"In comparison to other areas, Madison offers one of the highest wages for Millennials." - Lawrence Yun, NAR Chief Economist
Millennials are eyeing the middle of the United States for their homes, a recent report found.
Millennials are looking at the Midwest not just for its affordable housing, but also strong job markets, according to the National Association of Realtors’ “Most Popular Areas for Millennials: Where They Move and Stay” report.
NAR studied the largest 100 metro areas in the U.S., analyzing their employment gains, population trends, income levels and housing conditions to find cities that appeal most to Millennials.
Madison, Wisconsin, earned the No. 1 spot in NAR’s analysis, which said 75 percent of recent movers to the city have been Millennials. In 2017, the median income for Millennials was $62,000, and about $68,500 for those of the age group who recently moved to the city, said Lawrence Yun, NAR’s chief economist.
“In comparison to other areas, Madison offers one of the highest wages for Millennials,” said Yun. “Moreover, this income level combined with the robust employment opportunities and the affordability, make Madison among one of the most appealing locations for Millennials who are looking to stay longer and raise families.”
Also landing in the top 5 list is Grand Rapids, Michigan, and Omaha, Nebraska.
California is also a popular locale for Millennials, Yun noted. With many large cities boasting strong job markets, Yun said that California offers options outside of expensive cities like San Francisco or Los Angeles. For example, Yun said Bakersfield — where Millennials comprise about 28 percent of the population and 67 percent of the new residents — is one of the most affordable metros in the state.
California is a popular home buying destination for millennials, specifically Bakersfield, which is between San Francisco and Los Angeles. Bakersfield – where 28% of millennials live and where 67% move to – is attractive to millennials because it is one of the most affordable metro areas in the state.
“While the rate of unemployment in Bakersfield is higher than it is nationwide, we’re seeing job growth there pick up at a strong pace,” Yun said. “Home building in Bakersfield is rising, too. Many newcomers to San Francisco and Los Angeles do not stay for long because of unaffordability. Millennials moving to Bakersfield meanwhile are looking to take advantage of conditions toward homeownership.”
Check out the infographic below for more information on the top five locales.