Since the pandemic started, more and more home buyers have been searching for homes in smaller towns further away from large downtown metropolitan areas. Why would anyone want to move away from the city where everything you could want or need is just a few minutes away?
Here are 4benefits to the small town life:
Lower Sale Prices and Property Taxes
Generally smaller towns have much lower home sale prices and property tax charges. For example: the median price of a home in New York, New York according to popular home listing site Zillow is $652,307 and the median home value of tiny Woodstock, New York (population >6,000) is just $388,412. In Atlanta Georgia you could pay about $1,500 rent for a one bedroom apartment or pay less than that in monthly mortgage payments for an entire home just outside of the city.
Property taxes are also commonly lower in small towns. For example let’s look at a commonly known Florida city, Tampa. The property tax of Tampa in 2019 was 0.742%, but in Hialeah, Florida the 2019 rate was just 0.513%.
Daily Living Costs are Lower
All of those things we pay for to conduct day to day life tasks, those become less expensive when you move to the country. Expenses like: parking, gas, taking an Uber, entertainment, restaurants, school items, and even car insurance all statistically cost less in small towns.
Small Business Owners Make More Money in Small Towns
If you are a small business owner, relocating to a small town could be hugely beneficial to you. Even though doing business in a large city brings in a much bigger customer base, studies and statistics have shown that small business owners are more successful in small towns. The financial site NerdWallet, that focuses on helping consumers make money and keep more in their pocket, found that the average number of business revenue in a large city is $1.4million annually. In a small town, according to NerdWallet, the number goes up to a whopping $4million in smaller towns. Operating costs of insurance, taxes, rent, advertising, etc. all help to play a role in this.
More Free Things to Do
If you enjoy getting outdoors to enjoy fresh air and natural beauty, there are more opportunities to do so for free in a small town. There are some great free things to enjoy in large cities, but there are many more the further out and more remote you are. Parks are bigger, sidewalks are less crowded ( a big plus right now during the pandemic), and there are just more outdoor spaces to enjoy.
Making a go in a small town isn't for everyone but if you're looking to save money, get out of the hustle and bustle of big city living, there are many places all over the country that offer a lower cost of living than major metro areas. Here are some more great financial tips for those looking to downsize and move.