Why Are So Many Californians Moving to Texas?

We all know that everything is bigger in Texas, but is it better? For some Californians, the answer is a resounding yes. According to a recent migration data analysis, approximately 100,000 Californians moved to Texas last year, and Texas gets more transplants from California than any other state. So, if you’re a Californian moving to Texas or you’re interested in becoming one, here are the pros and cons of moving from California to Texas.

Pros and Cons of Moving From California to Texas

Pro: Taxes Aren’t So Taxing in Texas

So why are people moving to Texas exactly? Economics is one of the biggest reasons, particularly when we’re talking about exiles from the Golden State. Let’s break down some key figures:

• Californians pay as much as 13.3 percent in state income tax and, depending on local rates, between 7.25 percent and 11.25 percent in sales tax.
• In Texas, there is no state income tax, and sales tax ranges from 6.25 percent to 8.25 percent.
• Surprisingly, the effective property tax rate in Texas is higher than in California at 1.4 percent vs. 0.70 percent.
• California’s corporate income tax rate is 8.84 percent, and Texas does not have one — but the state does levy a franchise tax in some cases (still, it’s less than one percent). These numbers bode well for entrepreneurs wanting to start a business.

Con: You’ll Likely Get a Smaller Paycheck

There are a few cons to consider for Californians interested in moving to Texas. And a lower median household income in the Lone Star State may be one of them, at around $83,000 compared to California's nearly $102,000 (both for a household of two).

Of course, the cost of pretty much everything is higher in California, including taxes, childcare, and groceries. But just prepare yourself for potential sticker shock when you see that first Texas paycheck.  

You’re going to have a much easier time finding an affordable house in most Texas towns than in California.

Pro: The Cost of Living Is Appealing for Californians Moving to Texas

In addition to paying lower taxes, you’re going to have a much easier time finding an affordable house in most Texas towns — like when living in Austin — than in California.

• California’s average home value: $775,600
• Texas’s average home value: $302,600
• Texas’s overall cost of living: 5.8% lower than the rest of the U.S.
• California’s overall cost of living: 49.9% higher than the rest of the U.S.

Of course, these values are state-wide, and local home prices can vary substantially. Still, the difference between the two housing markets is clear — and you can likely expect much more home for your dollar when moving from California to Texas. Savings on everything from food to gas and childcare can mean thousands of dollars in your pocket each year when moving from California to Texas.

Con: Texas Gets Hot

Reasons why Californians are moving to Texas probably don’t include the weather. California is known for its gorgeous conditions, especially in the northern regions: Not too hot, not too cold, with low humidity. Texas, on the other hand, tends to be very hot and humid in the summer, with an average statewide temp of 86 degrees.

Of course, where you are in the state makes a difference — from Houston neighborhoods on the muggy Gulf Coast, where spikes in the high 90s and even into the 100s aren’t uncommon, to the gorgeous riverside neighborhoods of San Antonio.

For many Texans, though, the heat is a fair trade-off for a lower cost of living. Chalk it up to the pros and cons of moving from California to Texas — just be sure to have air conditioning, no matter where you live!

Pro: There Are Growing Employment Opportunities for Some Californians Moving to Texas

Texas is a hotspot — in more ways than one! For frequent fliers who travel for work, its central location makes it fairly easy and less expensive to reach either coast from most major Texas cities than from many other urban hubs.

And speaking of work, the strong jobs picture may have a great deal to do with why we’re seeing so many Californians moving to Texas. The Lone Star State has had a record-breaking couple of years when it comes to the labor market, with an unemployment rate just above four percent and steady job growth in sectors like manufacturing and construction. Meanwhile, in California, unemployment is more than five percent, a rate that has held steady since 2025.

Con: You’ll Say Goodbye to Riding the Waves

The Texas Gulf Coast has waves, but Californians moving to Texas may miss the tumultuous Pacific surf. To ease the disappointment, we recommend you take up a favorite pastime of many Texans: Pack a cooler and go jump in a lake. There are plenty to choose from, particularly in the gorgeous Texas Hill Country between Austin and San Antonio.

Pro: Texas Traffic Isn’t That Bad (Compared to California)

When it comes to traffic, California is notorious — depending on the city, the road, and the time of day, of course. And while Texas may have its bumper-to-bumper moments, the state’s drivers overall fare much better in traffic:

• The average Los Angeles driver spends 137 hours behind the wheel every year
• The average Houston driver spends 77 hours, by comparison
• Additionally, the average price for regular gas in California is notably higher than in Texas.

Californians moving to Texas can pack at their own pace with a PODS portable moving container.

The Best Way To Move From California to Texas

If you’re moving from California to Texas, item one on your checklist should be choosing your moving company — and there are a few options for moving cross-country, from hiring a full-service moving company to DIYing it with a rental truck. You can also mix and match by renting a moving truck in California and then hiring movers in Texas to help you unload it (Bonus: They’re likely less expensive than movers in California). And finally, there’s the hybrid option of portable moving containers with built-in storage. Let’s take a look at each of these and see what’s best for your move.

Full-Service Movers

Californians moving to Texas should choose a full-service provider if they want someone else to handle all the details — from packing to loading, transport, and more. As you can imagine, this is the most expensive moving option. And if you’re moving with kids, count on additional inevitable expenses along the way.

Moving Truck Rental

If cost is your main concern, renting a truck and doing all the packing, loading, and driving yourself is likely the cheapest way for Californians to move to Texas. Just remember that it takes a lot of work and a lot of time. And those savings you think you’re getting on the front end may make up for themselves in fees, gas, and other unexpected costs — not to mention the sweat equity.

Portable Moving Containers

The hybrid option is to have a PODS portable container delivered to your home, where you can pack and load at your leisure. When you’re ready, PODS will pick it up and transport it while you’re handling the rest of your Texas moving details.

One of the big advantages of moving with PODS is that storage is built in. And if you need more time, you can keep your container at a PODS Storage Center for as long as you want, and access it as needed.

PODS City Service

Moving from Los Angeles or San Francisco, or to Dallas? PODS City Service specializes in moves in and out of big cities like these. No need to worry about getting parking permits or keeping an eye on your container as you unload from a busy city street. A PODS driver will stay with your stuff to make sure everything is golden.

How To Move Your Car From California to Texas

Californians moving to Texas have a long trek ahead of them. What’s the best way to handle getting your car from point A to point B? Your options: Drive, tow, or ship it.

• The downside to making the drive is that it takes a lot of time — 1,500 miles, give or take, is a long road trip! Gas is pricey, too.
• Towing will likely save on the wear and tear to your vehicle, but there’s a learning curve if you’ve never driven a truck with a car hitched to it.
• Shipping is the best bet for many Californians moving to Texas, and PODS can refer you to trusted vehicle transportation partners.

Moving From California to Texas — FAQs

Q: Why are so many Californians moving to Texas?
A: To put things simply, many Californians moving to Texas are doing so for economic reasons. A stronger job market, overall lower cost of living, and a more affordable housing market are fueling the exodus.

Q: What state are most Californians moving to?
A: Based on the most recent Census Bureau data, Texas is No. 1 on the list of top five states Californians are moving to, followed by Nevada, Arizona, Washington, and Florida.

Q: What city in Texas are most Californians moving to?
A: Austin receives the most Californians moving to Texas, but Houston and Fort Worth aren’t far behind.

Q: What is the #1 state people are moving out of?
A: According to the PODS 2026 Moving Trends report, California is the top U.S. state from which people are leaving, with no region of the Golden State exempt, as cities from Northern California, Southern California, and Central California all made the list. in California is typically at least a couple of dollars higher than in Texas.

Moving From California to Texas With PODS

For many Californians moving to Texas, experiencing all the Golden State has to offer has become too costly for comfort. Texas stands as a strong contender to welcome them with lower taxes, a reasonable cost of living, and vibrant cities. You’ll gain some Southern charm and hospitality, too.

Add to the perks and make your move to Texas flexible with the help of PODS portable moving containers. PODS can not only refer you to local packing and loading services to help with the heavy lifting, but one month’s storage is included in the cost of every move, so you can take your time loading and unloading.

Call PODS at 877-350-7637 for a free long-distance moving quote today.

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Kiran Bahl is a freelance writer who loves discovering how to make something better yet simpler at the same time. She lives happily and peacefully amongst her family and enjoys dessert every day — especially after meeting a writing deadline early.

Editor’s note: For ease of reading, monthly rental prices were rounded to the nearest $25 and home values were rounded to the nearest $100. Home values in the millions were rounded to the nearest $100,000.

_{*This article was written on behalf of PODS Enterprises, LLC (“PODS”). PODS does not warrant the completeness or accuracy of any information contained in this article and disclaims any liability for reliance upon the content herein.}