Map Shows Best US Cities for College Grads

For recent college graduates in the United States, bad news is piling up.

They are facing the grimmest entry-level job market since the beginning of the pandemic, with these roles shrinking due to the rise of AI.

Their unemployment rate has been steadily rising for the past four years, and is now at 2.8 percent for those with a Bachelor's degree or higher title and at 3.6 percent for those with some college or an associate degree, according to the latest data by the Bureau of Labor Statistics.For young high school graduates with no higher-level degrees, the unemployment rate is even higher, at 4.8 percent.

And homeownership, a traditional pillar of the so-called American Dream and a marker of adulthood, remains elusive, with home prices still rising despite dwindling demand and mortgage rates back above 6 percent since the start of the Iran war.

But despite the existing challenges, there are a few bright spots in the country where recent college graduates can still find decent jobs and afford to purchase a home, according to a new study by Redfin and Glassdoor.

"Where you land after college can shape your finances-and your future," said Redfin Chief Economist Daryl Fairweather.

"Recent grads aren't just chasing jobs; they're chasing cities where their paycheck goes further and life feels exciting. The best places offer strong early-career pay, manageable housing costs, and plenty to do on and off the clock, so young people can build their careers and enjoy where they live."

What Are the Best Cities for Recent College Grads?

Washington D.C., which was rocked last year by the mass firing of federal workers led by Elon Musk's now-defunct Department of Government Efficiency, or DOGE, was the best big city in the nation for recent graduates, according to Redfin and Glassdoor's analysis.

The nation's capital might be an unexpected winner for young Americans. But here, the two companies found that recent graduates earn big paychecks relative to other large cities, there are a lot of career opportunities, and the city offers great work-life balance.

The job market, despite last year's concerns, is strong, and there are "more attainable than in many other major coastal metros," the study found.

Omaha, Nebraska, ranked second among big cities with starter homes under $200,000 and Fortune 500 employers, including Berkshire Hathaway.

Amid mid-size cities, New Orleans, Louisiana, had the most to offer to recent graduates, mainly because starter homes there are affordable and early-career wages are growing faster than rent.

Springfield, Illinois, leads small cities with starter homes at $128,000 and a mortgage-to-income ratio of just 16.8 percent. Here, recent graduates also enjoy relatively high starting salaries and strong job growth potential.

There were also some unexpected "winners." Mobile, Alabama; Wichita, Kansas; Macon, Georgia; and Anchorage, Alaska, were identified by the report as overlooked cities that, despite each having a distinct economic story centered on industries, offer stable, growing early-career opportunities away from the traditionally popular coasts.

The study was based on an analysis of 563,000 Glassdoor salary reviews, 662,000 employer reviews, over 22 million job postings, and 2.5 million Redfin property sales from 2025.

Is Affordability Rewriting the Map for College Grads?

Not exactly. It is not always possible for young graduates to go to the metros, which will be more affordable for them.

Big, expensive job hubs are still attracting many young graduates with their job opportunities, but here they are being squeezed by both rent and mortgages.

San Diego, California, ranked among the top 10 big cities for career satisfaction, according to a Redfin and Glassdoor study, but grads there faced a 65.4 percent mortgage-to-income ratio and needed more than 10 years to save for a down payment.

Miami, Florida, and Austin, Texas, were also in the top 10 despite significant housing cost burdens.

Newsweek's reporters and editors used Martyn, our Al assistant, to help produce this story. Learn more about Martyn.

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This story was originally published April 14, 2026 at 5:00 AM.