Small towns saw a real estate revival after 2020 because remote work let many people live farther from offices. According to the USDA Economic Research Service, nonmetro counties have gained population every year since 2020, mostly through migration. As of 2025 Census estimates, that growth has slowed, and results vary sharply by town.
Key Takeaways
- According to the US Bureau of Labor Statistics, 22.6 percent of US workers teleworked or worked at home for pay in March 2026, so remote work remains a lasting factor in where people buy homes.
- The USDA Economic Research Service reports that migration added an estimated 974,379 people to nonmetro counties between 2020 and 2024, yet 51 percent of nonmetro counties still lost population.
- Census Bureau Vintage 2025 estimates show growth outside metro and micro areas slowed to 0.1 percent between July 2024 and July 2025.
- Popular “Zoom towns” such as Truckee, California, saw sharp price rises, which can squeeze local buyers.
- Before moving, check broadband, local jobs, healthcare access, and total housing costs for the exact property.
For many people, the COVID-19 pandemic was a catalyst for change. One of the most significant changes has been the shift towards remote work, as more and more companies have adapted to the new reality of a remote workforce.
As a result, many employees are rethinking where they want to live and work, leading to a rise in demand for suburban and rural properties.
Let’s explore how remote work is driving the suburban exodus and the impact it’s having on the real estate market.
The Remote Work Revolution
Remote work became far more common during the pandemic and has since settled at a lower but lasting level: according to the US Bureau of Labor Statistics, 22.6 percent of US workers teleworked or worked at home for pay in March 2026. People are finding that they can be just as productive working from home as they were in the office, and many are enjoying the flexibility of being able to work from anywhere. This newfound flexibility has led many employees to reconsider where they want to live and work.
With the increased demand for remote work, people are no longer tied to urban areas to be close to their jobs. This is leading to a rise in demand for suburban and rural properties, where people can enjoy more space, fresh air, and a quieter environment. Remote work is not only changing where people live, but also how they live.
Why the Suburbs and Rural Areas are More Attractive
Compared to urban areas, suburban and rural areas offer a completely different lifestyle.
- Suburban and rural areas often have a slower pace of life and a closer-knit community feel. Many people who leave large cities say they want less congestion and a smaller, more familiar community, although experiences differ from person to person. In smaller places, local schools, clubs, and events can make it easier to get to know neighbors, but how welcoming a town feels varies from place to place.
- Suburban and rural areas also offer more space and a lower cost of living, which is attractive to many people, especially those who are looking to start a family. In suburban areas, people can get better financing options for larger homes, backyards, and even swimming pools, which are harder to find and afford in most city centers. In rural areas, people can enjoy wide-open spaces, fresh air, and stunning natural scenery. Additionally, the cost of living in suburban and rural areas is often lower than in the city, making it easier for people to save money and build wealth.
Of course, there are some challenges to suburban and rural living.
One of the biggest challenges is limited job opportunities, which can make it difficult for people to find work in their field. Additionally, suburban and rural areas may not offer the same amenities as urban areas, such as fine dining, shopping, and cultural attractions. However, many people find that the benefits of suburban and rural living outweigh the challenges.
The Impact on Real Estate
The rise of remote work is having a significant impact on the real estate market. Increased demand for suburban and rural properties raised competition and prices in some areas, especially popular scenic towns, while many other rural counties kept losing population. Real estate agents are having to adapt to the new reality of a remote workforce, with many offering virtual tours and other technology-based solutions to help people find their dream home from a distance.
One of the most interesting trends in the real estate market is the rise of “Zoom towns.” These are small towns and communities that have seen an influx of remote workers who are looking for a change of pace. These towns tend to combine scenery or recreation with enough services, such as reliable internet and a larger city within reach, to support remote workers who want to leave a major city.
Wrapping it up
The rise of remote work is transforming the way we live and work. For many people, it’s an opportunity to leave the city and start a new life in the suburbs or rural areas. With the increased demand for suburban and rural properties, the real estate market is evolving to meet the needs of remote workers, offering new opportunities and challenges for real estate agents and companies.
Remote work has settled into a lasting part of the labor market, with the US Bureau of Labor Statistics measuring telework rates between 21.5 and 23.0 percent in the year to March 2026, so it will continue to shape where people choose to buy homes. Whether you’re a remote worker looking for a change of pace, or a real estate agent looking to adapt to the new reality, the rise of the suburban exodus is something that we can’t ignore. As always, it’s important to do your research, weigh the pros and cons, and make the best decision for your unique situation.
What Is a Zoom Town?
A Zoom town is a community that grows quickly because remote workers move in. The term, a play on “boomtown” and the Zoom videoconferencing app, became popular in 2020 during the COVID-19 pandemic.
Examples summarized by Wikipedia include Truckee, California; Bozeman, Montana; Bethel, Maine; Aspen, Colorado; Cape Cod, Massachusetts; the Hamptons in New York; and the Lake Tahoe area. Outside the US, Moncton in Canada, Bansko in Bulgaria, and Zadar in Croatia have been described the same way.
Zoom towns show both sides of the revival. According to figures collected by Wikipedia, Truckee saw a 23 percent population increase and home price rises of about 50 percent, while housing prices in the Hamptons rose by up to 25 percent. Price jumps like these can make it harder for long-time residents and local workers to afford homes.
How Common Is Remote Work Now?
Remote work is smaller than at the pandemic peak but remains significant. The US Bureau of Labor Statistics, using the Current Population Survey, reports these figures for March 2026:
| Group (March 2026) | Share who teleworked |
|---|---|
| All workers | 22.6% |
| Women | 24.9% |
| Men | 20.5% |
| Ages 25 to 54 | 25.1% |
| Ages 55 and older | 24.1% |
| Ages 16 to 24 | 6.7% |
Telework is concentrated in office-based industries such as finance, information, and professional services. For anyone thinking about a move, the practical question is whether their own employer allows full-time or hybrid remote work over the long term. Our guide on how to negotiate to work from home permanently covers that conversation, and how flexible schedules are replacing the 9-to-5 workday explains the wider shift.
Did the Rural Population Boom Last?
Rural America did grow after 2020, but the gains were modest and uneven. According to the USDA Economic Research Service, the population of nonmetro counties stood at 46.2 million in July 2024 and rose by 134,540 (0.29 percent) between 2023 and 2024.
- Migration drove the growth: Between 2020 and 2024, migration added an estimated 974,379 people to nonmetro counties, 69 percent of it from domestic migration, according to the USDA ERS.
- More deaths than births: A natural decrease reduced the nonmetro population by 563,550 people between 2020 and 2024.
- Not every town benefited: 51 percent of nonmetro counties lost population between July 2020 and June 2024.
The newest Census Bureau data show the boom cooling. In its Vintage 2025 estimates, released on March 26, 2026, the Census Bureau reported that micro areas grew by 64,867 people (0.2 percent) and territory outside metro and micro areas grew by 11,367 (0.1 percent) between July 2024 and July 2025, roughly half the prior year’s growth. People are still moving out of the biggest places: the 50 counties with 1 million or more residents had a net domestic migration loss of 637,634, while counties under 15,000 people saw a slight net domestic gain of 8,773.
What Are Home Prices Doing Now?
Home prices remain high nationally, which is one reason lower-cost regions keep drawing buyers. According to the National Association of Realtors (NAR), the median existing-home price in August 2026 was $429,100, up 1.6 percent from a year earlier and the 38th consecutive month of year-over-year increases.
| Region (August 2026) | Median existing-home price |
|---|---|
| Northeast | $556,900 |
| Midwest | $340,400 |
| South | $366,500 |
| West | $619,100 |
| United States | $429,100 |
NAR also reported inventory of 1.62 million homes, a 4.9-month supply, and an average 30-year fixed mortgage rate of 6.67 percent in August 2026, citing Freddie Mac. These are national and regional figures; prices in a specific small town can sit far above or below them.
Small Town vs. City: Pros and Cons for Buyers
| Factor | Small town or rural area | City |
|---|---|---|
| Home size and land | Usually more space for the money | Smaller homes and lots at the same price |
| Local jobs | Fewer employers; remote income often needed | Wider job market |
| Internet | Varies by address; must be checked | Usually multiple providers |
| Healthcare and services | Longer travel to hospitals and specialists | Closer access |
| Resale | Fewer buyers, so sales can take longer | Larger buyer pool |
How to Evaluate a Small Town Before You Buy
- Confirm your work arrangement. Get your employer’s remote or hybrid policy in writing before committing to a distant move.
- Check internet at the exact address. Ask providers what speeds are available at that property, not just in the town.
- Look at population trends. Census Bureau county estimates show whether a county is growing or shrinking, which affects services and resale.
- Compare total costs. Add property taxes, insurance, utilities, well and septic maintenance, and the cost of driving longer distances.
- Visit in different seasons. Tourist towns can feel very different in the off-season.
- Review financing options. According to Wikipedia’s summary of the program, USDA Rural Development home loans can finance up to 100 percent of a home’s value with no down payment for owner-occupied homes in eligible rural areas, with household income limited to 115 percent of the county median. Limits and fees change, so confirm current terms with a USDA-approved lender.
For more on choosing a location and inspecting a property, see how to choose a city as a first-time home buyer and 10 things to check when buying a house. If you will work from the new home, plan your home office setup for remote work before you move.
Frequently Asked Questions
Why did people move to small towns after the pandemic?
People moved to small towns after 2020 mainly because remote work removed the need to live near an office. Lower home prices, more space, and outdoor access also played a role in the rise of so-called Zoom towns.
Is the move to rural areas still happening?
The move to rural areas is still happening, but more slowly. Census Bureau Vintage 2025 estimates show territory outside metro and micro areas grew by 0.1 percent between July 2024 and July 2025, about half the prior year’s rate.
What is a Zoom town?
A Zoom town is a community whose population grows quickly because remote workers move in. Examples include Truckee, California, and Bozeman, Montana.
Are small-town homes cheaper?
Small-town homes are often cheaper than city homes, but not always. NAR’s August 2026 data show regional medians from $340,400 in the Midwest to $619,100 in the West, and popular Zoom towns can cost more than nearby areas.
How many Americans work remotely?
According to the US Bureau of Labor Statistics, 22.6 percent of US workers teleworked or worked at home for pay in March 2026.
What are the risks of buying in a small town?
The main risks of buying in a small town are fewer local jobs, limited internet in some areas, longer trips for healthcare, and a smaller pool of future buyers when you sell.
