Americans are fed up with the high cost of living in big cities, and are planning to move to sunny, more affordable places.
This is according to a new report good Real estate brokerage Redfin by RDFN,
Which looks at the share of users on its platform looking for homes for sale outside their home city. It was found that nearly a quarter of home buyers want to move to a more affordable metro area, rather than the larger city where they currently live.
More than 24% of Redfin users were looking for a deal in a cheaper metro area in the third quarter — a record high. To put that in context: even during the pandemic, only 18% of users were looking to move.
Hot cities topped the list of most wanted places: Sacramento was the top destination, followed by Miami, Las Vegas, San Diego and Tampa.
house prices still increased and Mortgage rate above 7%Mortgage Bankers Association said on Wednesday that mortgage demand has fallen to the lowest level in 25 years. People are finding it difficult to buy a home when their mortgage is now hundreds of dollars more expensive per month.
Most of the people who wanted to move to Sacramento were from San Francisco. The median sale price in Sacramento was $560,000, Redfin said, which is higher than the national average but still “fraction” of the $1.5 million median home price in San Francisco.
,‘More than half of my buyers in Sacramento are from outside the region.’,
“More than half of my buyers in Sacramento are from outside the area,” local Redfin agent Samantha Rahman said in the report.
“They are mostly remote workers coming from the Bay Area, who may need to come to the office a few times a month, but are saving significantly on housing costs,” she explained.
New York refugees getting deals in Florida. In New York, the median sale price of a home was $680,000, but in Miami, the median sale price of a home was only $475,000.
The most common city people are leaving? San Francisco. It is followed by Los Angeles, New York, DC and Boston, the report said.
According to Redfin, the majority of Angelenos are looking to move to San Diego, while the majority of DC residents are hoping to move to Salisbury, MD. And many are considering moving from Boston to Portland, Maine.
But “migration will slow in the coming months as soft labor markets and job losses will prompt more people to stay with family or move, although some may need to relocate for new job opportunities,” Chen Zhao, head of economics research at Redfin, said in a statement.
“Also, many remote workers who already wanted to relocate,” she said.
Got ideas on the housing market? Write to Marketwatch reporter Aarti Swaminathan at [email protected]
Credit: www.marketwatch.com /