What Californians Moving to Texas Can Expect

In the past decade, more than 687,000 Californians have moved to Texas. 

Many Californians are fed up with the high cost of living 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.

1. Strong Employment Prospects

Hot tech companies like HPE, Tesla, and now Oracle are moving their corporate headquarters from the San Francisco Bay Area to Texas. And they’re bringing lots of job opportunities with them. Many Californians who are currently employed by these companies may be relocating with the companies. And many more Californians may be willing to move to Texas to fill the many positions expected to be available in Texas in 2021. In fact, Texas CEO Magazine reports that an estimated 685,000 jobs will be added to the Texas economy in 2021. 

Furthermore, because COVID-19 proved that the work-from-home model is feasible, you may start seeing workers coming to Texas for the 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 average home value in Texas as of December 2020 is $220,034. For Californians, where the average home value is $609,757, this is an absolute steal. 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 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. And in the COVID Era, extra space is a big deal.

Anyone who’s been under stay-at-home orders in 2020 knows the importance of having some room to roam around the house. And with more yard space, homeowners in Texas can enjoy some fresh air in the privacy of their own property or even invite close friends and family over for a safe, social-distanced gathering.

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. 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, gun-toting, BBQ-obsessed Texans, Texas is actually more diverse than one might think. And Californians may feel more at home there than they expect.

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.  

Take gun culture for example. In 2020, 35.7% of Texans owned a gun. While this is substantially higher than the 20.1% in California, it’s nowhere near the 61.7% in Alaska. In fact, 17 more states have higher gun ownership rates than Texas.

Texas has also gotten more liberal over the last few decades. In the 2020 election, only 52.1% of Texans voted for Trump, with urban areas like Dallas, Austin, Houston, and San Antonio voting democratic. This may tie in with Californian’s liberal political leanings. 

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!

*This article was updated on 1/04/2021.


Want to know more about being a real estate agent?