{"id":8293,"date":"2023-07-15T00:42:20","date_gmt":"2023-07-15T00:42:20","guid":{"rendered":"https:\/\/imsfund.com\/?p=8293"},"modified":"2023-07-15T00:42:20","modified_gmt":"2023-07-15T00:42:20","slug":"surprising-migration-trends-show-that-movers-are-going-to-these-markets","status":"publish","type":"post","link":"https:\/\/imsfund.com\/index.php\/2023\/07\/15\/surprising-migration-trends-show-that-movers-are-going-to-these-markets\/","title":{"rendered":"Surprising Migration Trends Show That Movers are Going to These Markets"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div :class=\"{ 'hidden': $store.proContent.showFullPrompt() }\">\n<section class=\"px-4 relative border border-slate-200 mobile-toc lg:hidden\" x-data=\"{open:false}\">\n<button class=\"flex items-center gap-4 my-2 border-none w-full\"><br \/>\n<svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-6 w-6\" fill=\"none\" viewbox=\"0 0 24 24\" stroke=\"currentColor\" stroke-width=\"2\"><path stroke-linecap=\"round\" stroke-linejoin=\"round\" d=\"M4 8h16M4 16h16\"\/><\/svg><\/p>\n<h2 class=\"font-semibold text-slate-800 text-base m-0 js-toc-ignore\">In this article<\/h2>\n<p><\/button><\/p>\n<\/section>\n<p><span data-preserver-spaces=\"true\">Remote work, rapidly rising rents in some cities, and a desire for more amenities are all factors driving Americans to relocate\u2014but the areas drawing the most new renters are shifting, according to the new\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.rent.com\/research\/migration-nation\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">Rent.com migration report<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0for the first quarter of 2023.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Back in January, we\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/migration-report-q3-2022\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">reported<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0that renters were showing interest in the South and Midwest regions due to relatively affordable housing available in many cities in these regions when compared to the West and Northeast. But as more people flocked to these regions to escape higher-priced areas, rents went up.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">For example, while\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/moving-to-miami-could-save-thousands-but-what-is-that-doing-to-prices\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">Miami is still cheaper than New York<\/span><\/a><span data-preserver-spaces=\"true\">, rising housing costs in Florida from an influx of new residents are causing the Sunshine State to experience the\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.nbcmiami.com\/news\/local\/florida-now-has-the-highest-inflation-rate-in-the-us-heres-why\/3070165\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">highest inflation rate<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0in the nation. As a result, some residents may be pushed out of the state, even as more people from New York and California move in.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">A similar trend may be happening in Georgia and Texas, according to migration data for those areas. It now appears that more residents are leaving, rather than entering, the South.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The Rent.com Q1 2023 migration report is based on data from January, February, and March. Researchers measured inbound and outbound leads based on user interest in properties and combined the numbers to get a lead delta for each geographical area. A negative lead delta shows more people are interested in leaving the area than moving to the area.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The lead delta for the South declined to -2.07% in the first quarter, the only negative regional lead delta observed. But while the Southern region is losing popularity as a whole, many people are still seeking to relocate to cities like Knoxville, Tennessee, and Augusta, Georgia. Notably, none of the metro areas with the highest inbound lead deltas were in the West, although interest in the region has increased when compared to previous quarters.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">It\u2019s important to note that people move for a myriad of reasons, and these trends shift from one quarter to the next. But some cities, like Madison, Wisconsin, have reappeared on the list for inbound migration, while others, like Chicago, keep ranking highly for outbound migration.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">While you shouldn\u2019t make real estate investment decisions based on this data alone, it can be helpful to see where rental demand is the highest as you\u2019re researching new markets. Let\u2019s dive into the state and metro area lead delta data.\u00a0<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">What Areas are People Leaving?<\/span><\/h2>\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Outbound migration by state<\/span><\/h3>\n<figure class=\"wp-block-table is-style-regular\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th>State<\/th>\n<th>Lead Delta<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Maine<\/td>\n<td>-57.65%<\/td>\n<\/tr>\n<tr>\n<td>Vermont<\/td>\n<td>-53.58%<\/td>\n<\/tr>\n<tr>\n<td>West Virginia<\/td>\n<td>-36.57%<\/td>\n<\/tr>\n<tr>\n<td>Illinois<\/td>\n<td>-29.68%<\/td>\n<\/tr>\n<tr>\n<td>Montana<\/td>\n<td>-26.19%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><span data-preserver-spaces=\"true\">People leaving Maine were interested in states like New Jersey, Pennsylvania, Florida, Georgia, and Ohio, and renters getting out of Vermont had similar interests, with the addition of New York. West Virginia renters wanted to stay close by in adjacent states, while residents of Illinois planned to stay in the Midwest.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Montana, a new state to the outbound migration list, has seen\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/billingsmix.com\/rent-expensive-montana\/\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">rents rise rapidly<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0over the last three years. Residents of the state were most interested in moving to Arizona, followed by elsewhere in Montana, Colorado, Utah, New Mexico, and Texas.\u00a0<\/span><\/p>\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Outbound migration by metro<\/span><\/h3>\n<figure class=\"wp-block-table is-style-regular\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th>Metro<\/th>\n<th>Lead Delta<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>St. Louis, Missouri<\/td>\n<td>-30.05%<\/td>\n<\/tr>\n<tr>\n<td>Atlanta<\/td>\n<td>-27.53%<\/td>\n<\/tr>\n<tr>\n<td>Chicago<\/td>\n<td>-26.39%<\/td>\n<\/tr>\n<tr>\n<td>Denver<\/td>\n<td>-25.55%<\/td>\n<\/tr>\n<tr>\n<td>Charlotte, North Carolina<\/td>\n<td>-24.04%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><span data-preserver-spaces=\"true\">People who considered leaving St. Louis were interested in moving to other parts of Missouri or leaving the state for Minneapolis-St. Paul, Indianapolis, and Dallas-Ft. Worth. Atlanta\u2019s renters preferred to stay in Georgia or other Southern states.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Chicago\u2019s renters sought apartments in other Midwestern cities like Milwaukee and Minneapolis-St. Paul or Southern cities such as Nashville, Tennessee; Birmingham, Alabama; and Memphis, Tennessee. Denver\u2019s renters wanted to go to other Western metros, like Salt Lake City and Colorado Springs-Pueblo, or Midwestern cities, like Detroit and Kansas City. And Charlotte residents hoped to stay in the Carolinas.\u00a0<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Where are People Headed?<\/span><\/h2>\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Inbound migration by state<\/span><\/h3>\n<figure class=\"wp-block-table is-style-regular\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th>State<\/th>\n<th>Lead Delta<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>New Jersey<\/td>\n<td>38.51%<\/td>\n<\/tr>\n<tr>\n<td>Delaware<\/td>\n<td>34.82%<\/td>\n<\/tr>\n<tr>\n<td>North Dakota<\/td>\n<td>32.67%<\/td>\n<\/tr>\n<tr>\n<td>Louisiana<\/td>\n<td>25.48%<\/td>\n<\/tr>\n<tr>\n<td>Rhode Island<\/td>\n<td>24.30%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><span data-preserver-spaces=\"true\">New Jersey is a hot spot for movers, drawing residents from New York and Pennsylvania, as well as Southern states, like increasingly expensive Florida and Georgia. Interest in Delaware originated from nearby and Midwestern states, including Virginia, Maryland, Ohio, and Pennsylvania. And North Dakota leads came from far-away places like Illinois, Texas, New York, and California. Louisiana and Rhode Island each drew interest from other states in their respective regions.\u00a0<\/span><\/p>\n<h3 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">Inbound migration by metro<\/span><\/h3>\n<figure class=\"wp-block-table is-style-regular\">\n<table class=\"has-fixed-layout\">\n<thead>\n<tr>\n<th>Metro<\/th>\n<th>Lead Delta<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Augusta, Georgia<\/td>\n<td>38.46%<\/td>\n<\/tr>\n<tr>\n<td>Harrisburg-Lancaster-Lebanon-York, Pennsylvania<\/td>\n<td>37.63%<\/td>\n<\/tr>\n<tr>\n<td>Madison, Wisconsin<\/td>\n<td>37.54%<\/td>\n<\/tr>\n<tr>\n<td>Waco-Temple-Bryan, Texas<\/td>\n<td>31.88%<\/td>\n<\/tr>\n<tr>\n<td>Knoxville, Tennessee<\/td>\n<td>29.98%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n<p><span data-preserver-spaces=\"true\">Most of the desire to move to Augusta came from Atlanta. Compared to Atlanta, Augusta is\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.bestplaces.net\/cost-of-living\/atlanta-ga\/augusta-richmond-county-ga\/264000\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">27.6% cheaper<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0and less dense, with more space to spread out and still plenty of amenities to enjoy. The Harrison-Lancaster-Lebanon-York community drew the most interest from renters in busy urban areas, like Philadelphia; Washington, D.C.; Baltimore; and New York.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Madison, Wisconsin, which took the 11th spot in the\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/realestate.usnews.com\/places\/wisconsin\/madison\" target=\"_blank\" rel=\"noopener\"><em><span data-preserver-spaces=\"true\">U.S. News and World Report<\/span><\/em><\/a><span data-preserver-spaces=\"true\">\u00a0ranking of Best Places to Live, drew residents from Chicago, Charlotte, Denver, and Atlanta. Waco-Temple-Bryan mainly brought renters from within its own region, while Knoxville saw leads from other Southern communities and Chicago.\u00a0<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">What the Data Means<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">Because the Rent.com migration report shows interest in relocation among renters before they move, it\u2019s way ahead of Census population data in capturing migration trends. However, it has its limitations\u2014for example, a lead on an apartment in Augusta from a current Atlanta renter isn\u2019t the same as a move from Atlanta to Augusta. Still, when outbound leads exceed inbound leads for a city, it may be an early indicator of waning housing demand in the area.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Rents tend to go up in cities that are desirable yet inexpensive as more people relocate there, and home values also increase when new residents come to an area. Investors can try to get ahead of the shift by purchasing in low-price areas that might see overflow from neighboring metros as populations increase. Migration trends tend to show people moving into nearby desirable areas that still pack amenities, although cross-country moves are not uncommon to some popular cities.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Augusta, Georgia, and Madison, Wisconsin, are excellent examples. They\u2019re both listed in the top 100\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/realestate.usnews.com\/places\/rankings\/best-places-to-live\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">Best Places to Live<\/span><\/a><span data-preserver-spaces=\"true\">\u00a0by\u00a0<\/span><em><span data-preserver-spaces=\"true\">U.S. News and World Report<\/span><\/em><span data-preserver-spaces=\"true\">\u00a0for their high quality of life and low cost of living. They\u2019re logical relocation spots for people in bigger cities like Atlanta and Chicago, and Madison is even drawing residents from far-away places. Plus, both cities have median home values below the national median.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Bear in mind that lead delta is just one data point to consider when evaluating a market. You\u2019ll also need to evaluate the rent-to-price ratio and the\u00a0<\/span><a class=\"editor-rtfLink\" href=\"https:\/\/www.biggerpockets.com\/blog\/rent-to-income-ratio\" target=\"_blank\" rel=\"noopener\"><span data-preserver-spaces=\"true\">rent-to-income ratio<\/span><\/a><span data-preserver-spaces=\"true\">\u2014finding areas that can generate positive cash flow, where rents still have room to increase based on area median income, is key. Additionally, you\u2019ll want to find an area with a robust job market where unemployment is low, property values have historically trended upward, and property expenses and taxes are manageable, given your expected rental income.\u00a0<\/span><\/p>\n<h2 class=\"wp-block-heading\"><span data-preserver-spaces=\"true\">The Bottom Line<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">Compared to previous migration reports, interest in the Northeast and the West is growing, while interest in the South and Midwest is declining slightly. But several Southern and Midwestern metros are still drawing interest from renters. And the trend of people leaving expensive areas continues.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The data is just a snapshot of early demand based on leads for apartments, but analyzing migration trends can help investors estimate the next hot city for renters. Just make sure to consider other available data before investing in a new market.<\/span><\/p>\n<div id=\"hero-block_62df1a82bfc88\" class=\"first:mt-0 hero-block py-4    has-background has-slate-200-background-color has-text-color has-theme-gold-color\">\n<div class=\"gap-10 lg:gap-20 flex flex-wrap lg:flex-nowrap max-w-screen-xl mx-auto px-4 relative lg:items-center \">\n<div class=\"relative z-30 lg:w-1\/2 \">\n<main class=\"py-4\"><\/p>\n<p class=\"has-slate-800-color has-text-color has-large-font-size\" style=\"font-style:normal;font-weight:800\">Find an Agent in Minutes<\/p>\n<p class=\"my-3 md:my-5 lg:my-8 has-slate-900-color has-text-color\" style=\"font-size:18px\">Match with an investor-friendly agent who can help you find, analyze, and close your next deal.<\/p>\n<p><\/main>\n<\/div>\n<div class=\"lg:w-1\/2 first:mt-0 relative h-full lg:flex lg:items-center\">\n<img decoding=\"async\" class=\"object-cover w-full relative z-20 my-0  rounded-md hidden lg:block\" src=\"https:\/\/bpimg.twic.pics\/https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2022\/08\/Agent-Finder-Block-2.png\" alt=\"find an investment-friendly real estate agent\" title=\"Surprising Migration Trends Show That Movers are Going to These Markets 2\"\/>\n<\/div>\n<\/div>\n<\/div>\n<p class=\"italic\"><b>Note By BiggerPockets:<\/b> These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.biggerpockets.com\/blog\/quarter-one-2023-moving-trends\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In this article Remote work, rapidly rising rents in some cities, and a desire for more amenities are all factors driving Americans to relocate\u2014but the areas drawing the most new renters are shifting, according to the new\u00a0Rent.com migration report\u00a0for the first quarter of 2023.\u00a0 Back in January, we\u00a0reported\u00a0that renters were showing interest in the South [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":8294,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center 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