Highly attractive locales for fresh college grads to seek rental properties
Top U.S. Cities Ideal for Recent College Graduates, Realtor.com Report Reveals
The real estate marketplace, Realtor.com, has released a report identifying the most "grad-friendly" cities in the United States, taking into account various factors suitable for young professionals starting their careers. The ranking includes Austin, Texas; Raleigh, North Carolina; Overland Park, Kansas; Minneapolis, Minnesota; and St. Louis, Missouri.
Austin, Texas, took the top spot due to its competitive rent-to-income ratio of 18.9% and a high proportion of entry-level jobs available for graduates, amounting to 29.4%.
Raleigh, North Carolina, secured the second position, with more than 30% of its jobs requiring a bachelor's degree and no prior experience. Notably, over one-third of occupations in this city cater to college grads.
Overland Park, Kansas, ranks third on the list, offering a rental vacancy rate of 9.2% and a relatively short average commute time of 22 minutes.
Minneapolis, Minnesota, showcases a higher share of recent college graduates amongst its population, totaling 6.3%. Renters in Minneapolis typically spend approximately 19.7% of their income on housing.
St. Louis, Missouri, completes the top five due to an impressive 14% increase in job openings since the pre-COVID era and an 8% rental vacancy rate.
Other notable cities featuring in the report include Richmond, Virginia (6th place), Pittsburgh (7th), Scottsdale, Arizona (8th), and Richardson, Texas (9th). Atlanta is the tenth city on the list.
Realtor.com's chief economist, Danielle Hale, commented that the 2023 rankings point toward a "rental landscape" that has undergone transformation due to falling rent prices and potentially shifting job markets. Hale added that the cities chosen are not only affordable, but they embody vibrant communities and numerous opportunities for young professionals.
The median monthly rent in the U.S. was reported to be $1,699 in April, with a year-over-year decrease in studio, one-bedroom, and two-bedroom rents, totalling 1.9% and 1.7% decline, respectively.
This report sheds light on the best cities for recent college graduates considering rental options in the United States, based on essential factors such as job availability, affordable housing, and an inviting atmosphere for young professionals.
- Austin, Texas, with its competitive rent-to-income ratio and high number of entry-level jobs for graduates, makes it an ideal city for recent college graduates exploring the real estate markets.
- Raleigh, North Carolina, offers a significant proportion of entry-level jobs for graduates and more than one-third of its job market caters to these new professionals, making it another suitable location for recent college graduates.
- Overland Park, Kansas, showcases a 9.2% rental vacancy rate and a relatively short average commute time, positioning it as a favorable city for young professionals embarking on their post-college lifestyle.
- Minneapolis, Minnesota, is attractive for recent college graduates due to its high share of recent college graduates in its population and affordable housing market, where renters typically spend 19.7% of their income on housing.
