Austin A Top City for Jobs in 2014
Once again, Austin has made one of the top spots on a “best of” list. In this case, the list of the best cities in the U.S. for jobs in 2014. Placing third out of 398 current metropolitan statistical areas, Austin scored highly specifically for it’s job growth rate of 4.1% in 2013 alone and a whopping 13.7% from 2008 to 2013. That made Austin the top Texas city on the list, besting fifth place Houston (3.0% growth rate in 2013) and tenth place Dallas (2.8% job growth in 2013).
According to a report on the list on Forbes.com, a significant influx in population factored into the score. As we know from the strength of the Austin real estate market - where homes are quickly being plucked off the market due to an abundance of buyers and insufficient inventory - new residents are coming to Austin in droves from states such as California and New York. Co-authors Joel Kotkin and Michael Shires wrote that Austin and areas like it “routinely attract people and companies from California and the Northeast with lower taxes and real estate costs that, on an income basis, are as much as half those in the asset-rich areas.”
Considering the data on the affordability of real estate, the prevalence of jobs and the population increases for each metro area, it becomes evident that a strong middle-class is sustaining the strength of cities with the best overall economic improvement since the Great Recession. Austin’s economic diversity with an emphasis on the energy and manufacturing industries has enabled its continued growth despite economic hardship - a fact easily borne out in the Austin real estate market. In fact, while markets across the country were dropping in value during the Great Recession, the value of Austin real estate showed an average appreciation rate of 3.4% during the peak of the economic downturn from 2009 to 2014.
In their report, Kotkin and Shires revealed that growth has continued in areas like Austin throughout all the changes in the economy, which has encouraged long-term migration and investment. Thus, real estate values continue to rise steadily without signs of reverting in the foreseeable future. The economic anomaly that makes Austin one of the best cities for jobs in 2014 also makes it the best city for real estate now and for years to come.