Impact of the real median price of single-family homes on US internal net migration: an exploratory empirical note

Abstract

This exploratory study investigates the impact of the real median price of single-family homes on US net internal migration flows over the 2000 to 2004 period. After allowing for factors such as the growth rate of GSP, the presence of hazardous waste sites, climate, the presence of state income taxes, and other factors, it is found that the rate of net state in-migration over the 2000 to 2004 period was negatively and significantly affected by higher real median prices on single-family homes, a finding consistent with the absence of ‘money illusion’.