Homebuyer migration remained at an all-time high in April and May, with 32.3% of Redfin.com users nationwide looking to move to a different metro area, according to a new report. The percentage is unchanged from a record set in the first quarter but up from about 26% before the pandemic began.
Homebuyers aren’t just chasing preferred destinations, they also make moving decisions based on an area’s housing costs.
Florida destinations hold top spots
Miami and Tampa topped the list of most popular destinations for homebuyers moving from one metro to another in April and May measured by net inflow – the number of searchers looking to move into an area rather than out of that area.
Miami has topped the list all year, but Tampa just passed Phoenix for the number-two spot. Phoenix had held the number-two spot since last fall; now it comes in at number three.
Two other Florida metros also made the list with Cape Coral at No. 6 and North Porth at No. 7.
Tampa is more popular with relocating homebuyers largely because it’s relatively affordable, with the typical home selling for $370,000 in April. Although Tampa prices rose nearly 28% year over year, they were still well below the national median of $424,000. It’s the only metro on the top-five list where that’s the case. The typical home sells for $475,000 in Miami, $480,000 in Phoenix, $605,000 in Sacramento and $445,000 in Las Vegas.
Migration into Tampa has steadily ticked up since the pandemic began. Tampa had a net inflow of more than 11,000 homebuyers in the first quarter, up from roughly 7,600 a year earlier and about 4,000 two years earlier.
Top 10 metros by net inflow
Miami – 33.8% of searches from outside, top feeder market is New York
Tampa – 50.3% of searches from outside, top feeder New York
Phoenix – 36.6% from outside, top feeder Los Angeles
Sacramento – 42.6% from outside, top feeder Los Angeles
Las Vegas – 46.5% from outside, top feeder Los Angeles
Cape Coral, Fla. – 67.4% from outside, top feeder Chicago
North Port, Fla. – 67.4% from outside, top feeder Chicago
San Diego – 31.5% from outside, top feeder Seattle
San Antonio – 42.7% from outside, top feeder Los Angeles
Dallas – 25.1% from outside, top feeder Los Angeles
SOURCE: Article written by Kerry Smith (JUNE 20, 2022)