It doesn’t take more than a glance at Facebook groups such as Moving To Florida and Moving To Florida and Living in Florida to understand the dream. But it also becomes quickly obvious that many who move here do so with unrealistic expectations for employment, income, and the cost of living in the Sunshine State.
Florida, long known as a magnet for new residents and economic growth, is facing a significant decline in migration gains. According to the Florida Chamber Foundation’s 2024 Migration Trends Report, the state experienced a steep drop in net migration, from 249,064 in 2022 to just 126,008 in 2023—a nearly 50% decrease. This drop comes as more people leave the Sunshine State for other destinations, raising concerns about Florida’s future economic and demographic landscape.
Migration Patterns: Where Are People Coming From and Going?
Florida continues to attract newcomers from across the United States. The largest inflows in 2023 came from high-tax, high-cost states, including New York, New Jersey, and Illinois, as well as regions in the Northeast and Midwest. In particular, Florida gained 49,000 residents from New York, 27,000 from New Jersey, and nearly 21,000 from Illinois. The state remains a top destination for retirees, wealthy individuals, and those seeking a more temperate climate.
However, the report reveals that a growing number of Floridians are heading elsewhere, with significant outflows to neighboring states. Tennessee, North Carolina, and Georgia top the list of destinations for departing Floridians, driven by their comparatively lower costs of living and housing. In 2023, nearly 63,000 Floridians moved to Georgia, 47,000 relocated to North Carolina, and 42,000 settled in Tennessee.
Keith Richard, Ph.D., Vice President of Research for the Florida Chamber Foundation, explained the implications of these trends. “Florida is losing its younger workforce to states where housing is more affordable and opportunities are perceived as more accessible,” Richard said. “These migration patterns reflect the dual pressures of cost and career opportunities that Florida must address to remain competitive”.
The Housing Affordability Crisis
One of the primary reasons residents are leaving Florida is the rising cost of housing. Between 2019 and 2024, Florida’s median home listing price increased by nearly 41%, while per capita personal income grew by only 35%. The state’s median home price in October 2024 was $434,995, compared to $427,450 in Tennessee, $409,950 in North Carolina, and $394,773 in Georgia.
These numbers illustrate why many Floridians are looking to neighboring states, where their money goes further. For example, the median price per square foot in Florida is $266, compared to $229 in Tennessee and $190 in Georgia. These differences make relocating appealing, especially for families and young professionals seeking larger homes for less money.
“Housing affordability is critical to maintaining Florida’s competitiveness,” said Aundra Wallace, President of JAXUSA. “We must prioritize efforts to create diverse and attainable housing options for workers, families, and retirees to ensure they can call Florida home”.
The Age Divide: Who Is Leaving and Why?
The report highlights a troubling demographic trend: younger Floridians, particularly those in their 20s, are leaving at much higher rates than other age groups. This age group accounted for a significant portion of the state’s outmigration in 2023. In contrast, Florida continues to attract older residents, particularly retirees in their 60s and 70s.
Beyond housing costs, career opportunities—or the perception of a lack thereof—are also driving younger Floridians out. Surprisingly, Florida’s labor market data tells a different story. The state has more open jobs than unemployed residents, with nearly 86% of businesses surveyed in 2023 reporting plans to hire within the next year. However, the disconnect between job availability and young people’s perception of opportunities is widening.
Bemetra Simmons, President & CEO of the Tampa Bay Partnership, called for stronger connections between education and employment. “Florida’s future success hinges on retaining and nurturing the next generation of talent,” Simmons said. “We must bridge the gap between education and workforce opportunities to show young talent that Florida is not just a great place to study—it’s the best place to build a career and a future”.
Where Florida Stands
Florida remains a leader in attracting wealth, with over $36 billion in net income migration annually. Wealthier individuals moving to Florida tend to have higher spending power, which can benefit the economy. However, the state lost residents to 19 other states in 2023, including growing hubs like Texas, Colorado, and Arizona, which offer competitive housing markets and attractive business climates.
Solutions and Next Steps
Policymakers and business leaders are working to reverse these trends. Initiatives like the Live Local Act aim to expand affordable housing stock by incentivizing developers and streamlining regulations. At the same time, the Florida Chamber Foundation’s Future of Work Florida initiative focuses on aligning education, workforce training, and career pathways with the state’s labor market needs.
Bob Swindell, President & CEO of the Greater Fort Lauderdale Alliance, stressed the importance of collaboration.
A Crossroads for the Sunshine State
Florida’s slowing migration gains are a wake-up call. With rising housing costs and a shrinking young workforce, the state faces critical challenges in retaining its competitive edge. The Florida Chamber Foundation’s report underscores the need for bold, innovative policies and strategic investments to address these issues.
“Florida is at a crossroads,” Richard said. “We must act now to create an environment where Floridians not only want to visit and retire but can afford to live, work, and thrive”.
As Florida looks to the future, the focus will be on uniting businesses, communities, and policymakers to ensure the state continues to grow and prosper for generations to come.
