The Best and Worst U.S. Cities for Recent Graduates

Baltimore tops our list

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Susan Meyer

Senior Editorial Manager

Susan is a licensed insurance agent and has worked as a writer and editor for over 10 years across a number of industries. She has worked at The Zebr…

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Beth Swanson

Insurance Analyst

Beth joined The Zebra in 2022 as an Associate Content Strategist. A licensed insurance agent, she specializes in creating clear, accessible content t…

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  • Associate in Insurance

Oh, The Places You'll Go

Recent college graduates face a tougher job market than more seasoned professionals. The latest data shows that college grads between the ages of 22 and 27 years old have an unemployment rate of 5.8%, compared to just 2.7% for all graduates.[1] Plus, that number has jumped 1.2% since May of last year, signaling a tighter hiring environment and overall economic uncertainty. 

But national trends don't always reflect what's happening within specific areas. And unemployment isn't the only metric to consider when figuring out where to focus your job search and where to live. That's why we looked at five data points to evaluate the top 50 most populous U.S. metro areas and find the best ones for new college grads.

  • Median wage at the 75th percentile: High earners represent career potential; this figure shows where recent grads can earn more than the national average over time, especially with a college degree in their back pocket.
  • Average rent price: Monthly rent to assess overall affordability. The national average is $1,633.
  • Unemployment rate: This indicates the strength of the local job market and how easily recent grads may find employment. For comparison, the national unemployment rate is 4.2%.
  • Density of residents ages 20 to 29: Measures the concentration of young adults, making it easier for graduates to make new friends and expand their social circles.
  • Walk Score: This score evaluates how walkable each city is, which is both convenient and shows where grads could avoid buying a car. 

Check out the 10 best large cities for recent graduates, followed by the worst markets based on our criteria.

The 10 Best U.S. Cities for Recent Graduates

#1: Baltimore, Maryland

Baltimore is an ideal place to start your new life, thanks to a high density of young adults that accounts for 14.6% of the city's population. Plus, the 3% unemployment rate is well below the national average of 4.2%. Baltimore also has a fairly high median wage, with the 75th percentile earning over $92,000 per year. On the downside, rent prices are on the higher end compared to other cities on our list and the city's Walk Score is just 64.

Baltimore by the numbers

  • Median wage (75th percentile): $92,200
  • Average rent: $1,600
  • Unemployment rate: 3.0%
  • Density of 20–29-year-olds: 14.6%
  • Walk Score: 64

#2: Nashville, Tennessee

If you're a college grad who wants to navigate a new city without a car, consider Nashville. With a Walk Score of 98, it ranks best for pedestrians out of all the cities we analyzed. Plus, over 14% of the population is between 20 and 29 years old. While the median wage is on the lower end, you may enjoy some job stability because the city's unemployment rate is merely 2.4%.

Nashville by the numbers

  • Median wage (75th percentile): $74,710
  • Average rent: $2,300
  • Unemployment rate: 2.4%
  • Density of 20–29-year-olds: 14.1%
  • Walk Score: 98

#3: Hartford, Connecticut

Wages are high in Hartford, with the 75th percentile earning over $93,000. Plus, the average rent price is just $1,595 — one of the lowest on our list. While unemployment is higher than in some of our other top cities at 3.5%, it's still below the national average. You also may need to put a little more effort into making friends in Hartford; about 13% of the population is between 20 and 29 and the Walk Score is just 67.

Hartford by the numbers

  • Median wage (75th percentile): $93,350
  • Average rent: $1,595
  • Unemployment rate: 3.5%
  • Density of 20–29-year-olds: 13.2%
  • Walk Score: 67

#4: Austin, Texas

Austin has one of the highest young adult populations on our list, ranking fourth in this category. The city's Walk Score is low at just 42, but unemployment is low at just 3.5%. That said, rents are fairly high at an average of $2,099

Austin by the numbers

  • Median wage (75th percentile): $82,910
  • Average rent: $2,099
  • Unemployment rate: 3.1%
  • Density of 20–29-year-olds: 18.6%
  • Walk Score: 42

#5: Salt Lake City, Utah

Similar to Austin, Salt Lake City has a high concentration of 20-somethings that may be appealing to recent grads. Unemployment is also lower than in most of the country at just 3.2%. However, watch out for affordability issues in Salt Lake City. The median wage for the 75th percentile is just over $80,000, while the average rent price is just under $1

Salt Lake City by the numbers

  • Median wage (75th percentile): $80,250
  • Average rent: $1,598
  • Unemployment rate: 3.2%
  • Density of 20–29-year-olds: 15.4%
  • Walk Score: 59

#6: Minneapolis, Minnesota

Minneapolis offers a better balance between wages and rent prices. Higher earners average nearly $85,000 a year, while rent is an average of $1,600. The unemployment rate is also quite low at just 3%. One drawback is that the young adult population is a little smaller in Minneapolis.

Minneapolis by the numbers

  • Median wage (75th percentile): $84,880
  • Average rent: $1,600
  • Unemployment rate: 3%
  • Density of 20–29-year-olds: 12.5%
  • Walk Score: 71

#7: Buffalo, New York

Buffalo's 3.3% unemployment rate is nearly a full point below the national average. Plus, rent prices are affordable for a recent grad, averaging $1,400 per month. The median wage is lower than in larger cities (the 75th percentile averages just over $77,000), but that may be offset by lower living costs.

Buffalo by the numbers

  • Median wage (75th percentile): $77,460
  • Average rent: $1,400
  • Unemployment rate: 3.3%
  • Density of 20–29-year-olds: n/a
  • Walk Score: 67

#8: Washington, DC

If you want a path to a higher earning trajectory, consider Washington, D.C. High-income workers make over $119,000 per year. Rent, however, is quite expensive, averaging $2,500 each month. The good news is that the city is extremely walkable, which can save you money on transportation.

DC by the numbers

  • Median wage (75th percentile): $119,020
  • Average rent: $2,500
  • Unemployment rate: 3.4%
  • Density of 20–29-year-olds: 12.8%
  • Walk Score: 98

#9: Portland, Oregon

Portland is another grad-friendly city with an extremely low unemployment rate of just 2.7%. The young adult population is relatively low at just 12.5%, and the city's walkability scores only 67 out of 100. But wages are high, with the 75th percentile earning nearly $93,000.

Portland by the numbers

  • Median wage (75th percentile): $92,920
  • Average rent: $1,695
  • Unemployment rate: 2.7%
  • Density of 20–29-year-olds: 12.5%
  • Walk Score: 67

#10: Columbus, Ohio

While you'll probably need a car in Columbus due to a low Walk Score, rent prices are among the lowest out of all the cities we looked at. The average monthly cost is just under $1,500. Plus, the city's unemployment rate is just 2.8%, so you'll feel confident once you land a job.

Columbus by the numbers

  • Median wage (75th percentile): $78,620
  • Average rent: $1,493
  • Unemployment rate: 2.8%
  • Density of 20–29-year-olds: 13.4%
  • Walk Score: 41

The 10 Worst U.S. Cities for Recent Graduates

Where are the worst places in the country for recent graduates? Here are the 10 cities that ranked at the bottom of our list:

1. Las Vegas, Nevada

2. Riverside, California

3. Tampa, Florida

4. Jacksonville, Florida

4. New Orleans, Louisiana (tied)

6. Cincinnati, Ohio

6. Memphis, Tennessee (tied)

8. Birmingham, Alabama

10. Orlando, Florida

10. Pittsburgh, Pennsylvania (tied)

Renters insurance as a new grad

When you're just setting out on your own, you will likely have a lot of expenses. It can be easy to forget about renters insurance or to consider it not an important line item in your budget. However, renters' insurance only costs, on average, around $19 a month. 

Renters insurance can end up saving you substantially in the event that a covered peril causes the destruction of your home. That can include replacing your belongings and providing a place for you to stay while your home is being repaired. 

Methodology

We analyzed the 50 most populous U.S. metropolitan statistical areas (MSAs) using five data points to determine how suitable each location is for recent college graduates. Each metric was ranked from best to worst, and we averaged those ranks to determine the final list.

  • Median wage, 75th percentile[2]
  • Average rent price[3]
  • Unemployment rate[4]
  • Density of residents ages 20–29[5]
  • Walk Score (Walk Score)
Sources
  1. The Labor Market for Recent College Graduates. [NY Federal Reserve Bank]

  2. Occupational Employment and Wage Statistics Maps Help File. [Bureau of Labor Statistics]

  3. Rental Trends. [Zillow]

  4. Unemployment Rates for Metropolitan Areas. [Bureau of Labor Statistics]

  5. Density of residents ages 20–29.[U.S. Census Bureau American Community Survey]

  6. City and Neighborhood Walk Score. [WalkScore]