Abstract: Urban resettlement for poverty alleviation through relocation not only helps the relocated population achieve the goal of “no worries about food and clothing and three guarantees” , but also promotes the integrated development of urban and rural areas. The level of urbanization of relocated households in urban areas is an important indicator to measure their adaptation and integration into urban life. Based on 665 questionnaires from relocated households in Zhaotong City, Yunnan Province, this project used the coefficient of variation method and multiple linear regression to construct a measurement system for the level of urbanization and analyzed the influencing factors. The results showed that the level of urbanization of local relocated households was 0.6087, reaching “half-urbanization” . The levels of the dimensions of living environment, social and cultural integration were relatively high, while those of psychological identity and economic conditions were relatively low. Among the influencing factors, the number of family labor force, satisfaction with the resettlement area and occupation, understanding of the resettlement policy, and the degree of problem-solving in the resettlement area had a significant positive impact on the overall level of urbanization. Suggestions are put forward to focus on internal driving forces, promote governance efficiency, improve infrastructure, expand income channels, and strengthen social integration to enhance psychological identity.