California Billionaires Flee to Florida Amid Proposed Wealth Tax

Real estate managers and officials report influx of wealthy Californians purchasing properties in the Sunshine State

Mar. 12, 2026 at 2:51pm

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A proposed 5% wealth tax on California residents with assets exceeding $1 billion is driving billionaires to relocate to Florida, according to real estate managers and city officials. The initiative, pushed by the Service Employees International Union–United Healthcare Workers West, has not yet qualified for the November 2026 ballot, but its potential passage is already motivating the wealthy to seek refuge in Florida, where there is no state income tax.

Why it matters

The exodus of California's billionaires to Florida highlights the potential impact of the proposed wealth tax and the broader debate around taxing the ultra-wealthy. The migration could have significant economic and political implications for both states, as Florida stands to gain an influx of high-net-worth individuals and tax revenue, while California may lose some of its wealthiest residents and the economic activity they generate.

The details

Real estate managers and lawyers in Florida have reported a surge in wealthy Californians purchasing properties, with one real estate broker stating he has "three things under contract north of $600 million." A lawyer who specializes in real estate transactions said he has seen a growth in "stealth ownership" deals, with dozens of such transactions compared to just a handful in previous years. Florida developers and landowners are also preparing cities beyond Miami and Palm Beach for potential new residents, acknowledging the high demand from the California billionaires.

  • The proposed wealth tax initiative must gather enough signatures by June to qualify for the November 2026 ballot.
  • If the measure qualifies and is approved by voters, the 5% wealth tax on California residents with assets exceeding $1 billion would be implemented.

The players

Service Employees International Union–United Healthcare Workers West

The labor union that has proposed the 5% wealth tax on California residents with assets exceeding $1 billion.

Gavin Newsom

The governor of California, who has come out against the proposed wealth tax, stating that it "makes no sense" and is "really damaging to the state."

Ron DeSantis

The governor of Florida, whose office was contacted for comment on the influx of California billionaires to the state.

Brett Harris

A real estate manager at Bespoke Real Estate in Miami, who reported an influx of California billionaires purchasing properties in Florida.

Chase Berger

A lawyer who specializes in real estate transactions and has seen a growth in "stealth ownership" deals by wealthy clients from California.

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What they’re saying

“The California guys, all billionaires, are running away from the wealth tax. I have three things under contract north of $600 million.”

— Brett Harris, Real Estate Manager, Bespoke Real Estate (Los Angeles Times)

“I used to do a handful of these a year... now it's dozens. It's a residency war with California that they're fighting.”

— Chase Berger, Real Estate Lawyer (Los Angeles Times)

“Florida is the new California. It reminds me of the California of the '50s and '60s, where people flocked for jobs and to raise families and there was great weather.”

— Maria Sachs, Palm Beach County Commissioner (Los Angeles Times)

What’s next

The Service Employees International Union–United Healthcare Workers West has until June to gather enough signatures to qualify the proposed wealth tax initiative for the November 2026 ballot. If the measure qualifies, voters in California will then decide whether to implement the 5% tax on residents with assets exceeding $1 billion.

The takeaway

The potential exodus of California's billionaires to Florida in response to the proposed wealth tax highlights the high-stakes battle over taxing the ultra-wealthy. The migration could have significant economic and political implications for both states, as Florida stands to gain an influx of high-net-worth individuals and tax revenue, while California may lose some of its wealthiest residents and the economic activity they generate.