Sacramento may still be on the rise – at least for homebuyers using one real estate website.
Search data on Redfin show Sacramento is the nation’s major metro area with the highest “net inflow.” That suggests significantly more users are looking to move here from out of town than are trying to leave the City of Trees, according to a migration report released by the real estate website Wednesday.
Redfin observed that out of about 1 million total searches, there were 5,879 more users looking to migrate to California’s capital than those users seeking homes elsewhere in the fourth quarter of 2018. That’s an increase of 1,300 users from the previous year, a 28 percent increase.
Additionally, 42 percent of Redfin searches for homes in Sacramento came from outside the region – nearly double the 2017 figure (22 percent).
Redfin says Sacramento has ranked No. 1 or No. 2 in every edition of the quarterly report, which started in 2017.
Where are they coming from? It’s not a trick question.
The most common source of Sacramento’s out-of-area home searches are from San Francisco, the study says. The most popular source of potential movers to Sacramento from outside the Golden State is Seattle, according to Redfin.
“The biggest thing is the affordability of homes here, especially compared to markets like the Bay Area,” Redfin agent Jim Hamilton said in an accompanying news release. “The market has softened in the Bay Area, but not as much yet in Sacramento, so buyers are moving here to capitalize on their equity and put a substantial down payment or even pay cash.”
Phoenix (net outflow of 5,287), Atlanta (4,658), Portland (4,057) and Seattle (3,638) rounded out the Top 5 for inflow this year.
Those inflow numbers are dwarfed by the outflow in the San Francisco Bay Area. Redfin recorded 29,122 searches by San Francisco residents for homes in other metro areas, 12,000 more than the same period in 2017. As one might expect, Sacramento is their most popular search destination, and Seattle is again the top search destination for Bay Area residents looking to flee California.
Redfin’s report looked at 87 popular metro areas from October through December. In general, 25 percent of hopeful homebuyers across the board were looking outside of their current metro area, up 2 percent from the same time in 2017.
Redfin’s insight on influx to the Sacramento region aligns with some other recently released data. Moving truck rental company U-Haul said earlier this month that Sacramento-Roseville metro area topped its customers’ list of top one-way destinations.
As for the nearly 30,000 Redfin users who were looking to escape pricey San Francisco late last year, the phenomenon has been referred to by some as a Bay Area exodus.