Four affordable states where desperate Florida condo owners are fleeing to amid real estate crisis

Condo owners are fleeing Florida's real estate crisis for other southern states and even leaving the country in search of an affordable lifestyle.

The Sunshine State has been hit with the 'worst real estate crisis in decades' because of skyrocketing insurance costs and Home Owners Association (HOA) fees.

Condo listings have soared as desperate owners attempt to dodge a costly new law requiring increased safety checks.

Miami Real Estate Agent Steven Kupchan told DailyMail.com people are flocking to Georgia, Texas, the Carolinas and even moving out of the country to places like Mexico or Central America.

'With the rise of remote work, some individuals who had moved to Florida for work reasons are now considering relocating to states with lower living costs or more stable real estate markets,' Kupchan said.

People are fleeing Florida because of skyrocketing insurance costs and Home Owners Association fees

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People are fleeing Florida for places like Georgia, Texas, the Carolinas and even moving out of the country to places like Mexico for a more affordable cost of living

Florida had a population boom during the pandemic, with more than 700,000 people moving there in 2022. 

However, experts say the increasing cost of insurance due to natural disasters and a law requiring increased costly safety checks homeowners are ditching The Sunshine State.

The legislation was brought in following the 2021 collapse of the Champlain Tower South in Surfside, which killed 98 people.

It later emerged that the condo association had postponed crucial repairs to avoid increasing costs, prompting lawmakers to introduced new regulations which take effect at the end of the year.

Tampa, Orlando and Fort Lauderdale have all seen HOA rises of more than 15 percent in the last year, according to Redfin data.

Miami Real Estate Agent Steven Kupchan (pictured) told DailyMail.com said homeowners are flocking to other southern states and even leaving the country seeking lower costs of living

As a result, the number of condos on the market has soared, especially in southern Florida, prompting warnings of a 'mass exodus.'

'Many retirees and older residents are moving out, concerned about the increasing costs of condo association fees, insurance premiums, and potential assessments for repairs and maintenance,' said Kupchan.

'Some middle-class families who were already on the fence about condo living are opting to move out due to the perceived instability and financial uncertainty.'

State legislation brought in following the 2021 collapse of the Champlain Tower South in Surfside, (pictured) which killed 98 people, led to increased HOA fees 

The increased safety checks are pushing up Homeowners' Association fees, prompting many to sell

Here is where they are going instead: 

Georgia 

The average cost of living per year in Georgia is $43,482 with housing and utilities costing only $7,495, according to 2021 data from the Bureau of Economic Analysis.

Georgia reached a new population threshold in 2023, surpassing 11 million people according to census data.

A report from financial analytics company CoreLogic indicates the Atlanta-Sandy Springs-Roswell region has a 70 percent likelihood to see a drop in house prices by next year.

The average cost of living per year in Georgia is $43,482 with housing and utilities costing only $7,495. (Pictured: Savannah, Georgia)

Former West Palm Beach resident David told Business Insider he moved to Savannah because wealthy new residents changed the fabric of the neighborhood.

'The number of people who were moving down and spending crazy amounts of money was insane,' David said. 

'Their attitudes were so different from what everybody was used to; they were demanding people not familiar with the kind of calm lifestyle we were living.

'Savannah felt right. The islands of Savannah reminded us of the old Florida." 

Texas

People are flocking to Texas for its lower cost of living at just $45,114 per year and buyer friendly housing market.

'Texas continues to be a strong market for property buyers due to its robust economic growth, business-friendly environment and relatively affordable cost of living,' housing market expert Dennis Shirshikov explained.

People are flocking to Texas for its lower cost of living at just $45,114 per year and buyer friendly housing market. (Pictured: Houston, Texas)

'Cities like Austin and Dallas offer a blend of high-tech job opportunities and attractive living conditions' he added.

With more than 11 million housing units, according to U.S. census data, the average annual per-capita cost of housing and utilities in Texas is $7,540.

North Carolina

North Carolina home to some of the best cities to raise a family, according to U.S. News.

The state is rated as a hotspot for prospective buyers due to its relative affordability, average house prices in the state are $335,000. 

'North Carolina, especially areas like Raleigh and Charlotte, offers a balanced mix of affordability, economic growth and quality of life,' Shirshikov said. 

North Carolina is a hotspot for prospective buyers due to its relative affordability with the average cost of living at $43,959 per year. (Pictured: Charlotte, North Carolina)

The average cost of living is $43,959 per year and the annual cost of housing and utilities is $7,359.

Irene Ferris had lived in Florida since 1986, but moved to the North Carolina mountains because of the increasing cost of living and increasing natural disasters.

'It's the economics, it's the politics, it's the environment. But at the end of the day, I have to do what's best for the family,' she told ABC Action News. 

South Carolina

South Carolina is the nation's fastest growing state and is predicted to see its population soar to 6.4 million by 2042.

The state boasts a strong jobs market which recovered quickly from the pandemic and relatively low cost of living which has already been attracting droves of new residents. 

Many new residents have been drawn in by the low cost of living, which is six percent less than the national average and as well as the state's thriving economy.

South Carolina is the nation's fastest growing state due to its low cost of living. (Pictured: Myrtle Beach, South Carolina)

The Economic Policy Institute determined that the monthly cost of living in the state for a married couple with two children is $4,748 or $56,976 annually.

Ryan and Jami Wilson told Business Insider they moved from Florida to Greenville, South Carolina to escape the crowds.

'We stopped going to the beach because you couldn't get there anymore because the traffic would be miles long,' Jami said. 'You could never find a place to park.' 

Mexico 

An estimated 1.6 million Americans currently live in Mexico, which allows citizens from dozens of countries to stay for up to 180 days without a visa, according to GoBankingRates.

The cost of living in Mexico is 45.7 percent lower than in the U.S. costing an average of $600 to $2,000 a month, RemoteYear.com found.

An estimated 1.6 million Americans currently live in Mexico where the cost of living is 45.7 percent lower than in the U.S. (Pictured: Mexico City, Mexico)

Mexico City, the nation's capital, saw its population grow by three percent between 2019 and 2023, according to The World Population Review.

Immigration data shows the number of Americans who applied for residency visas jumped by seven percent from 2019 to 2022. 

Central America

Expats who moved to Central America said they were motivated by financial reasons, to retire and for a better quality of life according to the latest Expat Insider report.

Panama was ranked the best country overall for expats in 2024 with more than four in five people saying they are happy with their life there. 

Newcomers reported they are satisfied with the low cost of living, there are lots of affordable housing and outdoor recreation.