In the last few years, we’ve handled an overwhelming disproportionate influx of moves into the Austin area. It seems this is the place that people want to be. While many of the newcomers hail from California, we’ve also seen a surprising uptick in the number of people moving here from the East Coast – places like Boston, New York City, Philly, and parts of New Jersey. It turns out that people are leaving these locales in record numbers, and a new article from the NY Post reveals just how bad things have gotten with people moving out of New York City.
The Facts and Figures of People Relocating from NYC
According to data published by the Census Bureau, over 1 million people have left the greater New York metro area since 2010, a 4.4% population decrease. And many of those were just in the last two years. Data reveals that 187,000 people left in 2015 and an astounding 223,000 left in 2016. We talked to a friend that works for an NYC moving company who said he’d noticed the mass exodus from the city, and it doesn’t appear to be slowing down for 2017. Instead of booking lots of local moving jobs between boroughs, the schedule of these Queens movers is filling up with a lot of outbound interstate moving jobs. Destinations at the top of the list are places like Texas and Florida. So just what is causing everyone to leave? The Post cites several reasons:
Improved Economic Conditions
During an economic downturn, people tend to stay put. After the 2008 recession, the housing market went stagnant, and people didn’t move. Now that the economy is growing again, there’s job growth in other more promising markets, and real estate is selling.
Better Climates Elsewhere
New York sees all four seasons, but enduring the bone-chilling winters is just too much for some. The average low here is 25.7 degrees in the winter, with 25 inches of snowfall. Combatting ice, snow, and having to tote a huge coat everywhere leaves many wondering why they continue to put up with the blustery conditions when they could just move somewhere warmer.
Retirees Love Florida
This brings us to the subject of retirees. For decades, retirement homes and communities have cropped up around Florida, promising older folks the ability to enjoy the Golden Years while basking in 365 days of sunshine. After all, why should these cherished retirement years be spent bundled up shuffling around a hectic city? NewsMax reports that 2 of the top 5 places with the most retirees are in Florida – Tampa-St. Petersburg and Palm Bay. As America’s Baby Boomer generation ages, we see more and more of them leaving the East Coast for sunnier climes.
Lower Tax Rates
NYC has oppressive tax rates that are driving many people to move to taxpayer-friendly states like Texas and Florida. In New York City, the state and local income taxes total 10%, which is 118.3% higher than the national average state & local income tax rate. Additionally, the sales tax rates are high too. NYC charges a sales tax of 8.88% which is 48% higher than the national average of 6%. By comparison, states like Texas, Florida, and a handful of others are zero income tax states. People who are tired of the government taking such a significant cut of their paychecks are heading out of the city.
Lower Cost of Living
The cost of living in NYC is astronomical, and the median household income across all boroughs is lower than the nationwide median. Lower wages in combination with high-income tax rates make it difficult for many New Yorkers to get by, especially when you consider that the average apartment costs $4300/month and the average home price is $1.7 million. Everything from groceries to entertainment to alcohol is more expensive than the rest of the country too. For the full run down, check out this helpful moving to New York infographic published by Brick Underground. People are leaving New York to pursue more affordable living elsewhere.
All these points circle back to why so many people are moving to Austin. Not only do we enjoy a healthy economy, with a low cost of living, ample job opportunities, and zero income tax, but we also have a warmer climate, a great arts and cultural scene, and lots of outdoor space to enjoy. When compared with expensive East Coast living, it’s no wonder so many people love calling Austin home.