwestern city that stands out for its robust manufacturing base and remarkable architecture. Home to Cummins Inc. (a Fortune 500 engine manufacturer) and several other industrial employers, Columbus has a job density that belies its population of 50,000. This provides steady demand for commercial space, from factories and warehouses to office headquarters. Additionally, Columbus is famous for its modernist architecture and public art installations – the city invested heavily in quality-of-life features to attract professional talent. As a result, the town boasts a vibrant and attractive downtown with shops, eateries, and parks. For commercial real estate investors, Columbus offers stable tenants (many tied to Cummins or its supply chain) and a city leadership that supports development. Industrial properties, in particular, benefit from the skilled workforce and central location (south of Indianapolis). Columbus proves that even relatively small towns can have diverse and sophisticated commercial real estate opportunities.
State College, Pennsylvania
State College is known primarily as the home of Penn State University, and that dominance shapes its commercial real estate landscape. Despite its modest size when students are away (~42,000 permanent residents), the town functions like a much larger city during the school year – with over 100,000 people in the metro including students. This creates robust demand for multifamily housing, retail, and services. Investors have long capitalized on the need for student apartments and downtown mixed-use developments serving the university community. Beyond campus, State College has been growing its tech sector with incubators and research facilities (often spin-offs from Penn State’s research). Office space occupancy is supported by these startups and university-related institutions. The town’s stability (anchored by a major university employer) and captive market make it attractive for commercial investment, whether it’s a strip center renting to campus eateries or an office building leased by a defense research contractor. As Penn State expands, State College will continue to see spillover growth in its commercial property sectors.
Auburn, Alabama
Auburn, like State College, is a college town benefiting from the economic engine of a large university – Auburn University. What sets Auburn apart is the city’s recent growth in population and diversification. Auburn (together with neighboring Opelika) has become one of Alabama’s fastest-growing regions, drawing in new manufacturers (automotive suppliers, biotech firms) alongside the steady influx of students. This growth has boosted demand for retail centers, student housing complexes, and even tech office parks. The downtown has undergone revitalization with new mixed-use developments catering to both students and residents. For commercial investors, Auburn offers a youthful consumer base, relatively low costs, and city leadership that actively seeks business expansion. The presence of the university’s research programs means opportunities in specialized facilities (like research labs or startup incubator spaces) as well. With the “plains” of Auburn seeing more people than ever, this small city presents a fertile ground for a variety of commercial real estate plays.
New Albany, Ohio
New Albany, Ohio is a suburban small city outside Columbus that has made a name for itself by attracting major corporate investments. Once a sleepy village, New Albany master-planned its business park and infrastructure to lure companies – and it succeeded, landing the new Intel semiconductor plants currently under construction in the region, along with existing data centers and headquarters like Abercrombie & Fitch. The result is a boomtown environment for commercial real estate just east of Columbus. Demand for industrial and office space in and around New Albany has skyrocketed as suppliers and ancillary businesses set up shop to support Intel’s $20 billion project. The town itself is upscale and carefully zoned, featuring a picturesque center and luxury housing, which draws executives and high-income residents. Commercial investors focusing on New Albany can ride the wave of central Ohio’s tech manufacturing surge. Already, warehouse developers, hotel chains, and retail centers are planting flags to serve what promises to be one of the Midwest’s key high-tech corridors once Intel and related firms ramp up operations.
Franklin, Tennessee
Franklin is a historic city just south of Nashville that has evolved into a major commercial hub for Middle Tennessee. With a beautifully preserved Main Street and Civil War history, Franklin retains its small-town charm, but it’s also home to the Cool Springs commercial district – a sprawling area of corporate offices (healthcare, finance, and automotive firms), shopping malls, and hotels. Companies like Nissan North America and numerous healthcare companies have headquarters or large campuses in the Franklin area. This growth has fueled a hot market for office parks and upscale mixed-use developments. The city’s affluent population (Franklin is one of the wealthiest cities in Tennessee) also supports high-end retail and dining, making retail strip centers and lifestyle centers attractive investments. Franklin manages to balance quality of life with a pro-business environment; for investors, it offers the stability of Nashville’s booming economy in a smaller, more navigable city setting. From medical office buildings to trendy new food halls, Franklin’s commercial real estate scene is diverse and continues to expand alongside the greater Nashville boom.
Oak Ridge, Tennessee
Oak Ridge is a small city with an outsized scientific and industrial legacy – born as a secret city in the Manhattan Project, it’s now home to the Department of Energy’s Oak Ridge National Laboratory (ORNL) and various high-tech companies. This concentration of federal and scientific jobs means Oak Ridge has a highly educated workforce and steady government investment. Commercial real estate in Oak Ridge often revolves around tech and R&D facilities, such as lab space, advanced manufacturing sites, and support offices for contractors. In recent years, Oak Ridge has also seen growth in retail and hospitality as the city opens up (it was closed to the public until after WWII) and integrates more with the Knoxville metro area. Investors may find opportunities in redeveloping older industrial properties for modern uses, given the city’s push to commercialize ORNL innovations and attract private sector partners. Additionally, new residential development in Oak Ridge is driving the need for more shopping centers and services. Essentially, Oak Ridge offers the rare case of a small town that is a center of scientific innovation – something that can anchor stable commercial tenancy and attract niche industries for years to come.
Idaho Falls, Idaho
Idaho Falls, the largest city in Eastern Idaho (population ~65,000), functions as the commercial and healthcare hub for a vast rural region, and it hosts the Idaho National Laboratory (INL), a major federal nuclear research facility. These factors create a resilient commercial real estate environment. The city’s regional mall and big-box retail draw shoppers from hours away, keeping retail vacancy low. Medical office space is in demand thanks to Idaho Falls’ sizable hospitals serving surrounding states. On the industrial side, INL and related contractors occupy specialized facilities and provide a steady flow of government-related leases. Idaho Falls has also invested in revamping its downtown and riverfront, spurring new restaurants, breweries, and mixed-use projects that interest local investors. With affordable property prices and little local competition, commercial investors can secure solid returns – whether through a retail center with national tenants or warehouse space catering to agricultural and energy sectors. As the Inland Northwest grows, Idaho Falls is well-positioned to continue as a key service and innovation center in its corner of the country.
Los Alamos, New Mexico
Los Alamos is another unique small town anchored by a national laboratory – Los Alamos National Laboratory (LANL) – which employs thousands of high-income scientists and engineers. Perched on a mesa in Northern New Mexico, Los Alamos has an exceptionally high median household income and a near-insatiable demand for housing and services due to LANL’s expansion. For commercial investors, Los Alamos presents a captive market: the lab staff and their families need more retail, dining, and entertainment options locally (many currently drive 30+ minutes to Santa Fe for amenities). Retail vacancies are extremely low, and new commercial developments often lease up quickly with local businesses or national chains eager to serve this affluent community. Additionally, the laboratory contracts out significant work to tech firms, meaning office or flex space in Los Alamos can find quality tenants. The town’s remote location and controlled growth (much of the land is federally owned) do constrain how much new real estate can be added. However, those same factors create a tight market with high occupancy and strong pricing power for existing properties. Essentially, Los Alamos is a company town – but when the “company” is a premier national lab, the prospects for stable, long-term commercial tenants are excellent.
Emerging Small Towns for Future Investment
This category highlights up-and-coming towns that are poised for growth – the growing small towns for investors to watch. These communities may be lesser known now, but they’ve shown signs of rapid population or economic gains. Investing early in their real estate market (residential or commercial) could yield strong appreciation as they blossom in the coming years.
Morganton, North Carolina
Morganton is a picturesque foothills town in western North Carolina that experts have singled out for its growth potential. While still relatively small (around 17,000 residents), Morganton sits in a region that’s attracting new industry and residents priced out of nearby Asheville or Charlotte. The town’s historic downtown and outdoor recreation (Lake James and the mountains are nearby) make it appealing for retirees and remote workers looking for an affordable alternative in the Blue Ridge area. Recent investments – like brewery openings and fiber optic internet – indicate Morganton is preparing for more newcomers. Investors who buy in Morganton now, whether a downtown commercial building or a single-family rental, stand to benefit from an anticipated uptick in demand. As larger North Carolina cities become more expensive, Morganton offers the charms of small-town living with a cost structure that is very attractive for future growth.
Celina, Texas
Celina epitomizes the explosive growth happening on the fringes of the Dallas–Fort Worth metroplex. Located north of Frisco in Collin County, Celina has been the fastest-growing city in Texas (and one of the fastest in the nation) in percentage terms – expanding over 25% in a single recent year. New master-planned communities are driving a population boom as families seek bigger homes and yards within commuting distance of DFW. Yet Celina is still early in its development curve; plenty of land remains and the city government is pro-growth. Investors eyeing Celina see the opportunity to acquire land or homes now, with expectations that values will climb quickly as the city fills in. Commercial development is following rooftops, meaning retail and office space will soon be in higher demand locally. Celina’s trajectory suggests it could evolve from farm town to city of 100,000+ within a couple of decades, and real estate purchased in the emerging phase could appreciate significantly as infrastructure and amenities catch up with its rapid population influx.
Queen Creek, Arizona
Queen Creek is a once-rural community in the southeast outskirts of the Phoenix metro that has caught the attention of real estate investors for its rapid expansion. With affordable desert land and new highways improving access, Queen Creek’s population has ballooned (up nearly 7% year-over-year recently) as master-planned subdivisions sprout up. The town blends a family-friendly suburban feel with remnants of its farming past – including popular equestrian and agritourism attractions. Major retailers and employers have started arriving as rooftops multiply, signaling that Queen Creek is entering a more mature growth phase. Savvy investors have been buying land and rental homes here in anticipation of Queen Creek’s continued rise. As available space in the Phoenix area becomes scarce, this town stands out as a frontier of growth. The local government has invested in utilities and a new town center, laying groundwork for Queen Creek to transition from a bedroom community to a self-sufficient small city. Getting in early on commercial or residential development here could prove very rewarding as the town’s potential is realized. Explore listings in Queen Creek on Brevitas.
Spring Hill, Tennessee
Spring Hill has rapidly transitioned from rural farmland to a booming Nashville suburb, and it shows no signs of slowing down. Located about 35 miles south of Nashville, Spring Hill saw a population increase of over 50% in the past decade and was ranked among the nation’s top 10 fastest-growing cities. The catalyst was a General Motors manufacturing plant (which is now gearing up to produce electric vehicle batteries) and the town’s convenient location between Nashville and Huntsville, AL. New housing developments can barely keep up with demand as families and young professionals move in. From an investment standpoint, Spring Hill offers strong future appreciation potential – it’s part of the red-hot Nashville market but with more room to grow. Retail and services are still catching up, presenting opportunity for commercial development. As infrastructure like highways and possibly commuter rail expand to serve this corridor, Spring Hill is poised to evolve from a suburban outpost into a major edge city. Early investors in Spring Hill’s real estate – whether single-family homes, apartments, or retail centers – are likely to ride a continued wave of growth as Middle Tennessee prospers.
Sandpoint, Idaho
Sandpoint, Idaho is a scenic lake town that has been described as a “hidden gem” now starting to shine, thanks to an influx of remote workers and retirees. Sitting on the shores of Lake Pend Oreille amid mountain vistas, Sandpoint offers an outdoorsy lifestyle similar to Coeur d’Alene’s but on a smaller scale. In the past few years, more buyers from out of state (Washington, California) have discovered Sandpoint, driving up home values nearly 100% in five years. The town’s artsy, laid-back culture and year-round recreation (skiing at Schweitzer Mountain, boating on the lake) make it attractive for vacation home rentals and relocation alike. As broadband connectivity improves, Sandpoint is seeing tech telecommuters settle in, which boosts the local economy beyond tourism. Investors looking for the next growth spot in the Inland Northwest have Sandpoint on their radar. The demand for quality housing is rising, and commercial needs (from boutique hotels to expanded healthcare facilities) will likely follow as the population grows. Sandpoint stands at the cusp – investing here now could mean getting ahead of a significant upward curve as more people seek out its Montana-esque charm without the Montana price tag.
Kalispell, Montana
Kalispell is an emerging hub in northwest Montana, positioned as the gateway to Glacier National Park and the commercial center of the Flathead Valley. While nearby Whitefish grabs more headlines for resort appeal, Kalispell (pop. ~25,000) has been quietly booming – its growth rate has outpaced many other Montana towns, fueled by inbound migration and a strong regional hospital and retail base. Investors are drawn to Kalispell as a more affordable alternative to Whitefish, with plenty of new construction (residential subdivisions and even a new downtown pedestrian mall) underway. The city’s airport expansion and addition of tech companies indicate a broadening economy. As remote workers and retirees continue to flock to the Flathead Valley for its beauty and recreation, Kalispell’s real estate is expected to appreciate. Already, housing inventory is tight, rental vacancies are low, and commercial occupancy is high in this area. Those who invest in Kalispell now – whether in apartment projects or mixed-use buildings – could benefit as the town evolves from a regional market town into a thriving small city with year-round appeal.
Rapid City, South Dakota
Rapid City is on the verge of a significant growth spurt thanks to major investments and its enviable location. Known as the gateway to Mount Rushmore and the Black Hills, Rapid City has always had a steady tourism industry. Now, additions like a new B-21 bomber mission at Ellsworth Air Force Base (which will bring an influx of military personnel and contractors) and a burgeoning tech/startup scene are setting the stage for economic expansion. The city of about 75,000 is South Dakota’s second largest and serves as the medical and retail hub for a large rural region. The combination of new federal dollars (via the Air Force), a business-friendly tax climate (no state income tax), and an outdoorsy quality of life is attracting new residents from across the country. Real estate investors are eyeing Rapid City’s potential – housing demand is rising, and commercial development (think defense industry offices, new shopping centers near expanding suburbs) will likely follow the population uptick. As a market that’s been relatively steady historically, Rapid City’s impending growth could reward investors who get in early. The town’s nickname is the “Star of the West,” and it may very well shine brighter in the next decade.
Ocala, Florida
Ocala, often dubbed the “Horse Capital of the World,” is leveraging its equestrian heritage and central location into broader economic growth. Nestled in Central Florida, Ocala has long been known for thoroughbred farms and a quiet retirement community vibe. But recent developments – including the opening of the World Equestrian Center (a massive horse sports complex) and several large distribution centers (FedEx, Amazon) – are transforming Ocala into a jobs magnet. The city also consistently ranks among Florida’s fastest-growing for population, attracting those seeking a slower pace than Orlando or Tampa while still being within an hour’s drive of either. The Ocala housing market is still relatively affordable but tightening quickly, with inventory shrinking as new residents arrive. Investors see opportunity in everything from building new rental housing to developing retail near the popular World Equestrian Center. As infrastructure like the I-75 corridor improvements continue, Ocala’s strategic position at the crossroads of Florida will further boost logistics and manufacturing prospects. In short, Ocala is emerging from the shadow of larger Florida cities and stepping into its own as a dynamic mid-sized town where early real estate investment could pay off handsomely.
Apalachicola, Florida
Apalachicola is a tiny Gulf Coast town with big buzz as an “undiscovered” Florida treasure now being discovered. With a population under 3,000, this historic fishing village on the Florida Panhandle’s “Forgotten Coast” has seen its property values soar as more buyers realize its quaint appeal (colorful 19th-century cottages, a working waterfront, and uncrowded beaches nearby). A recent analysis noted Apalachicola’s median home values have been rising rapidly, and its real estate market is “on the way up”. Investors intrigued by Apalachicola are buying up old storefronts and homes to renovate into boutique inns, restaurants, and vacation rentals, betting that tourism will blossom here similarly to how it did in better-known coastal towns. The city’s leadership is focused on maintaining the authentic character even as growth occurs, so the trajectory is one of careful, boutique development rather than mass commercialization. For those willing to take a bit of a risk on a very small market, Apalachicola offers a chance to get in early in a coastal town where demand is climbing. As the Forgotten Coast becomes less forgotten (thanks in part to remote work allowing more people to live in paradise), Apalachicola’s star is likely to continue rising.
Bluffton, South Carolina
Bluffton, South Carolina has experienced meteoric growth in recent years, transforming from a one-square-mile hamlet to a sprawling community of over 35,000. Situated just west of Hilton Head Island, Bluffton offers a blend of Lowcountry charm (a quaint Old Town district on the May River) and modern master-planned developments. It’s currently the fastest-growing municipality in South Carolina, thanks to a combination of retirees choosing Bluffton over pricier Hilton Head and young families moving in for jobs in Bluffton’s burgeoning retail and service sectors. Real estate investors have taken note: Bluffton’s residential developments and apartment complexes have multiplied, yet occupancy remains high. Commercial projects are following suit, including new shopping centers and office parks to serve the population boom. The town has “newer” infrastructure and schools, making it attractive for long-term growth. With South Carolina being one of the fastest-growing states overall, Bluffton stands out as a key driver of that trend. Investors who catch Bluffton in this growth phase could see strong returns as the town matures into a small city while still benefiting from the tourism economy of Hilton Head/Savannah just next door.
New Richmond, Wisconsin
New Richmond, Wisconsin is a small town poised to ride the wave of suburban expansion from Minnesota’s Twin Cities. Located just across the St. Croix River in Wisconsin, New Richmond is next in line for growth after the nearby towns of Hudson and River Falls have boomed. One real estate broker described New Richmond as a prime example of a hamlet with significant appreciation potential in the next 5–10 years. The town offers a charming rural setting with the advantage of being roughly 45 minutes from Minneapolis–St. Paul, making it viable for commuters. Infrastructure improvements like a new bridge crossing and highway upgrades are making New Richmond more accessible. Savvy investors are already buying land and homes here, anticipating that as the Twin Cities metro continues to expand eastward, New Richmond will transition from a quiet dairy town to a thriving suburb. Early evidence supports this – new subdivisions are breaking ground and commercial permits are picking up. For a relatively low entry cost, investors can secure property in New Richmond now and potentially see values climb quickly as it becomes “the next Hudson” in Wisconsin’s share of the metro.
Bisbee, Arizona
Bisbee, Arizona is an artsy former mining town that made a recent national list of small towns to buy real estate for future riches. Tucked in the Mule Mountains of southeastern Arizona, Bisbee’s quirky historic district and mild climate have been attracting retirees and creative entrepreneurs, slowly reversing decades of decline after the mines closed. The median home price in Bisbee more than doubled from 2018 to 2023, yet it remains affordable compared to most of Arizona. Investors intrigued by Bisbee are betting on its tourism and retirement appeal – the town has boutique hotels, art galleries, and a steady flow of visitors curious about its Old West-meets-Bohemian vibe. Many century-old homes that were once cheap are being renovated, and the small business scene is growing with new cafes and shops. While Bisbee is off the beaten path, those who get in early on residential or commercial properties could benefit from its steady renaissance. Similar to how Jerome, AZ transformed from ghost town to art colony hotspot, Bisbee appears to be on that path, making it a speculative but potentially rewarding emerging market for patient investors.
Webb City, Missouri
Webb City, Missouri is a modest town in the southwest part of the state that has earned attention for real estate investing due to exceptional value metrics. A 2022 analysis ranked Webb City as one of the best small cities for investors, noting a typical home value around $160k and five-year appreciation of nearly 80%. Essentially a suburb of Joplin, Webb City benefits from Joplin’s regional economy (healthcare, manufacturing, commerce) while maintaining a smaller-town atmosphere. Investors appreciate that property taxes in Webb City are low and rent-to-price ratios are attractive – a combination that can yield strong cash flow for rental properties. The town has been proactive in improving its downtown and schools, which helps attract young families and renters. With the continued growth of the Joplin area, Webb City’s housing demand is likely to remain solid. For those seeking a Midwest market with steady job drivers and affordable entry costs, Webb City exemplifies an emerging town where investing now could lead to being “rich in 10 years,” as the Nasdaq article’s title suggests. It’s a practical, unflashy market – exactly the kind of place that can sometimes offer the best long-term rewards.
