What Californians Moving to Texas Can Expect

In 2021 alone, around 111,000 Californians moved to Texas. That’s over 300 people per day. And this represents an increase of 80% from just 10 years ago.  

Many Californians are fed up with the high cost of living, crowded cities, and natural disasters (like wildfires, earthquakes, and landslides). And when they consider leaving California, Texas is typically at the top of their relocation list. But does the reality of living in Texas match the expectations of incoming Californians? And what does this migration mean for Texas real estate professionals?

Here are five things Californians can expect when moving to Texas and how Texas real estate agents can meet buyer demand.

Top 5 Things to Expect When Moving to Texas From California

1. Strong Employment Prospects

Hot tech companies like HPE, Tesla, Oracle, and Hewlett Packard have moved (or are in the process of moving) their corporate headquarters from the San Francisco Bay Area to Texas. And they’re bringing lots of job opportunities with them. From May 2022 through May 2023, Texas led the country in job creation, adding around 530,000 jobs to the state’s economy (a year-over-year increase of 4%).

Furthermore, thanks to the work-from-home revolution of the past few years, remote workers have been able to relocate to Texas for comparatively affordable real estate while maintaining their employment with out-of-state employers. Which brings us to the next thing Californians can expect when moving to Texas...  

2. Affordable Real Estate

Real estate prices are notoriously high in California. While there are some small inland communities with reasonably affordable prices, many residents of coastal cities like San Diego, Los Angeles, and San Francisco are fed up and expect lower housing prices in Texas.

These homeowners won’t be disappointed! The median sales price in Texas as of June 2023 is $362,000. This is an absolute steal for Californians, where the median sales price is $796,500. California homeowners may even have enough equity in their California homes to pay cash for a comparable home in Texas.

Just pay attention to the property taxes. Since Texas doesn’t have a state income tax, the property tax rates are much higher in Texas than in California. 

3. BIG Everything

Everything’s bigger in Texas: the hair, the dinner portions, the homes…

For buyers coming from California, this means good potential for more square footage and more land area than you would typically find in the Golden State.  

In a review of home sizes by state, we learned that California homes offer a comfortable 1,625 square feet of living space on average. But Texas homes are much larger, coming in at 2,031 square feet on average. 

Furthermore, the median lot size in Texas is over 1,000 square feet more than in CA (9,540 square feet in TX compared to 8,327 in CA).

4. A Different Set of Natural Disasters

No geographic area on Earth is exempt from natural disasters. While Californians may be sick of wildfires and earthquakes, they should be aware that Texas has its own set of natural disasters.

Depending on your location in Texas, you could encounter tornados, hurricanes, and flooding. Furthermore, failures in Texas’ electrical grid have made the news in recent years as the demand for electricity in both hot and cold weather overwhelms the system. Californians moving to Texas should discuss the risk with a local insurance agent to make sure their new real estate investment is protected from these potential disasters.

5. Less Culture Shock Than You Might Expect

For all the stereotypes of ultra-conservative, country-music-loving, BBQ-obsessed Texans, Texas is actually more diverse than one might think. With the influx of people relocating from California, as well as people relocating from other states like Florida, Louisiana, and Illinois, the culture is changing to include the values of these migrating populations. So, Californians may feel more at home there than they expect.

What This Influx of Californians Means for Texas Real Estate Agents

As a Texas real estate agent, this influx of Californians represents a major opportunity for you and your business! You just need to reach your future buyers where they are — in California.

  • Start marketing directly to Californians via online ads, social media ads, or audio ads on apps like Spotify. 

  • Reach out to companies who are relocating to your city. They may have a corporate relocation specialist who needs strong real estate agents to assist their employees who are relocating with the company.

  • Start blogging for real estate leads. When Californians search online for local topics like “moving to Houston,” Houston area agents with these keywords are more likely to get organic search engine traffic.

  • Understand the concerns and opportunities for Californians moving to Texas. The more you know about your clients, the better you can serve them!

  • Manage your clients’ expectations. Prepare your buyers from California for some of the less desirable aspects of living in Texas so they aren’t disappointed when they move. 

If you don’t have your Texas real estate license yet, there’s never been a better time to get it! Texas real estate is hot, and Texas real estate professionals are enjoying exceptional income potential with these new buyers coming in. 

Enroll in your online Texas real estate course today and get ready to start your new career!

Want to get your Real Estate License? Begin your Pre-Licensing Course today!

Get Started Now!

Updated 8/10/23

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