The pandemic has turned the world upside down. And one of the things that changed dramatically is the landscape of the Chicago residential market. Chicagoans are moving away, in far greater numbers than before the pandemic.

Today, I’ll discuss the phenomenon of residential relocation during the pandemic. In particular, I will strive to answer this question: “Why are Chicagoans moving away from the pandemic?”

But before that, let’s examine the impact of the Corona virus pandemic on Chicago.

COVID Impact on Chicago

Since the pandemic started, several sectors were badly affected. The economy almost succumbed to the negative effects of the pandemic and it has distraught many lifestyles all over the world. 

According to HireAHelper's migration estimate, Illinois will lose 40 percent of its population in 2020, putting it behind California, New York, and New Jersey. 25% of relocations across the United States of America was due to the CoronaVirus. About ⅓ of the population relocated across the US to get closer with their family whilst 35% were forced to move out due to the financial crisis.

COVID-19 has an outsized impact on the same individuals and families currently struggling in the American economy, according to several housing and community development advocates in Chicago. And these inequities will have significant neighborhood-level impacts.

The pandemic impacted the housing market in many ways. According to Institute for Housing Studies at DePaul University, more than 183,000 - or more than 60% - of the roughly 300,000 Chicago homes with a worker in an at-risk occupation are renter households. At least one possibly impacted worker lives in 41% of renter homes and 33% of owner households. Nearly half of renter households with an at-risk worker were already housing insecure, which meant they were financially strapped, paying more than 30% of their income in rent. 

The COVID-19-related economic crisis disproportionately affects workers of color and renter households, particularly renter households that are already cost-burdened and low-income renter households.

While renter homes with likely impacted workers can be found in every Chicago area, they are especially concentrated in neighborhoods on the south and west sides. Furthermore, a small cluster of southside areas is home to already cost-burdened at-risk renter households. 

Now let’s dig deeper into the different reasons why Chicagoans move away during the pandemic.

Reasons why Chicagoans are moving away during the pandemic

Chicago is a beautiful city. But in the midst of a raging pandemic, Chicagoans are moving out in droves. There are countless reasons why this mass migration happens but today I will discuss the 12 most popular. I will share you information collated from long hours of research, from distinguished experts such as the NPR, The Economist, NBC Chicago, Chicago Reporter, Chicago Sun Times, Washington Street Journal, Harvard University, Politico, Vox, and MacArthur Foundation.

1. Career move

The most significant factor of Chicago migration is employment changes. Workers had to make many career moves to weather the effects of the pandemic. Many lost their jobs due lockdowns or got their hours cut. So they chose to move to find jobs with better pay. Then came the Great Resignation wherein people who had jobs quit and moved away.

With countless job opportunities born out of the pandemic, people chose to step up their career path to a whole new different level, which they haven’t obviously experienced pre-pandemic. Workers switched jobs for better pay or more comprehensive and relevant benefits package.

2. Remote work

The remote work orders led people to reimagine the way they live. A Chicagoan named Ian M. Tobin even said, “Knowing that I was going to be spending more time at home, I decided to move to a better apartment in the city.”

Since movements of employees were limited and people were not supposed to crowd, most companies mandated remote work, per government regulations. From having to commute hours a day just to get to work in the midst of the busy streets, work done at home has become way more convenient to some employees. 

So workers enjoy more time with their family. And rethought their lifestyle, beyond the pre-pandemic setting wherein they have to hit the road for hours and hit the road back home for another hour. They also found better properties that are conducive to remote working.

3. Fear of COVID

Fearing the virus has been natural for everyone given its dangerous effects to the people. Some with underlying conditions who contracted the virus experienced a much higher risk than they were before. 

In Chicago alone, there have been more than two million positive cases in Chicago and over thirty thousand deaths. These numbers are enough to cause hysteria amongst tresidents. So many Chicagoans move out of the city into another neighborhood or state with fewer cases and safer environments.

4. Want to be close to family (to look after family members)

The Washington Post reported that people are leaping into one of the largest life upheavals there is: moving out of cities, after months of imposed inactivity, unable to make many key decisions or follow through on some previously made. For some, it's an opportunity to spend more time with family, which is especially important in the midst of a global health crisis. It's a chance for a big swath of people in the country's most costly cities to have greater living space and be closer to nature, something that the growing trend of remote work is making increasingly practical. For many others, it's not so much a choice as it is a necessity in the face of rising job losses and still-astronomically high rents.

5. Financial Hardship (due to Job loss or furlough)

According to the Chicago Tribune, half of Chicago households, many of them Black and Latino families, cited substantial financial hardships caused by the coronavirus outbreak in their decision to move out of Chicago

Many Chicago households have battled to pay bills, rent, and utilities, as well as afford medical care and child care, during the pandemic. In the process, many people have also drained their savings.

6. Save money (looking for affordable communities)

The most crucial factor behind the outbound migration of Chicagoans is the high cost of living.

Chicagoans are looking for less expensive places where they can both manage their finances (whether as a renter or a home buyer) and their new lifestyle. Homes in the suburbs that are close to Metra stations are likewise in high demand. Hence, the prices also spiked up, especially during the pandemic. With that, people decided to save more money given the uncertainties of the pandemic and the first step of saving would be looking for homes in affordable communities.

7. To get away from the congestion and find more spaces

Fear of the virus is a natural mechanism felt by many of us. Given that the virus can contract many individuals, especially all at once, Chicagoans slowly decided to relocate to get away from the congestion and to find more spaces, where there is less of a crowd. 

Aside from the virus, Chicagoans move to get away from the stifling congestion and competitive parking environment of the city. “More people are able to work from home and are looking for homes with home offices, more space, they don’t need to be in the city and they like the more openness and space of the suburbs," said Teresa Ryan, Lead Broker at Ryan Hill Group based in Naperville.

8. To be able to buy a home in communities with better market rates

Covid-19 threw the US economy into a tailspin, causing millions of people to lose their jobs and go hungry. The housing market exploded in the midst of the crisis. Buyers have been desperately bidding up the prices of available houses, sending home prices rising, due to the exploding demand over the past year combined with a record low supply of housing.

People who were on the fence about purchasing a home have stepped into the market; some are first-time homebuyers, while others are buying second homes, both of which put significant pressure on the market because they aren't putting up a property for sale while taking one off the market. 

Chicagoans flexed their savings to get into neighborhoods that will appreciate over time. Taking advantage of historic low mortgage rates, they moved away from the Windy City to communities that have better amenities and more attractive locations.

9. Chaos in Chicago (High crime rates and riots)

Apart from the influence of the pandemic, several Chicagoans who used to enjoy the state opted to move out of the state due to its crime rates and riots. It’s such a tragedy that the city has a greater rate of violent crime than the national average, making it one of America's most dangerous cities. According to CBS News, there are 943 violent crimes per 100,000 residents in the city. As a result, if you happen to be in the wrong Chicago neighborhood at the wrong moment, you could become a victim of a violent crime. 

10. Retire early

Many early retirees take a drastic step to save money: they relocate to a much cheaper city or town. This is to maximize their resources and find the best property for the money. It’s no longer about the trendiest location, but the most practical for your needs.

In particular, FIRE (Financial Independence, Retire Early) practitioners focus on simplicity so they can enjoy their savings for longer without being dependent on a 9 to 5.

11. Simpler lifestyle for mental health

Consequently, a simple lifestyle does not suit the energetic city that is Chicago.

Chicago is similar to New York City where all the streets are busy and full of people coming in and out of the towering buildings. Its suburbs are also full of busy people who keep on working 24/7. So people who are not used to the busy life opted to move out of the state to find more peace of mind in other states that are less noisy and less stressful. And finding a peaceful community for mental health means leaving Chicago. 

12. Harsh Climate

It's really too cold here! Many individuals are fleeing Chicago during the chilly winter months, as one might assume. Between November and March, there can be up to 100 inches of snow. And as much as people would choose to still stay and try to bear the climate, some people just can’t and choose to move out.

13. Failed govt policies

The most critical and long-term factor behind the mass migration from Chicago is the failure of local government. Government failure is a far more serious issue that has led many to leave places that they once called home.

In the previous ten years, Chicago has lost roughly a million residents. It's no surprise that people are looking for better pastures in the face of increased violence, rising taxes, and astronomical living costs. 

The city's troubles aren't new. Violence, police brutality, population decrease, and growing debt have all occupied national attention for a long time. With local leaders’ poor government policies and protocols, it has the tendency to put its people at more risks. For instance, businesses choose to move out of Chicago to get away from intense lockdowns and profit-eating fees and taxes.,So Chicagoans opted to leave the state rather than risk themselves more.

Bonus: Some Great Suburbs to Move into From Chicago

However, Chicago has still a lot to offer for people to settle in. In fact, it still has suburbs that offer good quality of community life and job opportunities. Each suburb has its own characteristics, amenities, and attractions that set it apart from the others.

1. Long Grove

People can't get enough of this Lake County suburb's calm, diversified, and welcoming vibe. Long Grove has a rich history and hosts seasonal events that draw visitors from all over the world, such as Vintage Days, Irish Days, and Chocolate Fest. This town's eclectic mix of unique boutiques and businesses is sure to satisfy. Long Grove offers not just a cultural perspective, but also delicious dining alternatives, bars, and taverns.

2. Naperville

DuPage County's most populous, safe, and prosperous city. The public education system in Naperville is excellent, making the transfer from high school to college a breeze. Due to its low crime rate, ability to raise children, and range of housing options, this dynamic and prosperous town has consistently been recognized as one of Chicago's best suburbs.

3. Clarendon Hills

This DuPage County municipality is a small, welcoming, upper-middle-class neighborhood. Clarendon Hills is home to a diverse population, excellent public schools, and a variety of housing options. The neighborhood provides a very safe environment, as well as a thriving downtown region that aims to create a vibrant, educational, and diversified lifestyle.

4. Glencoe

A hamlet on the west side of Lake Michigan in the northern suburbs of Chicago has a lot to offer. Glencoe is the ideal location for unwinding and having fun. Glencoe is also a great place to raise a family because it features top-rated schools and a variety of kid-friendly activities.

5. Northbrook

This Chicago suburb, which is located on the northern fringe of Cook County, offers a diverse selection of stores and eateries. Downtown Northbrook is surrounded by local family-owned businesses, a green park, and the Metra, making it easy for commuters and night owls to navigate around the city.

6. Wilmette

Wilmette is a family-oriented tiny town in the northern suburbs that is inclusive, stylish, and welcoming. This neighborhood relies on bringing people together for philanthropic and civic causes. Furthermore, the educational system is well regarded throughout the country. Gillson Park, a clean, family-friendly, and safe beach ideal for picnics and Lake Michigan, is also located in this north shore community.

7. Western Springs

Western Springs, a small and picturesque Midwest town, has it all: restaurants, wine bars, and small company owned businesses. It's a terrific location to live. This community is home to some of Illinois' greatest public and private schools. Residents in this suburb feel extremely safe because there is little to no crime.

8. Winnetka

A renowned and family-friendly neighborhood with high-quality housing. Winnetka is well-known for its prosperity and well-built town. This hamlet, located on the shores of Lake Michigan, provides people with competitive academics, sports, and leisure opportunities.

9. South Barrington

A tiny and prosperous Cook County hamlet located south of Barrington. The famed Willow Creek Church, which people have come to know and love, is located in this area.

10. Hinsdale

This attractive, family-friendly, and easily accessible village appeals to people of all ages. Working professionals may easily commute to the city from Hinsdale, which is only a short rail trip away. The schools available are good for all grades, making this western suburb of Chicago a great place to raise a family. Furthermore, residents' access to a wide range of shops, restaurants, and activities is a major factor in their decision to stay.