Miami's cost of living now tops New York City's despite Florida's tax advantages - Fox Business

What the report says

Fox Business reported that Miami’s overall cost of living has surpassed New York City’s for the first time on record, citing a Bloomberg analysis of U.S. Bureau of Economic Analysis data. The report said the Miami-Fort Lauderdale-West Palm Beach area, often called South Florida’s “Gold Coast,” is now about 5% more expensive than the New York metropolitan area and its suburbs, despite Florida’s lack of a state income tax.

The article attributed the shift to several pressures: higher property taxes, sharply rising homeowners insurance costs and broad inflation. Fox Business cited Bureau of Labor Statistics data showing consumer prices in South Florida are up 36% since 2019, the second-largest increase among major U.S. markets after Tampa. It also cited S&P CoreLogic Case-Shiller data showing South Florida home prices have risen 79% since the pandemic.

Insurance costs are a major factor in the comparison. According to figures cited in the report, the average annual homeowners insurance premium in Florida is $8,292, described as the highest in the country and roughly four times New York’s average. Fox Business also noted that Miami-area median household income is slightly below the national median, while some everyday expenses, such as restaurant bills, have climbed above New York averages.

The report said possible relief could come through a proposed Florida constitutional amendment approved for the November 2026 ballot. If at least 60% of voters support it, the measure would expand the homestead exemption for eligible homeowners, potentially reducing non-school property tax bills beginning in 2027.