Are you wondering what are the reasons why people are moving out of California? California is home to a lot of landmark sites, amazing scenery, luxurious infrastructure, iconic beaches, and unique employment opportunities. Also, its economy is ranked 5th in the world. But the question still remains, why are there a lot of people relocating out of the state? A recent study conducted by UC Berkeley revealed that over half of Californians are considering moving. Almost 700,000 people relocated out of California just last year. If you are one of the many, consider contacting Bravo Moving and start your journey. But, until then – let’s see what stands behind this phenomenon.
Housing Crisis: Reason number one for relocating
The leading factor is cost, as the cost of living in California is much higher than elsewhere. Many people cannot or do not want to pay the premium. This turns out to be one of the main reasons why people are moving out of California. The average price of a home in California is $600,000. According to Zillow data, the median rent in California is close to $3,000, compared to $1,600 nationwide.
Therefore, interstate movers in California have plenty of work year-round.
In CA, there were many reasons for long-term housing storage: long-term homeowners possessed local city councils, which encouraged them to prohibit new housing projects in the name of maintaining the neighborhood character or protecting the environment. Thanks to old zoning laws, dense urban locations can be built. Three-quarters of the entire residential land in Los Angeles can only be commissioned for the construction of single-family homes.
Purchasing or renting a home is a big decision in life and as such, it should be carefully considered.
One of the most common reasons why people are moving out of California: Cost of living
California is anything but affordable to live in. There are various types of people that drive cost-demand in financial problems to those on a regular income, such as retirees and a new group formed during COVID – employees who can work remotely. A comparison of the price of gas, utilities, and taxes between California and Texas raises questions about whether the difference is worth paying. It’s hard not to wonder if the extra cost of living in California is worth the premium – which is why many get in touch with long distance moving companies Southern California has and book a relocation far away.
Social and economic challenges
California has over 150,000 homeless individuals. No other state is even close to that digit, and there is a number of individuals that are mentally unwell – or users. A big problem and concern is indecent exposure. These happen in places where they can be seen by children and many other challenges are reported by residents. Former residents mention that homeless people are everywhere in the state, not just in the inherently poor parts of the state.
Is unemployment one of the reasons why people are moving out of California?
Some people worry not just about the cost of living but also about jobs and wages when considering a move with movers and packers in Glendale CA. We calculated the median average wages from the second quarter of 2020, making a national pay scale. The highest average wages – in Massachusetts at $81,640, then $79,040 in New York. California ranked 3rd at $ 76,336 and is an important reason many people stay. Washington was at $74,048, followed by Connecticut at $73,164 and New Jersey at $71,552. Many factors affect the value of those incomes—for example, your ability to keep a job and whether you live in an area with high unemployment rates.
Unemployment can be a common factor in leaving the state.
Most Californians are in support of the policies of their state. Nevertheless, a lot of conservative voters feel that California is moving too far to the left, citing reasons like increasing union influence, looting, limitation on law enforcement officials, etc. as some of the factors that create political tension and a person feel uneasy every day. Other residents cited that they feel like their voters do not count and that politicians give priority to the needs of large cities while leaving the more rural areas to fend for themselves.
COVID-19 has left a big impact, but what is important to know is that since the beginning of the pandemic, 19% of residents have filed for unemployment as of April 2020. Even though some industries resumed working relatively the same as before, others feel still the effects of restrictions.
Restricted businesses include personal care services, personal care services gyms, bars, restaurants, and the tourism industry. Other states did not have so many COVID-19-related lockdowns as California, which caused these business owners to seriously think about, and in some cases leave the state and relocate to another one using California moving services to avoid the devastating effects of the restrictions.
The convenience of working from home
The pandemic, as well as online job opportunities, have changed the way we view traditional working for good, it seems. Remote workers do not necessarily have to live in California to work for an employer based in the state, and a lot of them are choosing another city and state with a more affordable cost of living.
Recent studies have shown that around 43% of Californians who can work from any location are considering moving. Not even the decline in housing prices recently has been enough to convince the state residents from leaving for another state with a lower tax rate.
Working from home is a convenient way to save on expensive rent in the city.
Rising state taxes – another reason for moving away
Prices are going up everywhere. First the aftermath of the pandemic, and now the war in Ukraine threatens to drive the prices even higher across the board. The marginal income tax rate is currently at 13.3% but legislators want to increase it to almost 17%. This move would not just affect the wealthy residents of California but also small entrepreneurs. Most of them have faced challenges related to COVID-19 lockdowns and shutdowns. The sales tax is more than 7% already and there is a $0.50 gas tax.
Our final toughs: Are people moving out of California due to uncertainties?
Amid growing concerns over violent crime, some people blame the COVID-19 restrictions for the problem. Let’s face it, California always had crime, especially in bigger cities like Los Angeles and Sacramento, but in recent times people are feeling even more uneasy and doubtful and we believe that this is also one of the main reasons why people are moving out of California. Luckily, the state is working towards resolving these issues. However, if you choose to seek a better tomorrow in another state, our movers can help you get there in no time!