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Austin's hottest neighborhood for 2017 will surprise you

Austin's hottest neighborhood for 2017 will surprise you

St. Johns neighborhood Austin
According to Zillow, St. John is, surprisingly, the hottest neighborhood in Austin for 2017. St. John Neighborhood Association/Facebook

Real estate website Zillow has released its predictions for the hottest housing markets of 2017, and while Austin didn't make the top 10 — led by Nashville; Seattle; and Provo, Utah — the study did reveal some interesting info about Austin. Namely, which metro neighborhoods are on track to see the highest growth this year, and the winners may surprise you.

Home values in St. John are expected to jump 9.6 percent in 2017, based on the Zillow Home Value Forecast. The neighborhood, which straddles I-35 and is bound by Highway 290 to the south, has been on a slow upswing in recent years but still has a way to go.

The list is rounded out by Johnston Terrace (8.3 percent), North Austin (6.6 percent), McKinney (6.6 percent), and Windsor Hills (6.5 percent).

It's no surprise that four of the five neighborhoods on the list are located in East Austin — after all, we've been touting the area as an up-and-comer for a while now, based on real estate agents' expertise.

But what is interesting is that they're on the area's edges. This suggests that the predictably trendy sections of East Austin may be getting a little pricey for homebuyers, pushing them to the more affordable outskirts.

No matter where you're looking, it's still true that buying is cheaper than renting in Austin. Though that certainly may change over the course of the year, prospective homebuyers should keep an eye on these sizzling neighborhoods as they begin or continue their house hunt.