Residential
U.S. Residential Mobility Hits Record Low as Millennials Lead the Pullback
By Real Estate Wire Staff, . Real Estate Wire.
The share of Americans who move in a given year has dropped to roughly 11%, a historic low and a steep fall from the 20% annual rate recorded at mid-century, according to U.S. Census Bureau data cited by Realtor.com. That figure, the lowest since federal tracking began in 1948, is now being reinforced by Bank of America Institute internal data showing the slowdown is not confined to long-distance moves: relocations within cities have also declined sharply, with the drop persisting since late 2025.
Bank of America Institute economist Joe Wadford described the trend as broad-based, with lower-income households and millennials experiencing the steepest pullbacks. Gen Z is the one cohort not following the pattern. Wadford also noted that when Americans do move, they continue to favor smaller cities, particularly in the Midwest.
Realtor.com reported that the seasonal rhythm of moving, historically a spring rise and a late-year trough, has been replaced by a sustained decline. Homeowners with low fixed-rate mortgages are reluctant to trade into new loans at rates approaching 7%, and that lock-in effect is widely understood as a structural brake on supply. The U.S. Bureau of Labor Statistics reported that rent of a primary residence rose 2.7% year-on-year as of August 2026, a figure that suggests renting has not become dramatically cheaper relative to ownership costs, which may further reduce the financial incentive to move.
For those who stay, the money is going elsewhere. Bank of America's internal data found that households are increasing spending on furniture and home improvement while cutting back on moving services. Home equity lines of credit are a common financing vehicle for those renovations, which means the immobility trend is quietly shifting lending activity from purchase mortgages toward home equity products.
On the corporate side, Atlas Van Lines' annual relocation report, also cited by Realtor.com, found that more employees are declining employer-sponsored moves. Moving costs were the most commonly cited reason; housing costs and mortgage rates each drew objections from roughly a quarter of those who turned down relocations. Despite that resistance, Atlas found that half of employers still want to increase the volume of relocations and expect worker appetite to improve.
The Midwest is absorbing a disproportionate share of the movement that does occur. Realtor.com noted that Cleveland ranked among the faster-growing metros in Bank of America's study, with population growth of half a percent in each of the first two quarters of 2026. Indianapolis and Columbus showed similar trends. Affordability is the consistent draw: Realtor.com profiled Rebecca Obeng, a University Hospitals pathologist who relocated from Chicago to Mayfield, Ohio, and found her mortgage payment comparable to what she had been paying in Chicago rent.
Baju Shah, chief executive of the Greater Cleveland Partnership, told Realtor.com that economic development organizations have shifted their focus from job and tax-revenue attraction to housing as the foundation of talent strategy. The group has assembled what it calls a talent alliance to both attract new residents and retain existing ones, encouraging localities to expand and diversify their housing inventory.
The harder question for the broader market is what happens when rates eventually ease. If the lock-in effect is the primary driver of immobility, a meaningful rate decline could release a wave of pent-up moves simultaneously, compressing timelines and straining inventory in receiving markets. But if lifestyle preferences and moving costs have become independent deterrents, as the Atlas data suggests, the rebound may be slower and more selective than a rate-driven model would predict. No current reporting establishes which force is dominant.
Source: https://www.realtor.com/news/trends/americans-moving-less-staying-put-data-2026/