For most of the 20th century, many Americans moved from the rural South to the urban Northeast and Midwest. More recently, Americans have migrated heavily to states in the Sun Belt, such as Florida, Texas, and South Carolina.
While the decision to move is complex and subject to a number of intangibles, there are a few principal reasons why a person may move to a new state. Based on the net inflow of new residents from other states, 24/7 Wall St. reviewed the seven states where Americans are moving to the most.
According to Dr. Rebecca Tippett, Director of Carolina Demography at UNC-Chapel Hill’s Carolina Population Center, there are three historical factors that influence where a person moves: higher education, job opportunities, and familial or spousal affiliations. Another factor has developed more recently, Dr. Tippett told us. Families are considering quality of life factors in a given area when deciding on where to move. Tippett said that this “captures a lot of the current trend in the South and West. You move because it’s a lower cost of living. Maybe you can afford larger homes, taxes are lower, and the weather’s better.”
Click here to see the seven states where Americans are moving.
Many states where Americans are moving today meet these criteria. In the two-year period ending in 2014, the states gaining the most new residents from other states had above average employment growth, surpassing the national growth rate of 3.7%. Colorado, which had one of the largest net inflows of new residents from other parts of the country, also had the second highest employment growth in the U.S., at 6.4%.
While many of those who relocate presumably do so for better economic opportunity, moving can still be prohibitively expensive. As a result, interstate migration is mostly done by those who can afford to do so. As Dr. Tippett told us, “poor people may move more frequently, but in shorter distances. For example, they may be moving between rented apartments in the same area. Whereas people moving across state lines… may have more money.”
Across the country, the median income of those who moved to a new area within the last year was significantly lower than that of established residents. In states such as Vermont and South Dakota, where not many Americans relocated, established residents made more than one and a half times that of newcomers. In most of the popular states for interstate migration, however, the difference in incomes was less than 10%. The opportunity for better-paying jobs may be the reason for this smaller difference, as well as a factor that leads more Americans to move to these states.
In every state that Americans moved to the most between 2013 and 2014, migration was no new phenomenon. Over the last decade, population growth in each of these states exceeded the national growth rate of 10.6%. The states that experienced the greatest net loss of new residents between 2013 and 2014 all trailed the national population growth rate.
Interstate migration shifts throughout American history. Currently, it seems that the South-Northeast-Midwest migration pattern of the 20th century is reversed. And as Dr. Tippett reminds us, “Whether it’s a permanent trend, or going to reverse in another 20 years or so, who knows? These things do ebb and flow.”
To identify the states where Americans are moving the most, 24/7 Wall St. analyzed state-to-state migration data from the U.S. Census Bureau’s American Community Survey (ACS). Median income, educational attainment, population change, and property tax information came from the ACS as well. We also looked at employment and GDP growth from the Bureau of Labor Statistics, and and regional price parity from the Bureau of Economic Analysis.
These are the seven states where Americans are moving the most.
7. Oregon
> Net population inflow: 33,897
> 2012-2014 employment growth: 5.0%
> Median household income: $51,075
Oregon is a top destination for Americans relocating within the country. Between 2013 and 2014, the state had a net influx of 33,897 new residents, the seventh largest increase in the country. The growth seems sustainable. Between 2012 and 2014, the number of jobs in Oregon grew by 5.0%, one of the largest employment growths nationwide. GDP grew concurrently, by 5.1%, more than in all but five other states. More Americans move to Oregon from neighboring California than from anywhere else in the country. The state is certainly more affordable than California, where the median home value is $412,700 — compared to $239,800 in Oregon.
6. North Carolina
> Net population inflow: 37,595
> 2012-2014 employment growth: 3.9%
> Median household income: $46,556
North Carolina gained a net total of 37,595 new residents relocating from elsewhere in the country last year, one of the largest increases of any state. Americans moving to North Carolina is no new phenomenon. Over the last decade, the state’s population increased by 18.2%, the fifth largest increase nationwide. Newcomers to North Carolina can expect a standard of living similar to that of their neighbors. The median income of those new to North Carolina is just 8.2% less than that of established North Carolinians, one of the smaller differences of any state. North Carolina is a top destination for Americans relocating from nearby Virginia and South Carolina.
5. Colorado
> Net population inflow: 45,396
> 2012-2014 employment growth: 6.4%
> Median household income: $61,303
Colorado had the fifth largest net influx of new residents from other states nationwide, and it seems the growth is sustainable. From 2012 to 2014, the number of jobs in Colorado increased by 6.4%, the largest employment growth of any state besides North Dakota, which was experiencing a historic oil boom at the time. The state’s GDP grew concurrently, by 6.2%, the third largest growth rate nationwide. People may be attracted to the state by its low property taxes and educational climate. Colorado residents are subject to some of the lowest property taxes of any state, paying on average just 0.6% of median home value. Colorado also has the second highest educational attainment rate in the country, whereby 38.3% of all residents have at least a bachelor’s degree.
4. Arizona
> Net population inflow: 45,920
> 2012-2014 employment growth: 4.3%
> Median household income: $50,068
Last year, the Grand Canyon State had a net inflow of 50,445 new Arizonans, the fourth largest net interstate immigration in the country. Moving to Arizona is no recent trend. Over the last decade, the state’s population has increased by 15.5%, one of the largest population growths in the country. Unlike many states where most Americans are moving, Arizona does not lead the nation in economic or employment growth, and is not the top destination for people moving from any one state. It seems that Americans all over the country are drawn to Arizona for other reasons, such as climate or culture.
3. South Carolina
> Net population inflow: 50,445
> 2012-2014 employment growth: 4.5%
> Median household income: $45,238
Many Americans looking for sunny, warm climates settle in South Carolina. The Palmetto State accumulated a net total of 50,445 new South Carolinians between last year, the third largest net interstate immigration in the country. In the last decade, South Carolina’s population has grown by 17.5%, one of the largest increases nationwide. It is the top destination for Americans moving from its neighbor, North Carolina. Americans may be attracted to South Carolina by its relatively inexpensive goods and services. The cost of living in South Carolina is among the lowest in the country, with goods and services costing just 90.5% of what they do nationwide.
2. Texas
> Net population inflow: 103,465
> 2012-2014 employment growth: 6.2%
> Median household income: $53,035
Everything’s bigger in Texas, including its net interstate population inflow. Last year, the state gained a net total 103,465 new Texans, the second most of any state in the country. Americans relocated with good reason. Between 2012 and 2014, employment in the Lone Star State grew 6.2%, 2.5 percentage points ahead of the national growth rate of 3.7%. Newcomers to Texas can expect a similar standard of living as their neighbors. The median income of Texans who arrived to the state within the last year was just 1.1% less than that of established Texans, the second smallest difference in the nation. Texas is the top destination for Americans moving from Alaska, Arkansas, California, Colorado, Louisiana, Mississippi, New Mexico, Oklahoma, and Tennessee. Last year, a whopping 63,591 Californians moved to Texas — the largest interstate migration during that time.
1. Florida
> Net population inflow: 108,985
> 2012-2014 employment growth: 5.8%
> Median household income: $47,463
More people are moving to Florida from elsewhere in the country than any other state. Last year, the Sunshine State lost 437,516 Floridians to other states and gained 546,501 new ones, resulting in a net inflow of 108,985 residents. Residents moved to Florida with good reason. Between 2012 and 2014, employment in the area grew 5.8%, more than 2 percentage points ahead of the 3.7% growth rate in the U.S. as a whole. Florida newcomers can expect similar living standards as their neighbors. The difference in median incomes between residents who have arrived in the last year and that of longstanding residents is just 2.1%, the third smallest difference in the country. Florida is the top destination for Americans moving from Georgia, Maine, Massachusetts, Michigan, New York, Ohio, and Pennsylvania.
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