At one time American's were so mobile and flexible, relocating to new cities for both personal and professional reasons. Moving was as easy as finding employment, selling the house, packing and moving onto something new. However, in today's tough economy, more and more people are sticking to their roots, and not entertaining the desire to move the family somewhere new. Finding jobs and selling real estate is becoming more difficult.
The last sizable drop in annual mobility occurred about ten years ago. At that time, many lost considerable savings and investment dollars during the Internet dot com downturn. This time around, many investors had their savings depleted considerably by the downturn on Wall Street. Tighter loan underwriting standards also prevent people from getting the mortgage money they need to buy a house or move from their current one.
Americans are working harder than ever during the current recession; many are even putting off retirement. The older demographic of homeowners are staying in their long term homes, and delaying purchasing assisted-living or similar housing geared to older Americans. On the other hand, younger people are continuing to rent housing, as opposed to becoming first time home owners with the fear of being unable to unable to afford a mortgage.
Census Bureau reports show that the number of people who switched residences dropped to 35.2 million in the last year, the lowest number since 1962, when the nation had 120 million fewer people. People who do choose to move are more likely to move within the state they currently reside where as relocation between states have dropped the most, to half the rate recorded at the beginning of this decade.
Experts explain that the lack of mobility was of concern on two prominent issues. First, reports suggest that Americans were unable or unwilling to follow new job opportunities that may have existed in other parts of the country, those opportunities they may have sought out in the past. Secondly, the lack of movement as a whole could have a major impact on the economy, as it would reduce the economic activity generated by moves. The Bureau has also commented on American's mobility rate, stating it is at a record low since post-World War II.
Until we see a change in the economy, especially a need for profound transformation in the employment rate and real estate industry, American's are more likely to stick to their current home and occupations. Most people are afraid of such changes, and rightfully so, due to the instability of our current economic crisis.
Author: Jeff Farleigh
Bio: Jeff Farleigh is Vice President of Pack and Ride, a national self pack moving company located in Richmond, VA with over 30 years of moving and logistics experience.
Article Source: http://EzineArticles.com/?expert=Jeff_Farleight
