If more employers understood the value of distributed teams, this wouldn't even need to be an issue. You could live exactly where you wanted to live. Want a 700 sq ft studio in Manhattan for $3k/month? Great. Want a 2000 sq ft ranch home next to a river out in the country with your own garden? Done. Want to just save as much as you can, with a cheap apartment in a cheap town outside a cheap city? You got it. Maybe yo…
If something like this seems obvious to you, and obviously a lot of smart people are acting in the opposite way, maybe you should re-consider your assumptions.
In reality, online communication tools currently are a poor proxy for in-person communication in many situations. Online tools do not pick up the array of non-verbal cues humans make when talking to one another, are not stereoscopic, do not allow freedom of motion, do not permit the collaborative use of 3d space, etc. They are a piss poor real time communication medium compared to an in-person conversation in a room with whiteboards. If you can never actually have a face to face conversation with someone on your team, there's an entire dimension to communication you are completely prevented from ever experiencing with that person.