- Gen Z is looking beyond the busiest states for places with free space and affordable prices.
- Older generations are not selling homes, making it difficult for Gen Z to enter more popular markets.
- The younger generation is okay with moving longer distances to find more comfortable living arrangements.
Gen Zers are looking to live in simpler, quieter locations in the Midwest or mountain areas.
Emilia Mann, senior analyst at StorageCafe, said Gen Z didn't have the same location preferences as older generations.
“Gen Zers are increasingly drawn to simpler living in housing options,” Mann told Insider via email. “Unlike millennials, who often gravitate to DC, Washington, and Illinois, Gen Zers tend to favor states with lower population density, from the highlands of Montana and Idaho to the plains of Kansas and Nebraska.” .
Of course, part of what's driving Gen Zers to these states is the acceptance of remote work, more affordable homes and proximity to outdoor activities.
Data from RentCafe showed Gen Z homeowners totaled 2 million in 2022while Gen X and millennial homeowners totaled 24.4 million and 18.2 million, respectively.
Doug Ressler, the director of business intelligence at Yardi Matrix, told Insider that older generations were holding on to their homes as interest rates remained high, causing Gen Zers to find new places to live due to a lack of supply and affordability.
Ressler said that because Gen Z couldn't get into the housing market in popular cities — both buying and renting — they cast a wider net in their home search.
“We're seeing Gen Zers being more traffic-oriented, especially over long distances,” Ressler said.
To determine the number of Gen Z movers, which was limited to 18- to 23-year-olds, StorageCafe analyzed 2021 data from the Census Bureau's American Community Survey Public Use Microdata Sample. It also used Census data to determine the median value of owner-occupied homes. For rental values, it was based on data from the Yardi Matrix.
These are the 10 states where Gen Zers are migrating, as determined by StorageCafe, ranked by the percentage of total newcomers who identify as members of this generation.
