From the Daily Record:
Kathleen Dooley-Breslin and her husband wanted something larger than the 2,000-square-foot house they owned in Denville before starting a family. So, like some other couples, they looked south — all the way to South Carolina.
They sold their home in Denville for $469,000 and purchased a house in Lake Wylie, S.C. that’s twice the size for $400,000. They traded 2-1/4 bedrooms and 1-1/4 baths for four bedrooms and four bathrooms. And they gave up a property tax bill of close to $10,000 a year for one that’s about $1,900.
“We didn’t want to buy a McMansion in New Jersey and live above our means,” Dooley-Breslin said. “We didn’t want to put ourselves on that treadmill.”
They may be part of a trend, people moving out of the state because of high taxes and housing prices that remain inflated, even in a poor economy.
From 2000 to 2008, nearly 800,000 households moved from New Jersey to another state, taking $57.7 billion in adjusted gross income out of New Jersey, according to data from the IRS. The dollars for those years were adjusted for inflation.
Countering that exodus was an influx from other states of some 636,000 households and $45 billion in adjusted gross income, in 2008 dollars.
On balance, New Jersey had a net loss of 163,000 households and $12.8 billion in gross income, adjusted for inflation. That represents about 4 percent of New Jersey’s total taxable income.
During that time, the state’s total population still grew by 268,000 people, or 3.2 percent, because of a large influx of immigrants and the fact that there were more births than deaths.
Rutgers University economists James W. Hughes and Joseph J. Seneca have calculated that the ongoing exodus cost the state $680 million in state income tax and sales tax revenue in 2006 alone.
A total of 64,102 households moved out of Morris over the past five years, 6,464 more than moved into the county. Households moving out of state had a $94,374 average annual income. All households leaving the county, including those remaining in New Jersey, had an average income of $85,728, slightly higher than the $84,346 average of those moving into Morris.