Californians are moving out-of-state like never before, and two of their preferred destinations include the greater Las Vegas area and Southern Utah.
In fact, California has seen the highest out-of-state migrations rates for years now, but that’s been bolstered during the Covid-19 pandemic, lockdowns, and the fact that more people than ever can work virtually. Although census data lags, we saw about 600,000 Californians leave the Golden State for greener pastures in 2017, and that number should be significantly higher by the time 2020 concludes.
Could one million or more California residents pull up stake this year, selling their homes and move to Nevada, Utah, Idaho, Texas, or other popular new destinations? It’s very likely.
If you’ve lived in California recently, it’s hard to blame residents for this mass exodus, as California is now known for its exorbitant cost of housing, high cost of living overall, ever-tightening restrictions and laws that always seem to penalize the common person or business owner, and some of the highest taxes in the nation.
Two new destinations: Las Vegas and Southern Utah, are allowing California transplants to check those boxes. Actually, of all the Californians who moved out of state from 2013 to 2017, 56% of them set up new roots in Nevada, and the Las Vegas region specifically.
From Henderson to Summerville, Green Valley to North Las Vegas, Nevada’s biggest city has myriad benefits and attractions for new residents, and especially Californians former Californians. These Las Vegas Valley communities commonly show up on national lists of the best places to live, the best places to retire, and the best places for families to relocate.
That’s right – the self-acclaimed Entertainment Capital of the World has far more to offer than just the ‘Vegas Strip, casinos, and nightlife.
So, if you’re thinking of packing up the U-Haul and heading from Los Angeles, San Francisco, or Sacramento into Nevada on I-15 and then into Las Vegas, what can you expect?
First off, the cost of living is far more favorable in Nevada, which is a huge pull for transplants. Chief among those lower costs is home prices, which are almost comically lower than metropolitan areas in California – for about 3x more square footage and the requisite swimming pool!
But it’s not just home prices that are far lower in Las Vegas, because Nevada is the most tax-friendly state in the country.
A big pull for people who move to Las Vegas is the fact that Nevada residents pay no income tax – one of only 12 states that offer such tax amnesty.
Additionally, Nevada collects no corporate tax, franchise tax, or inventory tax. The minimum Nevada sales tax rate (combination of state, county, and city sales tax rates) is 8.38%, including Nevada’s sales tax rate of 4.6%.
However, the Las Vegas sales tax rate is 0%!
Following suit, Nevada’s property taxes are some of the lowest in the nation, with an average effective tax rate of just 0.69% – below the national average of 1.08%. In Las Vegas (Clark County), the average homeowner pays $1,763 in property taxes annually, compared to $1,720 in Nevada or an average of $2,700 across the United States.
Add in 310 days of sunshine and a temperate climate all year round, a thriving economy and job market thanks to tourism but also because so many businesses and corporations are moving to Nevada, world class restaurants, and even the promise of pro sports, and Las Vegas will be the hottest new home for Californians for years and years to come!
Southern Utah is a choice destination for Californians as well, and for many of the same reasons. In fact, Utah has a population of only about 3+ million people, but well more than 50,000 people have moved into the state annually since 2017, many of them Californians.
Great communities, plenty of spirited college towns, modest home prices and cost of living, a fast-growing economy, abundant national parks and natural beauty, and the spirit of rugged autonomy characterize Southern Utah. The Beehive State, as it’s known “represents the qualities of industry, perseverance, thrift, stability and self-reliance – all virtues respected by the region’s settlers.”
So, if you’re a Californian who’s fed up with paying more and more every year – but getting less and less in return, you’re not alone, as the exodus to Las Vegas or Southern Utah is in full swing!
Feel free to contact me if you’d like more information about selling your home and moving out of California with an exciting new destination in Las Vegas or Utah in mind!