35% of L.A. Renters Are Considering a Move to Another City

A significant share of Los Angeles apartment renters are looking to move outside of the city. According to research from Apartment List, 34.6% of Angelenos living in rental apartments are considering a move outside of Los Angeles. Another 33.9% of active apartment hunters in Los Angeles are also looking for housing options in other markets. The top alternative destinations are Las Vegas, Phoenix and Riverside.

“Among all users currently living in the Los Angeles metro, 34.6% are searching for apartments elsewhere. Among the nation’s 25 largest metros, L.A. ranks #8 on this metric, indicating that while L.A. isn’t necessarily seeing an exodus of renters, it’s outflow is on the higher end of the spectrum,” Christopher Salviati, housing economist at Apartment List, tells GlobeSt.com.

The survey did not include questions about why residents were looking elsewhere, but affordability likely plays a significant role, particularly considering the alternative options. “While our data does not tell us why folks are looking to move, it seems safe to assume that many moves out of L.A. are motivated by affordability,” says Salviati. “L.A. is one of the nation’s most expensive housing markets, while the most common destinations that L.A. area renters are looking to move to—Phoenix, Las Vegas, Riverside—are all more affordable.”

Phoenix, Las Vegas and Riverside aren’t surprising choices. All three have seen significant population and job growth recently, which has catalyzed economic growth and cultural shifts to include retail and entertainment amenities typically reserved for major metros. Of course, these markets offer this at a substantial discount to Los Angeles. “These destinations are all notably more affordable than L.A., and so folks looking to leave L.A. for these destinations are likely being driven by affordability concerns,” says Salviati. “Phoenix, in particular, has a robust local economy that has added a significant number of new jobs in recent years. Given that the Phoenix metro can offer strong employment opportunities at a far lower cost of living, it’s an attractive option for those looking to leave L.A.”

Las Vegas has had a similar growth spurt this cycle, as well. “Las Vegas is in a similar position, although it’s economy is still primarily tourism-based, meaning that is more volatile and the jobs on offer tend to be lower-paid. Riverside, which borders L.A., serves as a destination for those who are in search of greater affordability, but are not ready to leave the greater L.A. region,” says Salviati. “It is likely that many of those renters who are moving from L.A. to Riverside are maintaining jobs in the L.A. metro and simply bearing longer commutes.”