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Tennessee Becomes Magnet for Young Professionals in 2023 and Beyond

Feb 10, 2025 at 05:10 pm by WGNS News


Tennessee is rapidly establishing itself as a top destination for young professionals, with millennials making up 27% of new arrivals and Gen Z’ers following closely behind at 26%. This notable influx highlights the state's appeal to those seeking a fresh start in their careers and personal lives.

A remarkable 44% of newcomers to Tennessee achieved homeownership within their first year of relocating, indicating a strong housing market and a responsible demographic of residents. This trend not only showcases the newcomers’ financial literacy but also points to a solid educational foundation, enabling them to navigate the home-buying process effectively.

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The majority of those relocating to Tennessee come from the West Coast, particularly California. In 2023, an estimated 26,000 Californians made the move to the Volunteer State, making it the largest source of new residents. The allure of housing affordability is undeniable, with average home prices in Tennessee being 58% lower than those in California. A study by StorageCafe reveals that nearly half of incoming Californians secured homeownership within their first year of settling down.

Specifically in Rutherford County, there has been an average increase of 678 new residents per month over the past four years. In 2021, the population was estimated to be just over 349,000 people. The State of Tennessee now estimates the current population to be 381,646 residents. Four years ago, the population was closer to 349,000. In total, this reflects an increase of 32,559 new residents. As of 2025, 63% of the residents in Rutherford County are between the ages of 18 and 64.

Florida is also contributing significantly to the state's population growth, with approximately 21,000 Floridians moving to Tennessee in 2023. Interestingly, Gen X is now leading this migration, a shift from the millennial and Gen Z dominance seen in previous years. Average housing prices in Tennessee are 19% lower than those in the Sunshine State, and around 48% of newcomers from Florida purchased homes within their first year.

Texas, New York, and Georgia have also played notable roles in Tennessee’s growth during 2023, as newcomers are drawn by the state's affordable housing, absence of a state income tax, and an expanding job market.

Overall, Tennessee ranks 9th in the nation for the number of residents migrating from other states. Texas secured the top spot by welcoming 138,000 new residents, followed closely by Florida at 136,000. North Carolina held third place with a net migration of 110,000 new residents.

In stark contrast, California experienced the largest population decrease in the nation, losing approximately 260,000 residents in 2023. New York followed with a loss of over 186,000 residents, while Illinois saw nearly 90,000 people depart.

As Tennessee continues to attract a diverse and growing population, its status as a desirable location for young professionals and families is increasingly solidified, paving the way for a dynamic future.

 

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