The top 10 U.S. cities for job opportunities and earning potential, according to new report—New York and LA don't make the list

A new report from Checkr, utilizing data from the BLS, Census Bureau, and BEA, identifies mid-sized U.S. cities as leading the nation in job opportunities and earning potential, challenging the traditional dominance of major metropolitan areas. The study highlights a shifting economic geography where cities like Raleigh, Nashville, and Omaha offer robust employment growth and attractive earning potential, often amplified by lower costs of living. This trend points to sustained economic development and potential investment opportunities in these growing regional markets.

Analysis

A recent report by Checkr, utilizing data from the Bureau of Labor Statistics, US Census Bureau, and Bureau of Economic Analysis, indicates a significant shift in the geography of economic opportunity within the United States. The primary finding is the outperformance of mid-sized metropolitan areas over traditionally dominant large cities in terms of both employment opportunities and earning potential. Cities such as Raleigh, NC, ranked first, leverage established hubs like the "Research Triangle" to foster growth in high-value sectors including technology and healthcare. Similarly, Nashville's expansion is driven by its healthcare and logistics industries, while Charlotte has seen its labor force grow by over 10% in the last five years, anchored by its financial sector. A key component of this trend is the affordability factor; markets like Omaha and Portland, ME, offer a lower cost of living, which enhances real income and attracts talent, including remote workers. This contrasts with high-growth but high-cost cities like Austin, where expensive housing is beginning to offset the benefits of a strong job market. The data suggests a durable trend of economic decentralization, where regional hubs are developing robust, diversified economies and attracting significant business and human capital investment.

Key Decisions for Investors

• Investors should evaluate opportunities in residential and commercial real estate, particularly multi-family housing and logistics properties, in the identified high-growth, mid-sized metropolitan areas like Raleigh, Nashville, and Salt Lake City.
• Consider increasing exposure to companies and sectors with a strong operational presence in these emerging economic hubs, specifically targeting regional banks, healthcare services, and technology firms benefiting from lower operational costs and growing talent pools.
• Monitor housing affordability and cost-of-living indices in these top-ranked cities, as rapidly rising costs, noted as a challenge in Austin, could serve as a leading indicator of slowing growth and potential market saturation.