When using the HousingAlerts system, here is the sequence to follow when searching for hot local markets, hot counties, hot zip codes, or hot neighborhoods:

Do NOT to drill down to zip code level UNTIL you have evaluated and chosen a strong appreciating market at the metropolitan city level – because zip code “micro-markets” follow what’s happening in the overall city-level markets. Many investors think a hot micro-market in an otherwise flat or declining market is OK, but it’s not. And, that’s because the zip code micro market will eventually equalize with the overall local market. 

With this said, here’s the “sequence” of steps to follow:

1) The first step would be to locate a strong appreciating local market, and the best way to do this is to use the  Hot Market Finder tool. (please read Hot Market Finder Users Guide)

2) Once you find an attractive local market, check its  Summary Market Scoring Report and verify that it’s indeed a strong market with good momentum and in the Wealth Phase (Market Strength – TAPS tool, Momentum – STAR tool, Wealth Phase – Wealth Phase Chart).

3) The third step would be to visit  Micro Market Maps, find the desired local market on the map, and then zoom in to find an appreciating micro market.

4) An easier and quicker method at this point in the sequence is to visit the Micro Ranking Tools. With these tools, you can quickly find the hottest counties, zip codes and neighborhoods within any market on your list!

Here are the User Guides to the above tools:

Hot Market Finder – User Guide

Summary Market Scoring Report – User Guide

Micro Market Maps – User Guide

New Micro Market Ranking Tools – User Guide (County Ranking, Zip Code Ranking and Neighborhood Ranking)

Buy/Sell Indicators – Wealth Phase Charts

Momentum and Strength of a Market: TAPS & STAR tools

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