Between 2017 and 2022, New York City experienced a significant outflow of high-earning residents, losing tens of thousands who took billions of dollars in income with them. This population decline was exacerbated by the COVID-19 pandemic, which resulted in nearly half a million residents leaving the city between April 2020 and July 2022. The Citizens Budget Commission (CBC), a nonpartisan organization based in Albany, highlighted that a considerable number of these former New Yorkers relocated to Florida, specifically Miami-Dade and Palm Beach counties. Those who moved south typically had high average incomes, with approximately $266,000 in Miami-Dade and around $189,000 in Palm Beach. Factors driving this mass exodus included pandemic-related policies, concerns about affordability, quality of life issues, and job opportunities.
Despite the extensive outmigration during this period, New York City reported a population rebound in 2023 and 2024, fueled by an influx of migrants. However, this growth must be contextualized against the net outflow of residents, as New York City Mayor Eric Adams noted the arrival of over 234,000 asylum seekers since spring 2022. The report suggests that many individuals left New York in search of better living conditions, indicating a preference for locations that offered a more favorable mix of quality of life and lower cost of living. In addition to relocating to Florida, many former residents moved to suburban areas in Long Island and Westchester, along with nearby states like New Jersey, Connecticut, and Pennsylvania.
The CBC report also pointed out the restrictive economic climate in New York, characterized by high taxes and a challenging cost of living, which has hindered the city’s competitiveness. New York ranks as the highest-tax state in the nation, collecting significantly more taxes than both California and the national average. This taxation landscape leads to greater financial constraints for residents and businesses alike. In contrast, states like Florida and Texas, with their absence of income tax, have attracted many New Yorkers seeking greater economic opportunities and more favorable tax conditions.
As the population trends evolved, New York City saw a net increase of approximately 120,000 residents in the last two years, according to recent data. However, Andrew Rein, president of the CBC, emphasized that ongoing competitiveness remains paramount for the city’s future. He noted that New York’s long-term viability will hinge on its ability to attract and retain both residents and businesses amid ongoing economic and affordability challenges. As the city strives to regain its standing, addressing these issues will be critical in determining its future growth trajectory.
Quality of life perceptions among New Yorkers have seemingly worsened from 2017 to 2023, as indicated by a local survey. A mere 30% of residents rated their quality of life as good or excellent, a decrease from 51% previously. Concerns about public safety have heightened, particularly regarding safety in subways and parks during nighttime hours. Yet, New Yorkers still appreciate many local amenities, including parks and cultural offerings, which continue to attract both residents and tourists to the city despite potential safety concerns.
In examining this complex landscape, it becomes clear that New York City’s recovery and future growth will require addressing the multifaceted issues of taxation, quality of life, and public safety. While the city faces a challenging backdrop, balancing these elements is essential in reclaiming its competitive edge against other states that have successfully attracted former residents with promises of better living conditions and economic prospects.
