BOSTON BUSINESS JOURNAL: Survey: High cost of living is driving residents to move out of Mass.

By Grant Welker
This article originally appeared in the Boston Business Journal on February 12, 2025

Two-thirds of former Massachusetts residents who moved to Florida or New Hampshire said their primary reason was the state’s high cost of living, according to a new survey by the business group Mass Opportunity Alliance.

Just under half of respondents cited the state’s policies or governance, which may play a factor in particular for those surveyed. Both Florida and New Hampshire have traditionally attracted Massachusetts residents looking for a lower tax burden and less liberal policies.

About two-thirds of the nearly 500 survey respondents now live in New Hampshire, and the rest live in Florida. All had moved since November 2022, when Massachusetts voters approved the so-called millionaire’s tax, which levies a 4% surcharge on income above $1 million.

Eighty-four percent of those who moved said they have a better quality of life since leaving.

The Mass Opportunity Alliance survey was conducted in January, by text messaging, by “an independent survey research firm,” according to Mass Opportunity Alliance.

“Massachusetts is bleeding talent,” Christopher R. Anderson, the president of the Massachusetts High Technology Council, which co-founded the Mass Opportunity Alliance last year with the Massachusetts Competitive Partnership and Pioneer Institute.

“Our best and brightest are leaving in record numbers, driven out by skyrocketing costs and an increasingly uncompetitive tax climate,” Anderson said. “This isn’t just a trend — it’s a crisis. If policymakers don’t take urgent action to make Massachusetts a more affordable and business-friendly state, we risk losing even more of our workforce, innovation, and economic strength.”

Among self-reported Republicans, 83% cited taxes as a “top reason” for leaving, compared with 73% of independents and 49% of Democrats.

On the positive side, less than 10% said they moved for better schools, and less than 8% cited better job opportunities.

The nonpartisan Tax Foundation ranked Florida fourth best nationally for its lower tax burden, with New Hampshire landing sixth. Massachusetts came in 41st.

The Massachusetts median single-family home price, meanwhile, was $625,900 as of December, according to Redfin. It was $493,800 in New Hampshire and $410,800 in Florida.

Last week, Gov. Maura Healey unveiled an ambitious plan to increase the state’s housing stock, intended to help keep prices in check. The plan calls for 222,000 new housing units in the next decade, which would require roughly doubling the rate at which new homes were approved last year.