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Americans Are Leaving These US Cities In Record Numbers

Updated: Jul 18, 2023By Emma VernerBusiness
This article originally appeared on Investing.com. It has been republished here with permission.
Abandoned Times Square ©tetiana.photographer/Shutterstock Abandoned Times Square ©tetiana.photographer/Shutterstock

There is no shortage of cities in America that provide great quality of life to their inhabitants. Whether it’s the natural beauty of a city like Denver or the hustle-and-bustle of a city like New York, there’s something for everyone.

For some reason, however, Americans are leaving cities at record numbers, never before seen. After centuries of movement towards city life, we are for the first time experiencing a move back to suburbs or smaller towns.

A big part of this movement could be the shifting economy, and low price of small-town living. After all, where you work used to determine where you live, whether its was Amazon in Seattle (or one of its new HQs), or Halliburton in Houston. Now, with a changing economy, people are more independent, moving away from these larger cities in droves.

1. Washington, D.C.

Major Industries: Federal government and tourism
Annual Growth Rate:
1.04%*

The nation’s capital is full of business, politics, and hundreds of years of history. Although there are a lot of job opportunities in this special metropolitan city, with big companies like Capital One headquartered nearby, both the property taxes and housing costs are extremely high.

Washington, D.C. @Kyle Lee / Shutterstock Washington, D.C. @Kyle Lee / Shutterstock

Over the last decade, while there has been a major influx of young professionals moving into the city, this has led to large scale gentrification that has relegated a lot of lifelong DC-natives to nearby Maryland and Virginia, where housing costs are lower. 

In the city, young professional residents are hesitant to live in certain areas, as five percent of D.C.’s city blocks accounted for over one-quarter of crime in the city. Professional residents would rather reside in bedroom communities and commute to work. Though crime is down in D.C. since the 90s, it is still a potential factor in D.C.’s “shrinking.”

2. Seattle, WA

Major Industries: Tech and manufacturing
Annual Growth Rate:
0.81%*

Like many of the other major metropolitan cities on this list, Seattle has a high cost of living and lacks affordable housing options for many of its residents. Although Seattle has been previously ranked as one of the fastest-growing cities in America, the pace of growth has come way down recently. 

Seattle @moderndest / Shutterstock Seattle @moderndest / Shutterstock

Seattle is home to some of the “Big 5” tech giants including Microsoft and Amazon, but even this isn’t enough of a draw anymore to keep young professionals flocking to the rainy city. As Amazon continues to expand elsewhere, opening a second headquarters in Virginia, Seattle’s future looks bleaker and bleaker. 

Homelessness has been a huge problem in Seattle ever since Hooverville was erected during the Great Depression. This shanty town housed thousands of male residents with very few children and absolutely no women. Though Hooverville has since disbanded and a century has passed, the problem of homelessness has definitely not.  

3. San Francisco, CA

Major Industries: High tech and tourism
Annual Growth Rate:
0.15%*

Home to tech giants Apple, Google, and Salesforce to name a few, the Golden Gate Bridge city is iconic for its hippie counterculture of the 60s and tech culture of today. Being the most expensive place to live in the country, accessible only to the wealthy tech elite, it follows that the city has seen a decrease in population over the recent years. 

San Francisco @ChameleonsEye / Shutterstock San Francisco @ChameleonsEye / Shutterstock

There is a complete lack of affordable housing for many middle-class residents which has driven many out of this beautiful but exceptionally costly city. Besides a significantly high cost of living forcing people further out of the Bay Area, there has been a drop in the birth rate which has further compounded the slowing of the city’s growth. 

Additionally, homelessness remains a huge problem in San Francisco, one which has gotten worse over time.  The city counted 7,500 homeless in 2017, with 66% of them dealing with serious mental and physical health issues.

4. New York City, NY

Major Industries: Financial services and health care
Annual Growth Rate:
0.23%*

New York is one of the most iconic cities in the world, known for its melting pot of cultures, endless energy, and Wall Street. Even so, the city full of financial giants like JP Morgan has been seeing its population take a nosedive in recent years. While the concrete jungle has always been a symbol of hope, a lot of New Yorkers are realizing that the New York version of the American Dream is harder and harder to come by these days.  

New York City @Nielskliim / Shutterstock New York City @Nielskliim / Shutterstock

One issue that has impacted demographics is New York’s rise in crime. While the data suggests that violent crimes may be in decline, the city’s reputation for late-night muggings cannot be shaken, and may be a deterrent to new (and veteran) residents. 

Many people are moving out of the city to increase their standard of living by getting more for their money elsewhere. New York is known for sky-high rent and enormous taxes, so people are leaving to find more suitable housing options in less densely populated areas. 

5. Chicago, IL

Major Industries: Manufacturing and food processing
Annual Growth Rate:
0.27%*

If you want deep-dish pizza and delicious hot dogs, the Windy City is the place to be. Home to the Chicago Cubs and the iconic silver Bean statue, as well as the headquarters to major companies from Boeing to McDonald’s, the third-largest city in America can compete with cities on either coast any day. But despite the attractions, Chicago has been losing residents for years now, shrinking by the thousands on a yearly basis. 

Chicago @ezellhphotography / Shutterstock Chicago @ezellhphotography / Shutterstock

IRS data shows that many residents of the city are moving to states where taxes are lower. Many Chicagoans are stuck paying costly income taxes, which has caused people to look for more affordable housing options elsewhere. The cold climate also takes a toll on its residents, which could be another reason why people aren’t staying in Chi-town.

While Chicago boasts an intriguing art scene that includes underground music, cinema and craft artisanry, the decline in above-the-line jobs over the years has made the city increasingly difficult to live in. Also: Chicago is notoriously freezing!

6. Los Angeles, CA

Major Industries: Manufacturing and tourism
Annual Growth Rate:
0.23%*

The beach, the celebrities, the palm trees, the weather, and the movie studios like Disney and Warner Bros. — sounds like paradise! Everything might be rosy about Los Angeles,  except for the exorbitant cost of living. Not only is there a lack of housing in the spread out city, but that lack of housing drives up the prices on existing properties. 

Los Angeles @Kit Leong / Shutterstock Los Angeles @Kit Leong / Shutterstock

The city has been seeing negative net migration, with many residents moving from LA to inland areas such as Riverside and San Bernardino. Many middle-class families are leaving the Los Angeles area to find cheaper markets with more opportunities in cities such as Dallas, Phoenix, and Las Vegas. 

LA’s higher-than-average cost of living (one of the highest in the world, in fact) makes it a difficult city to afford in general. But in combination with dwindling job opportunities outside of the film industry, it remains an impenetrable city.

7. Houston, TX

Major Industries: Aerospace and energy
Annual Growth Rate:
1.73%*

The Lone Star State has been known for its boom-and-bust economy made up of the oil and gas industry, with several Fortune 500 companies based in Houston including Phillips and Halliburton. Despite its big business, the home of the Astros is seeing slow growth compared to other Texas cities such as Austin and Dallas. 

Houston @IrinaK / Shutterstock Houston @IrinaK / Shutterstock

After being hit hard with Hurricane Harvey in the summer of 2017, Houston has worked hard to repair its infrastructure, economy and communities. Many people fled Houston as a result of the disaster, stunting the growth of people migrating to the city for a period of time. Many Houstonites or people that have considered moving to Houston have been weary of the uncertainty surrounding the oil and gas industry, another factor that has contributed to the population decline.

People are right to be uncertain. According to The Houston Chronicle, the city is among the worst cities in America for air quality. The rankings, done by the American Lung Association for its “State of the Air” report, placed Houston as #9 out of all American cities for the worst ozone pollution.

8. Milwaukee, WI

Major Industry: Electronics and food & beverage manufacturing
Annual Growth Rate:
0.35%*

Cheese and famous breweries are what comes to mind when one thinks of Milwaukee, Wisconsin, but the dynamic midwestern city isn’t all fun and games. The birthplace of Kohl’s and other large companies has fallen on hard times as of late, with a rising crime rate that has left residents unsettled. On top of this, infrastructure is in serious need of a revamp to handle the increasingly harsh winters. 

Milwaukee @f11photo / Shutterstock Milwaukee @f11photo / Shutterstock

Milwaukee is still getting past its reputation as one of the top ten most dangerous cities in the US. Though the city has improved since then, it still has higher rates of certain crimes than the rest of America. 

Many millennials are looking to move out of the state to find job opportunities that no longer exist in Milwaukee the way they did some thirty years ago. Young professionals from Milwaukee are migrating in big numbers to places like Las Vegas and San Antonio to seek out more jobs and better overall quality of life.

9. Atlantic City, NJ

Major Industries: Gambling and tourism
Annual Growth Rate:
-0.28%* 

The Las Vegas of the East Coast has a little something for everyone, from family style restaurants like Olive Garden to casinos, luxury resorts, and shopping galore. For those who live in Atlantic City though, this glitzy escapist lifestyle couldn’t be further from reality. When gambling was legalized in the 1970s, it lifted the city out of years of economic woe. Today, however, the city is still recovering from the great recession of 2008, Hurricane Sandy, and the closure of four casinos back in 2014. 

Atlantic City @Sean Pavone / Shutterstock Atlantic City @Sean Pavone / Shutterstock

Although the city has beach access which is appealing to many residents, its cold weather half the year makes it unusable. A place with gambling and casino nightlife like Vegas has warmer weather, making it a more attractive spot to get away. Unfortunately, many of the city’s biggest assets such as casinos have gone bankrupt, which have further contributed to the economic downfall driving people out of “America’s Playground”.

In 2014, the governor of New Jersey said that he and his government would be considering a referendum to end the monopoly that Atlantic City has on gambling. This would allow other municipalities to allow gambling, possibly bringing in more casino revenue to other places. Whether this will succeed is, as of now, unclear.

10. Pittsburgh, PA

Major Industries: Advanced manufacturing and information technology 
Annual Growth Rate:
-0.06%*

Back in 1950 “The City of Champions” was the 12th most populous city in America. Since then, the population has been steadily declining year after year. Even with large companies such as  PPG Industries headquartered there, American production and manufacturing industries continue to shrink as they have been since the 70s. 

Pittsburgh @Wade H. Massie / Shutterstock Pittsburgh @Wade H. Massie / Shutterstock

Pittsburgh is still known as a big steel-producing city, though steel production has slowed dramatically in the decades since its heyday. Due to this shrinking industry Pittsburgh is experiencing a weakened economy with sky high poverty rates. As scrappy as ever though, the rust-belt city is attempting to reinvent itself, encouraging growth in the tech industry with robotics and artificial intelligence emerging from the ashes. 

However, unless attention is paid to parts of the city that aren’t flashy (such as Homewood or McKees Rocks) and tech-savvy, Pittsburgh will likely continue its downward spiral. Which is a real shame, considering Pittsburgh is generally one of the safest cities in America.

11. Orlando, FL

Major Industries: Tourism and aerospace engineering
Annual Growth Rate:
2.02%*

Orlando is a complex city, bringing in much of its money from its tourism magnet Disney World. But behind the family friendly facade of the amusement park lies a darker reality for its residents, one beautifully depicted in the film The Florida Project, which follows the day-to-day life of a child living in poverty in a motel in the shadows of the world-famous attraction.

Orlando @Ingus Kruklitis / Shutterstock Orlando @Ingus Kruklitis / Shutterstock

Unfortunately, the kid-friendly city of Orlando also has the highest rate among all of Florida’s largest cities, ranking as one of the highest crime rates in America. This factor has made it a less-than-desirable destination for families to live, in addition to the poor quality of schools in the local school system. 

Housing prices in the Greater Orlando area have also been somewhat unstable. In one year, they went up 37.08% before plummeting the next. The economic downturn of 2008 and 2009 made the situation all that more unstable. Though Orlando is home to Darden Restaurants, many skilled workers are leaving to seek better employment elsewhere. 

12. Detroit, MI

Major Industries: Automobile manufacturing and financial services
Annual Growth Rate:
-0.25%*

Detroit’s downfall has led it to be seen as a case study for failed cities around the country. The once-mighty home of car manufacturers from Ford to General Motors saw its vast wealth disappear over decades of mistakes, until finally declaring bankruptcy in 2013. From factory closings to race riots as a result of years of discriminatory policies to corrupt politics, Detroit has seen it all, and Detroiters have been fleeing in large numbers for many years.  

Detroit @Susan Montgomery / Shutterstock Detroit @Susan Montgomery / Shutterstock

In the years since bankruptcy Detroit has become known for its sobering images of crumbling factories, serving as a warning to other cities on the edge. People continue to flee the city, which is still experiencing the aftereffects of its boom-and-bust car industry, such as pollution and high unemployment rates.

Though law enforcement might have you believe that Detroit’s downfall is due to high crime, that isn’t necessarily the case. It is a chicken-and-egg situation, as poverty has skyrocketed in the city right along with the violence crime rates. Though a financial emergency was declared in 2013, not much has helped since.

13. Denver, CO

Major Industries: Telecommunications and energy
Annual Growth Rate:
1.22%*

If you’re a skier or just like the mountain experience, you may have paid a visit to Denver, Colorado. The “Mile High City” is known for its craft breweries, outdoor activities, and proximity to the Rocky mountains, however, it has found itself losing residents to nearby cities such as Boulder over the recent years. 

Denver @Kara Math / Shutterstock Denver @Kara Math / Shutterstock

The home to companies such as Arrow Electronics has seen major growth in recent years with the legalization of recreational cannabis, which has edged out other industries both new and old. Nevertheless, this influx of young people has driven property prices sky high, and has sent older residents and locals running for the hills. 

Colorado Sun labeled the homeless camps in Denver as “out of control.” Westword pointed out that homeless numbers were surging even before the ] pandemic. There are 4,171 homeless people living in Denver, and the numbers keep increasing. This is another costly problem that is likely leading to people fleeing the city. 

14. Omaha, NE

Major Industries: Agriculture and food processing
Annual Growth Rate:
0.95%*

Billionaire business mogul Warren Buffet calls Omaha, Nebraska home, and continues to attract thousands of Berkshire Hathaway shareholders for annual meetings. Although not one of the largest metropolitan cities to begin with, Omaha has still been experiencing a slowing in population growth over the recent years. 

Omaha @Joseph Sohm / Shutterstock Omaha @Joseph Sohm / Shutterstock

Although the cost of living is relatively lower than the national average, young people especially are seeking opportunities elsewhere where they can make higher wages in places with more cultural clout than Omaha, which is landlocked and rather difficult to get to from other American cultural hotspots.

Additionally, the top employers in Omaha are the Air Force Base and CHI Health. If you’re not a military member or a healthcare worker, you likely aren’t going to be staying in Omaha for long. Though it is the HQ for other major companies, Omaha is having trouble getting people to stay.