The ‘Mamdani Effect’ Is Boosting the Palm Beach Real Estate Market

As New York City’s mayoral race heats up ahead of the November election, wealthy residents are already eyeing the exits.

Zohran Mamdani—the Democratic Socialist leading in the polls following his surprise win in the June primary—has ignited new anxiety among top earners because of his sweeping housing and tax proposals aimed at reshaping the city’s real estate and budget priorities.

That ripple effect is being felt far beyond New York. In Florida—especially in Palm Beach County—real estate agents are seeing renewed momentum from affluent New Yorkers, particularly those from Westchester County and Manhattan, looking to relocate or expand their footprint in the Sunshine State. For many, it’s not just about taxes anymore—it’s about timing.

“I have definitely noticed more New York buyers in the last year, especially from Westchester,” says Johnny DelPrete, an agent with The Exclusive Group at Douglas Elliman in Palm Beach County. “That market has always had strong ties to Palm Beach, but lately the interest feels even stronger.”

The uptick in demand coincides with growing buyer unease about Mamdani’s proposed housing reforms, including a multiyear rent freeze, a $100 billion investment in new affordable housing, fast-tracking 100% affordable developments, and a proposed 2% income tax on New Yorkers earning more than $1 million. While the plan has energized tenants and progressive voters, it’s also triggered concern among higher-income homeowners, who are already scouting alternatives.

In July,  Fox News host Sean Hannity, who has already relocated to Florida, suggested the city could soon see a dramatic outflow.

Westchester agents report a 15% year-over-year jump in contracts since Mamdani’s primary win, and in Palm Beach, agents such as DelPrete are fielding a steady stream of inquiries from clients who want out or a backup plan.

“Most of my New York clients tell me it’s about lifestyle first,” DelPrete explains. “The weather, the beaches, the ability to be outside all year. Of course, taxes play a role, too. But, it’s really about the quality of life they get here without giving up easy access to New York.”

Heading South

The demand is creating serious pressure in an already inventory-constrained market. Palm Beach isn’t just popular—it’s small. The barrier island, located 65 miles north of Miami, is only 16 miles long. So, when three buyers are bidding on the same property, two of them will walk away empty-handed. That kind of competition has become the norm.

“They’re not really price-sensitive,” DelPrete says of his New York buyers. “If they see something they love, they move quickly and are willing to pay for it. In multiple-offer situations, they’re usually aggressive because they don’t want to miss out.”

DelPrete says New York buyers are arriving eager and prepared to act.

“They’re decisive, they’re fast, and they come prepared,” he adds. “They’re used to competing in a tough market, so they don’t hesitate when the right home comes along. Locals may take more time, but New Yorkers know how to strike when they see the right opportunity.”

The current market conditions reflect that urgency. According to the Realtor.com August 2025 data, Palm Beach County had approximately 48,000 active listings, with just over 9,000 new listings that month. Homes are spending a median of 90 days on the market, and the median list price sits around $500,000.

The influx of capital, especially from the Northeast, is fueling not just home purchases but also new investments in condos, office space, and long-term development, local agents say.

DelPrete says the buyers he works with are split: Some are fully relocating, while others still keep a New York address, even if Florida is becoming their true home base.

“Some are planting roots here,” he says. “But many still keep a home in New York. I’d say the majority are spending more time here each year—and for some, Florida is quickly becoming the primary home, even if they don’t call it that on paper yet.”

The “Mamdani effect,” coined after a noticeable postprimary surge in suburban home shopping, now appears to be spreading farther South. Whether the political shift in New York becomes permanent remains to be seen, but for now, one thing is clear: Momentum is moving to Florida again.