Austin named top city for grads thanks to affordable rent
According to an analysis by the Federal Reserve Bank of New York, 41% of new graduates are now working in jobs that typically don't require a college degree, up from 39% in January.
That's why it's so important where these recent college grads end up.
Realtor.com analyzed more than 300 cities and towns to find the most 'grad-friendly' rental markets in 2025, weighing factors like housing affordability, rental availability and job opportunities.
Austin, Texas, topped the list for the second year in a row thanks to its low rent-to-income ratio (18.9%) and high share of jobs (29.4%) that require a bachelor's degree but no prior experience.
Recent college grads face toughest job market in years
Austin Mayor Kirk Watson told 'Morning in America' that the city not only offers a vibrant lifestyle but also significant opportunities in tech for young professionals building their careers.
'Everywhere from manufacturing in tech and semiconductor, of course, with the Samsung and NXP and all of the different semiconductors manufacturers we have, we have a real opportunity. We have real opportunities there,' Watson said.
'The technology field is, is, is across the board in Austin, Texas, and that's only getting better,' he said. We have a fairly new medical school at the University of Texas at Austin, and that medical school is getting us into bio and health-related technology and jobs like never before.'
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Watson added that the city is increasing funding to its infrastructure to help provide career opportunities, like the Austin Infrastructure Academy.
'That's an academy that we're putting together so that we can make sure we have people that can do the work that we need to do to work in this infrastructure sector of our economy,' he said. 'We're working closely with the trade unions, working closely with our community college, and so we're able to focus on infrastructure in a way that I think is going to allow us to have even greater success.'
Austin also has a lively cultural scene, hosting events such as the SXSW Conference and Austin City Limits Music Festival.
'It's not really mentioned in this report, but is it's a pretty fun place to live, too, particularly if you're a young person looking to make a life and make a career,' Watson said.
NewsNation's Andrew Dorn contribute to this report.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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