Reshoring Surges in This Southern State—What It Could Mean for the Housing Market
realtor.com
July 28, 2025
Jobs are coming back to the U.S. and some states are leading the way—which could have an effect on the local economy and the housing market.
President Donald Trump has been vocal about wanting to bring manufacturing jobs back—known as "reindustrialization" or "reshoring."
It's already happening—but some states are reaping the benefits far more than others, says a new report by the nonprofit group The Reshoring Initiative.
Texas ranks No. 1 with the most jobs announced for 2024 and now, 2025.
"In 2024, U.S. manufacturing reshoring and foreign direct investment (FDI) remained strong, driven by companies seeking to shorten supply chains, reduce exposure to geopolitical risks, and avoid costs associated with impending tariffs," says the report.
After peaking in 2022 with almost 350,000 announced new jobs from reshoring or FDI, the numbers have slipped to almost 245,000 in 2024.
And now "reshoring" (moving jobs back to the U.S. that had previously been offshored) outpaces FDI by the largest margin recorded since tracking began in 2010, with 156,973 reshored jobs versus 87,968 FDI jobs, declares the report.
This is reversing a long-term trend since 2010, when a mere 10,868 jobs were reshored.
Reshoring jobs "were driven by a gradual recognition that numerous costs and assorted risks often outweighed the substantial differences in manufacturing costs and FOB ("free onboard"—a term for shipping costs) prices," says the report.
In early 2025, new policy expectations emanating from the Trump White House triggered a surge of recommitment to "Made in the USA" products.
The industries that are reshoring are led by computer and electronics products, electrical equipment and appliances, transportation equipment, chemicals, and machinery.
Key factors driving reshoring in 2025 include proximity to market, government incentives, impact on domestic economy, skilled workforce, infrastructure, and tariffs.
Tariffs were a key factor in contributing to a company deciding to reshore jobs. Tariffs were up 455% year over year, the highest key factor increase by far.
As for corporations, Walmart is by far the largest reshorer, announcing 300,000 jobs for 2025, followed by Apple with 20,000, CMA CGM with 10,000, and GE Aerospace with 5,000. Stellantis and GE Vernova are each contributing 1,500 jobs, while Siemens is adding over 900, according to Visual Capitalist and Tema ETFs.
Other companies include Samsung with $65 billion worth of investments in the U.S., and Tesla with $5.5 billion.
What reshoring means for housing
With all of these companies adding jobs to the U.S. workforce, what will that mean for housing?
"This means more demand for housing, which will be welcome in Texas, where inventory has grown significantly and the housing market has slowed down," says Realtor.com® senior economist Joel Berner, of the state ranked No. 1 for reshoring.
"Builders will continue to deliver competitively priced homes to these markets, but the level of building is high enough in Texas and South Carolina (No. 2) that they may not have to pick up the pace too much. We would expect steady price growth to continue here."
Housing affordability is a concern when it comes to bringing jobs back to U.S. soil.
"Reshoring could mean more competition for homes on the market, which could drive up prices and hurt affordability," says Berner. "It just depends on whether incomes grow enough to absorb these potentially higher prices."
"In states seeing major investments from high-tech and advanced manufacturing firms—like Texas, South Carolina, and Michigan—we could see stronger demand in the for-sale market, especially in suburban areas with available land," John Macke, research manager for John Burns Research and Consulting, tells Realtor.com.
"These are often high-skilled, well-paying jobs that support homeownership, even in a higher mortgage rate environment."
But for lower-wage jobs, that isn't necessarily the case, especially given that the residents with the higher wage jobs will push up prices.
"For lower-wage manufacturing growth in states like Mississippi or New Mexico, rental demand is likely to see the biggest boost," he adds.
For secondary markets, even a small bump in jobs can have an big impact.
"A single facility bringing 2,000 to 5,000 jobs can have an outsized impact in these areas—especially where housing inventory is already tight—which could lead to upward pressure on both rents and home prices," he says.
States winning the biggest
States that benefit the most from reshoring in Q1 2025 tend to be in the Southeast.
This isn't a surprise, given that corporations will seek out skilled workforce availability and pro-business environments that include lower corporate taxes, less expensive land, lower labor rates, fewer unions, and more state incentives, says Reshoring Institute founder Harry Moser.
"To the extent that reshoring adds hundreds of thousands of jobs drives housing, the people have to live somewhere," he tells Realtor.com. "We have about 2 million more jobs than we would have had in the past 15 years if those trends hadn't occurred, and those people are working and living somewhere. Those jobs allowed people to afford housing."
In terms of lower housing costs, the exception here is Washington state (No. 7), which has the by-far highest median list price of $674,750, due to the presence of big tech firms such as Amazon, Microsoft, Google, Apple, Oracle, and Meta.
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