South Florida surpasses New York City as cost of living climbs to record levels

[DetroitMan]

South Florida surpasses New York City as cost of living climbs to record levels

For the first time, the Miami-West Palm Beach metropolitan area is more expensive to live in than New York City, according to a new regional price comparison from the Bureau of Economic Analysis.

The BEA’s latest Regional Price Parities report ranked the Miami-Fort Lauderdale-West Palm Beach metro area with a score of 114.155, slightly higher than the New York-Newark-Jersey City metro area’s 112.563. A score of 100 represents the national average. The shift comes as South Florida continues to attract new residents, businesses and wealthy investors — including many who relocated from New York following the COVID-19 pandemic.

A study from the Citizens Budget Commission found that between 2018 and 2022, roughly 150,000 New York residents moved to Florida, taking about $14 billion in income with them. The population boom has helped drive up housing costs across South Florida. While Florida does not have a state income tax, residents face some of the highest home insurance costs in the country, largely due to hurricane risk and rising storm-related losses.

https://cbs12.com/news/local/miami-metro...al-estate-rent-home-insurance-homeowners

[Wigs]

*climate change has entered the chat*

[bobdreamz]

So the 6th. Borough with plenty of land left to grow is now more expensive than the other 5 original boroughs?

[jd3189]

With minimum wage still being $7.25 an hour, South Florida being more expensive is not a good look.

[Bailey]

Originally Posted by jd3189

With minimum wage still being $7.25 an hour, South Florida being more expensive is not a good look.

I doubt the minimum wage people are buying the high end luxury condos there. If anything, the abundance of cheap immigrant labor is padding their profits there....not taking away from it.

The immigrant eras in New York City and San Francisco, built on cheap labor costs, fueled those cities into what they are today.

Now it is Florida and Texas turn to reap the benefits and build up their cities.

Obviously, I do not agree with it but its what we get when we allow unskilled laborers in who are happy to work for pennies on the dollar.

[UrbanImpact]

Originally Posted by bobdreamz

So the 6th. Borough with plenty of land left to grow is now more expensive than the other 5 original boroughs?

What land? The Redlands in Miami-Dade? Broward County is built-out completely and Palm Beach is nearly there unless you're speaking of redeveloping single family homes, malls, or golf courses.

[dimondpark]

Miami is highly constrained as far as land and it's one of the most densely populated urban areas in the country-obviously not as densely populated as NYC, but still---my bigger concern is income, median incomes in the NY Area are considerably higher than the Miami metro---how are average folks making it?

as an aside, I've heard both Philly and Miami referred to as the 6th borough, but Las Vegas a similar nickmane--many Hawaiians refer to LV as the 9th island.

[Steely Dan]

Hudson County is the truest of the "6th burough" candidates IMO.

725K on 50 SM hugging the west bank directly across the river from Manhattan.

It's the most impressive collection of density and traditional urbanism outside of the municipal limits of a major central city anywhere in the US.

By a lot!

[3rd&Brown]

Originally Posted by Bailey

I doubt the minimum wage people are buying the high end luxury condos there. If anything, the abundance of cheap immigrant labor is padding their profits there....not taking away from it.

The immigrant eras in New York City and San Francisco, built on cheap labor costs, fueled those cities into what they are today.

Now it is Florida and Texas turn to reap the benefits and build up their cities.

Obviously, I do not agree with it but its what we get when we allow unskilled laborers in who are happy to work for pennies on the dollar.

Of course low wage folks are not buying these condos, but it impacts their cost of living as well, pushing them further away from work and into inferior living conditions. Not to mention, minimum wage is HIGHER in NYC and CA and cost of living is lower. On top of that, NY and CA have programs and systems in place to help poor people. I doubt Florida has any of that. That's okay though, the poor people in Florida voted for this, because...checks notes...*communism*.

[Crawford]

Isn't Miami the most land-constrained major metro in the U.S.? There's zero geographic room for growth. It's developed up to the Everglades.

[LA21st]

Originally Posted by jd3189

With minimum wage still being $7.25 an hour, South Florida being more expensive is not a good look.

Not only that but Miami/south Florida doesn't have anywhere the jobs nyc has.
It never will.

Ita why Miami dade is losing people.

[Six Corners]

Originally Posted by Crawford

Isn't Miami the most land-constrained major metro in the U.S.? There's zero geographic room for growth. It's developed up to the Everglades.

There's a little bit of greenfield left to the south. You could probably snake in some new greenfield development directly west of West Palm Beach toward Lake Okeechobee, but it would eventually create a weird 'J' shaped pattern of development. I would guess it's about the same if not slightly less constrained than the Bay Area and the Los Angeles MSA as far as being able to string together new contiguous development.

[sentinel]

Originally Posted by Bailey

I doubt the minimum wage people are buying the high end luxury condos there. If anything, the abundance of cheap immigrant labor is padding their profits there....not taking away from it.

The immigrant eras in New York City and San Francisco, built on cheap labor costs, fueled those cities into what they are today.

Now it is Florida and Texas turn to reap the benefits and build up their cities.

Obviously, I do not agree with it but its what we get when we allow unskilled laborers in who are happy to work for pennies on the dollar.

Unskilled labor comes primarily from new migrant/immigrant populations, and that population has been slowly eliminated/deported over the past nearly two years. And if that's the case, where will more unskilled labor come from?

[DCReid]

Originally Posted by DetroitMan

South Florida surpasses New York City as cost of living climbs to record levels

https://cbs12.com/news/local/miami-metro...al-estate-rent-home-insurance-homeowners

Yes, I see that. Since I moved here in 2020 from suburban MD, my HOA on the condo I bought has increased 40% and I have a special assessment of $35K for structural repairs (I've known others who have had special assessments of $50K-$75K). My auto insurance is 50% more than MD. When I go to restaurants, they want tips of a minimum of 20% and up to 35%. I used to get a haircut at a 'cheaper' barber for $15 and now it is $25 so now I go to barber school for $10, but that was $7 a few months ago...Kind of wish I had moved to Delaware instead...

[Crawford]

I still don't get it. If you have existing family there, or want the balmy winter weather, or want a Cuban cultural sphere, sure.

But otherwise, I'll never understand it. I thought the point of being rich is having the ability to do whatever you want, not to be forced to move family to escape taxation.

[Chisouthside]

Alot of the Brazilians I know in Chicago landed in Miami when first coming to the US but given that a lot of the circle I know work service related jobs, the cost of living was astronomical compared to their earning power and hence moved here. Obviously anecdotal but also an observation.

[sentinel]

Family has a condo property just north of Miami proper, that doubles as an income property during the cold months. Most insurance companies will not provide new policies for incoming buyers in their building, and many other buildings along the Atlantic coastline. Even though it's located in a 'booming' satellite city of Miami, the rents in their building for snowbirds have plummeted, from $4,500+, to $2,700+ for a 2bd/2bath. Sales of condos hitting the market are relatively flat, and some unfortunate ones are selling at or below what my family purchased theirs for in 2004.

Coupled with property tax increases, special condo assessments to address long-standing deferred maintenance (happening ALL over Miami and environs), things are not looking as great as the article makes it out to be. West Palm Beach might be booming, according to the article, but I suspect that's a very closed loop, driven by certain individuals in high office currently, and is not nearly as sustainable as cities of any size that have a more balanced local economy.
Miami is booming, but a lot of that is the wake created by wealthy billionaires relocating there to make political statements (Ken Griffin, anyone?). And while a very small percentage of people will benefit from that wake, the effects are not prolonged nor ubiquitous. It's not helpful when COL increases substantially, but only 1-5% of the local population can afford those increases.
The article is at least sincere in pointing out that ONLY highest net worth individuals fleeing NYC are the ones creating this proverbial changing of the guard.

[UrbanImpact]

Originally Posted by Six Corners

There's a little bit of greenfield left to the south. You could probably snake in some new greenfield development directly west of West Palm Beach toward Lake Okeechobee, but it would eventually create a weird 'J' shaped pattern of development. I would guess it's about the same if not slightly less constrained than the Bay Area and the Los Angeles MSA as far as being able to string together new contiguous development.

The area under Lake Okeechobee where all the sugarcane fields are on google maps is to be one day restored to wetlands "allegedly". That's what feeds The Everglades.

[bobdreamz]

Originally Posted by Crawford

Isn't Miami the most land-constrained major metro in the U.S.? There's zero geographic room for growth. It's developed up to the Everglades.

Actually even way before the Everglades.


https://i0.wp.com/jacquithurlowlippisch.com/wp-content/uploads/2015/02/2610.jpg?fit=604%2C454&ssl=1

The South Florida Water Conservation Areas start roughly 25 Miles due west of Miami Beach & Ft. Lauderdale proper. The Urbanized strip that hugs the coast is about 100 miles (160 km) long (north to south) and at most 20 miles (32 km) east to west.

In the late 1950s the Miami-Dade Metropolitan Government was formed & they set the Urban Development Boundary Line at Highway US 27/ Krome Avenue as the Westernmost boundary for any human development.

The Metro is home to an estimated 6.2 million people now.

https://eoimages.gsfc.nasa.gov/images/imagerecords/84000/84737/iss041e074232_lrg.jpg

[bobdreamz]

Originally Posted by Steely Dan

Hudson County is the truest of the "6th burough" candidates IMO.

725K on 50 SM hugging the west bank directly across the river from Manhattan.

It's the most impressive collection of density and traditional urbanism outside of the municipal limits of a major central city anywhere in the US.

By a lot!

I grew up in Union City & West New York, New Jersey and if it weren't for the Hudson River it could literally almost be a part of NYC itself ! We walked everywhere and used mass transit for longer trips. We didn't own a car until we moved to Florida.