Recently released Census data show that domestic migrants are fleeing the high housing costs of America's coasts in favor of more affordable environs. Will the tech regions start running out of techies?
Census estimates from 2000 to 2004 for annual domestic net migration were compared to rates from the 1990s. Although immigrant populations were excluded, experts say that gains from immigration still failed to balance the residential exodus from Boston and San Francisco.
All up and down America's west and east coasts, high overall housing costs are driving ex-residents to cheaper cities in adjacent regions. Southern California's Riverside metro area saw the largest per capita gain of domestic in-migrants from 2000 to 2004, as residents appear to have uprooted themselves from the high-priced Los Angeles basin.
A growing cadre of economists warn that high housing costs and continuing losses of skilled workers could impact tech regions like Silicon Valley's ability to consistently restock their skilled-labor pipelines. Mark Zandi from Economy.com noted, "Today, housing in both Boston and the Bay area is unaffordable...If the tech sector takes off, it's going to be much harder to bring in skilled labor for these positions."
[Editor's note: This article is available for free online for seven days after the publication date.]
Read the full story: Bursting Tech Bubble, Higher Housing Costs Send People Packing
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