Redfin: More People Are Moving Out Of Expensive States Amid The Pandemic

Redfin reported that Redfin.com users are leaving more expensive states as the COVID-19 pandemic continues. California and New York are the two states seeing the largest increase in folks looking to leave the states since last year. Massachusetts, Washington, D.C., and Illinois are also seeing an increase in people looking to move elsewhere.

Close to 53,000 more Redfin.com users looked to move out of California than into it in the third quarter, according to the Redfin report. That is a 62% increase since the third quarter of 2019 and Redfin also notes its the highest rate since it began tracking migrating in 2017. As for New York, the report revealed that 47,000 more Redfin.com users were looking to leave the state in the third quarter, 35% more than those looking to move into the state.

"New York's loss is Florida's gain," said Redfin economist Taylor Marr, according to the report. "When the pandemic hit the U.S. in March, remote workers started leaving New York City and its ultra-expensive housing in search of wide-open spaces, sunshine and affordable homes—all of which you can find in Florida, with the bonus of no state income tax. The trend has only intensified as the pandemic continues and people feel more certain of their remote work and school plans."

Close to 22,000 more Redfin.com users were looking at Florida as their new destination which happens to be twice as many entrants as the third quarter of 2019. Other states seeing the biggest increase in people looking to move in include Texas, Tennessee, North Carolina and Nevada.

Some mortgage companies have already strengthened their workforce in these areas such as NewRez LLC which more than doubled its workforce in Jacksonville, Florida.