How Has Covid-19 Impacted Moving Trends In 2021?
While remote work may be the best thing that has ever happened for some people, it has been quite a nightmare for others. With vaccinations underway, many Americans are starting to consider returning to the realities they once knew.
Covid-19 changed a lot of things about the real estate market and showed that both millennials and baby boomers were starting to move out of the metropolitan areas in what researchers called “city flight.”
Will people begin moving back to cities or will the trend of finding housing in rural or suburban areas continue?
Let’s find out.
Covid-19 Generational Trends
More millennials moved to the suburbs during the height of the pandemic, though even before Covid-19 swept throughout the US, the shift was already well underway. A lot of millennials are easing into the family formation and home-buying parts of their lives.
For many professionals, however, staying put was the move. Professionals needed to stay within good distance to the city or their places of work. While the hybrid work schedule became popular, the constant promise of a return to normality kept people in place.
It is clear that there was a generational preference during the pandemic. Young millennials were looking for good starter homes to purchase during the pandemic while older millennials and Gen X’ers were looking at local schools for their young children.
Experts noted that once things started opening back up, white-collar workers would begin moving back to the city and buying townhouses or condos within walking distance to office spaces, dining, and entertainment. The predictions, as we now see, were correct.
The prices of homes and apartments in cities have surpassed price growth in suburban and urban areas.
The Impact of Baby Boomers
There is no doubt that baby boomers have had a hard time during the pandemic. A lot of baby boomers feared that they would have to retire early due to the fact that they could not work remotely. Younger baby boomers had to worry about their older parents or young adult children during the pandemic too.
Many considered downsizing, though out of fear that they would have a family to take care of, did not.
According to a CBRE migration study, the largest number of move-ins in 2020 was in the city of Sacramento compared to the 30 largest metro areas in the United States.
For those who are selling their house in San Francisco to those selling their house in Sacramento increased by a whopping 70% in 2020. A very similar pattern appeared in Los Angeles as well, as many Angelenos made moves to the Inland Empire. The percentage of Inland Empire move-ins rose by 14%.
While many people thought the pandemic would decimate urban centers, new data shows that it’s simply not true. As urban amenities start opening up once again, we are starting to see cities back on the rise. The urban outflow could mostly be attributed to young, well-educated, and affluent adults.
Whether you’re wondering if you should sell your city home to leave the urban center or make a flock back to the city from your rural abode, get in contact with us here at National Cash Offer to see how we can help.