King County saw a net loss of roughly 13,000 people through domestic migration during 2022-2023, according to a recent analysis of IRS migration data published by Washington Policy Center. The report, which examines a Seattle Times analysis of federal tax records, concludes that Seattle's progressive policies on housing, taxes, and public safety are driving residents and businesses to nearby suburbs. Most people aren't leaving Washington state entirely—they're moving 20 or 30 minutes away to escape what the report calls "Seattle and King County's dysfunction."

The migration numbers tell a stark story. King County recorded a net in-state loss of 17,600 residents who moved to other Washington counties, while out-of-state migration showed a small net gain. Outbound movers took $8.7 billion in adjusted gross income with them, while inbound residents brought only $6.7 billion—a nearly $2 billion net drain on the local economy. The biggest winners were Pierce County, which gained a net 6,700 residents, and Snohomish County, which added 6,200. Bellevue emerged as one of the largest beneficiaries of the exodus from Seattle proper.

The report identifies housing affordability as one of the primary drivers behind the migration. According to Washington Policy Center, "King County and Seattle have become so expensive that working families and working-class residents are being pushed into neighboring counties where they can actually afford to buy a home or rent without sacrificing quality of life." The authors write that Seattle has "leaned into government heavy solutions" like social housing and new taxes rather than deregulation and faster permitting, approaches that "have failed for years." The report also points to Seattle's approach to budget shortfalls—centered on new or expanded taxes rather than spending restraint—as sending "a clear message to residents and businesses: if you succeed here, we'll take more of what you earn."

The report argues that housing policy failures create cascading economic damage. When employees can't afford to live near their jobs, businesses struggle to hire and retain talent. When customers move to suburbs, local shops and restaurants lose foot traffic, hitting the small business community hardest. The authors contend that adding "layers of bureaucracy and taxpayer-funded projects doesn't build homes faster, it slows everything down and raises costs for everyone else." Persistent issues with open drug use, property crime, and visible disorder compound the problem, making families feel unsafe and prompting them to relocate "to nearby cities with stronger enforcement and cleaner public spaces." The report notes that higher-income households are leaving disproportionately, taking their economic activity with them.

The report calls for a dramatic policy shift away from what it terms "failed progressive experiments." Washington Policy Center recommends dramatically faster housing permitting, lower barriers to construction, targeted public safety improvements, and a tax environment that rewards work and investment rather than punishing success. The authors warn that without these changes, King County should expect "more 'local' moves and more economic pain for the communities left behind." The IRS data, they conclude, simply confirms what the organization has been warning for years: high taxes, heavy regulation, and anti-growth policies drive people and investment away.