Moving From California to Austin TX: Quick Answer
Is Moving from California to Austin Worth It?
Yes, for most high earners the financial case is clear. Texas has 0% state income tax versus California's rate of up to 13.3%. At a household income of $150,000, that is approximately $14,000 per year in additional take-home pay. After accounting for Texas's higher property taxes (approximately 1.8-2.2% versus California's ~0.76%), most California transplants save between $15,000 and $40,000 per year net. Over 150,000 Californians made the move to Texas in 2025 -- the largest interstate migration corridor in the United States. The top neighborhoods for California transplants in Austin are West Lake Hills, Bee Cave, Lakeway, and Barton Creek -- West Austin communities that mirror the privacy, lot size, and school quality of Southern California's most prestigious suburbs.
Sources: 150,000+ CA to TX movers in 2025, largest migration corridor: neuhausre.com Feb 2026 / $15K-$40K annual savings: Mighty Might Moving 2025 / $14K income tax savings at $150K: ustakehomepay.com Jan 2026 / TX property tax 1.8-2.2% vs CA 0.76%: ustakehomepay.com / Mighty Might Moving
The Financial Case
California vs Texas: The Real Tax Math
The headline is 0% state income tax. But the full picture includes Texas's higher property taxes. Here is the honest comparison at three income levels.
| Scenario | CA Income Tax | TX Income Tax | TX Property Tax Offset | Net Annual Savings |
|---|---|---|---|---|
| Renter, $150K income Single filer, remote worker |
~$14,000/yr | $0 | N/A (renter) | ~$14,000/yr |
| Homeowner, $150K income $700K home purchase in TX |
~$14,000/yr | $0 | ~$7,000/yr added prop. tax vs CA | ~$7,000/yr net |
| Homeowner, $300K income $1.5M home, executive buyer |
~$30,000-$35,000/yr | $0 | ~$12,000-$15,000/yr added prop. tax | $15,000-$23,000/yr net |
| Executive, $600K+ income RSUs, equity, $2M+ home |
$60,000-$80,000/yr+ | $0 | ~$20,000-$30,000/yr added prop. tax | $30,000-$50,000/yr net |
Income tax estimates based on 2026 progressive CA brackets. TX property tax at ~1.9% assessed value vs CA ~0.76% (Prop 13). Consult a CPA for official tax advice. Sources: ustakehomepay.com Jan 2026 / Mighty Might Moving 2025
Know Your Numbers Before You Move
See What Your California Budget Buys in West Austin
Jeannie Garr Roddy has helped buyers from the Bay Area, Los Angeles, and San Diego find homes in West Austin. Free, no-obligation consultation to discuss your timeline, budget, and neighborhood priorities.
CALIFORNIA TO AUSTIN
Keep Your Wealth. Upgrade Your Lifestyle.
Your Equity Goes Further Here
You've built significant equity in California. Now, it's time to protect it. Moving to Austin isn't just a change of address; it's a strategic financial maneuver. With 0% State Income Tax and a luxury market that delivers 3x the square footage for the price, Austin is the ultimate landing spot for California capital.
The California Reality
- State Income Tax: Up to 13.3%
- $2M Budget: 1,800 sqft Bungalow
- Lifestyle: High Density, Traffic
The Texas Upgrade
- State Income Tax: 0%
- $2M Budget: Luxury Estate + Pool
- Lifestyle: Lake Living & Privacy
You Won't Miss A Beat
The biggest myth about moving to Texas is that you have to sacrifice culture. Austin is the sophisticated cousin of the South, offering Michelin-level dining, high-end retail, and vibrant nightlife.
World-Class Retail
The Domain and Music Lane
Trade Rodeo Drive for The Domain NORTHSIDE. From Louis Vuitton to Gucci, enjoy an open-air luxury shopping experience.
Culinary Excellence
Uchi and Jeffrey's
Austin is a foodie capital. From James Beard award-winning sushi to classic steakhouses, your palate is safe here.
Water and Wellness
Lake Austin and Hill Country
Trade the Pacific for the pristine waters of Lake Austin. Private boat docks and paddleboarding at sunrise await.
Where Californians Are Moving
Curated enclaves that offer the space and privacy you crave.
Hudson Bend
For the Water Lover
If you miss the ocean, this is your answer. Waterfront estates on Lake Travis with no HOA restrictions.
Explore Hudson BendSunset Valley
For the Land Lover
Massive 1+ acre lots just 10 minutes from downtown. The ultimate tax haven city within a city.
Explore Sunset ValleyWest Lake Hills
For the Executive
Top-rated Eanes ISD schools and skyline views. The preferred choice for C-Suite executives.
Explore West LakeSee What Your California Equity Buys
Explore the full portfolio of Austin luxury estates
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Jeannie Garr Roddy brings extensive experience in both the California and Texas markets. We don't just find you a home; we manage the transition.
- ✔ Virtual Video Tours for Remote Buyers
- ✔ Off-Market Pocket Listing Access
- ✔ Coordination with CA Listing Agents
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Common Questions
Moving from California to Austin: FAQ
Is moving from California to Austin worth it financially?
For most middle and high-income earners, yes. Texas has no state income tax versus California's rate of up to 13.3%. At $150,000 income, that is approximately $14,000 per year in additional take-home pay. After accounting for Texas's higher property taxes (roughly $6,000-$8,000 more per year for homeowners), the net advantage is $6,000-$8,000 per year at $150K and $15,000-$50,000 per year for higher earners. Most California transplants save between $15,000 and $40,000 annually. Renters at most income levels above $80,000 capture nearly the full income tax savings.
How many Californians are moving to Austin?
Over 150,000 Californians moved to Texas in 2025, making California-to-Texas the largest interstate migration corridor in the United States. California accounts for 14% of all out-of-state movers to Texas. Los Angeles County is the single largest source, followed by the Bay Area. Gen X and millennials make up approximately 75% of the Californians making the move.
What neighborhoods in Austin are best for California transplants?
West Austin communities tend to feel most natural for California transplants, particularly West Lake Hills, Bee Cave, Lakeway, Barton Creek, and Rollingwood. These neighborhoods offer the private lot sizes, top-rated schools (Eanes ISD), and proximity to nature that mirror Southern California's most prestigious suburbs. For buyers who want waterfront access similar to Southern California coastal living, Hudson Bend on Lake Travis is the closest equivalent. For value-focused buyers seeking large lots close to downtown, Sunset Valley is a strong choice.
How much cheaper is Austin than Los Angeles?
Austin is approximately 21% cheaper than Los Angeles overall. The biggest savings come from housing and the elimination of California's state income tax. Groceries and dining are roughly comparable. Texas property taxes are significantly higher than California's (approximately 1.8-2.2% versus 0.76%), so the net advantage varies based on income level and whether you rent or own. For high-income earners who rent, Austin can be dramatically more affordable than LA.
Does Texas have property tax?
Yes, and it is significantly higher than California. Texas property tax rates average approximately 1.8-2.2% of assessed home value per year, compared to California's rate of approximately 0.76% (limited by Proposition 13). On a $1M home, that is roughly $12,000-$15,000 more per year in Texas than California. However, for most income earners the state income tax savings still outweigh the property tax difference. Homeowners can file for the homestead exemption after closing, which reduces the taxable value and caps annual increases.
