Why Does Miami Show the Highest Cost-of-Living Increase of Any Large Metro in the Nation?

The rise is primarily attributed to one thing: housing costs.

Living in South Florida has its perks, from the year-round warm weather to white sandy beaches attracting worldwide tourists. Yet, the area’s popularity, causing an influx of new residents, has shown to be a negative regarding affordability. The growing feeling among South Florida residents that the tri-county area is becoming increasingly unaffordable was recently confirmed by the latest Consumer Price Index report by the U.S. Bureau of Labor Statistics. The study revealed the stark reality of the daily challenges many South Floridians face as consumer prices increased again by the broadest margin among large U.S. urban areas. 

The Miami metro area has been plagued with the highest cost-of-living increase among the nation’s biggest 14 metropolitan areas since December 2022, when annual inflation rose 9.9% in Miami. This cost rise continued as the region saw the highest cost-of-living increase to 7.8% for the 12 months ending in August. This marks the first acceleration in the area’s cost of living since February. However, the cost of housing remains the primary contributor to South Florida’s overall rising cost of living. Specifically, home rents saw a 15.3% increase last month compared to a year ago, while the cost of purchasing a home increased by 14.3%.

Over the same period, the Tampa region was tied with Detroit for the second-highest inflation rate, at 5.9%, while Seattle came in third at 5.4%. In the same month, New York’s inflation rate was only 3.5%, with San Francisco following closely at 3.4%, Los Angeles at 3.3%, and Chicago at 2.3%. However, in South Florida, the rise in the cost of living is not limited to housing and fuel, as the prices of food, electricity, and services also increased considerably in August.

Photo credit: Alejandro Luengo

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Drew Limsky

Drew Limsky



Drew Limsky joined Lifestyle Media Group in August 2020 as Editor-in-Chief of South Florida Business & Wealth. His first issue of SFBW, October 2020, heralded a reimagined structure, with new content categories and a slew of fresh visual themes. “As sort of a cross between Forbes and Robb Report, with a dash of GQ and Vogue,” Limsky says, “SFBW reflects South Florida’s increasingly sophisticated and dynamic business and cultural landscape.”

Limsky, an avid traveler, swimmer and film buff who holds a law degree and Ph.D. from New York University, likes to say, “I’m a doctor, but I can’t operate—except on your brand.” He wrote his dissertation on the nonfiction work of Joan Didion. Prior to that, Limsky received his B.A. in English, summa cum laude, from Emory University and earned his M.A. in literature at American University in connection with a Masters Scholar Award fellowship.

Limsky came to SFBW at the apex of a storied career in journalism and publishing that includes six previous lead editorial roles, including for some of the world’s best-known brands. He served as global editor-in-chief of Lexus magazine, founding editor-in-chief of custom lifestyle magazines for Cadillac and Holland America Line, and was the founding editor-in-chief of Modern Luxury Interiors South Florida. He also was the executive editor for B2B magazines for Acura and Honda Financial Services, and he served as travel editor for Conde Nast. Magazines under Limsky’s editorship have garnered more than 75 industry awards.

He has also written for many of the country’s top newspapers and magazines, including The New York Times, Washington Post, Los Angeles Times, Miami Herald, Boston Globe, USA Today, Worth, Robb Report, Afar, Time Out New York, National Geographic Traveler, Men’s Journal, Ritz-Carlton, Elite Traveler, Florida Design, Metropolis and Architectural Digest Mexico. His other clients have included Four Seasons, Acqualina Resort & Residences, Yahoo!, American Airlines, Wynn, Douglas Elliman and Corcoran. As an adjunct assistant professor, Limsky has taught journalism, film and creative writing at the City University of New York, Pace University, American University and other colleges.