1. Cities need places for the poor to live, that cannot go away unless you can completely automate unskilled labor, or make serious changes to transportation infrastructure.
2. Living in rural areas isn't always as cheap as you think. Gas, Food, Internet, Phone, TV, etc.
You could argue that none of the listed utilities are 'needs' if we're okay with the entire populace living in the equivalent of the dark ages, and only having a ruling noble class in the US that are the people who were rich enough to afford to keep their utilities and thus maintain access to the modern economy, while people on basic income only get 'necessities'. It would certainly solve our labor problems without needing us to fix immigration!
We'd save a lot of tax dollars if we denied them money for gasoline to drive a car to the hospital, money for natural gas/wood to run a heater in the winter, and money for funeral services when they finally die from neglect!
It's simply not possible to argue at this point that urban living is a 'luxury'. Non-urban living is not a realistic option for a large portion of the US population. If you dislike this reality, that is fine - I'd certainly be in favor of efforts to change it - but you can't just willfully disregard it and pretend that people who live in urban areas are greedy or spoiled or something. Living in rural areas in the modern United States comes with dozens of hidden costs, some in the form of actual money spent and others in the form of lost opportunities, impaired health, etc.
2. Living in rural areas isn't always as cheap as you think. Gas, Food, Internet, Phone, TV, etc.