Top 5 Most Educated American Cities (2023)

Many factors, such as macroeconomics (boom time or bust times), and government policies (extended unemployment benefits, stimulus checks), go into the supply vs. demand for great talent. Whether there is a war for talentor there are more applicants than jobs – companies will always want the best possible recruits. The key is to be where the labor pool is most educated. Thus, it is wise for companies looking to source great talent to go straight to the lion's den and meet their preferred workforces where they're at.

As per a recent report by WalletHub, the Top 5 Most Educated Cities in the United States were identified from a list of the 150 largest metropolitan statistical areas in the U.S. They scored municipalities on the:

• The average level of educational attainment
• Share of adults with a high school diploma
• Percentage of associate’s degree
• Percentage of graduate or professional degrees

What do these cities have in common? Aside from being some of the country's most prosperous and economically vibrant areas, they all boast high concentrations of college degree holders and residents with graduate degrees.This is good news for companies looking to locate their real estate in areas with an abundance of highly educated workers.And in the talent war, businesses need to consider the best methods to source talent and one way is to follow where there is education.

In fact, the study's authors suggest that "the pursuit of higher education can indeed make all the difference" when it comes to finding top talent. Each of these cities has something unique to offer businesses looking for a well-educated workforce. So read on to learn more about America's most educated cities and what separates them from the rest.

1. Ann Arbor, MI

2. San Jose, CA

3. Washington, D.C.

4. Madison, WI

5. San Francisco, CA

1. Ann Arbor, Michigan

Ann Arbor, Michigan, is known for its top-notch schools and universities. The educational attainment is unmatched by other American metro areas. The city has the most professional degree holders in the country, at 93%. The Ann Arbor, MI metro area also has the country's highest percentage of bachelor's degree holders (aged 25 and above). With so many educated people in one place, Ann Arbor will surely have the talent you're looking for.

What makes Ann Arbor so unique is that it is not just a city of educated professionals, but it also has a thriving economy. The city's link to the University of Michigan is what dominates the local economy. The university is the source of some 30,000 workers and nearly 50,000 students. As a result, it is a haven for advanced education.

In addition to its many professionals who have earned advanced degrees, Ann Arbor is also home to many businesses and startups. This makes the city a great place to live if you want to be surrounded by highly educated people.

2. San Jose, California

Sunnyvale and Santa Clara are home to many high-tech companies such as Apple, Google, and Facebook. This region is known for its many engineers and software developers who have earned associate's degrees, bachelor's degrees, and graduate degrees from major reputable universities.

As a result, it should come as no surprise that the San Jose Sunnyvale Santa Clara region appears on our list of most educated cities in America. It boasts incredible educational attainment, as 82% of the city's residents have a bachelor's degree or higher. And when you look at the surrounding area, it's no secret why. It is known for its esteemed schools and universities, including Stanford University (which is in Palo Alto, just south of Sunnyvale), San Jose State University, and the University of Silicon Valley. San Jose's students, graduates, and access to higher education contribute to its reputation for high-tech innovation. The metro area also has one of the most educated populations in the country, and this talent is highly sought after.

3. Washington, D.C. / Arlington, Virginia

Washington, D.C., is next on our list of educated cities. It is home to some of the most prestigious schools in the country, including Georgetown University, Howard University, and American University. The city has the country's highest percentage of graduate or professional degree holders, at 70%. Additionally, Washington, D.C., has the third-highest percentage of bachelor's degree holders (aged 25 and above) in the country.

Are you surprised? The Washington Arlington Alexandria area is essentially the country's brain trust. Major employers range from politics to airspace and defense. They're reaching into one of the country's best and brightest talent pools.

With so many highly educated residents, it's no wonder Washington D.C. is one of the most prosperous cities in the country. The presence of many talented and ambitious individuals has helped make the D.C. area a hotbed for innovation and economic growth. If you're looking for a city with plenty of opportunities for career growth and intellectual enrichment, then Washington, D.C., is undoubtedly a place worth considering!

4. Madison, Wisconsin

With nearly 81% ofits population having attended or graduated from college, this "City of Four Lakes" is a wonderful place for students and scholars alike. Madison is also known for its expanding tech sector and healthcare industry, making it a great place to live and work.

The University of Wisconsin-Madison is the city's primary employer, so it's no wonder that Madison ranks 4th on our list of most educated American cities. In fact, Madison is home to the University of Wisconsin-Madison, one of the country's leading research universities.

The university produces a large number of graduates each year who are ready to enter the workforce. Additionally, Madison Area Technical College provides residents with access to quality technical and trade education. So, not only will you be in the most educated city, but you'll also be supported by a strong technical talent pool. The city has a wealth of educated workers and a skilled labor force to offer.

5. San Francisco / Berkley, California

San Francisco has long been known as a place for people with high education and talent. Besides being one of the most robust tech hubs in the world, it is the fifth most educated city in the United States. It presents an excellent opportunity for companies looking to find skilled and educated professionals. With more than 80% of residents having a bachelor's degree, the SF metropolitan area is a center of culture and learning. An overwhelming number of citizens hold a graduate or professional degree. Why else would businesses brave the high prices and crime of the San Francisco Oakland area?

(Learn The Pros and Cons of Locating Your Business in San Francisco.)

The metropolitan area includes the towns of Oakland and Berkeley, and its status as an education superstar is thanks in part to the many universities located in the Bay Area. Some of the country's biggest and most prestigious universities are located here, including UC Berkeley, UC San Francisco, and the California College of the Arts. These schools produce leaders in various fields, making this an ideal place for companies looking to find highly educated employees. In addition to the abundance of graduates, the city also has a thriving arts and nightlife scene that makes it an attractive place to live, work, and source talent.

Why Consider Relocating to a Top City for Education?

If you are looking for a place to relocate that will offer you a wealth of opportunities, these cities should be at the top of your list. Their educational attainment is unmatched.

Each of these cities has an incredibly well-educated population and offers the country's best and brightest to companies seeking to strengthen their labor force. Plus, the more that graduates earn, the more tax dollars they contribute over time, according to the Economic Policy Institute. In turn, educated people want to live somewhere where they will get a good return on their educational investment. All these factors make these cities great choices for businesses looking to relocate closer to their optimal talent bases.

Education of the workforce is one of the most important factors in choosing a great workplace, but it is not the only one. Other significant factors are:

• Safety – what is the crime rate, and where is it trending?
• Cost of Living – if it costs too much to live there, great talent will move.
• Quality of Life – it’s not just a big paycheck, it’s what else is there after hours .
• Taxes – Some places, like San Francisco on this list, suffer from very high taxes.
• Availability of Reasonably Priced Housing – for example, San Francisco median home price is $1.4M
• Commute Times – Employees no longer want long commutes. Savvy companies take this into consideration.
• Suburbia vs. Big Cities – they have their pluses and minuses, but oftentimes, suburbia wins out.
• Where are the migration trends? Many have traded the big city life for smaller towns.

As Tenant Reps at iOptimize Realty^®, we constantly identify how businesses can strengthen their commercial real estate. And who can argue that one of the most integral aspects of a space is its location? We've seen firsthand how companies can benefit from locating their CRE in strong talent pools. This works in part because corporate real estate is a powerful recruitment and retention tool. It should never be underestimated in its ability to attract people. To learn more about this phenomenon, read how your CRE can make you a more competitive recruiting force in the talent war.

Want to talk to a Tenant Rep expert about the other factors to consider when relocating? Schedule a meeting today!