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Report: More people move to Sacramento for the location rather than a job

The truth is, Sacramento is making waves. But why are people moving to the Capitol City?

You probably hear it often.

"People are moving to Sacramento in flocks." "The rent is getting higher. And higher." There isn't enough affordable housing." "Sacramento is attracting job seekers." "Sacramento is no longer the sleepy cow town."

The truth is, Sacramento is making waves. But why are people moving to the Capitol City?

A new report by Rentonomics-- an Apartment List blog-- found nearly 60 percent of renters in the Sacramento metro are location-first movers, choosing to move to the city before searching for a job. Metros with mostly location-first movers are typically fast-growing, affordable Sunbelt metros, according to the report.

Metros with a larger share of job-first movers have a higher number of college-educated workers and high housing costs. Job-first renters apply for jobs in multiple cities and pick a city based on job offers. Tech hub cities such as San Jose, Denver and Seattle are job-first metros.

However, while renters may initially move to a more expensive city for a job, less than 35 percent plan to settle in the city.

Nationally, about 43 percent of location-first renters opt to settle in their new city but in Sacramento, the report found that only 33 percent current renters plan to stay.

Rentonomics explains, hospitality employees can find similar jobs within different cities. Restaurants, hotels and retail stores can be found across the nation. An ABC10 report found, the majority of new people moving to Sacramento work in finance, health services, education or hospitality.

This could help explain why the more than half of Sacramento renters are location-first residents.

Higher-paying jobs in the tech industry require specific education and experience and are only found in certain cities.

We can conclude that while new residents may be attracted to the new businesses in Sacramento and lower cost of living compared to nearby Bay Area, they may not be planning on staying long term.

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