The coronavirus pandemic could boost real estate prices in some parts of the United States. Conversely, coronavirus will destroy property values in many other regions.
For instance, coronavirus could increase demand property values in some rural and Sunbelt areas. To explain, people who work from home will want to move to safer and more pleasant areas.
For example, some professionals will abandon their apartment in Brooklyn or their ranch home in Aurora, Colorado, in favor of a house in Florida. Additionally, many people will realize that they no longer need to live within commuting distance of their jobs.
Hence, many people will move farther out in the countryside or to a high-quality-of-life smaller city or small town. More people will move from Naperville, Illinois, or Levittown, New York, to Salida, Colorado, or Saint George, Utah, for example.
Coronavirus will fuel Migration
I think coronavirus will help places with low taxes, low housing prices, low density, good climates, and a higher quality of life most.
In particular, many work-from-home professionals will move from high-tax states; such as California and New York, to no-income tax states such as Nevada, Florida, Tennessee, New Hampshire, Texas, and Wyoming. Additionally, small cities and towns that offer urban amenities such as ethnic restaurants, old buildings, outdoor recreation, parks, excellent schools, old houses, live entertainment, colleges, shopping, and sports will see more in-migration.
For instance, families could move from Boston to Charlottesville, Virginia, Santa Fe, New Mexico, or Jacksonville, Florida. Warmer climates will be one of the major focuses of that migration.
Families with children and seniors will pioneer the migration, but many singles will follow. I predict many older singles who are sick and tired of apartment-living will decamp from cities such as Chicago and head for locales like Galveston or Boise.
Shift Back to Public Schools
One factor driving the out-migration could be a shift back to public schools by the upper class. To explain, Scott Galloway or Prof G…