Is it cheaper to live in Austin than California?

For most people moving from a coastal California metro, yes. The two biggest drivers are no Texas state income tax and generally lower housing costs than San Francisco, Los Angeles, or San Diego. Day-to-day expenses are typically lower as well. The main offset is higher property taxes in Texas. Whether you come out ahead depends on your income, the home you buy, and your spending, so run your own numbers and confirm with a tax advisor.

Does Texas have a state income tax?

No. Texas has no state personal income tax, while California's top marginal rate is around 13.3%, the highest in the country. For high earners that difference alone can outweigh Texas's higher property taxes, which is a major reason so many Californians relocate to Austin. This is general information, not tax advice.

Are property taxes higher in Texas than in California?

Yes, on the rate. California's Proposition 13 caps assessed-value increases, so effective property tax rates there often run near 0.7% to 0.8%. In the Austin area the combined rate is higher, roughly 1.8% to 2.0% of appraised value, and homes are reassessed toward market value. The no-income-tax advantage frequently offsets this for movers, but you should model your specific home. The Tarrytown property tax calculator on this site lets you do that.

How much more house can I buy in Austin than in California?

It varies by where you are leaving, but equity from a coastal California sale typically stretches further in Austin. A budget that buys a modest home in the Bay Area or West LA can reach an established West Austin neighborhood like Tarrytown. At the luxury end, Tarrytown and Lake Austin waterfront still often price below comparable coastal California estates.

What is the best Austin neighborhood for people moving from California?

It depends on what you valued in California. If you want an established, walkable, in-town neighborhood with mature trees, top schools, and quick access to water, Tarrytown in West Austin (ZIP 78703) is the closest analog, sitting along Lake Austin minutes from downtown and the University of Texas. Families often target it for Casis Elementary. Verify current school attendance zones with Austin ISD.

Is it cheaper to live in Austin than California?

For most people moving from a coastal California metro, yes. The two biggest drivers are no Texas state income tax and generally lower housing costs than San Francisco, Los Angeles, or San Diego. Day-to-day expenses are typically lower as well. The main offset is higher property taxes in Texas. Whether you come out ahead depends on your income, the home you buy, and your spending, so run your own numbers and confirm with a tax advisor.

Does Texas have a state income tax?

No. Texas has no state personal income tax, while California's top marginal rate is around 13.3%, the highest in the country. For high earners that difference alone can outweigh Texas's higher property taxes, which is a major reason so many Californians relocate to Austin. This is general information, not tax advice.

Are property taxes higher in Texas than in California?

Yes, on the rate. California's Proposition 13 caps assessed-value increases, so effective property tax rates there often run near 0.7% to 0.8%. In the Austin area the combined rate is higher, roughly 1.8% to 2.0% of appraised value, and homes are reassessed toward market value. The no-income-tax advantage frequently offsets this for movers, but you should model your specific home. The Tarrytown property tax calculator on this site lets you do that.

How much more house can I buy in Austin than in California?

It varies by where you are leaving, but equity from a coastal California sale typically stretches further in Austin. A budget that buys a modest home in the Bay Area or West LA can reach an established West Austin neighborhood like Tarrytown. At the luxury end, Tarrytown and Lake Austin waterfront still often price below comparable coastal California estates.

What is the best Austin neighborhood for people moving from California?

It depends on what you valued in California. If you want an established, walkable, in-town neighborhood with mature trees, top schools, and quick access to water, Tarrytown in West Austin (ZIP 78703) is the closest analog, sitting along Lake Austin minutes from downtown and the University of Texas. Families often target it for Casis Elementary. Verify current school attendance zones with Austin ISD.

Lake Austin winding past wooded estates toward the Pennybacker Bridge at golden hour, West Austin

Relocation · From California

Moving to Austin
from California

An honest, local read on what actually changes when you trade a California coast for Central Texas: the taxes, the dollars, the weather, and where a neighborhood like Tarrytown fits.

The short answer

Is it worth moving from California to Austin?

For many Californians, yes, financially. Texas has no state income tax (California’s tops out near 13.3%), housing dollars typically stretch further, and the overall cost of living is lower than coastal California. The main trade-offs are higher property taxes and hot summers. Whether it nets out ahead depends on your income and the home you buy.

California has sent more people to Austin than almost anywhere else, and most of them are weighing the same handful of questions: what happens to my taxes, how far does my equity go, and what am I giving up. This guide answers those plainly, from someone who sells homes in West Austin every week, not from a relocation brochure.

The short version: the math often favors the move, especially for higher earners, but it is not free. You trade a mild coast for hot summers and lower income tax for higher property tax. The right way to decide is to compare honestly and run your own numbers.

Side by side

California vs Austin, honestly

California

Austin

State income tax: CaliforniaUp to about 13.3%, the highest in the nation; AustinNone
Property tax: CaliforniaLower effective rate, roughly 0.7% to 0.8%, held down by Prop 13; AustinHigher, roughly 1.8% to 2.0%, reassessed toward market value
Home prices: CaliforniaAmong the highest in the country, especially on the coast; AustinHigh for Texas, but your equity usually buys more home
Cost of living: CaliforniaHigh, driven by housing and taxes; AustinLower overall than coastal California
Climate: CaliforniaMild, dry coastal summers; AustinHot, humid summers, mild winters, long sunny shoulder seasons
Setting: CaliforniaOcean, mountains, dense coastal cities; AustinHill country, live oaks, and Lake Austin in the middle of town

General comparison for planning only, not tax or financial advice. Tax rates and home prices change and vary by location and situation. Confirm specifics with a tax advisor and current market data.

The tax trade that drives the move

The headline is simple: Texas has no state income tax, and California’s is the highest in the country. For a high earner, that can be a large annual difference on its own. The catch is on the other side of the ledger. Texas funds local government through property taxes that are both higher as a rate and reassessed toward market value each year, without California’s Proposition 13 cap.

For most people leaving a coastal California metro, the no-income-tax advantage still wins, but it genuinely depends on your income and the home you buy. Do not take a rule of thumb for it. Model the actual property tax on a specific Austin home with the Tarrytown property tax calculator, then weigh it against the income tax you would stop paying.

Where Tarrytown fits

The closest thing to a premium coastal neighborhood

If what you loved in California was an established, walkable, tree-lined neighborhood close to water and good schools, Tarrytown is the West Austin answer. It sits along Lake Austin in ZIP 78703, minutes from downtown and the University of Texas, with mature live oaks, distinctive architecture, and top-rated Casis Elementary. At the high end, Tarrytown and Lake Austin waterfront still often price below comparable California coastal estates.

See Tarrytown homes for sale Read the neighborhood guide

Buying from California, before you move

Many California buyers purchase before they ever relocate, often sight-unseen. It works with virtual tours, an honest local read on neighborhoods, commutes, and schools, and access to off-market homes that never reach the public listings, which matters in a tight, high-value market like Tarrytown. Luke Allen helps relocating buyers do exactly this every season, so you move with real information rather than guesswork.

Common questions

Moving from California to Austin, answered

Is it cheaper to live in Austin than California?: For most people moving from a coastal California metro, yes. The two biggest drivers are no Texas state income tax and generally lower housing costs than San Francisco, Los Angeles, or San Diego. Day-to-day expenses are typically lower as well. The main offset is higher property taxes in Texas. Whether you come out ahead depends on your income, the home you buy, and your spending, so run your own numbers and confirm with a tax advisor.
Does Texas have a state income tax?: No. Texas has no state personal income tax, while California's top marginal rate is around 13.3%, the highest in the country. For high earners that difference alone can outweigh Texas's higher property taxes, which is a major reason so many Californians relocate to Austin. This is general information, not tax advice.
Are property taxes higher in Texas than in California?: Yes, on the rate. California's Proposition 13 caps assessed-value increases, so effective property tax rates there often run near 0.7% to 0.8%. In the Austin area the combined rate is higher, roughly 1.8% to 2.0% of appraised value, and homes are reassessed toward market value. The no-income-tax advantage frequently offsets this for movers, but you should model your specific home. The Tarrytown property tax calculator on this site lets you do that.
How much more house can I buy in Austin than in California?: It varies by where you are leaving, but equity from a coastal California sale typically stretches further in Austin. A budget that buys a modest home in the Bay Area or West LA can reach an established West Austin neighborhood like Tarrytown. At the luxury end, Tarrytown and Lake Austin waterfront still often price below comparable coastal California estates.
What is the best Austin neighborhood for people moving from California?: It depends on what you valued in California. If you want an established, walkable, in-town neighborhood with mature trees, top schools, and quick access to water, Tarrytown in West Austin (ZIP 78703) is the closest analog, sitting along Lake Austin minutes from downtown and the University of Texas. Families often target it for Casis Elementary. Verify current school attendance zones with Austin ISD.
How do I buy a home in Austin from out of state?: Many California buyers purchase before they move, often sight-unseen. The process works with virtual tours, an honest local read on neighborhoods, commutes, and schools, and access to off-market homes that never reach the public listings. Luke Allen regularly helps relocating buyers do exactly this. Call or text 254-718-2567 or send a note to start a focused, no-pressure search.

Continue through Tarrytown

Relocating to TarrytownEmployer-by-employer guides to moving to West Austin.Read more →Property Tax CalculatorEstimate Travis County property tax on a Tarrytown home.Read more →Tarrytown Neighborhood GuideHistory, boundaries, architecture, amenities, and who lives here.Read more →Tarrytown Homes for SaleLive MLS listings inside the Tarrytown boundary, updated daily.Read more →Tarrytown SchoolsCasis, O. Henry, Austin High, and nearby private options.Read more →Tarrytown Realtor: Luke AllenWhy a Tarrytown and Lake Austin specialist matters.Read more →

Work with Luke

Moving from California?

Tell Luke what you are leaving and what matters most, and he will map Tarrytown and West Austin to your budget, your taxes, and your timeline, with no pressure.

Luke Allen

Licensed Texas REALTOR, TREC #788149

Austin Marketing + Development Group

Call 254-718-2567 Text Luke

Moving to Austinfrom California