Americans are moving less often than they did in the past, but they remain the most mobile population among developed countries. Meanwhile, motivation for moving has been changing, and the ways municipalities can attract new residents are moving beyond monetary incentives.
This year, about 9% of Americans are expected to change homes, a decrease from historical trends. The percentage of people moving across state lines, however, has been stable for decades, according to an opinion piece penned by Mitch Daniels in The Washington Post. Daniels is a senior adviser to the Liberty Fund, president emeritus of Purdue University and a former governor of Indiana.
According to Daniels, the allure of “cool cities” may be waning, including for young Americans, as some of these areas have become expensive, overly taxed and even dangerous. Data from Development Counsellors International, an economic development and travel marketing firm, found that 41% of movers prefer suburbs, while 16% favor small metro areas and only 13% lean toward large metros. About a third of movers are seeking rural locations.
Movers between the ages of 25 and 44 years old made up 63% of rural and small metro relocations between 2020 and 2023, twice the percentage just 10 years ago, suggesting it isn’t just retirees seeking tranquility, said Daniels. Rural Texas, Montana and Georgia counties were among the top, adding to their young populations.
Top move, motivators include cost of living and housing affordability, followed by safety/crime and housing availability, according to DCI’s survey. Short commutes, a friendly local population, quality health care and proximity to family also score high. Less important factors include nightlife, arts and culture and the cool factor of a locale. And the least important reason for moving is political/social fit and diversity, noted Daniels.
Traditionally, governments have incentivized corporations with millions in cash to build facilities, create jobs and attract residents. However, municipalities are now experimenting with offering just a few thousand dollars for moving expenses or even rallying the local high-school football team to help newcomers move in.
“The standard practice of throwing subsidies at established businesses encourages reckless excess as politicians outbid one another for the opportunity to cut the ribbon on plants, sticking their successors with the tab. Now a hardheaded return-on-investment analysis says that a far smarter retail approach can pay off better, and quicker.”
Daniels also concluded that while the flow of movers has been unmistakable from states like New York and California to Sun Belt destinations, the flow is two-way. Midwest moving specialist MakeMyMove said California and Illinois send the most movers to new communities, but Texas and Florida are the second and third top exporters of residents to Midwest communities.
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