15 Great Underpriced College Towns

Real estate bargain hunters should check out the houses in these great university locales.

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10. Lincoln, Neb.: Tucked into Nebraska's sweeping prairie is the city of Lincoln. With a population of nearly 250,000, Lincoln is the state capital and home of the University of Nebraska Cornhuskers. This public, land-grant university has more than 18,000 undergraduates and ranks 96th on U.S. News's most-recent Best National Universities list. In addition to the university's strong athletics program, Lincoln residents can take advantage of the University of Nebraska State Museum, the UNL Botanical Garden and Arboretum, and the Great Plains Art Museum. At $119,000 in the first quarter, the median home price in Lincoln is 16 percent undervalued, IHS Global Insight says.

11. Minneapolis-St. Paul: The University of Minnesota-Twin Cities is located in lovely Minneapolis. With more than 32,000 undergraduates enrolled, the University of Minnesota ranked 61st on U.S. News's Best National Universities list for 2010. The median home price in the Minneapolis-St. Paul area was $177,000 in the first quarter, which IHS Global Insight considers 16 percent undervalued.

12. Boston: Beantown has long been considered a great destination for college students, as a slew of first-rate universities call the Boston area home. In the Best National Universities list for 2010, U.S. News ranked Harvard University No. 1, the Massachusetts Institute of Technology No. 4, Boston College No. 34, and Boston University No. 56. The median home price in the Boston-Quincy area was $322,000 in the first quarter, 16 percent undervalued, according the IHS Global Insight's calculations.

13. Fayetteville, Ark: The University of Arkansas is located in this city of about 71,000 in the Ozark Mountains. With more than 15,000 undergraduates, the University of Arkansas ranked 128th on U.S. News's most-recent Best National Universities list. Fayetteville's connection to the university presents its residents with "a lot of opportunities that a city of the same size might not have without that layer," says Marilyn Heifner, executive director of the Fayetteville Advertising and Promotion Commission. "We get a lot of great sports and then a lot of arts and culture." Moreover, Fayetteville is a safe, family-friendly community, Heifner says. "On Saturday mornings one of our biggest activities is the local farmers market, which has been going on [for] 35 years," she continues. "It is a great place to bring your dog, meet your friends, the whole nine yards, which gives you a sense of the great community." IHS Global Insight considers the median home price in Fayetteville—$122,000 in the first quarter—to be 15 percent undervalued.

14. San Luis Obispo, Calif.: Beautiful San Luis Obispo is home to California Polytechnic State University, which has more than 18,000 undergraduates. U . S . New s ranked the school as having the nation's sixth best undergraduate engineering program (among those that don't offer doctorate degrees). The median home price in San Luis Obispo was $330,000 in the first quarter, which IHS Global Insight considers 14 percent undervalued.

15. Columbia, Mo: The University of Missouri has more than 23,000 undergraduates and ranked 102nd on U.S. News's Best National Universities list for 2010. The connection to the university provides any number of benefits to the local community, says Don Laird, the president of the Columbia Chamber of Commerce. "[You have] a lot of great sports, you have a lot of great art, and all of these things that you probably wouldn't get in a town our size if you didn't have" the university. Columbia's median home price was $125,000 in the first quarter. According to IHS Global Insight, that is 14 percent undervalued.

  1. Houston: 37 percent undervalued
  2. Atlanta: 24 percent undervalued
  3. Bryan-College Station, Texas: 21 percent undervalued
  4. Columbus, Ohio: 21 percent undervalued
  5. South Bend, Ind.: 19 percent undervalued
  6. Ann Arbor, Mich.:19 percent undervalued.
  7. Athens, Ga.: 17 percent undervalued
  8. Tallahassee, Fla. : 17 percent undervalued