According to U.S. Census Bureau data, about 130,000 more residents moved from California than to California in 2017.
While foreign investment in California real estate continues, many California residents chose to sell while home prices are high and buy in less expensive states. The five most popular states for people moving from California were Texas, Arizona, Washington, Nevada, and Oregon. Three out of the five states are adjacent to California.
While the most number of Californias moved to Texas, it wasn’t the state with the highest net migration. In this context, net migration is the difference between the number of people moving into the state from California versus those moving to California.
Below is a list of the top five states ranked from most net migration to least net migration per U.S. Census Bureau data.
Left California for Arizona: 60,739
Left Arizona for California: 24,797
Left California for Oregon: 46,059
Left Oregon for California: 21,876
Left California for Nevada: 46,697
Left Nevada for California: 23,296
Left California for Texas: 64,774
Left Texas for California: 42,795
Left California for Washington: 50,888
Left Washington for California: 31,062
Having a net resident loss to other states isn’t new to California. In fact, California has seen more than 15 consecutive years of net resident losses to other states. However, the state’s overall population has grown thanks to the number of births and immigration from abroad.
Reasons for Leaving California
Rising housing costs and taxes are driving many Californians out of the state.
California has the dubious distinction of having four out of the seven most expensive cities to buy a home. The median home value in California is $544,900, while the median home price in the U.S. is $220,100. That makes the median home price in the U.S. is about 60% less than that in California.
California is also notorious for having high taxes. In fact, the state ranks number 10 nationwide for total tax burden at 9.57%. The combination of a high cost of living and high tax burden makes it difficult to afford to live in the Golden State.
Is it worth the premium to live in California? Based on the continuing trend of Californians moving to other states, many believe it is not.
Have you ever wondered why people move in the first place? Check out our past post, “The Reasons Why People Move“, to know the story behind moving.