Q1 2026 Migration Report

Where Americans Are Moving in 2026

Data-driven analysis of US migration patterns, tax arbitrage, and cost of living trends based on Census data and Ocity's proprietary scoring.

2.8M
Americans relocated
+23%
YoY interstate moves
$6,400
Avg annual tax savings
TX, FL, TN
Top gain states

Top Migration Corridors (2026)

Based on Census migration estimates and Ocity user data. Tax savings calculated for $100K salary.

Route Est. Movers Tax Savings/yr COL Change
California Texas
102,000 +$8,200 -28%
New York Florida
78,000 +$9,500 -22%
Illinois Tennessee
45,000 +$5,100 -18%
New Jersey Florida
38,000 +$7,200 -15%
Massachusetts North Carolina
32,000 +$4,800 -24%
California Arizona
65,000 +$6,100 -12%
Washington Texas
28,000 $0 -8%
Colorado Texas
25,000 +$4,300 -14%

State-by-State Insights

Texas

+175,000

No state income tax + booming job market

Florida

+142,000

Zero income tax + warm climate

Tennessee

+68,000

No income tax + low cost of living

North Carolina

+85,000

Tech growth + Research Triangle

Arizona

+74,000

California overflow + retirees

Key Findings

Why People Are Moving

  • 1. Tax Arbitrage โ€” High earners fleeing CA, NY, NJ for zero-tax states, saving $5K-15K/year
  • 2. Remote Work โ€” 35% of moves tied to permanent remote positions
  • 3. Housing Affordability โ€” Median home in Austin costs 40% less than Bay Area
  • 4. Quality of Life โ€” Lower crime, better schools, more space

States Losing Residents

  • California โ€” Net loss of 180K residents, primarily to TX and AZ
  • New York โ€” 120K net loss, mostly to FL and NC
  • Illinois โ€” 85K net loss, property taxes cited as top reason
  • New Jersey โ€” 55K net loss, highest property taxes in US

Methodology

This report combines data from the US Census Bureau's American Community Survey (ACS) 2025 estimates, IRS migration statistics, and Ocity.org's proprietary analysis of 713 US metros.

Tax savings are calculated using Ocity's TaxEngine for a $100,000 annual salary, single filer, comparing state + local income tax liabilities between origin and destination.

Cost of living changes are derived from BLS Consumer Price Index data and local housing market indices, weighted for a typical household budget.

Report generated: March 2026. Data updated quarterly. For press inquiries or custom reports, contact Ocity Research.