Moving to Texas from California: The Complete 2026 Guide

Relocation

Moving to Texas from California: The Complete 2026 Guide

10 min read

The California to Texas migration is one of the most documented demographic shifts of the last decade. Hundreds of thousands of Californians have made the move, drawn by the same calculation: no state income tax, lower housing costs, a strong job market, and a cost of living that allows families to actually build wealth instead of just maintain it. The Bay Area, Los Angeles, and San Diego have been the top feeder markets, and Austin has been the most common landing spot.

This guide covers what actually changes, what surprises most California families in the first year, how to approach the home search from 1,500 miles away, and why the Hill Country south of Austin keeps showing up as the answer for families who want schools, space, and lifestyle without paying Westlake prices.

Key Takeaways

  • Texas has no state income tax. For a household earning $300,000 a year from a high-tax California bracket, the savings can approach $25,000 to $30,000 annually.
  • Texas has higher property taxes (typically 1.8 to 2.5 percent of assessed value), but for most California families the income tax savings more than offset them.
  • The Austin metro covers more than 4,000 square miles. The neighborhood you choose shapes your life as much as the city itself.
  • Dripping Springs, in the Hill Country south of Austin, is a consistent landing spot for California families who want top schools, new construction, and Hill Country terrain at a fraction of West Austin prices.

The Financial Case for Leaving California

The numbers are the reason most people start the conversation. Here is what actually changes on the balance sheet.

CaliforniaTexas
State income taxUp to 13.3%$0
Property tax rate~1.1% (Prop 13 capped)1.8%–2.5%
New home near top school district$1.2M–$1.5M+$550K–$900K+

No State Income Tax

California’s top marginal income tax rate is 13.3 percent, the highest in the country. Texas has no state income tax. The savings are not a rounding error. A household earning $300,000 a year saves roughly $25,000 to $35,000 in state income taxes annually, depending on filing status and deductions. That money shows up in your take-home pay immediately, and it changes what a Texas mortgage actually costs in real terms.

Housing Costs

The median home price in the San Francisco Bay Area runs $1.2 million to $1.5 million. In Los Angeles, comparable family homes in good school districts often run $1.2 million and up. In Austin’s most sought-after suburban corridors, a new construction home in a top-rated Texas school district can be had for $550,000 to $800,000. In Dripping Springs, that range buys a home on Hill Country terrain with genuinely better public schools than most California buyers were leaving behind.

The equity story is real. Families selling a California home with substantial equity arrive in Austin with a down payment that materially changes their Texas mortgage payment and monthly cash flow.

Property Taxes: The Full Picture

Texas property taxes are higher than California’s, typically running 1.8 to 2.5 percent of assessed value annually. On a $700,000 Texas home, that’s $12,600 to $17,500 per year. California’s property tax rate is much lower, around 1.1 percent, and it doesn’t reassess until the home sells due to Prop 13 protections. That difference is real and should go into your calculation. For most families earning above $200,000, the income tax savings still come out ahead by a meaningful margin. But plan for it rather than be surprised by it.

Texas also offers a homestead exemption that reduces the taxable value of your primary residence. File for it in your first year. It is not automatic.

What Actually Changes When You Move to Texas

Beyond the balance sheet, California families tend to hit a handful of genuine lifestyle adjustments in the first year.

The summers. Texas summers are hot in a way that California’s coast does not prepare you for. June through September regularly sees triple-digit temperatures in Austin. Homes are built for it, pools become a legitimate quality-of-life line item, and most families adjust within a season. But plan for it and budget for a pool if outdoor summer living matters to your family.

The scale. The Austin metro is physically large. Coming from a dense California metro, the distances feel different at first. A 30-minute drive to the grocery store is normal and accepted. People don’t think twice about a 25-mile one-way commute. The geography recalibrates quickly.

The hospitality. People wave at neighbors they don’t know. They hold doors, start conversations, and introduce themselves. Relocating Californians consistently list this as the biggest positive surprise of the move. It is not performative. Texas has a distinct conversational culture and it shows up every day.

The logistics. Texas requires a state driver’s license within 90 days of establishing residency. Vehicles must be inspected and registered within 30 days. Electricity is deregulated, meaning you choose your provider. For the first year after you move, you’ll also file a split-year federal return and a final California state return. Using a CPA who handles interstate moves is worth the cost.

Choosing Where to Land in the Austin Metro

Austin is not a single place. The metro spans more than 4,000 square miles, and the difference between Cedar Park and Dripping Springs is not just geography. It’s terrain, school landscape, community character, and what your daily life actually looks like. The four broad zones:

  • Hill Country South (Dripping Springs, Wimberley): Strong public schools in a small district where the school experience mirrors the tight-knit community around it, genuine Hill Country terrain, new master planned communities at price points well below West Austin, and about 30 minutes to downtown via US 290. The fastest-growing corridor in the metro for relocating families, and the one that most consistently satisfies the California family’s checklist: strong schools, space, natural setting, and a home price that is not a lateral move from what they left.
  • West Austin / Hill Country West: Eanes ISD and Lake Travis ISD. The most prestigious school districts in the metro. Also the highest home prices. Premium in every dimension.
  • North Austin suburbs (Leander, Cedar Park, Round Rock): Well-regarded school districts with more affordable new construction and strong employment access. Good fit for families who need to be north of the city for work.
  • Central Austin: Urban, walkable, expensive per square foot. AISD schools vary by campus. Best for buyers who prioritize city access and lifestyle over space.

Photo: Michael Zuber / CC BY 2.0

The Practical Moving Timeline

For California families planning a Texas move, this is the sequence that works:

  • 12 to 9 months out: Decide on the Austin metro zone that fits your priorities. Get pre-approved for a Texas mortgage. Plan a dedicated scouting trip of at least 4 to 5 days.
  • 9 to 6 months out: Narrow to two or three communities. Tour in person. Verify school zoning lot by lot. Research movers who specialize in interstate moves.
  • 6 to 3 months out: Contract on a home. Schedule California home sale if applicable. Notify children’s schools and request transfer records. Engage a CPA who handles interstate moves.
  • After move-in: Get a Texas driver’s license within 90 days. Register vehicles within 30 days. File for Texas homestead exemption on your primary residence. Set up Texas electricity provider (deregulated market, you choose). File a final California state tax return for the partial year.

Why Dripping Springs Keeps Coming Up for California Families

When California families run through the relocation framework above, Dripping Springs consistently surfaces as the Hill Country answer. Here’s why the math works:

The school district delivers. Dripping Springs ISD is a smaller district, and that is a feature rather than a limitation. Teachers know students. Parent involvement runs genuinely high. The school culture — Friday night football, strong athletics, a sense of continuity from elementary through high school — reflects the tight-knit community around it in a way that large suburban systems rarely achieve. For Bay Area and Los Angeles families used to paying $1.5 million or more to be near schools of this caliber, the idea that a $600,000 to $800,000 Hill Country home delivers the same quality is not obvious. It’s one of the best-kept secrets in the Austin metro, and it’s becoming less of one every year.

The terrain is real. California families coming from Marin County, the Santa Cruz mountains, or the foothills around Los Angeles recognize the Hill Country immediately. Rolling oak-covered terrain, long views, and a sense of natural scale that flat suburbs don’t have. The setting is not a marketing claim. It’s the reason the land was left undeveloped for as long as it was.

The commute has improved. The Oak Hill Parkway reconstruction is complete. Both directions of US 290 mainlanes are open, and the SH 71 connector flyovers opened in May 2026. Drivers can now travel through the Oak Hill corridor on freeway-grade mainlanes without signal stops — the bottleneck that defined the old commute is gone. Additional infrastructure on Ranch Road 12 and a new connection to US 290 via Lone Peak Way are completing in 2026 and 2027 respectively.

The price still works. Comparable new construction in the communities California families leave behind costs two to three times more. Even at premium Dripping Springs pricing, the home purchase, the tax savings, and the equity position over five years present a materially better financial picture than staying.

Where Double L Ranch Fits

For California families whose relocation timeline lands in 2027, Double L Ranch is one of the Dripping Springs communities to know. At 1,677 acres on the western edge of Dripping Springs, the community is built around the Hill Country terrain that California families recognize: rolling topography, mature oak canopy, and long views across the landscape.

Full Dripping Springs ISD zoning across the entire footprint. Six builder partners spanning multiple price points: Coventry Homes, Highland Homes, Scott Felder Homes, Perry Homes, Westin Homes, and Drees Custom Homes. Home construction is expected to begin in late 2026, with first move-ins in 2027. For families making the California to Texas move, this is the scale and setting that makes Dripping Springs worth the trip to see in person.