When I say city, it means one of the few cities which have like a hundred software houses (big and small) while my city has only 5 opened within last two years (didn't have a single one when I graduated). I applied to in those cities. I understand they wouldn't pay more to a resource that had to relocate. I understand that businesses like to have resources that aren't burden (hence they would prefer someone in the same city). But this doesn't account the difference. Only my skills should have mattered.