WEST PALM BEACH, Fla. (CBS12) — 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.
MIAMI, FLORIDA – APRIL 29: A person sits in a beach chair with the Miami skyline in view on the day Florida’s Republican-controlled legislature passed a new congressional map on April 29, 2026 in Miami, Florida. The new map creates four more GOP-leaning seats in Florida, including those held by Democrats Jared Moskowitz and Debbie Wasserman Schultz, both from South Florida. (Photo by Joe Raedle/Getty Images)
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.
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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.
According to the Insurance Information Institute, Florida homeowners have historically paid among the highest average premiums nationwide. Insurance costs have surged in recent years as insurers have dealt with catastrophic hurricane damage, rising construction costs and increased litigation. Some homeowners have seen premiums rise by thousands of dollars annually, while others have struggled to find coverage as several insurers have reduced their presence in the state.
The growing cost of housing, insurance and everyday expenses has changed the perception of South Florida as an affordable alternative to major northern cities.
At the same time, wealth has continued flowing into the region. According to Henley & Partners’ World’s Wealthiest Cities Report 2025, West Palm Beach saw a 112% increase in its millionaire population over the past decade, while Miami saw a 94% increase. New York City’s millionaire population grew by comparison at 40% during the same period.
Experts say the influx of high-income residents has contributed to rising prices, especially in neighborhoods where demand for housing, luxury real estate and services has increased.
While South Florida continues to attract people seeking warmer weather, lower taxes and a different lifestyle, the latest data shows the region is no longer the bargain it was once considered compared with traditional high-cost cities like New York.