Phoenix Remains Top Destination As Americans Flee High-Cost States

PHOENIX, AZ — A national study tracking where Americans want to relocate puts the Phoenix area squarely in the middle of one of the biggest migration trends in the country.

A new ConsumerAffairs analysis of more than 100,000 relocation seekers highlights the Sun Belt’s enduring popularity, a trend that Phoenix-area residents have likely noticed in their own neighborhoods.

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The report, updated April 8, found that nearly half of all respondents — 48 percent — were interested in moving to a Southern or Western state.

The top destination states shared two things in common: median home sale prices under $500,000 and low state income taxes. Phoenix checks both boxes.

California's Loss, Phoenix's Gain

The report's starkest finding was California's continued exodus. The state posted a net migration loss of 7,165 users, the largest in the country for the third consecutive year.

ConsumerAffairs cited the Public Policy Institute of California, which points to the state's high cost of living as a key driver. California had the nation's highest median home sale price at $820,800 and the highest top marginal income tax rate at 13.3 percent.

For many of those leaving, Arizona, and the Phoenix metro in particular, is the destination. The region offers home prices well below California's and significantly lower tax burdens, a combination that has drawn a steady wave of transplants for years.

"Buyers can often sell high in the Northeast or West and buy more home for their money here," said Leticia Cruz, a Sun Belt realtor quoted in the report. "Combine that with lower taxes, more space, and a slower pace of life, and it becomes a very compelling move."

What the Numbers Show

Florida ranked first overall in the ConsumerAffairs analysis with a net gain of 4,269 users. North Carolina, which had topped the list the previous two years, came in second with a net gain of 2,321.

While Phoenix was not broken out separately in the report's top-line rankings, Arizona falls within the Western region that drew 25 percent of all respondents, second only to the South.

All 10 of the top destination states had a median home sale price under $500,000 and a top marginal income tax rate below 6.5 percent, with three having no state income tax at all.

Cruz also noted the lifestyle factor. "No state income tax, warm weather year-round, and more flexibility for remote workers," she said. "For many, it's not just a move. It's a quality-of-life decision."