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Why Do People Leave California? | Sheila Clark | Real Estate

Why Do People Leave California?

Who Moves In and Out?

Here are the basic facts. In 2011, 562,000 people left California, and 468,000 came, according to the Census’s American Community Survey. That means 120 people moved out of California for every 100 people who moved in. Out-migration reached its peak in 2005, when 160 people moved out of California for every 100 people who moved in. The California exodus rose with the housing bubble and subsided in the recession. Lower home values in 2008-2011 made California more affordable, encouraging in-migration and discouraging out-migration, as well as pushing some California borrowers underwater, further discouraging out-migration.

Who leads the charge out of California? Even though California’s richer residents face high tax rates, lower-income households are more likely to leave. From 2005 to 2011, California lost 158 people with household incomes under $20,000 for every 100 who arrived, and 165 for every 100 people with household incomes between $20,000 and $40,000. In contrast, just slightly more people with household incomes in the $100,000-$200,000 range left than came to California (103 out per 100 in), and California actually gained a hair more people in the $200,000+ range than it lost (99 out per 100 in). The rich aren’t leaving California, but the poor and the middle class are.

Where Do Californians Go—and Why?

It’s no coincidence that the Texas governor is visiting California this week and not, say, the Massachusetts governor. Since 2005, far more Californians have turned Texan than the other way around: 183 Californians moved to Texas for every 100 Texans moving to California. (The average flow since 2005 between California and all other states – not just Texas – has been 133 out for each 100 in.) The only states where the flow from California is more lopsided are Oklahoma (212 out per 100 in), Oregon (198), Idaho (190), and Arizona (187). On the other hand, California gains more people from New York, Illinois, and Massachusetts than it loses to those states.  posted by Jed Kolko’s Blog

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© 2017 Western Arizona Realtor Data Exchange All rights reserved. Information deemed to be reliable but not guaranteed. The data relating to real estate for sale on this website comes in part from the Broker Reciprocity Program. Real estate listings held by brokerage firms other than Grand Island Realty are marked with the BR logo and detailed information about them includes the name of the listing brokers. Listing broker has attempted to offer accurate data, but buyers are advised to confirm all items. Information last updated on 2017-08-20.

Sheila Clark
905 Cala Rosa
Lake Havasu City, AZ 86403
Phone: 928-230-9430
Email: sheila@sheilaclark.com

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