In 2022, we published a widely circulated The Great American Exodus whitepaper to explore the increasing trend of Americans looking for different opportunities and ways outside the US.
Today, in 2024, we鈥檙e excited to release an updated edition, 鈥�The Great American Exodus Re-visit,鈥� to bring fresh data, recent survey insights, and real stories. The new edition uncovers how today鈥檚 economic pressures, social shifts, and many other dominant factors are driving Americans to consider a second residency or citizenship.
Why Do Americans Plan to Leave the US?
According to AARO鈥檚 estimation, 鈥渁t least 5.4 million Americans live abroad. As highlighted in their observation:
If all Americans overseas were placed in one state, they would be a formidable force: A diaspora of 5.4 million U.S. citizens abroad would be the 23rd most populous state in the United States, between Minnesota and South Carolina!
This intense fact highlights the growing presence of the American expatriate population. Beyond just a trend, it represents a big shift in how Americans are engaging with global mobility. And, our recent report highlights that Americans鈥� interest in second passports is not mostly related to political affiliations but more about shared concerns over institutional decline, rising living costs, and the need for personal stability.
As the Managing Partner, Murat Coskun notes, migration patterns reflect a broader sentiment that transcends party lines, as Americans from diverse backgrounds pursue greater security and an improved quality of life abroad.
In our whitepaper, we discover the top 10 reasons why Americans are planning to leave the US or get a second residency.
Many Americans Look for Affordable Cost of Living Elsewhere
According to the data in the whitepaper, one of the key reasons Americans seek residency or citizenship options elsewhere is the high cost of living in the United States. Many Americans, particularly retirees, are looking for countries that provide more affordable healthcare, lower housing costs, and cheaper daily expenses.
Finally, they plan to stretch their pensions far further than in the United States. As a result, the appeal of many countries, such as Spain, Portugal, and Italy, resides in their ability to provide a comparable standard of living for a fraction of the cost of the United States.
Sense of Instability Drives Americans to Look for Plan B Options
As a precaution against instability in the United States, they consider obtaining a second citizenship or residency elsewhere. Many Americans prefer more security and personal freedom in modern, inclusive cultures.
From our recent surveys, for most wealthy Americans considering relocation to Europe, returning to the US is not necessarily a part of their plan. Their primary motivation is often seeking long-term stability, a better quality of life, and financial security.
When you ask what drives the shift from talk to walk in their decision to move out of US, for most people, the tipping point comes when these goals no longer feel achievable in the country. The moment of realization pushes them to explore the alternatives, and often leads them to take the next steps in the search for a better quality of life abroad.
Americans鈥� Interest in Getting a Second Passport
As our data shows, the interest in second passports experiences a spike during periods of heightened societal uncertainty. It is either an economic instability, financial sector disruptions, or major judicial decisions.
Considering economic instability, interest rate hikes, and rising inflation, Americans are being pressured to look for financial security abroad.
Another spike in interest that is aligned with key events is the financial sector disruptions; as we discover, from bank failures to market volatility, the appeal of diversifying assets internationally increases.
The Americans are looking for ways to move out of the US, though; do they really consider leaving their first nationality, the US citizenship?
Top 3 Countries and Estimated Number of Americans Living There
Over 1,300 Americans Renounced their Citizenship in the First Half of 2024
A significant number of Americans are formally renouncing their US citizenship. Over 30,000 renunciations have been made by Americans in the past decade, with over 1,300 renouncing their citizenship in the first half of 2024 alone.
The Number of Americans Who Renounced Their Citizenship
Between 2014 and 2016, around 5,000 Americans renounced their citizenship annually. This represents a nearly tenfold increase from 2005 to 2015.
The trend shows a significant shift. However, Americans can get dual citizenship in many countries that offer a second residency or citizenship.
Not Just Wealthy Americans Are Looking for a Plan B
Location flexibility has become more accessible because of new visa alternatives such as digital nomad visas and retirement visas, making migration more feasible for a larger range of Americans. Retirees, entrepreneurs, and remote workers are all looking for fresh opportunities abroad, drawn by the promise of cheaper expenses and improved healthcare.
Relocating means for many Americans the opportunity to live well without the financial pressure that would otherwise be required in the United States.
鈥楾he Great American Exodus Re-visit 2024鈥� offers a detailed look into these trends.
