More than a quarter of people searching for homes during the third quarter looked to relocate to another area, according to a report from Redfin.
Those 26 percent of people looking to different geographic areas during the quarter was slightly up from one year ago to an all-time high for the national share of home-searchers looking to relocate, Redfin said.
“Homebuyers are leaving expensive metros for affordable metros, and as a result there are fewer and fewer homes for sale in more affordable parts of the country,” Redfin Chief Economist Daryl Fairweather said in a release.
“In San Francisco, for example, inventory has been rising because there aren’t many San Franciscans who can afford the high prices,” Fairweather said. “San Franciscans are moving to Sacramento, where homes are much more affordable, and that, combined with a lack of new listings, has caused inventory to decline in Sacramento.”
According to the report, Boston topped the list of areas with more people looking to move in than leave during the quarter; Sacramento, Calif., was second and Phoenix was third. New York was the top spot for which people were looking to depart.
“There is a sense here in New York that the sky has been falling for our housing market all year,” Redfin New York market manager Nick Boniakowski said. “People fleeing NYC aren’t looking for a rural life, they are fleeing the high costs. Boston presents a slightly more accessible cost of living, while still providing urban quality of life that many desire today. Boston is appealing because it’s close and there are similar employment opportunities.”
After New York, San Francisco, Los Angeles and Washington, D.C. were the top areas from which people were looking to depart during the third quarter, the report found.