The state of affairs in the United States has more Americans looking to move overseas. That is the conclusion of the 2024 USA Wealth Report, which tracks wealth migration within and out of the U.S. The report says in 2023, more Americans than ever inquired about relocating abroad, with the most popular option being the "golden visa." That allows Americans to maintain U.S. residency while also establishing residence rights in another country. The most popular countries to do this are Portugal, Spain, Italy, and Greece.
Conventional wisdom is that this trend is driven by wealthy Americans looking to protect their investments and access lower tax rates overseas. But that is not necessarily the case. "It's not just those who are uber-rich, it's people that maybe just can't make retirement here with the same quality of life that they can get overseas," says financial planner Richard Rosso. "I have a client who has a U.S. address but is moving to Costa Rica...he is going to save something like $5,000 to $6,000 a month in living expenses, and can buy a similar house for about half the price."
Rosso tells KTRH he expects this trend to continue, especially as baby boomers continue to reach retirement age in large numbers. "These aren't mega rich people the way we usually think of them," he says. "It is more of what I'd call respectably wealthy, who can live just a bit easier in a better environment overseas...that's really what is happening for a lot of baby boomers."
With inflation, crime, political and economic turmoil on the rise in America, it is not surprising that a record number of Americans are exploring residency options elsewhere. "The world is different now...30, 40 years ago the thought of stepping into another country was so scary," says Rosso. "But with the way we're so connected technologically, it doesn't feel that way anymore."
While the golden visa trend is most popular among boomers, don't be surprised to see younger generations taking part. "Working age Gen Zs also are more comfortable moving or looking overseas to live, based on the strife they feel here," says Rosso. "So, I don't think this is a trend that is going away."