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Why California Families Are Relocating to Dallas for Affordable Luxury Living in 2025

  • Writer: Nitin Gupta, CRS, REALTOR
    Nitin Gupta, CRS, REALTOR
  • May 17
  • 4 min read




If you're a homeowner in California, you already know that real estate prices, state income taxes, and cost of living are pushing many families to rethink where they live. In 2025, an increasing number of Californians—especially from Los Angeles, San Jose, San Diego, San Francisco, and Orange County—are trading in the West Coast for a more financially sustainable and luxurious lifestyle in Dallas-Fort Worth (DFW), Texas.


Here’s why Dallas is quickly becoming the #1 destination for luxury buyers moving out of California.


Summary

California families are leaving behind high taxes and unaffordable housing for expansive luxury homes, top schools, and tax relief in Dallas-Fort Worth. This guide highlights where Californians are moving from, the DFW cities they’re choosing, and how much more value they get in Texas.


Why California Homeowners Are Leaving

1. Crushing Home Prices

  • In places like San Francisco and LA, $1.5M gets you 1,800–2,200 sq ft on a small lot.

  • In DFW suburbs, $1.5M often gets you a 5,000+ sq ft custom home on a half-acre, with a pool, home office, and 3-car garage.

2. State Income Tax

  • California’s top income tax rate exceeds 13%, and even middle-income earners are hit hard.

  • Texas has no state income tax—a huge financial incentive for high earners and business owners.

3. Business and Lifestyle Restrictions

  • Entrepreneurs and remote workers are fleeing regulations, high commercial rents, and complex permitting.

  • DFW offers pro-business laws, lower cost of living, and abundant commercial real estate options.

4. Quality of Life

  • Less congestion, more space, and stronger public schools make DFW more attractive for families with children.


Cities Californians Are Leaving

  • Los Angeles – High property taxes, homelessness, and poor ROI on $2M homes are driving relocations.

  • San Francisco – Remote work and crime concerns are prompting tech professionals to leave.

  • Orange County – Families are looking for safer, more affordable options with top-rated schools.

  • San Diego – Beach life is great—but many are done paying coastal premiums for limited space.

  • San Jose – Tech workers and investors are cashing out and buying twice the home in Texas.


Where They’re Going in DFW

Frisco

  • Master-planned neighborhoods, private schools, and custom homes under $1.5M.

  • Home to The Star, PGA HQ, and booming job growth.

Southlake

  • Estate properties, elite public schools, and a high-end lifestyle comparable to Newport Beach or Palo Alto.

University Park / Highland Park

  • Upscale living close to downtown Dallas with tree-lined streets, top schools, and walkable retail.

Prosper

  • Large new construction homes on 0.5–1 acre lots, private club communities, and strong resale value.

Celina

  • Emerging as one of the best luxury deals in North Texas—brand-new estates with modern designs, 3-car garages, and under $1M.


What $1.5M Buys: California vs. Dallas

Feature

San Jose, CA

Prosper, TX

Square Footage

~2,000 sq ft

~5,000+ sq ft

Lot Size

< 0.2 acres

0.5 – 1 acre

Age of Home

30+ years old

2023–2025 construction

Monthly Tax Bill

~$2,000+

~$1,000–1,500 (2–2.5% rate)

State Income Tax

Up to 13%

0%

HOA / Community Amenities

Minimal

Resort-style pools, gyms, trails, golf


The New Luxury Standard

California transplants are discovering that luxury in Texas looks very different—and far more spacious. Most homes come with:

  • Chef’s kitchens with double islands

  • Home offices and media rooms

  • Outdoor kitchens and pools

  • 3–5 car garages

  • Gated communities or golf course lots

These features are nearly unattainable at the same price point in Southern California.


Final Thoughts

In 2025, the Dallas-Fort Worth metro area continues to offer unmatched value for California families ready to upgrade their lifestyle while lowering their tax burden. Whether you're relocating for business, family, or freedom—DFW's luxury market delivers space, schools, and sophistication without the West Coast price tag.


Ready to Find Your Ideal Luxury Home in DFW?

Nitin Gupta, Broker Associate, specializes in helping California families relocate to luxury communities in North Texas. He’ll guide you through comparing neighborhoods, selecting top builders, and negotiating the best value for your move.


📞 Contact Nitin Gupta today:https://www.nitinguptadfw.com/contact


📄 View luxury relocation certifications and credentials:https://www.nitinguptadfw.com/dallas-realtor-designations



🔗 Learn more: www.NitinGuptaDFW.com📱 Call or text: (469) 269-6541📍 Serving Prosper and the greater North Dallas real estate market



About us: Prosper New Construction Expert Real Estate Agent


As a Top Real Estate Professional in Prosper & Dallas area, I understand the challenges that arise when buying a new construction home. There are over 50 builders in the Dallas area. I work with most of the new home builders in Dallas and understand how various builders operate. I am familiar with the options they offer, current incentives and I frequently visit the upcoming communities they are building. I guide my clients through all steps of the new home construction process and aggressively protect their interests in the transaction.


As a holder of top real estate industry certifications and designations like CRS, ABR & GRI, I can offer my clients experience as a Buyer's Agent in Prosper and REALTOR®, top Industry Customer Service, in-depth, up-to-the-minute and comprehensive market knowledge; honesty, integrity, dedication, and professionalism in my business.


Whether you are a first time buyer in Prosper looking to buy a home in Dallas or Prosper or whether you are relocating to Prosper from California or moving your entire family from areas like San Francisco, Fremont, Palo Alto, Los Angeles, San Diego in California due to job transfer with your company, I can help you find a new construction home in Prosper. Our relocation team eases the transition - whether you are moving across town or across the globe. We will work with you to find an area that best suits your professional, family and lifestyle needs. We have all the tools you need to help your home search. Whether it is video previews of homes, extended work hours, digital signatures for documents or more, we can make this process as comfortable as possible no matter where you are located.



What is most important to you in your new construction home in Prosper? Send us an email at info@NitinGuptaDFW.com or give us a call at (469) 269-6541 to schedule a no obligation consultation. We’ll give you honest advice about Prosper community that you can use to help make your home buying decision.








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