The Palm Beach-New York Synergy

Much has been made about the state of the Florida real estate market, and for a good reason. Numerous areas in Florida have seen prices surge and demand increase dramatically throughout the pandemic. Buyers are hungrier than ever for property in Florida, and it isn’t just state and international buyers. There is a huge surplus of residents from other states making the move to Florida cities. Palm Beach is one of the cities benefitting from this most, and many of the buyers flocking to this stunningly beautiful city are coming from New York.

Palm Beach is a coastal South Florida town known for its stunning mansions, white sand beaches, and country club golf. It is home to some of the United States’ most luxurious homes and has long been a hotspot for celebrities from across the country. While Palm Beach has been a destination for luxury buyers for years, the past two years have seen the city experience unprecedented buyer interest. Much of that interest has come from New York migrants.

According to West Palm TV, 33,565 New York residents got Florida driver’s licenses between September 2020 and March 2021. It was a 32% increase compared to the same time the year before. Of the 33,565 New York residents that relocated to Florida, 14,045 moved to Palm Beach County. That is almost half of the New York population that moved to Florida. This is a significant migration, although not an altogether unpredictable one.

Palm Beach County offers a lot of different things to New York residents that they might not be able to have in the city. For starters, waking up to palm trees, ocean breezes, and year-round hot temperature offers enough incentive. The lack of pandemic restrictions in Florida is certainly a factor as well, and the lack of a state income tax could be the tipping point for many.

While Florida and Palm Beach have always had a lot to offer, many New Yorkers chose to reside in the Big Apple for work. New York is one of the centers of the US economy, with massive companies in every industry operating in the city. While Florida’s economy has been growing, it has never been capable of rivaling New York City, even in recent years, as major companies invest in the state. However, with work from home, this is no longer the factor it once was.

New York residents that once needed to live in the city no longer do. They have the opportunity to pick where they live, and many residents are looking elsewhere. The cost of living in New York is astronomical, and many residents are choosing to reside in a state with better weather and more affordable and spacious real estate. That is why New York was the biggest source of domestic migration to Florida throughout the pandemic.

Manhattan, one of the most expensive and congested places on the planet, experienced a record-breaking population decline throughout 2021. According to NBC New York, Manhattan saw a 6.9% decline in its population, which was the second-largest decline of any county in the United States over that time. Domestic migration has been listed as the biggest factor in this population drop.

This doesn’t mean that New York City has lost its appeal. New York remains America’s most populated city, a major hub for commerce and culture. But the changes from the pandemic have unbound people to the conventional ways of living, where you have to live within miles of where you work. That is part of what has spelled such an increase in buyer activity in places like Texas and Florida.

This domestic migration has caused unparalleled surges in the Palm Beach market. Home values have consistently shot up across the county. According to Realtor.com, the median listing price in the town of Palm Beach in February 2022 was $3.2 million, an 101% increase year-over-year.

Palm Beach is one of the most beautiful places in the country, with sandy white beaches and luxury homes. With so much to offer, it is no wonder that domestic migrants from across the country are heading there en masse. Leading that charge is New York, where residents seeking to escape the congestion and cold weather are finding a new home.