Florida Top State in Attracting the 65-Plus Crowd

The largest demographic shift in history is just beginning. But expected residential growth must be balanced with commerecial and industrial growth.

September 19, 2007 – Palm Coast, Florida – There are 76 million baby boomers. The oldest are only 61. Researchers report that as many as 25% will relocate during their prime retirement years. Indications are that Florida will get a good share of them.

Thomas, Warren & Associates recently reported the results of a study commissioned by the National Active Retirement Association. Their study shows that in 2005, Florida gained 68,000 residents over the age of 65 who brought $1.9 billion in additional income to the state. In second place, Texas gained 27,000 new 65-plus residents, bringing $732 million in additional income. Georgia was third with 16,000 and $400 million respectively.

Further, Thomas, Warren & Associates studied the individual states of Florida, Arizona, and Louisiana to determine the impact of incoming retirement age residents. They determined that in each state, residents aged 55 and over had a positive net benefit. The same group had a per-capita income significantly higher than the 18 to 55 age segment. The aging segment also commit fewer crimes, have no children in school, pay more in property taxes, and act as a magnet for a strong group of medical specialists.

Not to be overlooked is the impact the incoming boomers will have on the workforce. They will often be highly skilled but willing to work for wages below the income level of their pre-relocation years. They will also be more amenable to flexible schedule.

The studies point only to the differences in the net economic benefit of two age segments. They do not, however, point out that if a taxing district becomes overly dependent on a residential property tax base, regardless of the age of the property owner, the long term result will be skyrocketing property taxes and diminished government services. A healthy balance between residential, commercial, and industrial property must always be sought. Commercial and industrial properties contribute more tax dollars for every dollar of government services they require than do residential properties. They also provide jobs.