1. Miami, Fla.
Year-over-year median price appreciation: 25.1 percent
Year-over-year inventory: -49.2 percent
Unemployment rate: 11.2 percent
One of the metro areas that suffered the most from the subprime mortgage debacle, Miami now leads the nation in markets finding their footings. Today, the city reports about half the national rate of the foreclosure filings and its inventory is almost half the size it was a years. Foreign buyers have a lot to do with the improving numbers--in May, international clients bough about 60 percent of existing housing and condos and 90 percent of new constructions.