The easiest places in the U.S. to purchase a home, according to the NBC News Home Buyer Index.

• According to a new real estate indicator, some parts of the U.S. are considered the easiest places to purchase a home.
• According to the NBC News Home Buyer Index, Iroquois County, Illinois, is the easiest market to buy a home when the counties are sorted by index rank.

According to a new real estate indicator, some parts of the U.S. are considered the easiest places to purchase a home.

According to the NBC News Home Buyer Index, Iroquois County, Illinois is the easiest market to buy a home when the counties are sorted by index rank.

The four contributing factors ranked the following counties as the easiest areas.

1. Among measured counties in the U.S., Iroquois County, Illinois is the most affordable housing market in terms of cost.
2. Among the measured U.S. counties, Somervell County, Texas has the least competitive housing market.
3. Imperial County, California has the least scarce housing market among all measured areas.
4. Macon County, Tennessee boasts the least economically unstable local economy among all measured regions.

Here's why car payments are so high right now.

The index evaluates cost, competition, scarcity and economic instability.

According to NBC News, the most heavily weighted element, cost, measures the relative value of a home to household incomes and inflation, as well as expenses such as insurance costs.

The level of demand for homes in an area is assessed by competition.

The availability of listed homes for sale in a particular area and the number of additional properties expected to be added to the market in the upcoming month determine scarcity.

An area's market volatility, unemployment levels, and interest rates are factors that contribute to economic instability.

The NBC News Home Buyer Index was created in collaboration with housing experts, including a real estate analyst and a bank economist from the Federal Reserve Bank of Atlanta.

According to NBC, the higher the index score, the more difficult it is to purchase a home in a U.S. county.

To compare counties with one another, it is crucial to consider the index rank as "ranks offer context to the scores," stated Joe Murphy, a data editor at NBC News who helped create the index.

A high index rank, closer to the value of 1,310, indicates better market conditions for potential buyers, according to Murphy. In other words, a county with an index rank of one is the best.

The cost of buying and maintaining a home in the U.S. remains high for most Americans.

In the first quarter of 2024, the median sales price of houses sold in the U.S. was $420,800, as reported by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau via the Federal Reserve.

The 30-year fixed rate mortgage in the U.S. is still close to 7%, despite the high cost. Borrowing costs are unlikely to significantly change as the Fed held rates steady at its June meeting.

Experts suggest that if you aspire to own a home, there are ways to prepare.

Here are three things to do

Before buying a home, it is crucial to get financially prepared, according to Danielle Hale, chief economist at Realtor.com.

"Jacob Channel, a senior economist at LendingTree, advised spending more time to improve one's finances before making a six-figure purchase."

Here are three things to consider:

Increase your credit score by paying down debt, advised Channel.

A credit score measures a borrower's creditworthiness, and a minimum credit score of 500 may be sufficient for a home purchase, according to Experian. However, a higher credit score can lead to better mortgage terms, said Hale.

Improving your credit score increases your chances of obtaining a lower mortgage rate, according to Hale.

It's advisable to obtain pre-approval from lenders beforehand to avoid any unexpected issues, particularly for first-time homebuyers.

The lender's decision on rate lock policies will depend on the case. In some instances, they may allow you to lock in a mortgage rate after pre-approval.

According to Hale, a pre-approval does not guarantee an interest rate as you need a full mortgage application to lock in a mortgage rate.

You cannot complete a comprehensive mortgage application until you have identified a particular property to purchase, as she stated.

If a buyer submits an offer on a property and initiates the application process, the lender may lock in a mortgage rate upon request, according to Hale. The duration of the locked-in rate can range from 30 to 60 days, providing ample time for the closing process to occur.

Hale advised asking lenders about the rate-lock period and the stage in the mortgage process when the rate gets locked.

The key to financial success is budgeting and saving," advised Channel. Allocating more time to saving money for expenses such as the down payment and closing costs, he said, "will likely lead to better financial outcomes.

Hale stated that when someone becomes a homeowner, they will have a higher monthly payment than they did previously. As a result, she advised setting aside an additional payment while preparing for homeownership.

Hale stated that building up savings for a down payment or an emergency fund would provide an idea of how comfortable the housing payment truly is.

"Being a renter who can afford your rental unit is more advantageous than being a homeowner who can't afford your house," Channel stated.