Are your friends moving away? If you live in a high tax state, the chances are certainly greater that they are. The 2017 Tax Reform made it easy for residents in high tax states to see just how badly their politicians were fleecing them of their hard-earned money.
You can catch up on that here:
- GOP Tax Reform Will Hit Many Wealthy Republicans in Blue States
- Cato’s Chris Edwards: Tax Reform and Interstate Migration
- States Scrambling to Refinance before Tax Reforms
- Migration: Where High-Tax State Exiles Are Going
- California’s Tax Increases Spur 40% More Wealthy Residents to Leave
- Here’s Who Benefits from New England’s High Taxes: It’s Not Who You Think
Now, Ben Eisen and Laura Kusisto report on the continued exodus of Americans paying high taxes to lower-tax states in The Wall Street Journal, writing:
In the 10 states that typically have the highest property taxes and mortgage interest amounts, including California, New York and Massachusetts, home-price growth dropped right after the tax law passed, according to an analysis by Fitch Ratings Inc.
Home-price growth held steady for the 10 states that typically have the lowest property taxes and mortgage-interest amounts, including Tennessee, Missouri and Alabama.
Other factors affected home prices too, such as an oversupply of high-end homes and rising mortgage rates at the end of 2018. But the tax law played a key role, Fitch found.
Rick Bechtel, head of U.S. residential lending at TD Bank, lives in the Chicago area and said he recently went to a party where it felt like everyone was planning their moves to Florida. “It’s unbelievable to me the number of conversations that I’m listening to that begin with ‘When are you leaving?’ and ‘Where are you going?’ ” he said.
Read more here.
