BURLINGTON, VT

Metro area population: 145,360
Median home price: $266,000
12-month change in home value: -1%
Affordability index: 4/10
Homes sold in 2008: 1,668
Home value vs. national average: +33%
Top employer: IBM

On the shores of Lake Champlain, Vermont's largest city focuses on retaining its high standard of living rather than growing its population. Strict zoning standards make home building difficult and discourage speculators.

Burlington's small-town mentality ensures that home lenders maintain personal relationships with their clients and help them stay within their spending means. Technology, health care and education drive the local market.