Despite higher mortgage rates, Houston's housing market continued to attract more people to the suburbs in 2023, according to a new report by Opendoor. And two Houston-area ZIP codes in particular – in Cypress and Katy – were the top two hottest locales in U.S.

The study examined the U.S. ZIP codes where people bought homes the fastest in 2023, using local Multiple Listing Services (MLS) data in markets where Opendoor operates. The ZIP codes were ranked by the total number of homes that went into contract within 90 days of listing.

Overall, the report showed that people are increasingly interested in living outside of a major city, with preferences leaning toward the suburbs and exurbs. Houses in Cypress' 77433 ZIP code sold the fastest out of every area in the U.S. last year, a six-place jump from No. 7 in 2022.

ZIP code 77493 in Katy moved up one spot into No. 2 this year, further displacing ZIP code 37042 in Clarksville, Tennessee (No. 3) which earned the No. 1 spot last year.

Just outside Katy, 77449 in Park Row made its debut on Opendoor's list, ranking No. 20.

The study said turnkey homes and housing prices were among the top priorities for homebuyers in 2023, in addition to convenient locations.

"Homes purchased in our top neighborhoods reflect the desire of homeowners to head to towns with convenient amenities instead of the congestion of bigger cities," the report's author wrote. "Price also continues to be a major factor: Opendoor’s data shows buyers and sellers still believe the housing market is competitive, they’re concerned about interest rates, and they think homes are overpriced."

Texas ZIP codes dominated the top 10, with nine total cities earning spots in the report, including 75126 in Forney (No. 6); 76227 in Aubrey (No. 7); 78130 in New Braunfels (No. 8); 78253 in San Antonio (No. 9); 76179 in Fort Worth (No. 10); and 78641 in Leander (No. 13).

The report also uncovered several under-the-radar neighborhoods where new listings increased throughout 2023. ZIP code 77471 in Rosenberg, a Houston suburb 17 miles south of Katy, was listed among Opendoor's "hidden gems" with homes listed between $400,000-$600,000.

"Newly built homes, like many in these [hidden gem] neighborhoods, are becoming a more accessible option, and developers continue to invest in these areas," the report said. "If [homebuyers are] looking for something move-in ready, take the time to explore these up-and-coming places."

Other "hidden gem" neighborhoods in Opendoor's report include Central Texas cities like Marble Falls (78654) and Bulverde (78163), and North Texas exurbs like Princeton (75407) and Royse City (75189).

Opendoor's hottest ZIP codes of 2023 are:

• No. 1 – Cypress, Texas (77433)
• No. 2 – Katy, Texas (77493)
• No. 3 – Clarksville, Tennessee (37042)
• No. 4 – Yukon, Oklahoma (73099)
• No. 5 – Summerville, South Carolina (29486)
• No. 6 – Forney, Texas (75126)
• No. 7 – Aubrey, Texas (76227)
• No. 8 – New Braunfels, Texas (78130)
• No. 9 – San Antonio, Texas (78253)
• No. 10 – Fort Worth, Texas (76179)