Home buyers are moving south to be closer to family and friends, plus to get more bang for their buck. Movie night, anyone?
A new report from the National Association of Realtors (NAR), which surveyed Realtors about their current clientele and reasons for relocating, found that recent clients chose to move to a specific area primarily to be closer to family and friends (30%) and to get more home for the money (21%).
Data from the U.S. Census Bureau indicates the top 20 states with the highest net migration in 2023 were Florida (372,870), Texas (315,301), North Carolina (126,712), South Carolina (91,853), Georgia (88,325), Tennessee (76,471), Arizona (57,814), Alabama (36,128), Oklahoma (31,967), Ohio (28,718), Indiana (22,468), Arkansas (22,202), Virginia (21,132), Idaho (20,053), Wisconsin (19,301), Colorado (19,167), Missouri (19,023), Kentucky (16,592), Washington (13,643) and Nevada (12,908).
Nearly half (46%) of Realtors’ clients moved to the South in 2024, followed by 25% to the West, 18% to the Midwest, and 11% to the Northeast. Conversely, 33% of respondents' clients moved from the South, 30% from the West, 22% from the Midwest, and 15% from the Northeast.
The survey also underscores how where a person moves from, or to, defines their reason for doing so.
Movers to the West, for example, were driven more than others by getting more house for the money (24%). Movers to the South were more driven than others by lower or more favorable tax rates (19%). Movers to the Northeast were more motivated than others to move closer to their job location (22%).
"It is no surprise that the Sun Belt states continue to attract movers within the U.S., but this report helps to highlight just how much the draw to be close to one's friends and family drives a relocation," said Jessica Lautz, NAR deputy chief economist and vice president of research. "Home buyers continue to seek areas where their support systems are around them."
When asked to identify the one primary reason for choosing to relocate, the most common driver among clients was to be closer to family and friends (23%), followed by getting more house for the money (12%), and being closer to work (9%).
"Home buyers are placing a priority on getting more bang for their buck, looking to areas with not only more space within their home but also favorable taxes," Lautz pointed out. "This migration flow will likely continue as retirees and remote workers relocate."
Realtors' recent clients generally moved to a similar type of area; however, those moving from central city/urban areas (41%) and resort areas (44%) most often moved to a suburban area.
While 36% of Realtors' clients moved to a different state in 2024, the majority of Realtors' clients moved intrastate: 21% within the same city, 21% to a different city in the same area, and 21% to a different region within their state.
Those relocating to the South and West were most likely moving from a different state, while movers in the Northeast were most likely moving within the same state.
Other homebuyer trends reported by Realtors: most home purchases were made in June (21%), May (18%) or April (15%). Among repeat buyers, 74% sold their previous residence when making their recent purchase, while 20% kept their previous residence as an investment, rental, or vacation property.
Clients were also most likely to have chosen a specific home based on its outdoor space (42%), additional square footage (31%), and because it's in a quieter area (24%).
