By Kerry Smith – SEATTLE – More homebuyers in the U.S. are considering moving outside their current cities. Overall, fewer buyers are in the market this year, and total numbers have fallen; but of those who are still looking, a larger percentage are searching outside their hometown.
Redfin says that one-quarter (24.9%) of its website users nationwide looked for a new home outside their metropolitan area in January, as remote work and high housing costs led buyers to seek other options.
A year ago, 22.8% of homebuyers were looking outside metropolitan areas; before the pandemic, that figure was 18%.
Of the top 10 “most desirable cities” in the study, five are in Florida, with Miami taking the top spot for the first time since August 2022. Other Florida cities on the list of the top 10 “most desirable” include Tampa, Cape Coral, Orlando, and North Port-Sarasota.
January Interest Trends in Florida Cities:
- Miami: 7,200 entry searches, compared to 11,400 in 2022
- Sacramento, California: 6,200 compared to 7,200 in 2022
- Las Vegas: 5,700 versus 6,900 in 2022
- Phoenix: 5,500 compared to 9,900 in 2022
- Tampa: 5,200 compared to 7,500 in 2022
- Dallas: 4,400 compared to 7,300 in 2022
- Cape Coral: 4,200 versus 5,500 in 2022
- Orlando: 3,800 versus 1,700 in 2022
- North Port-Sarasota: 3,800 compared to 5,300 in 2022
- Houston: 3,700, compared to 2,900 in 2022
The typical home in Miami sold for $470,000 in January, compared with the national average of $383,000, but it still tends to be cheaper than the places people are moving from. The typical home in New York—the main source of buyers moving to Miami—sold for $650,000 in January.
“Many buyers have come from out of town to the Florida coast in recent months,” says Elena Fleck, a Redfin agent in Palm Beach. “Buyers moving from places like New York and San Francisco are helping the local market recover from last fall’s real estate crisis. They aren’t as bothered by high mortgage rates because homes here are much cheaper than in their hometowns, and they get larger lots, swimming pools, pleasant weather, and lower taxes.”
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