According to a new survey from the National Association of Realtors, California experienced the biggest outflow of professionals in 2023, with roughly 87,000 workers departing the state. Only 69,000 people moved to the Golden State, resulting in a large net loss.
High housing expenses in areas like San Francisco and Los Angeles, along with a high overall cost of living, are causing workers to relocate to cheaper states like Texas and Arizona.
California’s high state income tax is another key issue, driving residents to states with more favorable tax regimes, such as Texas (14%), Arizona (9%), and Washington (8%).
Southern states, notably Virginia, Tennessee, and Florida, experienced the greatest influx of employment changes. Other states facing job losses include New York and Illinois.