Contrary to popular belief, the migration patterns of America’s wealthiest aren’t solely confined to sun-soaked southern states. While Florida does make a significant showing, the list of top destinations for high-income transplants spans much of the United States.
According to CNBC, the Deltona-Daytona Beach-Ormond Beach metro area in Florida tops the list, boasting a 171% net growth in high-income residents in 2023. The College Station area in Texas, home to Texas A&M University, comes in second with a 132% increase in wealthy residents.
California, despite recent population losses, also makes the list. The Santa Maria metro area ranks third, with a 127% net growth in high-income households. Florida makes a second appearance with the North Port-Sarasota-Bradenton area seeing a 68% increase. The Midwest also ranks, with Ann Arbor, Michigan, home to the University of Michigan, grabbing fifth place. The college town saw a 63% net growth in high-earners in 2023.
Rounding out the top 10 are:
– Provo, Utah (40% increase)
– Akron, Ohio (35% increase)
– Austin, Texas (34% increase)
– Knoxville, Tennessee (33% increase)
– Fresno, California (32% increase)
Interestingly, these migration patterns don’t necessarily align with overall moving trends. CNBC’s analysis reveals that households in the top 20% of earners were the least likely to move in 2023, with only 6.5% relocating compared to 9% of those in the bottom 20%. Of the high-earners who moved, 53% stayed within the same county. However, when they did venture out, they were more likely than lower-income groups to cross state lines, with 19% of wealthy movers relocating to a different state.
The motivations behind these moves vary. While middle-class Americans often cite cheaper housing as a reason to relocate, it was a factor for only 6% of high-income movers. Instead, 18% of wealthy movers relocated for new or better housing. Career opportunities also played a role, with 12% of high-earners moving for a new job or transfer.
While an influx of high-earning residents can boost local businesses and tax bases, it may also exacerbate housing affordability issues for longtime residents. With remote work continuing to offer flexibility and economic uncertainties persisting, the migration patterns of America’s wealthiest may continue to evolve and impact local communities.
