PricewaterhouseCoopers (PwC) compiles a survey every year called the Emerging Trends in Real Estate, which ranks the health of real estate markets across the U.S. and Canada. According to D Magazine, the 2018 report is out and while Dallas made the list, it has slipped in the rankings.

The study, a joint effort of PwC and the Urban Land Institute, surveys 1,600 respondents each year about which markets have the most growth potential. Dallas topped the list in 2016 and came in second place in 2017. But Dallas fell to the number five slot for 2018.

The “Markets to Watch” report had some other surprises in 2018. The order of rankings had a major shake-up this year. Seattle came in No. 1, knocking last year’s winner Austin to second place. Several new cities appeared on the list this year, including Salt Lake City and Fort Lauderdale.

The report’s author said the decline in rankings for Dallas-Fort Worth is not due to any negative changes in the DFW market. Instead, the changing placement reflects the emergence in prominence of the new cities on the list.

The cities in the top 10 for 2018 are as follows:

  1. Seattle
  2. Austin
  3. Salt Lake City
  4. Raleigh / Durham
  5. Dallas / Fort Worth
  6. Fort Lauderdale
  7. Los Angeles
  8. San Jose
  9. Nashville
  10. Boston

What all the top cities have in common are a growing population of talented young workers and are affordable markets to live and do business. Investors are looking to more markets with growth opportunities, meaning that they are less likely to be near build-out status. This has a self-correcting effect on the market, naturally helping to reduce the risk of unsustainable real estate bubbles.