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Why Are So Many People Moving Out Of California?
TEC ^ | 05/18/2018 | Michael Snyder

Posted on 05/19/2018 11:36:01 AM PDT by SeekAndFind

In recent years, the number of people moving away from the state of California has greatly outnumbered the number of people moving into the state. Reasons for the mass exodus include rising crime, the worst traffic in the western world, a growing homelessness epidemic, wildfires, earthquakes and crazy politicians that do some of the stupidest things imaginable. But for most families, the decision to leave California comes down to one basic factor…

Money.

For a lot of Californians, it simply does not make economic sense to remain in the state any longer. So over the past decade approximately 5 million people have picked up and moved to another state, and many believe that this trend is going to accelerate if California does not start doing things differently. The following is from an excellent article by Kristin Tate, the author of a new book entitled “How Do I Tax Thee?: A Field Guide to the Great American Rip-Off“…

The largest socioeconomic segment moving from California is the upper-middle class. The state is home to some of the most burdensome taxes and regulations in the nation. Meanwhile, its social engineering — from green energy to wealth redistribution — have made many working families poorer. As California begins its long decline, the influx outward is picking up in earnest.

I don’t know anyone that enjoys being taxed at extremely high levels, and in California extracting more and more revenue from the citizens has become an art form. California’s highest marginal tax rate is now a whopping 13.3 percent, and on average taxpayers are hit with a 9.3 percent rate

Taxes also are much lower in Arizona than California. California residents pay nearly twice as much in state income taxes. The individual income tax rate is 4.54 percent in Arizona. It’s 9.3 percent in California, according to the Arizona Sun Corridor.

Under the old rules, the tax burden imposed upon Californians was mitigated by federal rules allowing for the deduction of state taxes. But now the new tax bill has made some major changes, and some experts believe that this will actually accelerate the exodus out of the state of California. The following comes from CNBC

In an op-ed in the Wall Street Journal headlined “So Long, California. Sayonara, New York,” Laffer and Moore (who have both advised President Donald Trump) say the new tax bill will cause a net 800,000 people to move out of California and New York over the next three years.

The tax changes limit the deduction of state and local taxes to $10,000, so many high-earning taxpayers in high-tax states will actually face a tax increase under the new tax code.

Of course taxation is only part of the equation.

For many, the exceedingly high cost of housing in California is the primary reason that they have chosen to leave. At this point, the average price of a home in California is more than $200,000 above the national average

According to Zillow, the average price for a home in the U.S. was $261,000 in February 2018. The average home price in California was $469,000. In Oklahoma, it was $116,000.

And that $469,000 figure is for the state as a whole.

In Santa Clara County (the home of Google and Apple), the median price of a single family home is 1.4 million dollars.

Yes, you read that correctly.

In some areas of northern California, the housing bubble is completely out of control. For example, just recently a burned out husk of a home sold for more than $900,000

Real estate agent Holly Barr says she’s never had a listing generate as much attention as the one on Bird Avenue in the San Jose neighborhood of Willow Glen. The house caught fire two years ago during a remodeling job. What was left was a burned-out husk of a California bungalow sitting on 5,800 square feet of land.

When Barr put the property on the market in April for $800,000, the listing made international headlines. It sold for over $900,000 — in less than a week. The burned down house will be razed and a new property will be built there that will likely sell for far more.

Well, if families cannot afford to buy a home, why don’t they just rent?

Unfortunately, we have seen rents spiral completely out of control as well…

The median monthly rent for a one-bedroom apartment in the Los Angeles area is $2,249, and in San Francisco it’s almost $3,400, according to Zumper. The median rent for a two-bedroom apartment in the Los Angeles area is $3,200 and in San Francisco about $4,500. By comparison, the median rent for a one-bedroom in Las Vegas is $925 and in Phoenix $945, and for a two-bedroom in Las Vegas $1,122 and in Phoenix $1,137.

Ouch.

Sadly, rapidly rising prices have greatly contributed to the homelessness epidemic that California is dealing with right now.

Even though we are supposedly in an “economic recovery”, the number of homeless people in Los Angeles has risen by an astounding 50 percent over the last five years…

The homelessness issue has achieved a special distinction in Los Angeles. Having increased 50% during the past five years, “it’s supplanted traffic as the topic everyone talks about,’’ says Tom Waldman, spokesman for regional homeless agency.

The homeless are as visible as the Hollywood sign. More than two years after Mayor Eric Garcetti declared a “state of emergency,’’ about 41,000 are “unsheltered’’ — sleeping in cars, outside City Hall, under freeway overpasses. The Los Angeles Times calls it “a human tragedy of extraordinary proportions.’’

And it isn’t just families that are leaving.

In fact, sometimes entire companies are picking up and relocating to another state. For example, Price Pump Manufacturing Co. is leaving the Golden State and is heading for Idaho

Price Pump Manufacturing Co., an 86-year-old company that has operated in Sonoma for 70 years, bought 6 acres of land in the Sky Ranch Business Center for about $86,000. The company plans to build a 40,000-square-foot plant at the industrial site east of Interstate 84 and south of Franklin Road.

The high cost of manufacturing in California made it more difficult to compete with other sellers in the United States and across the globe, president and CEO Bob Piazza said. He said the marketplace helps determines prices, and Price Pump could not simply raise prices to maintain a reasonable return on investment.

And I found another article today about a company that has decided to leave California and is relocating to Phoenix, Arizona

A company that manufactures workbenches and lab furniture is relocating to Goodyear, near Phoenix, Arizona, to save money, while creating 30 new jobs in Arizona.

Matt McConnell, director of sales and marketing for IAC Industries, said the move will increase the stability and longevity of his business. IAC is located in Brea, California.

“The commercial property costs in California versus the commercial property costs in other states” made the decision easy, he said.

As long as tech giants such as Google and Apple are thriving, the trends that are driving such dramatic change in the state are likely to continue.

So we are likely to continue to see a very large exodus out of California, and those that are leaving will continue to fundamentally change the communities that they are moving into.

Because there is such a disparity between the number of people moving out and the number of people moving in, it actually costs nearly twice as much to take a U-Haul from California to Texas as it does to take a U-Haul from Texas to California…

The cost of popular moving truck services, like U-Haul, is largely created through the ironclad rules of supply and demand. Turns out, there is much higher demand for trucks leaving high-tax blue states heading to low-tax red states than vice versa.

A route from California to Texas, for example, is more than twice as expensive as a route from Texas to California. Want to go from Los Angeles to Dallas? $2,558. Returning back? $1,232.

Once upon a time, millions of young Americans dreamed of moving to California. It was a land of gorgeous weather, movie stars and endless opportunity.

But now the California Dream has turned into the California nightmare, and people are heading out of the state in droves.

Michael Snyder is a nationally syndicated writer, media personality and political activist. He is the author of four books including The Beginning Of The End and Living A Life That Really Matters.

 


TOPICS: Business/Economy; Society
KEYWORDS: california; economy; exodus; taxes
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To: 2ndDivisionVet

Just high property taxes.


61 posted on 05/19/2018 2:15:47 PM PDT by mdmathis6 (Men and Devils can't out-"alinsksy" God! He knows where "all the bodies are buried!")
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To: SeekAndFind
"Reasons for the mass exodus include rising crime, the worst traffic in the western world, a growing homelessness epidemic,Get control and covert or kill all infidels. wildfires, earthquakes and crazy politicians that do some of the stupidest things imaginable.

Maybe it is the same strategy that ragheads all over the world are implementing through mass-migrations to western civilizations: Get control and convert or kill all western nation infidels.

In this case, more specifically, CA progressives/leftists/Marxists are attempting to turn 'red' states to 'blue'...

62 posted on 05/19/2018 2:34:15 PM PDT by SuperLuminal (Where is another agitator for republicanism like Sam Adams when we need him?)
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To: SeekAndFind

I imagine they’re moving out because they are too busy living their lives and don’t have the time to learn Spanish. If you don’t know Spanish, it’s impossible to understand what the hell the local politicians and local government shyster officials are talking about.


63 posted on 05/19/2018 2:34:48 PM PDT by FlingWingFlyer (#NotARussianBot)
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To: jazminerose

Post hoc ergo propter hoc.


64 posted on 05/19/2018 2:38:06 PM PDT by dsc (Our system of government cannot survive one-party control of communications.)
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To: SeekAndFind

As soon as they move they start voting to turn their new host state into California. We should have put up a wall.


65 posted on 05/19/2018 3:00:04 PM PDT by Colorado Doug (Now I know how the Indians felt to be sold out for a few beads and trinkets)
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To: Colorado Doug

To all Californians moving out: If you come here, please leave any LIB BS you have back in California.


66 posted on 05/19/2018 3:07:39 PM PDT by hal ogen (First Amendment or Reeducation Camp?)
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To: Mariner

Glad to hear it - I stand corrected.


67 posted on 05/19/2018 3:20:49 PM PDT by Let's Roll ("You can avoid reality, but you cannot avoid the consequences of avoiding reality" -- Ayn Rand)
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To: Dilbert San Diego

There would be a drop in tax revenue and governments might be forced to increase taxes even more.


68 posted on 05/19/2018 3:27:26 PM PDT by monocle
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To: CharlesMartelsGhost

if you can show evidence of “agriculture” taking place you can get a break on property tax in some counties. I hired a guy to cut my 20 acres and bale it and leave it out for the county to photograph as evidence for the tax break. I lived in Cooke Co.


69 posted on 05/19/2018 3:28:51 PM PDT by RitchieAprile
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To: 4Liberty

Interesting chart. I’d say Cali, Chi-town, Detroit, et al are well into the ‘Region of Declining Revenue’ section.


70 posted on 05/19/2018 3:36:03 PM PDT by upchuck (The problem: parents doing their careers instead of raising their kids. h/t: Wyrd bið ful aræd)
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To: SeekAndFind

Bottom right.


71 posted on 05/19/2018 3:40:11 PM PDT by VTenigma (The Democrat party is the party of the mathematically challenged)
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To: jazminerose

http://www.freerepublic.com/focus/f-gop/3656569/posts


72 posted on 05/19/2018 4:21:57 PM PDT by 2ndDivisionVet (You cannot invade the mainland US. There'd be a rifle behind every blade of grass.)
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To: SeekAndFind

Why Are So Many People Moving Out Of California?
***********
Why do dogs lick their balls?


73 posted on 05/19/2018 4:27:42 PM PDT by Neidermeyer (Show me a peaceful Muslim and I will show you a heretic to the Koran.)
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To: SeekAndFind

Leftism is the Herpes of politics. It’s the gift that keeps on giving but not in any way people want. At least not normal-thinking people.

Leftism reminds me of that 75 lb tumor removed from the belly of a woman not long ago. It grew inside her, just like the growth of leftists in a community or state, then got to be such a problem the woman finally had to have it removed. Afterwards, with the tumor growth gone, the host felt so much better.

At some point this will have to happen in America. This tumor of leftism growing inside our country will need to be excised and remove from our nation one way or the other. We had to do it with the British ruling monarchy at one time and so again will we have to do it with this leftist disease.


74 posted on 05/19/2018 6:38:46 PM PDT by Boomer (Leftism is a Malignant Moral Cancer on Society!)
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To: Bonemaker

RE: The state income tax in NH is zero. We have constitutional carry. We have very, very low crime. It’s quite nice here in fact.

Yes, If you can stand the VERY cold weather during winter time.

The main thing going for CA is this — it has the best all around weather in the mainland. Other than that, the government sucks.


75 posted on 05/19/2018 8:27:07 PM PDT by SeekAndFind
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To: fuzzylogic

+1


76 posted on 05/19/2018 9:44:30 PM PDT by 4Liberty (illegal immigration is a "process" crime too....)
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To: dsc

Be sure to factor these verses (esp #11) into your appraisal of Satan.

We do have the advantage, in God.

II Corinthians 2:
…10If you forgive anyone, I also forgive him. And if I have forgiven anything, I have forgiven it in the presence of Christ for your sake,

11in order that Satan should not outwit us. For we are not unaware of his schemes.

12Now when I went to Troas to preach the gospel of Christ and a door stood open for me in the Lord,…


77 posted on 05/19/2018 9:53:01 PM PDT by Scrambler Bob (You know that I am full of /S)
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To: SeekAndFind

Why are people moving out of California?

Real estate is crazy expensive
It’s overcrowded and getting worse by the day
It’s overrun with illegals and un-assimilated immigrants
Once pleasant suburban neighborhoods are crowded and decaying
California is business hostile gov’t so companies that can are moving out


78 posted on 05/19/2018 9:53:08 PM PDT by Pelham (California, a subsidiary of Mexico, Inc.)
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To: Dilbert San Diego

We need about five 7 Richter scale quakes to hit in rapid succession. It’s the only way to thin the herd.


79 posted on 05/19/2018 9:55:18 PM PDT by Pelham (California, a subsidiary of Mexico, Inc.)
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To: SeekAndFind

Are there any “free” States with a decent Southern CA like Climate? Haven’t found one yet.

Have to get the Wife on board and she is really picky. LOL


80 posted on 05/19/2018 10:00:45 PM PDT by Kickass Conservative (The only good Commie is a dead Commie. Cast your Vote Accordingly.)
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