While these numbers date back a few years, recently released figures from a comprehensive realtor.com report illustrate the magnitude of purchasing power that has flooded into Florida since the pandemic.
"Florida gained more wealth from high-earning newcomers than any other state in 2023, according to newly released data from the Internal Revenue Service.
In 2023, Florida gained $20.65 billion in annual adjusted gross income from tax filers who moved there from another state within the U.S., according to a Realtor.com® analysis of the IRS migration data."
Texas, the Carolinas, Tennessee, and Nevada also saw significant gains in net income from residents relocating from out of state. Realtor.com senior economists attribute the moves to a pursuit of affordability, one of the factors that has long made Florida an appealing second home and retirement destination. Because of our income and estate tax laws, Florida is particularly attractive for high net worth individuals with strategic wealth management considerations. Underscoring that trend, the highest concentration of Florida's in migration has been to Palm Beach, where the median income is double what the statewide figure is. Apart from affluent home buyers, entry and mid-level purchasers have been attracted to Florida's relative housing affordability because of the varied inventory and relatively low cost of housing starts or new construction. The most expensive markets, particularly New York, are those where expanding housing inventory is acutely constrained, meaning that limited supply keeps prices high.
Though the market has vacillated since the beginning of the year, Florida and Sarasota remain on a sustained growth trajectory, with gains in population and aggregate wealth that tend to increase the value of real property. The MKT Team constantly analyzes market trends and data to ensure that our clients enjoy the advantage of deep insight and a thorough comparison of values in other markets.
