According to the news, people are leaving San Francisco in droves (in 2018, an estimated 49% of the population would consider moving due to high prices), and they have to go somewhere. While Seattle has filled the void for a while now, the exodus has also been spreading to other cities in the past couple of years, with Denver being a notable hot spot. So why are people leaving San Francisco for Denver? As a Denver real estate agent (and former tech recruiter), let me explain why Denver has so much appeal—and why investors should also still be taking note.
6 Reasons People Are Moving from San Francisco to Denver
1. Real Estate
Duh. With the median home price in San Francisco at $1.5 million, people are motivated to live elsewhere. And while local Denverites are crying uncle about the rising housing prices, at a $400K median price tag for a single family home, Denver home ownership is still a lot more feasible for San Franciscans than San Francisco is.
Denver has been working hard on its reputation as a tech city, and it seems like it is finally paying off. Denver is currently ranked this week as the 8th best city for tech, with 51,000 jobs in the industry the past year at a median salary of $90K. Those kind of numbers make escalating your tech career while maintaining your quality of life very doable.
3. Cost of Living
Since financial independence is all the rage right now, finding a city with a lower cost of living than San Francisco is important. Denver beats San Francisco on this front as well. Our housing costs are 59% lower. Food costs are 22% lower. Health care is 10% lower.
4. Plentiful Jobs
It’s not just tech that’s thriving in Denver. Industries including aerospace, aviation, energy, tourism, outdoor recreation, healthcare, and education also have a strong presence in the Mile High City.
5. Attractive People
If you don’t have a spouse, it’s not just the mountains that are beautiful in Denver. We’re ranked 8th in looks in the United States—and our sister city to the North is ranked #2, so you have lots of options. And if brains are more your thing, Colorado is also listed as the third most-educated state (which isn’t just good for your dating life, but also a strong nod to our current and future economy).
6. Quality of Life
Aside from all the eye candy, there’s the following: 5,000 acres of parks, more sun than San Diego, five professional sports teams, legal marijuana, skiing, camping, amazing music venues, a thriving art scene, and enough restaurants and bars for any serious foodie.
At the beginning of this article, I said investors should also take note, and that’s because while expensive, there’s something to be said about being in a city where the best of the best are flocking to. Personally, I think it means the city will continue to get more expensive, even if we’re currently in the middle of a slump.
What do you think—will Denver continue to boom? Does your market have more going for it? Why?
Weigh in with a comment!
Note By BiggerPockets: These are opinions written by the author and do not necessarily represent the opinions of BiggerPockets.