Pros and cons of buying a house in California

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Are you thinking of purchasing a home for yourself or your family? Do you consider California as one of the places to do so? Knowing about the real estate in the state you want to buy a house can make this risky investment easier. Now, buying a home is not something you do every day. Because of that, you want to ensure that you are doing the right thing and making the right choice. To help you with that decision, we talk about the pros and cons of buying a house in California. Once you finally decide which house to buy, you can consider hiring professional moving services, like AmeriSafe Moving Services, to help you relocate with ease. How you relocate your household is as important as the house you choose to buy. So, after choosing a house, save your energy for the relocation process you have to go through.

The pros of buying a house in California

So, you are thinking about purchasing a property in the Golden State? The state of California is a state in the western part of the United States. It has a little under 40 million people living in it. This makes California one of the most populous states in the US and the third-largest state. Now, most people actually think of Los Angeles when talking about California. However, the state capital is Sacramento, and the most densely populated city in the state, as well as the country, is San Francisco.

two men shaking hands after buying a house in California
There are a lot of positive and negative sides to purchasing a property in the Golden State

Buying a property in this state can bring a lot of advantages both for your career options, as well as your lifestyle. To help you understand it better, today we are going to talk about these two advantages:

  • California has a big housing market
  • Living in California means being open to different opportunities

California has a big housing market

The housing market of California took a big hit back in 2008. and it is still recovering. On the other hand, a lot of people have been moving to Arizona, Idaho, Colorado, and Utah in the past couple of years. This means that there are a lot of houses, on annual basis, that are available for purchase. Furthermore, out of approximately 13 million houses in California, around 1 million are constantly changing owners. This means that the housing market is constantly evolving and changing. Moreover, this constant change of the housing market means that you can find the housing option that you find most comfortable. Of course, depending on where you want to buy your house, the average price range will fluctuate. So, if you plan on moving from Miami to California, make sure you do your own research on the market.

Living in California means being open to different opportunities

Regardless of your age, you will surely find what you need in the state of California. Furthermore, you can start seeking your career options, for example, after interstate moving companies Florida relocate your belongings to your new home. Now, what you seek depends solely on you. Many young professionals and young people in general, tend to move to California to pursue their careers or education.

the Hollywood sign at the top of the hill
California has a lot to offer to those brave enough to seek fame, career, and education in it

Now, buying a house in California means living in the entertainment center of the world. That is why you will stumble upon many different celebrities or people trying to pursue a career in the entertainment business. Moreover, even if you pursue to work in agriculture, you will be happy to know that California has the biggest agriculture industry in the whole country. Therefore, if you plan on living in California, you will most likely find exactly what you are looking for.

The cons of buying a house in California

Logically, where there are advantages, there must be some disadvantages. Although the state of California offers a plethora of opportunities, there are certain things that might encourage you to think about not moving there. However, this will all depend on what you desire and what your plans are. So, to put things into a perspective, here are the two biggest cons of owning a property in the state of California:

  • The high tax rates
  • Expensive housing and cost of living

Many people that live in California actually do not own their own homes. According to 2019. the study, around 46% of the population in the state is actually renting their home. These two reasons may be the reason why. Let us talk about it.

The high tax rates

Now, if you were, for example, moving from West Coast to the East, you would not have this problem. However, if looking to buy a property in the state of California, be wary of the taxes you have to pay. Namely, the Golden State has one of the highest tax rates in the whole country. So, for instance, the statewide tax rate is at 7.5%. However, many districts impose their own, personal tax rates in addition to this 7.5%. Additionally, some districts can even impose more than one district tax, depending on where you live.

two pieces of paper for taxes with a sticky note on top of them
The statewide tax rate of 7.5% represents only the basis on which other taxes add on

Needless to say, if you plan on purchasing a property in this state, you will have to set aside a large sum of money. That is, on top of the price of the home you have to pay. The tax rates the state has are the main reason many people are considering whether or not moving there is the right choice.

Expensive housing and cost of living

As we were saying above, the housing market in California did experience a crash back in 2008. It is still recovering. The price range of houses in California is often too much for people that seek to move there. For instance, if you plan on buying a house in California, the median home value is around $685.000. Now, you might be thinking, this is not as bad, given that certain states have higher prices. Yes, that is true. However, the median household income is only $75.000. Therefore, we have a home value that is almost triple the nationalaverage on a paycheck that is slightly above the nationalaverage. Furthermore, the Californian index of living is higher in almost every category than in the rest of the country.