America's ten best and worst cities for first-time homebuyers revealed - including the Florida hotspot popular with millennials

As American millennials prepare to become first-time house buyers, many have been left searching for their dream place without a proper idea about interest rates or prices. 

Oftentimes, buyers also forget to check their eligibility for a mortgage or the best location for their money - resulting in deep dissatisfaction and hopelessness. 

Combined with high house prices, low inventory and brutal bidding wars, Americans have been struggling to find homes that best fit their requirements. 

According to one National Association of Realtors research, first-time buyers comprised only 32 percent of the market in 2023 - a stark drop from the historical norm of 40 percent. 

To help new buyers, WalletHub has compared 300 cities of varying sizes across 22 key indicators including affordability, real estate taxes and quality of life to reveal the best cities to live in. 

Cape Coral has the 16th-lowest violent crime rate and 12th-lowest property crime rate across all of the cities involved in this study

Here are the Top 10 cities across America for first-time homebuyers: 

1. Palm Bay, Florida

This Floridian city has the country's best active home listings per capita and new building permits per capita rates - meaning that there are a plethora of older and brand-new properties for buyers to choose from. 

Palm Bay also has the fourth-highest home appreciation rate, third-highest millennial home-ownership rate and a commendable school system. 

The city also offers residents a sparse suburban feel as many own their homes and is surrounded by greenery.

2. Cape Coral, Florida

Home to the manatees, this southwest city boasts an extremely high number of active home listings and new building permits per capita and a low crime rate. 

Cape Coral has the 16th-lowest violent crime rate and 12th-lowest property crime rate across all of the cities involved in this study. 

Many of the properties in this city have waterfront views and are bathed in sunshine for about 265 days a year. 

3. Port St. Lucie, Florida

Port St. Lucie ranked 3rd in the study as it has the second-lowest property crime rate and the 12th-lowest violent crime rate across the US

Port St. Lucie ranked 3rd in the study as it has the second-lowest property crime rate and the 12th-lowest violent crime rate across the US. 

Located on the Atlantic coast of southern Florida, the city is covered in orchids, bamboo plants, butterflies and hummingbirds. 

The city also has over 60 parks and recreation areas, including the Saints Golf Course, owned and operated by the local government. 

4. Tampa, Florida

Running along Florida’s Gulf Coast, Tampa is known as the state's major business center and is ranked 1st in terms of quality of life, according to the study. 

Running along Florida’s Gulf Coast, Tampa is known as the state's major business center and is ranked first in terms of quality of life, according to the study

Coupled with the city's low cost of living, affordable housing and tropical weather, Tampa has long been a millennial favorite location especially for military families. 

5. Orlando, Florida

Orlando is widely known for being home to more than a dozen theme parks - particularly Disneyworld and Universal Studios. 

The city ranks 14th for quality of life on the study and is one of the most visited cities in Florida.

6. Surprise, Arizona

Located in Maricopa County, Surprise is popularly known to be a very family-friendly place. 

According to the study, this Arizona city ranks 22nd in affordability and 4th in real estate market rate

According to the study, this Arizona city ranks 22nd in affordability and 4th in real estate market rate. 

While the city is overrun with baseball fans of the Kansas City Royals and the Texas Rangers for about four week a year, it is otherwise a slow paced cozy suburb. 

7. Lakeland, Florida

Ranking 9th for quality of life, Lakeland boasts early-1900s architecture for history enthusiasts and a plethora of lakes. 

The city’s many lakes include Lake Mirror, with its promenade and neoclassical Hollis Garden while Munn Park Historic District is known for its antiques shops and early-1900s architecture.  

Lakeland is a popular location among young professionals and retirees to live and residents tend to have moderate political views.  

8. Boise, Idaho

The capital city of Idaho is popularly known for its scenic mountain views and outdoor recreational activities. 

Boise, the capital city of Idaho is popularly known for its scenic mountain views and outdoor recreational activities

Along with this, downtown Boise is regarded as the cultural center of the city and home to many small businesses alongside a number of high-rise buildings. 

Boise's city government has also been running numerous affordable housing programs to encourage out-of-state Americans to buy properties. 

9. Gilbert, Arizona

Gilbert is widely ranked as one of the best places to live in Arizona especially due to its young population. 

With an incredible public school system and robust job market, the city has become a new hotspot for those interested in starting families.

Many prospective buyers working in Phoenix tend to lease houses in this city due to the easy commute and difference in living costs. 

10. Henderson, Nevada 

With its high standard of living, Henderson boasts great parks, trails, master-planned communities, first-rate amenities and top-notch public and private schools.

This Nevada city is a fan-favorite for those searching to buy vintage homes loaded with regional history. 

With its high standard of living, Henderson boasts great parks, trails, master-planned communities, first-rate amenities and top-notch public and private schools.