Homebuyers Looking To Relocate Remains Elevated

The great migration appears to be continuing as we start 2022, according to a new report from Redfin…(Redfin)

• In the 4th quarter of 2021, 31.2% homebuyers were looking to move to a different metro area.

• This is down from the 31.5% record high reported in Q1 of 2021 but it is still well above the pre-pandemic level of 26.3%.

Florida was the top state to move and California was the top state to leave in the fourth quarter of 2021…

• Miami was the top destination with 11,931 more inflows than outflows in Q4 2021 followed by Phoenix (+11,047) and LAs Vegas (+8,031).

• San Francisco took the top departure spot with 48,904 more outflows than inflows in Q4 2021 followed by Los Angeles (+39,586) and New York (+27,769).

NOTE: Miami’s median sale price is $440,000 vs New York’s $640,000 median sale price

Craig J. Lazzara, Managing Director at S&P DJI, said in a statement earlier today that more data is necessary to fully understand these relocation trends…

• “We have previously suggested that the strength in the U.S. housing market is being driven in part by a change in locational preferences as households react to the COVID pandemic. More data will be required to understand whether this demand surge represents an acceleration of purchases that would have occurred over the next several years or reflects a more permanent secular change”