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My sister calls me a “rambler.”
She’s got a point; I’ve lived in Montana, Texas, Washington, Japan, Hong Kong, the Philippines and Thailand. And I’m thinking about giving Ecuador a try.
Millions of Americans felt the same way last year. According to Pew Research, one out of five of us reported that they either moved because of the coronavirus pandemic or knew someone who did.
I do like to get around, but most of us boomers and older Gen-Xers are more set in our ways. But millennials are much more mobile.
A surprising 37% of 18- to 29-year-old Americans moved or said they knew someone who moved because of coronavirus. My guess is that many of these kids moved back into their parents’ basements out of financial necessity.
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What’s also surprising is that higher-income households were more likely to relocate than low-income households: 21% of households with annual incomes of $150,000 or more moved, compared to only 14% with annual incomes below $30,000.
Moreover, 28% of people with bachelor’s degrees moved, compared to 18% without.
My interpretation is that those who could afford to move did, while lower-income adults may have had the desire to but couldn’t afford the moving costs.
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| Source: Hire a Helper |
Here’s the meat: 28% of those who moved cited reducing their risk of catching COVID-19 as the most important reason, 20% cited the desire to be with family and 18% said finances (or lack thereof) prompted their move.
A whopping 61% said they moved into a family member’s home — parents, in-laws, a sibling, another relative.
Where are all these people moving geographically?
In general, Americans are fleeing from large cities to suburban communities and into states with lower taxes, nicer weather and more business-friendly climates.
Businesses, not just people, are on the move too ...
Hewlett Packard Enterprise Co. (NYSE: HPE) is moving from San Jose, Calif., to Houston.
Oracle Inc. (NYSE: ORCL) is fleeing San Francisco for Austin, Texas.
Tesla Inc. (Nasdaq: TSLA) is also heading to the Lone Star State’s capital, decamping from Silicon Valley.
Toyota Motor Corp. (NYSE: TM) is shifting its U.S. base from Los Angeles to Plano, Texas. And
McKesson Corp. (NYSE: MCK) is ditching San Francisco for Los Colinas, Texas, a suburb of Dallas.
If this trend continues — and I think it will — stocks like The Home Depot Inc. (NYSE: HD), Lowe’s Companies Inc. (NYSE: LOW), Tractor Supply Company (Nasdaq: TSCO), Trex Company Inc. (NYSE: TREX), The Sherman-Williams Company (NYSE: SHW) and Pool Corp. (Nasdaq: POOL) should continue to thrive.
And who knows?
Maybe you and I will end up in the same city one of these days ...
Best wishes,
Tony
