Moving California to Austin: What $600K Buys in 2026
Moving from California to Austin: What $600K Gets You in 2026
Quick Answer: Moving California to Austin on a $600,000 budget is a bigger upgrade than most people expect. In South Austin's 78748, that money buys a full-sized home around 2,300 to 2,500 square feet, not a fixer or a condo. Texas property taxes are higher than California's, but with no state income tax, most relocators earn around $250,000 net out, $ 8,000 to $12,000 ahead every year.
By Brandon Holley, Broker/Owner, Holley Homes Realty
If you would rather watch than read, the full video is right above.
When I tour relocation buyers around South Austin, the first thing I hear is some version of "what can we actually get for our budget." So let me be honest with you about the numbers, the taxes, and the trade-offs, because the real picture is better than most people are told.
What does $600K actually buy in South Austin right now?
In 78748, one of the core South Austin zip codes, the price per square foot is running around $257. A $600,000 budget at that pricing puts you in a 2,300 to 2,500 square foot home. That is typically four bedrooms, three baths, a two-car garage, a full yard, and often a covered patio.
Push into newer pockets of 78744 or out toward nearby Kyle and Buda, and the per-square-foot pricing drops. The same $600,000 can stretch to a 2,700- to 2,900-square-foot home with new finishes and upgrades.
For context, the median home price in the city of Austin is now sitting around $530,000 to $550,000. In 78748 specifically, the median is closer to $425,000-$456,000. So with a $600,000 budget, you are not a median buyer in South Austin. You are an above-average one.
Why does moving California to Austin feel like a lifestyle upgrade?
Because the position flips completely, California's statewide median home price in 2026 is estimated between $780,000 and $905,000, depending on the source, and 82 percent of California households cannot afford that median home price. In LA or the Bay Area, $600,000 often buys a small condo or a far-flung fixer-upper.
That same $600,000 in South Austin gets you a full-sized home with a yard your kids can run in. You go from being a below-median buyer in California to an above-median buyer here. That is a real change in how it feels to live day to day.
You are not alone in making this move, either. Roughly 77,000 Californians moved to Texas last year, the largest state-to-state migration flow in the country. The Austin Metro was the third-most common landing spot, and Travis County was the number-one destination for people leaving LA County.
California vs Texas: What is the real tax math?
Here is where most people get it wrong. California has low property tax rates, around 0.75 percent effective. Texas has higher ones, 1.66 to 1.7 percent, and 2.7 to 2.9 percent in certain MUD or PID districts.
That is the part everyone warns you about. Here is what gets left out every single time. California has a state income tax. Texas has zero.
Cost factor | California | Texas (South Austin) |
|---|---|---|
Median home price (2026) | $780,000 to $905,000 | About $530,000 to $550,000 citywide |
Effective property tax rate | Around 0.75% | 1.66% to 1.7%, up to 2.7% to 2.9% in MUD or PID areas |
Property tax on a $600K home | Roughly $4,500 per year | Roughly $10,000 to $16,000 per year |
State income tax on a $250K household | Roughly $18,000 to $20,000 per year | $0 |
Typical net result | Higher monthly carrying cost | About $8,000 to $12,000 more in your pocket per year |
Add it up. The average California relocator earning $250,000 nets roughly $8,000 to $12,000 more per year in Texas, even after paying higher property taxes. If you earn more, that gap widens fast.
What is the lifestyle trade-off nobody talks about?
What you gain is space. A yard, a 20-minute commute instead of a 90-minute one, no state income tax, and a house big enough to host the holidays. The overall cost of living runs roughly 30 to 35 percent lower, from groceries to utilities to services.
What you give up is the coastline. The ocean becomes a flight away unless you count the Gulf. The Mediterranean climate gets traded for a real summer and a genuinely brutal August. And certain food scenes, like Orange County Vietnamese or Bay Area Mission burritos, just aren't here in the same form.
The honest take, after years of working with relocation buyers, is this. Many Californians miss the climate and the coast. Almost none of them miss the price tag.
If you would like to see a related video on this topic, the one above (or below) is a great next watch.
Who does this move fit best, and who should look elsewhere?
Who this fits best: A California household earning over $200,000 with real equity to bring. For you, $600,000 in South Austin is a quantum lifestyle upgrade, and the math almost certainly favors the move.
Who should look elsewhere, or at least slow down: If you are counting on Austin to be cheaper on monthly carrying cost alone, without the income tax savings and without bringing equity, run your numbers carefully first. If you earn under $150,000 and have no equity to carry over, the math tightens, and Texas is not always obviously cheaper.
How do South Austin neighborhoods and the MUD tax actually compare?
The one thing to watch out for is assuming all of South Austin is the same. 78748, 78744, and 78745 each have distinct personalities and price points. An established, treelined neighborhood and a brand-new MUD community can differ by 1 to 1.5 percent on your annual tax bill, and that is real money over ten years.
The biggest item to flag is the MUD and PID districts in brand new suburban builds, which can push your effective rate to 2.7 percent or higher. If no one explains that to you before you tour a new construction community, someone is skipping a conversation you deserve to have. That single insight has saved my buyers thousands.
If you want to go deeper before you tour, I put together relocation guides that break this down by area. Start with the South Austin Relocation Guide if you are zeroed in on 78748 and 78744, or the Central Texas Relocation Guide if you are still weighing Austin against the suburbs. Looking specifically at Buda? The Buda Relocation Guide covers MUD rates and community comparisons in detail.
Frequently Asked Questions
Is $600,000 enough to buy a house when moving from California to Austin? Yes. In South Austin's 78748, around $600,000 buys a 2,300- to 2,500-square-foot home, often with four bedrooms, a yard, and a two-car garage. In newer suburbs like Kyle or Buda, the same budget can stretch to 2,700 or 2,900 square feet with upgraded finishes.
Are Texas property taxes really higher than California's? Yes, the rate is higher. On a $600,000 home in 78748, you might pay around $10,000 a year, versus roughly $4,500 in California. But Texas has no state income tax, so most relocators earning about $250,000 still come out $8,000 to $12,000 ahead annually.
What is a MUD tax, and why does it matter in South Austin? A MUD, or Municipal Utility District, helps fund infrastructure in newer communities and adds to your tax rate. In brand new suburban builds, MUD and PID districts can push your effective rate to 2.7 percent or higher. That difference can mean real money over ten years, so always ask before you tour.
What do Californians give up by moving to South Austin? Mostly the coastline and the Mediterranean climate. The ocean becomes a flight away unless you count the Gulf, and you trade mild weather for a real summer and a sometimes brutal August. Certain food scenes, like Orange County Vietnamese or Bay Area burritos, are harder to find here.
Which South Austin zip codes should California buyers consider? 78748, 78744, and 78745 are the core South Austin ZIP codes, each with its own personality and price range. 78748 leans established and central, while 78744 and nearby Kyle and Buda offer newer construction and more square footage per dollar. The right fit depends on your commute and budget.
About the Author
Brandon Holley is the Broker and Owner of Holley Homes Realty in Austin, Texas. He works with first-time homebuyers, new construction clients, and relocation buyers moving to Central Texas from across the country. Brandon hosts a recurring segment on American Dream TV. He runs the YouTube channel Your Austin Home Guide, where he breaks down communities, builders, and neighborhoods across Austin, Buda, Kyle, Bastrop, and the surrounding suburbs.
Have a question or thinking about a move to Central Texas? Reach out anytime.
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When you are weighing whether to move from California to Austin, the smartest first step is to get your real numbers in front of you before you fall for a floor plan. I understand now may not be the right time and I never want to be pushy, just know that I am here if you have questions, would like to start planning, or need anything.
