By Gay Cororaton, MIAMI REALTORS Chief Economist
Key Takeaways
- Out-of-state driver license exchanges in Miami-Dade County rose 12% from the prior year, with 23,878 driver license exchanges, the second highest level following the pandemic-induced peak in 2021 (23,937).
- Broward County driver license exchanges were up 6% from the prior year, with 19,892 driver license exchanges.
- Out-of-state migration could pick up further in 2026-2027 as Florida continues to attract businesses, professionals, and retirees with its pro-business and low tax environment while taxes could rise in New York and California.
Download the 2025 Q4 Southeast Florida Driver License Exchanges Report HERE.
Out-of-state driver license exchanges rose in Miami-Dade County and Broward County in 2025 as overall driver license exchanges fell in Florida
Out-of-state migration based on driver license exchanges picked up anew in Miami-Dade County and in Broward County in 2025 after stabilizing over the past three years, according to Miami Association of REALTORS® (MIAMI) analysis of Florida Highway Safety and Motor Vehicles data. New residents must exchange their out-of-state license for a Florida driver’s license within 30 days after establishing residency to drive on Florida’s roads.
In 2025, out-of-state driver license exchanges in Miami-Dade County rose 12% from the prior year, with 23,878 driver license exchanges. The 2025 level rose to the second highest level following the pandemic-induced peak in 2021 (23,937) and after stabilizing at an average of 21,400 in 2022-2024. Compared to the pre-pandemic level in 2019, out-of-state driver license exchanges in 2025 are 33% higher.
Driver license exchanges in Miami-Dade County rose in nearly all the top 10 largest feeder states: New York (+7%), California (+12%), Texas (+26%), New Jersey (+20%), Georgia (+15%), Illinois (0%), Massachusetts (+10%), Pennsylvania (+7%), Virginia (+15%), and North Carolina (+12%).
In Broward County, driver license exchanges were up 6% from the prior year, with 19,892 driver license exchanges. Driver license exchange rose in nearly all the 10 largest feeder states: New York (5%), California (23%), New Jersey (6%), Texas (1%), Georgia (15%), Pennsylvania (5%), Illinois (0%), Massachusetts (8%), Virginia (13%), and Maryland (-8%). Driver license exchanges in 2025 hover at the pre-pandemic level in 2019 of 20,036.
Elsewhere in the three other Southeast Florida counties, driver license exchanges modestly declined from one year ago: Palm Beach County (-2%), Martin County (-3%), and St. Lucie County (-1%).
The uptick in Miami-Dade County’s and Broward County’s driver license exchanges contrasted with the 2% overall decline in Florida.
Out-of-state migration is poised to pick up further in 2026-2027
Southeast Florida’s evolution towards becoming an economic powerhouse particularly in the technology, finance, and medical/health industries and as a sports and cultural hub are continuing to attract movers to the area. Investors and developers continue to remain bullish on Southeast Florida’s long-term prospects, with developers, investors, and office/retail occupiers making record-breaking deals in 2025 [1].
Out-of-state migration could pick up further in 2026-2027 as Florida continues to attract businesses, professionals, and retirees with its pro-business and low tax environment while taxes could rise in New York and California.
Outmigration from New York could potentially increase in 2026 as the tax differential between New York and Florida widens under Mayor Mamdani. Currently, New York City’s general business corporation tax is at 4.875% to 7.25%, which Mamdani has pledged to raise to 11.5% to match New Jersey’s. In Florida, the corporate tax rate is 5.5%. The New York state income tax rate ranges from 4.75% to 10.9% and a flat 3.9% New York City income tax. Mamdani’s agenda calls for a 2 percent New York City Income Tax for anyone making more than $1 million a year, or a top tax rate of 16.8%. According to The Citizen’s Budget Commission analysis of migration and taxes, New York City has about 350,000 millionaires [2].
A proposed billionaire wealth tax in California could also spur increased outmigration, particularly among tech professionals and capitalists. Under the proposed ballot initiative, California would institute a one-time tax of 5% on the state’s estimated 255 billionaires [3].
Meanwhile in Florida, the Florida Legislature is considering several measures to provide property tax relief by providing a non-school property tax exemption on all homestead properties (HJR 201), non-school property tax exemption on housing residents 65 and over (HJR 205), and a higher homestead exemption for non-school property tax of $100,000 (currently at $50,000) for properties with a multi-peril insurance policy (HJR 209). The proposed measures aim to provide financial relief to homeowners while ensuring that local governments can continue providing essential public services like law enforcement [4].
[1] All The Records South Florida CRE Broke In 2025
[2] NYC Is Home To The Most Millionaires With 1 In 24 Residents Being A Millionaire – Travel Noire
[3] California could impose a billionaire tax. Here’s how it would work.
[4] ‘Eliminate them:’ Florida property tax cuts just got closer to becoming real
