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The Impact of Remote Work on the Real Estate Market
10-12 min
June 25th, 2025
Remote work became quite popular in 2020 when the pandemic pushed everyone to work from home. People enjoyed the flexibility of working from anywhere, which changed rental and home purchase patterns everywhere. Even in 2023, about 35% of workers did some or all of their work remotely, only occasionally coming into the office.
This didn’t just change the way we work; it also changed how we handle real estate. Since people are looking for properties that align with this new lifestyle, investors have to adapt their strategy if they want to stay ahead. This article will offer some insight into the housing market forecast with these pattern changes in mind.

Changing Buyer and Renter Preferences
Remote and hybrid work significantly changed the way people look for homes to buy or places to rent. Since commuting is no longer an issue, their homes have become their offices. As such, homes don’t just have to be comfortable; they need to be functional as well.
Nowadays, buyers and renters make space a priority, but they also need to have privacy so they can perform their work. A converted garage, a finished basement, or a spare bedroom is not just a “good thing to have.” It’s a necessity. People need a space they can call a “home office.” They can’t have external factors interrupting their Zoom calls or distracting them.
This is one of the many reasons why these days, people favor single-family homes over apartments and condos. They have greater square footage, and the rooms are effectively separated from common areas. Plus, since these structures are independent of other households, remote workers no longer have to worry about noisy neighbors as much.
Aside from the extra rooms, people are also looking into properties with backyards or outdoor spaces. Being cooped up in the same space with no access to fresh air can be maddening. The backyard offers a change of scenery where workers can recharge and get their dose of nature.
Suburban and Secondary Market Growth
The rise of remote work changed the way people choose to live their lives. In the past, someone would move into high-cost metro areas such as Los Angeles, San Francisco, and New York due to high-paying job potential.
The problem is that while salaries may be high in these areas, so are living costs. Rent in particular is very expensive, especially if you live in an urban area.
An Interest in Comfortable and Affordable Living
With inflation and general costs of living becoming so high in the big cities, people no longer find it worth it to be rooted in such places. Simply buying your weekly groceries or going out can create a hole in your bank account.
This makes it difficult even for high-paid folks to save money. As such, many remote workers decide to move into the so-called “secondary markets, as they offer steady job growth, comfortable living, and affordable housing.
For example, the average rent for a one or two-bedroom apartment in New York City, NY, goes past $2,328. This is a stark difference from Phoenix, AZ, where a similar apartment costs about $1,308 per month.
People who can afford to take their work remotely prefer to choose areas such as Austin, TX, or Tampa, FL, to save a couple of bucks every month on housing.
An Opportunity for Investors
Migration data from platforms such as Redfin and the U.S. Census Bureau confirms this. With more and more people moving into the suburban areas, demand for property is increasing. This means that home prices are on the rise and will appreciate within the next few years. Investors can buy property at a low cost now and benefit from higher home sale prices later.
Plus, suburban areas make the best rental markets for investors. Rent prices in such cities are growing, and you don’t have to deal with such fierce competition as you would in a big city. This means that your rental yields can stay strong.
Rental Trends and Housing Market Forecast
Telecommuting didn’t just change the places where people choose to move, but also how they do so. With remote work becoming more and more popular, the rental housing market (both long-term and short-term rentals) has seen some changes.
Walking Away from Big Cities
When office work was at its peak, the most common form of rentals would be the long-term kind. After all, if they had a job to get to every day in a specific building, they needed a reliable, long-term place there. However, things are changing now that remote work is starting to hold a heavier weight in the balance.
For instance, in major cities such as Chicago or New York, you no longer see as much demand for traditional, long-term rentals. Living in these cities used to be a no-brainer, but that’s because workers had to be close to the transit hubs and office buildings.
Still, in the suburbs or affordable cities such as Raleigh, NC, rental demand began rising. People are looking for affordability without sacrificing comfort, and many realize you can’t get that kind of life in the big cities.
Popularity for Medium-Term Rentals
Perhaps one of the most interesting trends associated with remote work is the interest in medium-term rentals. Nowadays, people no longer shackle themselves to contracts that go past one year. Instead, they stick to rental periods of 1-6 months.
Tech professionals and digital nomads are particularly interested in this since they can explore new locations without having to settle down.
Unlike long-term properties, medium-term ones are generally fully furnished and don’t require renters to bring more than their clothes. Remote workers can spend three months living the summer life in Miami, FL, and then move to Asheville, NC, for the next five to six months. These types of accommodations are flexible, making them a perfect fit for someone with a just-as-flexible job.
As a real estate investor, you have to pay close attention to these trends. This way, you can determine where to buy, what rent to offer, and what audience you want to target. Keeping an eye on data such as average tenant behavior and mobility patterns can help you determine the best cities for remote workers.
What Investors Should Pay Attention To
As an investor, you’ll have to pay attention to a series of factors when choosing properties. Here are some things to keep in mind:
Look for Growing Cities
The best cities for remote workers are often the ones that are still growing. These places have enough economic resilience to draw people in, allowing them to prosper. The houses are also more affordable in these areas, which means people would be more likely to buy or rent from you.
Plus, remote workers are looking for places that are quieter than the big cities but still have enough potential for them to have some fun. After all, they’ll spend most of their time indoors; they’ll need something to do in the city in their free time.
Track Migration Trends
The next thing you should do is track migration trends. Where are remote workers going nowadays? For example, many of them are moving away from the big cities and into smaller towns.
This is an opportunity for them, but also one for you. It signals demand for the areas, whether it’s to buy or rent, which increases home value. Investors should keep track of this data so they can avoid a stagnant market.
Evaluate Neighborhood Potential
You may have property in a city that’s in demand, but that doesn’t mean that all of its neighborhoods will be good. Neighborhood selection is important, even if the buyers or renters work remotely. When potential renters look into where to move for remote work, they usually want accessibility and good infrastructure.
Invest in neighborhoods that offer a remote-friendly lifestyle, such as fast Internet access or quiet streets. You should also look into communities with good schools and proximity to co-working spaces.
You should make use of all the resources you can get to assess a specific property. Tools such as REI Lense can help you evaluate things such as market score, rental income, and investment potential in a remote-friendly area. This ensures you invest in a home with high ROI.
Is Remote Work Here to Stay?
Almost half a decade has gone by, and remote work is not showing any signs of going down. In fact, it’s expected that by 2030, the number of remote jobs will increase by 25%. Workers love the liberty of doing their jobs from wherever they want, and companies also have fewer overhead costs to deal with.
Hybrid work will also evolve alongside remote work, with companies only calling remote workers occasionally to the office. This will continue to shape housing demand, as workers will seek short-term and mid-term rentals. Moreover, developers are creating homes with home office nooks in response to the steady increase in popularity.

Conclusion
Remote work transformed the housing market because it changed what people are looking for in an ideal home. Renters are migrating from the big cities to more affordable, remote areas. This brings plenty of growth opportunities for investors, as demand will only increase in the future.
Consider using tools such as REI Lense to see where the strongest markets are and find your next investment!
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