Miami, The NEW New Collosus, the New Mother of Exiles, says…Give me your cold, your frostbitten, your tax-poor huddled masses yearning to Sunbath…
Affordable housing, low tax-rates and sunshine await you. We’ve got the parks, the museums, the restaurants, the shopping and the world-class beaches and it’s all just a three hour plane ride south. That’s right, New Yorkers, Miami will welcome you with open arms, even if you are a Pats fan. In all seriousness, though, the time to make your move is now.
In a recent Wall Street Journal article, Out-of-State Buyers Flock to Miami, the Governor of New York, Andrew Cuomo specifically mentioned Florida as an attractive option for New Yorkers who were impacted by the change in the federal tax law. “A taxpayer in Florida would see no increase, probably would see a decrease, and Florida also has the advantage of no estate tax,” Cuomo stated. Even Cuomo knows what’s up.
Miami, specifically, has benefitted from the exodus of residents from states like New York, New Jersey and Illinois. People are drawn to Miami’s temperate weather, lower tax rates and, of course, lower real estate prices. Florida has the highest level of incoming domestic migration from 2017 – 2018, while New York was the biggest population loser.
Another reason for the shift is that Florida has been steadily creating jobs. A gain of 231,000 in 2018 was a 2.7% increase over the previous year. The unemployment rate is down to 3.3% as of December 2018.
High-end condo prices had flattened out or declined as foreign buyers declined due to political upheaval and a rise in the value of the U.S. dollar. Domestic buyers have begun to make up that shortfall. Some condo developments saw an increase of as much as 24% in U.S. buyers. Nelson Gonzalez, Vice-President of EWM Realty International said, “Ninety percent of all the deals over $10 million were tax refugees.” With Manhattan’s average price per square foot currently sitting at $1773 and Miami Beach at $447, the implications are clear. Miami has better weather, better tax rates and better real estate prices. What are you waiting for?