AUSTIN (KXAN) — They say everything is bigger in Texas. Apparently, that includes the bank accounts of some of Austin’s richest residents.
Austin is the fastest-growing city for millionaires, according to the 2023 Wealth Report by Henley & Partners.
Between 2012 and 2022, the number of millionaires calling Austin home more than doubled to 30,500. A ‘millionaire growth rate’ of 102% puts Austin at the top of the list.
Both West Palm Beach and Miami, Florida, made the top five list, along with Scottsdale, Arizona and Greenwich/Darien, Connecticut. Each of the top five cities saw growth rates of more than 70% over the decade.
Of Austin’s 30,500 millionaires, 86 are ‘centi-millionaires,’ meaning their wealth is more than $100 million. There are also nine billionaires who live in Austin.
The report defined “wealth” as a person’s net investible assets, meaning cash, property and listed company holdings.
“With no state income tax and abundant space, Austin has been a growth market for luxury real estate,” the report stated. Internal migration was highlighted as a big factor in the growth, with several tech firms expanding their presence in Austin over the past decade, including Amazon, Google, Meta, SpaceX, Tesla and Apple.
The report did come with a warning though, saying the millionaire growth in the city “may be a case of easy come, easy go,” citing recent tech layoffs and office space contractions.
Another Texas city featured on the list of wealthiest cities in the country. Houston ranked fifth, with 98,500 millionaires, 280 centi-millionaires and 20 billionaires.
Los Angeles and the San Francisco Bay Area are both home to more than 200,000 millionaires each, while 340,000 live in New York City.
Nationwide, more than 5.3 million individuals have a net worth of at least $1 million. There are also 9,630 centi-millionaires and 770 billionaires across the U.S.
They help to increase the average wealth across the country. The report said the average wealth of someone living in the United States is $198,000, the fifth-highest in the world, after Monaco, Switzerland, Luxembourg and Australia.
As a seasoned expert in economic trends and regional development, I bring a wealth of knowledge to the discussion on the economic landscape of cities in the United States. My expertise is grounded in a comprehensive understanding of economic indicators, urban development patterns, and the factors that contribute to the growth of wealth in specific regions.
Now, let's delve into the key concepts and insights highlighted in the provided article about Austin, Texas, being the fastest-growing city for millionaires according to the 2023 Wealth Report by Henley & Partners:
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Millionaire Growth Rate in Austin:
- According to the 2023 Wealth Report, Austin experienced a remarkable millionaire growth rate of 102% between 2012 and 2022.
- The number of millionaires in Austin more than doubled during this period, reaching a total of 30,500.
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Top Five Cities for Millionaire Growth:
- Besides Austin, other cities that made the top five list for millionaire growth include West Palm Beach and Miami in Florida, Scottsdale in Arizona, and Greenwich/Darien in Connecticut.
- Each of these cities saw growth rates of more than 70% over the past decade.
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Wealth Categories in Austin:
- Among Austin's 30,500 millionaires, 86 individuals are classified as 'centi-millionaires' with a wealth exceeding $100 million.
- Additionally, there are nine billionaires residing in Austin.
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Definition of "Wealth":
- The report defines "wealth" as a person's net investible assets, encompassing cash, property, and listed company holdings.
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Factors Contributing to Austin's Millionaire Growth:
- The absence of a state income tax and ample space are mentioned as key factors contributing to Austin's status as a growth market for luxury real estate.
- Internal migration, driven by the expansion of tech firms, such as Amazon, Google, Meta, SpaceX, Tesla, and Apple, is identified as a significant factor in Austin's millionaire growth.
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Cautionary Note in the Report:
- The report issues a warning, suggesting that the millionaire growth in Austin "may be a case of easy come, easy go," citing recent tech layoffs and office space contractions as potential challenges.
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Wealthiest Cities Nationwide:
- Houston, another Texas city, is featured on the list of wealthiest cities in the country, ranking fifth with 98,500 millionaires, 280 centi-millionaires, and 20 billionaires.
- Los Angeles and the San Francisco Bay Area have over 200,000 millionaires each, while New York City boasts 340,000 millionaires.
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National Wealth Statistics:
- Nationwide, the report indicates that more than 5.3 million individuals in the U.S. have a net worth of at least $1 million.
- There are 9,630 centi-millionaires and 770 billionaires across the United States.
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Average Wealth in the United States:
- The report highlights that the average wealth of someone living in the United States is $198,000, ranking as the fifth-highest in the world after Monaco, Switzerland, Luxembourg, and Australia.
In conclusion, the article provides a comprehensive overview of the dynamic economic landscape in Austin and other affluent cities, shedding light on the factors driving millionaire growth, potential challenges, and the broader national context of wealth distribution in the United States.
