Are People Moving Back to Cities Now That Hybrid Work Is the Norm?

The pandemic reshaped how and where people work, and in turn, how they live. With hybrid work (part-remote / part-office) now firmly established, it’s natural to ask: Are people moving back to cities, or is the shift away from urban cores here to stay?

The answer is nuanced. Yes, some are returning to city living, but many are not, and the trend varies by metro, job type, and lifestyle. Let’s break it down and explore what this means for housing markets — especially places like Bend, Redmond, and the outskirts of Central Oregon.

What the data says

Here are some key findings:

• A survey of 1,000+ businesses found only about 12% of those with hybrid or fully remote workers plan to mandate full office return in the year ahead.

• Research by McKinsey Global Institute found that while urban core out-migration surged during the pandemic, the “return” wave remains weak. Many who left cities are not moving back.

• In a study of remote worker relocation intentions, about 20% of remote workers plan to move in 2025 — the majority choose suburban areas (53%) and only about 30% choose urban locations.

• Hybrid work remains the dominant model: In the U.S. many companies are requiring 2-3 in-office days per week rather than full 5-day returns.

Bottom line: Some movement back to cities exists (especially for certain job sectors or desire for amenities), but the larger trend is not a mass return to urban cores. Hybrid work has given many more people flexibility to live elsewhere.

Why some people are moving back to cities

Several factors draw people back:

• Amenities and lifestyle: Cities offer restaurants, arts, public transit, walkability — key draws for people who still value that aspect.

• Job location tie-ins: Some jobs or industries require more in-office time, client-facing work, or proximity to coworking hubs — pushing workers back toward cities.

• Younger demographics and urban ambition: Some younger buyers/ renters still prioritize urban living for social, transit, and career reasons.

• Rental/condo price corrections: In some markets, urban living got cheaper during the exodus, drawing value-seekers back.

Why many are not moving back (and are staying or moving out)

• Commuter less critical: With hybrid work, many only need to go into the office a few days — allowing them to live further out or in suburbs for lower cost and more space.

• Housing affordability: Urban cores tend to have higher home prices and rents; for many, cost is a major barrier.

• Quality of life / space: Remote/hybrid workers often prioritize home offices, outdoor space, and quieter neighborhoods.

• Risk/health preferences: Some still prefer less density and more control over their environment, even post-pandemic.

What this means for real estate and housing markets

Urban real estate

• Cities that lost residents may see slower growth. Potential for some rebound as amenities reopen and people seek convenience.

• But cities may need to adapt: more flexible housing, smaller units, hybrid-friendly layouts, co-working proximity.

Suburbs & exurbs

• These areas remain strong beneficiaries of the hybrid dispersed workforce trend.

• Regions within reach of major job markets but offering lower cost and more space may see sustained demand.

Smaller metros / lifestyle markets (like Central Oregon)

• Areas like Bend, Redmond, and beyond may gain from the tailwinds of remote/hybrid work: people relocating for lifestyle and flexibility rather than purely urban living.

• However, if a large number of people return to big cities, competition for these lifestyle markets could decrease — or shift patterns.

Central Oregon angles to consider

• If fewer people are returning to dense urban cores, places like Central Oregon could continue to benefit as remote/hybrid workers seek lifestyle destinations.

• For buyers: A home in Bend or Redmond may appeal to those who don’t need to be in the city five days a week and prefer nature, space, and quality of life.

• For sellers/investors: Highlight features like strong internet, home office space, lifestyle amenities, and accessibility (even if not in a dense city).

• Monitor employment policies: If major local employers start requiring more on-site days, that could shift demand back toward closer-in neighborhoods.

So are people moving back to cities now that hybrid work is the norm? Some are — but far from a full-scale return. The bigger story is that the flexibility of hybrid work means more people are choosing how, when, and where they live — and many are staying out of dense urban cores or in suburbs/lifestyle markets instead.

For markets like Central Oregon, this could remain a strong tailwind — especially for homes that cater to hybrid workers seeking quality of life, space, and flexibility rather than being right in a major metro downtown.

FAQs

Q: Does this mean city home values will drop?

A: Not necessarily — cities still offer value and will rebound in many cases. But growth may be slower and conditions may vary significantly by neighborhood and job sector.

Q: If I bought in a city during the pandemic exodus, is it a bad investment?

A: Not necessarily. Location still matters, and some urban areas may benefit from returning demand or reinvestment. But expect more variation and harder competition.

Q: What about remote workers moving to rural/lifestyle areas — is that still big?

A: Yes — many remote/hybrid workers continue to move to less dense, more affordable areas that offer quality of life, space, and flexibility. The survey showed 53% of planned movers chose suburban vs 30% urban.

Q: Should I buy in a city because of potential future return-to-office mandates?

A: It’s a hedge. If your job requires frequent on-site work, city proximity is advantageous. But if you’re hybrid or remote long-term, a broader geographic choice may be better.