Florida has long been the obvious destination for retirees chasing warm weather, ocean views, and zero state income tax. But a new report from U-Haul suggests the Sunshine State is no longer the top pick for baby boomers moving across state lines. Instead, they’re heading to the Carolinas.
In July, U-Haul released its 2026 Midyear Migration Trends National Report, which ranks where each generation is moving based on every state’s net gain of one-way U-Haul trucks, trailers, and U-Box containers between July 2025 and June 2026. The company sorted renters into four groups: baby boomers (born 1946–64), Gen X (born 1965–80), millennials (born 1981–96), and Gen Z (born 1997–2012). The data reflects U-Haul customers rather than the total population, but it offers a useful read on where each age group is heading.
Florida was popular across the board. It was the only state to land in the top 10 for all four generations, and it ranked No. 1 for both Gen X and millennials.
For boomers, however, the Sunshine State came in third, behind South Carolina and North Carolina. Six of boomers’ top seven states were in the Southeast, with Arizona the lone exception. That’s a notable turn from just a few years ago, when Fortune reported that boomers remained fixated on retiring in Florida even as rising costs priced many of their peers out.
Property taxes and housing costs are driving popularity
Cost is a big part of the story. Florida still has no state income tax, but both Carolinas keep their rates relatively low. North Carolina has a flat 3.99% income tax this year, and a law signed in July will cut it to 3.49% in 2027. South Carolina overhauled its income tax this year, moving to a 1.99% rate on the first $30,000 of taxable income and a top rate of 5.21% above that.
The Carolinas look even better on property taxes and housing costs. Florida’s effective property tax rate on owner-occupied homes is 0.78%, compared with 0.66% in North Carolina and 0.49% in South Carolina, according to the Tax Foundation. The U.S. Census Bureau puts Florida’s median home value at $359,000, versus $288,900 in North Carolina and $259,000 in South Carolina. Rent follows the same pattern: Florida’s median gross rent is $1,669 a month, compared with $1,228 in North Carolina and $1,180 in South Carolina.
Florida homeowners have also faced a surge in insurance premiums and condo association fees, forcing many condo sellers to cut prices and pushing housing inventory higher in parts of the state.
Climate and recreation are also factors
Location matters too, especially as more Americans keep working later in life. Florida’s peninsula juts far from the rest of the country, and big metros like Miami, Tampa, and Orlando sit well away from neighboring states. Miami may be a quick flight to the Caribbean, but the Carolinas are within a half-day’s drive of Atlanta and Washington, D.C., and major airports in Charlotte and Raleigh-Durham make business travel easier.
The Carolinas’ varied terrain also gives retirees more ways to spend their time. Beaches and golf courses line the eastern coasts, while the Blue Ridge Mountains in the west offer hiking, biking, and camping. In between, lakes like Lake Norman and Lake Murray draw boaters and anglers. Florida has its own outdoor appeal, from beaches to freshwater springs, but its flat terrain offers less variety, which may matter more as Americans stay active later in life.
Then there’s climate. Warm weather was once Florida’s biggest selling point, but hotter summers, rising sea levels, and storm risk have made it a more precarious place to own property year-round. The Carolinas’ coasts face flooding and hurricanes too, and Hurricane Helene’s destruction in western North Carolina in 2024 showed the mountains aren’t immune. Still, the states’ milder climate and higher ground give residents more options for limiting their exposure.
By the broadest measures, Florida remains the bigger draw. Its population reached about 23.5 million in 2025, the third-largest of any state after California and Texas. It also grew 8.9% between April 2020 and July 2025, narrowly ahead of South Carolina’s 8.8% and North Carolina’s 7.2%, according to the Census Bureau.
But that booming population could be a drawback for older Americans looking for quieter quarters. Notably, the Florida metros that made boomers’ top 10 weren’t Miami, Tampa, Orlando, or Jacksonville, but Gainesville-Ocala at No. 1 and Daytona Beach at No. 9. Myrtle Beach and Charleston, S.C., ranked second and fourth, and Wilmington, N.C., rounded out the list.
Ultimately, peace, quiet, affordability, and recreation may be the new retirement dream, and boomers are increasingly finding it in the Carolinas.
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