Are Your Politics Costing You Money? 5 Cities Loved by Republicans That Are Actually Financial Traps

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The cost of living in the average blue state was 13% higher than the average red state in 2023, according to data obtained by the Berkeley Economy and Society Initiative.

Housing costs drove much of the difference — prices were 52% higher in blue-leaning states than in red ones — along with higher salaries, housing shortages and stricter housing production regulations, the Initiative reported.

While some Republican cities have low or no property taxes, taxes on your home are only one slice of the pie when it comes to affordability. Many municipalities offset them with other expenses, such as sales tax, grocery taxes, amenity fees, expensive home insurance and various other special assessments and surcharges.

Before you sell your home and move to a city in a red state, know precisely what you’ll be paying when you get there. These cities loved by Republicans are big money traps.

The Villages, Florida

Why people love the Villages:

Republicans love the Villages for its golf-cart lifestyle, abundant social activities with conservative-minded Americans and low state income tax.

Money traps to look out for:

• A $199 monthly recurring amenity fee
• A non-ad valorem Community Development District (CDD) assessment for infrastructure, operations and maintenance is added to annual property tax bills.
• The median property home insurance cost in Florida is among the highest in the country at $2,273, according to the U.S. Census Bureau.
• Car insurance is more expensive, with an average rate for liability at $154 per month and full auto insurance averaging $210 compared to the national average of $104 for liability and $184 for full coverage.

Naples, Florida

Why people love Naples:

Residents are drawn to Naples for its pristine beaches, upscale lifestyle and no state income tax or tax on pensions or Social Security.

Money traps to look out for: 

• Florida’s new condo-safety laws increase condo owners’ monthly dues and special assessment fees due to Structural Integrity Reserve Studies (SIRS) that require structural inspections and fully funded reserves.
• Collier County has high home insurance costs due to coastal flooding.

Fort Worth, Texas

Why people love Fort Worth: 

Republicans flock to Fort Worth for its robust job force, conservative-minded community, affordable homes and no state income tax.

Money traps to look out for: 

• Texas homeowners insurance is rising after years of severe storm impacts.
• Fort Worth has a city tax rate of 67 cents per $100 in value to fund solid waste disposal, wastewater services and environmental protection
• Fort Worth residents pay high summer electric bills, peaking at around $400, with 80% higher energy costs in summer.

Oklahoma City, Oklahoma

Why people love Oklahoma City: 

Newcomers are drawn to OKC for its median home sale price of $228,500, growing amenities and venues such as the National Cowboy & Western Heritage Museum, outdoor activities and a thriving arts and cultural scene.

Money traps to look out for:

• Oklahoma City charges a 4.125% tax on groceries, even after the state did away with its 4.5% grocery tax. The combined sales tax in OKC is 8.63%, which is higher than in many blue states. 
• Oklahoma pays 119% more than the national average for annual home insurance premiums, according to News 9. At $6,133 per year that’s the highest homeowners insurance rate in the country, which has risen due to tornadoes, wind damage, hail and natural disasters.

Lafayette, Louisiana

Why people love Lafayette: 

The city is known for its vibrant Creole and Cajun culture, culinary and music scene, oil and gas industry and modest-priced homes with a median sale price of $246,500.

Money traps to look out for:

• You’ll pay a hefty sales tax of 10%, which combines local, county and state — one of the highest in the nation.
• Homeowners insurance premiums are through the roof due to storms and floods, paying an average annual rate of $3,458.
• Elevated car insurance rates with full coverage premiums averaging $211 per month; however, liability only is $117.

Before you relocate to a city that promotes itself as having low taxes, make sure to do the math — especially if you’re a retiree living on a fixed income. Weigh the pros and cons and calculate your earnings against the full range of expenses that lie ahead of you, from insurance premiums, sales tax, community fees and other cost-of-living variables.

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