A
growing number of Americans are reevaluating their love affair with city living, driven by affordability concerns, remote work options, and a desire for change. According to Realtor.com data, nearly 60% of urban home shoppers searched for listings outside of their metropolitan areas last quarter.

    This trend is evident across the US, with every region experiencing an increase in out-of-metro searches. Pricey cities like San Jose, California are losing popularity among locals, with a staggering 93.7% of local home searches directed at listings outside of the city last quarter. The median sales price for single-family homes in San Jose reached $2.02 million earlier this year.

    Other expensive metros, such as Washington, DC and Seattle, also saw significant increases in out-of-metro searches. In DC, this trend coincided with federal layoffs, while in Seattle, it may be attributed to the city's high cost of living. Residents in Northeastern cities like New York City and Boston are increasingly looking elsewhere for their next home.

    While Western states have historically been more likely to see out-of-metro searches, the Northeast is catching up. The share of Northeastern homebuyers looking outside of their metros increased from 45.4% in 2019 to 58.8% today. Cities like Portland, Oregon are bucking this trend, with a nearly 10% decline in out-of-metro searches over the last six years.

    The data suggests that high housing prices and unemployment rates are driving people away from cities they once loved. Even COVID-19 boomtowns like McAllen, Texas and Phoenix, Arizona have lost some of their appeal as home prices skyrocketed and back-to-work mandates took hold.