Despite rising housing costs and an ever-widening inventory shortage, an estimated 7.9 million Americans moved from one state to another in 2021, according to the U.S. Census Bureau. While some of those buyers are prioritizing location and regional amenities when moving, others are relocating for increased affordability. Though few and far between, some U.S. metros offer the best of both worlds.
Cities such as Phoenix are drawing nature lovers as well as those looking for a good bargain. Phoenix homes are still priced 20% higher than the national median list price at $440,000, but they’re falling from peak highs reached a year ago, Realtor.com reports. Chicago is also seeing increased demand from out-of-state buyers attracted to its $389,000 median list price and bustling downtown scene.
“More shoppers are looking for homes in areas other than where they live,” Realtor.com economist Jiayi Yu wrote in her report on where people are looking for homes. “Americans are on the move.”
Today’s buyers are grappling with high home prices, rising mortgage rates, and inflation—so they are eager for a deal. More than anywhere else, out-of-state home shoppers are scouring listings in the more affordable metros in the South and Midwest. In fact, 6 of the 10 metros we’re highlighting have a median home list price at or below the national price tag of $440,000 in July, according to the most recent Realtor.com data. Seven have a price per square foot below the current national median of $224.