Here’s How Far Your Money Will Go in 7 U.S. Cities Millennials Are Moving To The Most
While relocating for a stellar career opportunity can give you great footing—and a sweeter paycheck—there’s much to consider before packing. You’ll want to feel confident that you’re uprooting to not only grow your career, but also to thrive personally.
As you factor in all that could make your nights and weekends more enjoyable, be it the number craft breweries or rock climbing walls in your potential new ‘hood, you’ll also want to look at the life/work metrics and: cost of living; safe, affordable neighborhoods; and job growth rates. After all, you’ll want to live comfortably and continue to save and invest in your future.
To help you size up the possibilities, we’ve uncovered seven U.S. cities that millennials are currently flocking to or keeping their eyes on. A 10-year study conducted by the American Institute of Economic Research shows three major cities that the young and educated have moved to for professional growth: San Francisco, Boston, and Washington, D.C. Further, according to recent data released by LinkedIn, millennials have shown a spike in interest in the job markets in these mid-sized cities: Austin, Raleigh, Detroit, and Cleveland.
“A lot of ‘18-hour‘ or ‘second-tier cities’ are pushing to create urban downtowns,” explains Patrick Sisson, a senior reporter at Curbed. “And the fact that these cities are a lot more affordable than larger cities, such as Los Angeles, San Francisco, and New York, make them pretty attractive.”
Appearing in order of cost of living (lowest to highest), and taking into account SoFi’s 2016 data on the average amount of student loan debt in each city, here’s a look at how you can thrive in these seven cities based on factors such as job growth rates, unemployment rates, earning potential and housing markets:*
Raleigh, North Carolina
With a strong economy and high-paying jobs in the technology and healthcare sectors, it seems promising that you’ll be able pay off student debt by nesting in one of Raleigh’s popular suburbs, such as Morrisville or Holly Springs.
Cost of Living Index: -6%. The cost of living in Raleigh is 6% lower than the national average, largely because housing is 21% lower than the national average.
Average Student Debt of SoFi Members Living in Raleigh: $62,653
Job Growth Rate
Unemployment Rate
Top Industries / Top Paying Jobs
- Technology /Computer and Information Systems Engineers, Software Architects
- Healthcare / General Pediatricians, Epidemiologists
- Education / Postsecondary Economics Teachers, Postsecondary Engineering Teachers
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in Raleigh compared to the national average:
- Doctors: $134,957 / National Average: $131,281
- Dentists: $134,957 / National Average: $132,125
- Pharmacists: $121,920 / National Average: $120,000
- Corporate Attorneys: $104,879/ National Average: $162,625
- Financial Management Consultants: $90,514 / National Average: $95,037
Rent
Home Price:
Austin, Texas
While Austin is known for its music scene, BBQ joints, and breweries, being a leader in tech and healthcare is a big reason why young professionals are heading to the capital city. “Cities such as Austin are making a point to create innovation hubs, which are attracting millennials,” explains Sisson. Plus the relatively low cost of living makes it a popular place in which to live. With Austin’s low unemployment rate and investment in innovation centers, moving may yield lasting benefits for the long term.
Cost of Living Index: -6%. The cost of living in Austin is 6% lower than the national average, mainly because the cost of housing is 13% lower than the national average.
Average Student Debt of SoFi Member Living in Austin: $64,906
Job Growth Rate
Unemployment Rate
Top industries: / Top Paying Jobs
- Technology / Data Architect, IT Manager
- Pharmaceutical / Pharmacists, Medical and Health Service Managers)
- Biotechnology / Physicists, Nuclear Medicine Technology
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in Austin, compared to the national average:
- Doctors: $138,929 / National Average: $131,281
- Dentists: $138,929 / National Average: $132,125
- Pharmacists: $120,648 / National Average: $120,000
- Corporate Attorneys: $108,084 / National Average:$162,625
- Financial Management Consultants: $87,278 / National Average: $95,037
Rent
Home Price
Related: 5 Expert Tips To Landing a Big Promotion in 2017
Detroit, Michigan
Detroit’s recent revitalization efforts may explain the spike in interest in The Motor City. “While Detroit certainly has its problems, which have been well covered, its profile has risen quite a bit,” explains Sisson. “There’s been a lot of great public works projects and entrepreneurial activity happening there, which is attracting startups.” And as the median price of a home is far lower than the national median, putting a sizable down payment on a home could be a goal that’s entirely within reach. Popular Detroit suburbs for millennialsinclude Royal Oak, Ferndale, and Auburn Hills.
Cost of Living Index: –4%. The cost of living in Detroit is 4% lower than the national average due to a 7% lower cost of food and 8% lower cost of housing.
Average Student Debt Load of SoFi Members Living in Detroit: $54,968
Job Growth Rate
Unemployment Rate
Top industries / Top Paying Jobs
- Technology /Database Administrators, Computer Network Architects
- Bioscience / Physicists, Natural Science Managers
- Auto Manufacturing /Industrial Production Managers, Transportation Inspectors
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in Detroit, compared to the national average:
- Doctors: $137,511 / National Average: $131,281
- Dentists: $137,511 / National Average: $132,125
- Pharmacists: $116,290 / National Average: $120,000
- Corporate Attorneys: $106,730 / National Average: $162,625
- Financial Management Consultants: $93,981 National Average: $95,037
Rent
Home Price
Cleveland, Ohio
Cleveland’s downtown population grew 79% in the last 16 years—strong indication that people are driven there for its urban center. “Instead of looking at one area of the country versus another, millennials are really looking at suburban versus urban living,” says Sisson. “There are a lot of cities in the Rust Belt, including Cleveland, that have historically been seen as not doing very well. But they’ve done a solid at reinvesting and rebuilding their downtowns, which really attracts young people.” With the low cost of living in C-Town, your odds of saving for a down payment and buying a house increase.
Cost of Living Index: +1%. The cost of living in Cleveland is only slightly higher than the national average because, while housing costs are 6% lower than the national average, the cost of healthcare is 8% higher.
Average Student Debt of SoFi Members Living in Cleveland: $82,659
Job Growth Rate
Unemployment Rate
Top industries: / Top Paying Jobs
- Healthcare / Podiatrists, Psychiatrists
- Bioscience / Environmental Engineers, Biomedical Engineers
- Technology / Computer Engineers, Information Security Analysts
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in Cleveland, compared to the national average:
- Doctors: $133,756 / National Average: $131,281
- Dentists: $133,756 / National Average: $132,125
- Pharmacists: $113,440 / National Average: $120,000
- Corporate Attorneys: $103,834 / National Average: $162,625
- Financial Management Consultants: $67,344 / National Average: $95,037
Rent
Home Price
Boston, Massachusetts
If you work in tech, you’ll earn more than the national average in Boston. However, before making the move, be sure your boost in compensation stacks up against the city’s high cost of living. If you’re moving from a locale where the cost of living is lower, to make for an easier transition, try negotiating for a more generous relocation package or consider taking out a personal loan to help with moving expenses.
Cost of Living Index: +37%. The cost of living in Boston is 37% higher than the national average, largely because the cost of housing is 74% higher and utilities costs are 37% higher.
Average Student Debt of SoFi Members Living in Boston: $77,877
Job Growth Rate
Unemployment Rate
Top Industries / Top Paying Jobs
- Education / Postsecondary Law Teachers, Postsecondary Engineering Teachers
- Biotechnology / Chemical Engineers, Biochemists
- Financial Services / Financial Services Sales Agents, Financial Managers
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in Boston, compared to the national average:
- Doctors: $121,180 / National Average: $131,281
- Dentists: $115,275 / National Average: $132,125
- Pharmacists: $112,210 / National Average: $120,000
- Corporate Attorneys: $119,798 / National Average: $162,625
- Financial Management Consultants: $106,578 / National Average: $95,037
Rent
Home Price
Related: SoFi Two Sides – New Home or Fixer Upper
Washington, D.C.
It’s no secret that D.C. is an expensive place to call home. However, recent research by the National Association of Realtors lists the district as one of the best places for millennial homebuyers. However, with the median home price in the nation’s capital far higher than the national median, you’ll have to carefully leverage your professional growth with your quest to build wealth.
Cost of Living Index: +39%. The cost of living in Washington, D.C., is 39% higher than the national average, largely because the cost of housing is 148% higher than the national average.
Average Student Debt of SoFi Members Living in Washington: $48,935
Job Growth Rate
Unemployment Rate
Top Industries / Top Paying Jobs
- Federal Government / Judges, Political Scientists
- Education / Education Administrators
- Tourism / Flight Engineers
Professional Salaries— Based on data collected from Glassdoor, here are the average salaries in Washington, D.C., compared to the national average:
- Doctors: $137,531 / National Average: $131,281
- Dentists: $123,940 / National Average: $132,125
- Pharmacists: $117,980 / National Average: $120,000
- Corporate Attorneys: $120,541 / National Average: $162,625
- Financial Management Consultants: $89,201 / National Average: $95,037
Rent
Home Price
San Francisco, California
With a strong economy and above average salaries in the tech and the financial industries, you can make major professional gains in the City by the Bay. However, it’s no joke that a lot of your hard-earned dollars will go toward housing and the high cost of living. Yet, despite the crazy-high rent, the San Francisco Bay area still has the highest adjusted wages in the U.S.
Cost of Living Index: +63%. The cost of living in San Francisco is 63% higher than the national average, mainly because the cost of housing is a whopping 198% higher than the national average.
Average Student Debt of SoFi Members Living in San Francisco: $67,152
Job Growth Rate
Top Industries / Top Paying Jobs
- Tourism / Airline Pilots, Flight Engineers
- Technology / Analytics Managers, IT Managers
- Financial services / Actuaries, Financial Managers
Professional Salaries: Based on data collected from Glassdoor, here are the average salaries in San Francisco compared to the national average:
- Doctors: $123,487 / National Average: $131,281
- Dentists: $123,238 / National Average: $132,125
- Pharmacists: $133,700 / National Average: $120,000
- Corporate Attorneys: $126,630 / National Average: $162,625
- Financial Management Consultants: $101,972 / National Average: $95,037
Unemployment Rate
Rent
Home Price
- Median: $1,100,000
- National Median: $189,400
Clearly, not all sought-after cities are created equal when it comes to your money and long-term financial goals. Even in these hotspots, your cost of living and salary trajectory can vary just as much as each city’s unique music and food scenes. But no matter where you might relocate to to further your career, a smart first step is a solid debt payoff plan – one that ensures your hard earned dollars can also go the distance.
*All figures current to the time of publication.
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