Attention on South Florida has largely been attained through its thriving culture, desirable weather and incredible beachfront residences. As of late, favorable tax conditions in states like Florida are causing a huge influx of home buyers from high-tax states like New York, New Jersey and Illinois. The Wall Street Journal recently covered this story noting that Florida received the highest net migration from July 2017 to July 2018.
The primary benefits are perfectly highlighted by New York Governor, Andrew Cuomo: “someone in the top tax bracket in New York City already faced a combined tax rate of 45%, which would increase by 12% to 50.4% because of the tax-deduction changes. A taxpayer in Florida would see no increase, probably would see a decrease, and Florida also has the advantage of no estate tax”. Adding to the desirable living conditions that South Florida has to offer is the huge job growth.
With new headquarters such as American Express entering the area, increased opportunity coupled with higher net wages allows many to consider a move a very viable option. The shift in buyer demographic away from international countries comes in at a perfect time as internationals have decreased their demand. “I’ve been starting to see New Yorkers as Florida’s new foreign buyer,” said real estate appraiser Jonathan Miller.
The decrease is after about a decade of very strong foreign demand which has led to the huge construction wave of high-end luxury condos such as One Thousand Museum in Downtown Miami, Turnberry Ocean Club in Sunny Isles and Adagio in Fort Lauderdale. This trend just further solidifies the opportunities available to nationals and internationals alike in the South Florida market. Read the full article.