Why Arizona attracts homebuyers from California
Arizona and California are similar in a lot of ways. They are two neighboring states that share the same climate, with summer temperatures all year long and plenty of things to see and do. Both states are also very multicultural, with many developing cities. Living in either of these places offers a lot of education and business opportunities. Still, many Californians have been buying properties in Arizona in recent years, especially in Phoenix, Scottsdale, Buckeye, and Tucson. So, if you were wondering why Arizona attracts homebuyers from California, you're in the right place. Keep on reading to find out.
Arizona has a variety of different architectural styles
Californian homes are usually modern and elegant, with a lot of glass and chrome details. Such architecture allows a lot of light in, which is perfect for Cali's sunny climate. But the Golden State doesn't lack more traditional home designs either. There is an excellent offer of Spanish, Victorian, Tudor, Tuscan, and Cape Cod houses.
You most likely won't see these designs in Arizona, but the choices here are plenty as well. From various architectural styles to affordable housing, the real estate market in Arizona has something for everyone. Over the years, many different, creative ideas have passed through Phoenix and Scottsdale. Elegant Condos, Historic Bungalows, Ranch-Style, Pueblo-Revival, Contemporary Modern - you name it. Additionally, most homes are spacious, with up to 2500 square feet on average. And the best thing is, these properties are more affordable than the ones in California. But in the end, everything will depend on your home buying strategy. Either way, if you like big houses with fantastic architecture, Arizona is the place to be.
Scottsdale is the perfect destination for those who enjoy luxurious amenities, golf courses, and high-end boutiques.
Median home prices
Even though Arizona's real estate market used to be very affordable, the industry's growth has significantly increased the median home price in the past couple of years. From average house values of $281,000 in May 2020 to $386,500 in May 2021, it's safe to say the real estate market is thriving. Compared to California's housing demands and prices, Arizona offers bigger homes for significantly smaller amounts of money. According to PR Newswire, in April 2021, Cali's median home value broke all records, reaching up to $800,000! And considering how you need a stellar credit record to get a mortgage nowadays, this makes it very hard to own property in the Golden State. If you're still wondering why Arizona attracts homebuyers from California, this should clear things up.
The cost of living in Arizona
The cost of living is one of the most important factors when choosing a place to live. The monthly expenditures, rent, utilities, transportation, and other everyday costs are way higher in California. Living in the Golden State is 30% more expensive than in Arizona! And the worst thing is, there is only a slight difference in average monthly income between these two states – $5,196 for California and $4,757 for Arizona.
Phoenix has a variety of jobs, amazing housing options, and outstanding educational opportunities, which is why Arizona attracts homebuyers from California.
Comparing both state taxes
Arizona attracts homebuyers from California because the income, sales, and property taxes are way lower. California residents need to pay almost twice as much state income tax (9.3%) compared to the Copper State citizens (4.54%). As we know, taxes are an essential factor to consider when looking for a perfect home. Thus, it's no wonder many people are "migrating" to more affordable states in search of more sustainable opportunities. But the income tax is not the only thing that is higher in Cali - the sale tax is as well. In this case, the difference is not that significant, with 6.60% in Arizona vs. 7.25% in California.
The industry in Arizona
Arizona is the 5th largest state in the US. It covers a significant area rich in copper and other natural resources that created the opportunity for the excellent economy and industry potential. And even though we'd expect that the primary industry sector would have to do with natural resources, Arizona's key sectors are government, healthcare, and transportation. Still, agriculture is essential too. It's no wonder the Grand Canyon State is attracting many entrepreneurs from the aerospace, bioscience, finance, manufacture, and tech innovation industries. If you are tired of constant competition and overcrowded markets, it might be a good idea to try your chances and move interstate. If you leave California and start over elsewhere in cities like Phoenix and Buckeye, you will find plenty of amenities for personal and professional growth.
Tempe continually draws art enthusiasts to one of the biggest festivals in the States - Tempe Festival of the Arts.
Other amenitiesThe Copper State offers
Without a doubt, both Arizona and Cali have diverse places to see and enjoy when it comes to scenery. Arizona has the best locations whether you're a fan of the desert, plains, or mountains. Hiking, mountain biking, rafting, hot-air ballooning, horseback riding, or skydiving - the possibilities are endless. And all that without the crowds of tourists. The only downside of moving from Cali for Arizona is the lack of majestic sandy sea beaches. But, don't worry, visiting some of the many lakes like Havasu, Powell or Patagonia will make you wonder why didn't you relocate here sooner!
Different outdoor amenities, affordable living, and educational opportunities make Arizona the perfect place to raise a family. Therefore, it's no wonder that more people are moving here to start a new life. Whether you are looking for a job in Arizona various industries or working remotely, there is a great chance you will prosper more than you did in California.
Many factors determine where we will move when looking for a new place to live. When searching for a perfect home, different types of people will prioritize different factors. For career-oriented people, business opportunities and thriving industries might be deal makers. For others, the costs of living, taxes, mortgage rates, and affordable housing are priorities. Needless to say that all of the factors mentioned above can easily be found in Arizona. Thus, it's no wonder why Arizona attracts homebuyers from California.
Michael Burns is a 38-years-old real estate consultant passionate about current trends and innovations in the industry. In his free time, he enjoys traveling, cycling, and playing golf.