When it comes to choosing a metro area to call home, CoreLogic [1] found that four-in-five buyers in 2018 wanted to buy within the metro area they currently reside in. In most cases, a family who chooses to stay within their current metro cites statistics on school districts, crime, and commute times as the reasons that most influenced their buying decisions.
This data was analyzed from CoreLogic’s Loan Application Database, which highlights recent trends in owner-occupant homebuyer mobility. It also looks at migration patterns for 2018, focusing on the metros with the most influx and withdrawal of potential homebuyers.
Buyers who opt to relocate are driven by affordability, preferable weather, and the job market. But, homebuyers deciding to relocate aren’t going far, and often choose adjacent metros. For example, the Los Angeles-metro area experienced the highest net out-migration last year, while the Riverside metro had the highest in-migration. Almost 25 of new Riverside residents relocated from Los Angeles, seeking more affordable living. The median sale price of homes in Los Angeles is almost double compared with Riverside’s median home price. Additionally, Los Angeles’ affordability index is much lower (67) compared to Riverside (105). Coming in second place for the highest number of residents leaving was New York, followed by San Francisco, San Jose, and Washington. In comparison, the Dallas metro had the second highest influx, followed by Phoenix, Lakeland and Las Vegas.
The median home price was around $542,000 in the top 10 out-migration metros, compared $248,000 in the top 10 in-migration metros. Similarly, the affordability index for the top 10 out-migration metros was around 108 compared to 136 for the top 10 in-migration metros.
To learn more, read the full report here [2].