Real estate

Arizona has become a top choice for people fleeing California

In their efforts to escape “skyrocketing real estate prices” and rising costs of living, California residents favor Arizona as a top relocation destination, behind only Texas.

That is according to a report released on Monday by StorageCafea national marketplace for self-storage and a subsidiary of a real estate data provider Yardi. Reviewed the report U.S. Census Bureau county-by-county migration data from 2013 to 2022 to identify the most popular and profitable moving routes from California to Arizona. The census report collected data from 3.5 million addresses across the country, including an unspecified number from counties in California and Arizona.

StorageCafe’s analysis ranked the 50 most popular moving routes based on “individual moves,” referring to a moving event in which an individual California household establishes a new home in Arizona. StorageCafe also took into account numerical and percentage differences in housing and rental prices between counties in both states, homeownership or rental status, per capita income, and demographics across generations.

The report shows that more than 630,000 California residents have moved to Arizona over the past decade – an average of 173 new residents per day. Of the top 50 moves, 36% of migrant California residents bought homes during their first year in Arizona. According to StorageCafe, almost all of the top routes offered significant savings on home and rental prices, with the highest amount approaching $1 million.

Additionally, the report noted that “homes in Arizona cost less than half of what they cost in California ($321,000 versus $659,000), giving people a much better chance at homeownership. The same trend applies to rent, with apartments in Arizona being 30% cheaper than in California.”

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The No. 1 interstate route – and the route for five of the 10 most popular routes – was from Los Angeles County to Maricopa County. Maricopa County, which includes the Phoenix metro area, saw nearly 8,700 moves from Los Angeles alone in 2022, with 43% of newcomers opting for homeownership.

Other common starting points for Californians moving to Maricopa County included San Diego County (5,173 movers), Orange County (4,021), Riverside County (3,302) and San Bernardino County (2,649).

About 34,000 California migrants moved to Phoenix in 2022, with tech employment heavily influencing the trend.

“[Phoenix] has always been a darling of tech companies, due to its top universities and strong aerospace industry. Of course, there’s a busy scene of homegrown tech companies, as well as California transplants. In recent years, companies have liked Unique aviation, SendosoAnd HomeLight have moved their headquarters from California to Maricopa County,” the report said. “This trend further stimulates the local technology sector and contributes to the creation of thousands of attractive jobs.”

StorageCafe highlights technology and healthcare as two key drivers behind a consistent number of young professionals moving to the Grand Canyon State. According to census data, millennials (26%) led the migration burden among age groups, followed by Generation Z (20%). Baby Boomers (18%), Generation X (14%) and Silent Generation (4%) followed as they sought better retirement options.

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