Take a look at our latest research on housing trends in the U.S.  The study shows that more and more millenials and other generations are leaving the cities for suburbs, and even further out, the exurbs.  

Quick recap:

• Supercharged by the pandemic, housing trends have persisted, with millennials leaving cities for suburbs offering larger homes, safer communities, and better schools.
• Mirroring population trends, inventories grew faster in outlying areas than urban cores over the past decade. Inventory in exurbs grew by an average of 15% in the past 10 years, with suburbs trailing closely at 14% housing inventory growth. Housing supply in principal cities, on the other hand, saw an average increase of 10%.
• Vineyard, Utah, located in the Provo-Orem metro area, topped the list with a staggering 7,000% increase in housing stock, now boasting over 4,100 housing units. Other notable cities in the top five for inventory growth included Blackwells Mills, New Jersey; Fulshear, Texas; Woodbridge, Virginia; and Nocatee, Florida.
• 12 of the top 20 fastest-developing areas are located in Texas and Florida, due largely to the affordability, warm climate and low taxes in the two Sun Belt states.

The report highlights housing inventory expansions across nearly 4,100 cities in the U.S. It also examined home appreciation, population changes, shifts in remote work patterns and the overall economic landscape.

For more details, you can view the full report here: https://www.storagecafe.com/blog/the-fastest-growing-housing-markets-in-the-us/

While city living continues to dominate housing headlines, a quieter trend is emerging. Millennials are not just leaving the urban core but are also moving to the farthest reaches of the suburbs, further departing from their parents’ choices.

This shift reflects the accelerated growth seen in exurbs and suburbs nationwide compared to principal cities over the past decade. That’s one of the main findings of our latest research study, which analyzed housing inventory expansions in nearly 4,100 American cities.

To understand what’s driving the decade-long construction boom and its impact on local markets, we also examined home appreciation, population changes, shifts in remote work patterns and the overall economic landscape.

Here are America’s housing boomtowns, plus some additional highlights:

• Five of the top ten places with the fastest-growing housing inventories over the past ten years were exurbs. Communities in the South showed the most significant growth, with Texas featuring seven suburbs among the top 20 fastest-growing housing markets and Florida boasting five.
• What’s fueling the exurb and suburban growth? Quality of life is a primary factor driving suburban expansion, with families seeking larger homes, safer communities, and better schools – even if it means paying a premium in some locations. The rise of remote work has also increased demand for housing in suburban and rural areas, as people seek a better work-life balance away from congested urban centers.
• Suburban growth has applied upward pressure on house prices. Over the past decade, home values surged by 78% in exurbs and 57% in the suburbs. In Vineyard, UT, and Celina, TX – two of the top 10 housing hotspots – prices more than doubled. Florida’s Davenport, where the remote work scene is thriving with a 715% growth in the number of people working from home over the same timeframe, has also seen home prices spiraling. Home values jumped from $94K in 2013 to nearly $275K in 2022.
• Self storage often aligns with housing development and demographic shifts, allowing people to maximize living spaces in many of the decade’s boomtowns. In the US, 48% of large-scale development is located in the suburbs.

For a detailed look at the fastest-growing housing markets around the country, check out our full study: https://www.storagecafe.com/blog/the-fastest-growing-housing-markets-in-the-us/.

Suburban Growth Outpaces Urban Expansion In The U.S. Housing Market, With The South Leading On All Fronts

Key takeaways:

• Nationwide, housing markets in exurbs and suburbs grew faster than in principal cities over the last decade
• Housing expansion is concentrated in the South, with Texas featuring seven suburbs among the top 20 fastest-growing housing markets and Florida having five
• A Utah suburb claims the top spot as the country’s fastest-growing housing market, having increased its total stock by over 70 times in the past decade
• The fastest-expanding major cities in terms of housing inventory are Austin, TX, followed by Fort Worth, TX, and Seattle, WA

People have been looking for alternatives to the hustle and bustle of city life, and the suburbs have stepped up. Suburban areas across the U.S. are now growing faster than major cities, providing plenty of room to grow for those seeking a better work-life balance.

The current housing market, with skyrocketing prices and limited inventories, is one of the main factors driving people out of cities and into the suburbs and beyond. As the most active generation in terms of both moving and homebuying, millennials are leading the revival in suburban living, just as they once spurred the urban boom in the 2000s. For millennials, most of whom are in the parenting stage of their lives, the need for larger homes and outdoor spaces is paramount. This shift is further compounded by the rise of remote work, which has diminished the necessity of living close to urban job centers, making suburban and exurban living more feasible and attractive than ever.

But it’s not just Gen Y seeking a slower pace of life — Gen Zers are as well. They are generally well-versed in assessing housing woes based on their predecessors’ experiences. States with lower densities or rural charm have started to appeal to these youngsters. Utah, North Dakota, Colorado, and Alabama are among the top 10 states winning over Gen Zers with perks that include a lower cost of living and generally cheaper housing against a spectacular natural background.

To find out which cities are keeping up with the population boom, we analyzed housing stock changes from 2013 to 2022 in nearly 4,100 American cities.

Interestingly, exurbs — broadly defined as areas with fewer than 250 residents per square mile in the first year of our 10-year analysis — have seen significant growth over the past decade. Our data reveals that five of the top 10 places with the fastest-growing housing inventories over the past 10 years were exurbs, which have now transitioned to suburb status based on population density.

 

Housing inventory in exurbs grew by an average of 15% over the past 10 years, outpacing suburbs at 14% and principal cities at 10%. Population growth in exurbs (16%) also surpassed that of suburbs (13%) and principal cities (9%), highlighting a broader demographic shift. Self storage, which typically follows housing development and population trends, has stayed ahead of the curve, with most relocation hubs offering plenty of storage options.

 

The suburbs are generally well-supplied with self-storage space, holding approximately 924M million rentable square feet, or 48% of the total large-scale development. Urban areas have also seen significant growth, particularly in the last decade, with over 30% of storage space now located in urban environments. In contrast, exurbs are still lagging, with a negligible share of storage stock in these locations.

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Banner Image: Suburban House.  Image Credit -  Dillon Kydd