A new study from the National Association of REALTORS® (NAR) shows that while most Americans who relocate to another state initially choose to rent, a handful of U.S. metropolitan areas are bucking that trend — with the majority of new residents buying homes soon after they arrive.

Renting Remains the Primary Choice Nationwide

When people move across state lines in the U.S., renting first continues to be far more common than buying. According to the most recent NAR research, fewer than three in ten interstate movers purchase a home within the first year after relocating. In fact, slightly more than 27 % of these out‑of‑state movers close on a home within their first 12 months in the new location.

That means that nearly three‑quarters of individuals and families who relocate to a different state initially opt for a rental property rather than jumping straight into homeownership. This pattern closely matches the share seen in 2019, before recent shifts in mortgage rates and housing affordability.

Experts point to several reasons for this rent‑first behavior: higher borrowing costs, persistent affordability challenges in many markets, and the uncertainty that often comes with relocating to an unfamiliar region. Renting provides flexibility while newcomers settle into jobs, schools, and community life before making a long‑term housing commitment.

Why Homebuying Lags After Cross‑State Moves

The share of interstate movers who buy homes peaked during the pandemic when mortgage rates hit historic lows and remote work made it easier to relocate. At that time, around one‑third of interstate movers purchased homes within a year of their move. However, as interest rates rose and inventory remained limited, that percentage slid back to roughly 27.5% in recent data.

By contrast, people who simply move within the same county or region tend to buy homes sooner. Familiarity with the local housing market and existing support networks make homeownership more attainable for these shorter relocations.

Some Metro Areas Buck the Renting Trend

While renting still dominates nationally, five metropolitan areas stand out where a majority of out‑of‑state movers are buying rather than renting shortly after relocating. These markets tend to be more affordable, have abundant housing inventory, and see significant in‑migration — factors that make homeownership feasible and appealing.

Here are the metros where new residents are most likely to purchase a home within their first year:

🔹 Daphne, Alabama — Leading the nation, about 76.3 % of interstate movers here buy homes quickly after arriving. Lower home prices and a strong quality of life relative to larger coastal cities make immediate homeownership attractive.

🔹 Naples–Marco Island, Florida — Roughly 76.2 % of out‑of‑state arrivals buy homes rather than rent, driven largely by retirees and others relocating with significant home equity. Though prices are higher here than in some other metros, they remain below many gateway markets where movers originate.

🔹 Ocala, Florida — About 73 % of interstate movers become homeowners within a year. Here, home prices are significantly lower than the national median, and active listings have increased, giving buyers more choices.

🔹 Hickory–Lenoir–Morganton, North Carolina — Around 63.6 % of newcomers buy a home soon after relocating, drawn by affordable housing and local job opportunities.

🔹 Rockford, Illinois — The sole Midwest metro on the list, 62.6 % of interstate movers buy homes quickly. Rockford’s combination of low home prices and proximity to larger employment centers makes ownership achievable for many newcomers.

What Drives Buying in These Markets?

Economists say these outlier metros share several advantages that encourage interstate movers to skip renting and buy sooner:

• Affordability relative to where many movers come from — People relocating from high‑cost markets often find that homeownership is more attainable in these smaller metros.
  
  
• Strong for‑sale inventory — Having a wider selection of homes for sale makes it easier for new arrivals to find and close on a property quickly.
  
  
• Equity and cash from previous homes — Many interstate buyers bring equity from a prior home sale, giving them the financial flexibility to buy without renting first.

In some cases, lifestyle factors — such as retirement appeal in Florida or family‑oriented communities in smaller metros — also play a role. These places not only offer affordability but also quality‑of‑life perks that motivate movers to establish roots immediately.

Broader Implications for Housing Markets

While these “buy‑first” metros represent a minority of interstate moves nationally, they illustrate how local market conditions can sharply alter housing choices. In high‑cost gateway cities, newcomers are far more likely to rent due to price and financing obstacles. But in more affordable regions with sufficient inventory, buying can be the more attractive and practical option.

Housing experts note that increased buyer activity among new arrivals can tighten available for‑sale inventory and put upward pressure on prices, especially in smaller markets where supply is limited.