Texas is one of the fastest-growing states in the U.S., with a population surpassing 31 million in 2024. Over 473,453 people are moving to Texas yearly, drawn by the state’s booming economy and diverse opportunities. More than 25,000 businesses relocated to Texas in the last decade which reflects a robust job market and business-friendly environment.
In addition to a strong economy, Texas offers affordable housing, with median home prices 17% below the national average and a cost of living around $3,760 per month. The state’s zero-income tax policy allows residents to maximize their earnings.
Texas’ diverse climate offers something for everyone, from the warm, sunny weather in the southern regions to the more temperate climates in the north. Residents can enjoy various outdoor activities, from hiking in the Hill Country to relaxing on the Gulf Coast beaches.
6 Reasons to Move to Texas
Texas is one of the favorite relocation destinations for Americans. Here are the significant reasons for moving to Texas.
# | Reasons to Move to TX | Key Highlight |
---|---|---|
1. | Cost of Living | The cost of living in Texas is 7% lower than the national average. |
2. | Tax Benefits | The Lone Star State does not impose any state income taxes. |
3. | Employment | Texas aims to add 2.3 million jobs by 2030 across different sectors. |
4. | Education | Texas is home to renowned educational institutes like the University of Texas and the Texas A&M University. |
5. | Business Opportunities | Texas offers incentives to like the Texas Enterprise Fund, which has promoted major companies to relocate to the state. |
6. | Outdoor Activities | You can enjoy hiking in national parks and engage in water sports along the Gulf Coast or its scenic lakes. |
1. Low Cost of Living
The cost of living in Texas, which is 7% below the national. It’s an attractive option compared to more expensive states like California and New York, where living costs are 38% and 26% above the national average.
Here’s a breakdown of monthly expenses in Texas’s metropolitan cities:
Cities | Home Price | Home Renting | Public Transport | Utilities | Food |
Austin | $539,099 | $1,703 | $46.96 | $170.41 | $223.01 |
Dallas | $315,154 | $1571 | $92 | $260.29 | $242.51 |
Houston | $271,420 | $1353 | $75 | $187.91 | $223.41 |
San Antonio | $259,978 | $1,285 | $58.50 | $209.66 | $222.72 |
2. Tax Benefits
Texas has zero state income tax, so if you earn $70,000 a year, you keep all of it without any state deductions. This is a significant advantage compared to states like California, where state income tax is 7.25% which reduces your take-home pay.
However, property taxes in Texas are about 1.6%, which is higher than some other states. The state also has a 6.25% sales tax.
3. Employment Opportunities in Texas
Texas’s robust economy offers various employment opportunities across several industries. The Lone Star State aims to add 2.3 million new jobs by the end of 2030.
- Technology: Texas’s tech industry is thriving, particularly in cities like Austin and Dallas. It is expected to create over 44,000 jobs in 2024. Major tech employers include Dell Technologies, IBM, and Oracle.
- Healthcare: According to Medical Technology Schools, the healthcare sector in Texas is projected to experience significant job growth between 2020 and 2030. Major employers in this field include the Texas Medical Center in Houston and the Baylor Scott & White Health system.
- Energy: As a leading energy hub, Texas offers numerous jobs in the oil, gas, and renewable energy sectors. Major companies like ExxonMobil and Chevron are significant employers, and the state continues to invest in emerging energy technologies.
- Finance: Texas is home to a growing financial services industry, with firms like JPMorgan Chase and Bank of America having a strong presence. The sector contributes significantly to the state’s job market.
4. Excellent Education System
Texas has a robust education system that caters to a diverse range of students. These educational institutes focus on academic growth and personal development.
Schools in Texas
- Public Schools: Texas has a large network of public schools organized into approximately 1,200 school districts. The Texas Education Agency (TEA) oversees these schools and maintains high standards in academic and extracurricular programs.
- Magnet Programs: Texas also has magnet programs that focus on STEM, performing arts, and international studies. Notable examples include the School for the Talented and Gifted in Dallas and the Houston Academy for International Studies.
- Charter Schools: Texas has over 800 charter schools serving approximately 300,000 students. These schools operate independently of the traditional public school system and offer a range of specialized programs.
- Private Schools: There are over 1,200 private schools across Texas, known for their academic excellence. The average annual tuition for private schools in Texas is around $11,000. Prominent private institutions include St. Mark’s School of Texas in Dallas and The Kinkaid School in Houston.
Higher Education in Texas
Texas is known for its prestigious universities, such as the University of Texas in Austin, Texas A&M University, and Rice University. These institutions excel in engineering, business, law, and the sciences.
The University of Houston and the University of Texas in Dallas also offer distinguished research programs and specialized degrees. Many Texas universities also provide merit-based scholarships and financial aid.
5. Business-Friendly Environment
Texas is a top choice for businesses due to its generous incentives. The Texas Enterprise Fund offers significant financial support for job creation. The Texas Skills Development Fund helps with training costs. The Governor’s University Research Initiative provides grants to attract top researchers.
Companies are relocating from Silicon Valley to Texas to avoid high taxes and costly real estate. Firms like Hewlett-Packard and Oracle have moved their headquarters to Houston and Austin. Tech giants such as Amazon and Tesla have set up major operations in Texas, due to its business-friendly environment.
6. Outdoor Activities
Texas is a haven for outdoor enthusiasts with a wide range of activities. You can hike and camp in the Big Bend and Guadalupe Mountains National Parks. For a day of fun, head to the Gulf Coast or Texas’s many lakes for boating, fishing, or soaking up the sun.
You can also bike through scenic trails or kayak on peaceful waters. With its deserts, forests, and beaches, Texas lets you connect with nature in many ways.
Cost of Moving to Texas
There are additional costs involved in moving from one state to another. Here’s a breakdown of costs you may incur while relocating to TX:
1. Moving Costs ~ $408 to $3,418
Moving to TX involves several costs, including the costs involved in moving your belongings.
- Texas movers can cost $103 per hour, which includes labor costs for 2-3 movers and a truck. However, this figure depends entirely on your belongings and the distance traveled.
- If you want to DIY your move, you can rent a truck as a cost-effective alternative. Mid-size moving trucks with a load capacity of 4,000-6,000 pounds generally cost between $40 and $80 per day.
- 👉 Tip: Moving can be expensive, especially if you are selling your home before you move. In this case, you can use a Flat Fee MLS company to save on listing agent commissions. This way, you can have additional cash when you move to Texas.
2. Utility Expenses ~ $400 to $500 Per Month
- Once you’ve moved to Texas, you’ll need to set up utilities like gas, electricity, and water. The average monthly utility bill in Texas is approximately $402.
- Additionally, you’ll need to register your vehicle in Texas. The cost for first-time registration is about $51.75. A standard title fee starts at $28.
3. Housing Costs
Housing costs in the Lone Star State can vary depending on your location.
- In popular cities like Houston, Fort Worth, and Dallas, the average rent ranges between $1,400 to $2,000.
- However, buying can be complex as home prices vary across the state. Make sure you find cheap houses for sale in Texas in your budget. Homes in coastal cities like Galveston have a median home price of $391K. On the other hand, the average cost of a home in inland cities like El Paso is $255K.
3 Things to Know Before Moving to Texas
Before you pack your bags for the Lone Star State, it’s essential to be aware of a few key factors that can greatly impact your experience. Here are three important things to know before moving to Texas:
1. Limited Access to Healthcare
Despite being the second-most populous state in the US, Texas faces significant challenges in healthcare accessibility. The state has the highest uninsured rate at 24.3%, which is double the national average.
This is because of the shortage of healthcare providers, particularly in rural areas, and the overall high cost of care. Many Texans, even those with insurance, find it difficult to afford necessary medical treatments.
2. Risk of Gun Violence
Texas is known for its relaxed gun laws, which make it relatively easy to purchase and carry firearms. The state has seen several major mass shootings and high rates of gun-related deaths in the last decade.
However, organizations like Texas Gun Sense work to promote gun safety and advocate for measures to reduce gun violence in the state.
3. Weather Conditions
Texas faces a variety of weather challenges. Coastal cities like Houston and Corpus Christi are often hit by hurricanes, with the highest risk during August and October. Texas is located in the infamous “Tornado Alley” which frequently experiences tornadoes.
To prepare, keep an emergency kit with food supplies, essential medicines, and important documents. For added protection, purchase hazard insurance to safeguard your property.
4 Tips for a Seamless Move to Texas
Moving to a new place can be tough. Here are some tips to help you make a smooth transition.
- Research Cities and Neighborhoods: It’s important to research the area you want to live in. You must know if your home is in the city or suburbs. Find out where the nearby schools, hospitals, coffee shops, or restaurants are.
- Find the Living Costs: Your living costs will change once you relocate to TX. Get an estimate of the basic living expenses in your desired location before visiting the locality.
- Visit the Neighborhood: Once you’ve decided where you want to live. You must visit that Texas neighborhood in person and see what you feel about the area.
- Meet Your Neighbors: Connect with your neighbors and socialize. Local Facebook groups can be the best way to meet your neighbors.
Is Moving to Texas a Good Idea?
Yes, moving to Texas is a good idea. The state continues to draw thousands of new residents yearly with its economic advantages, pleasant climate, and varied lifestyle options. Moving to Texas offers something for everyone.
Whether it’s the year-round outdoor activities, tax advantages, or reduced cost of living, plan carefully, pick a great spot, and take advantage of everything the Lone Star State has to offer.
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Frequently Asked Questions
How much would it cost to move to Texas?
The average moving cost in TX can go up to $3,418. However, this depends on the quantity you're moving and how far you're moving.
Why are so many Californians moving to Texas?
Many people are moving to Texas from California primarily due to lower cost of living and more affordable housing options. Texas also offers a favorable business climate and a growing job market, for those seeking new opportunities.
What to know before moving to Texas?
A few things to know before moving to TX include a thorough study of local ordinances and gun laws. Apart from that, Texas experiences extreme weather like hurricanes and tornadoes, so you should be prepared for that.
What are some of the good places to live in Texas?
Killeen, El Paso, and Plano are some of best places to live in Texas. El Paso is known for its culture, history, and natural beauty. Killeen is often considered an excellent place to live, work, vacation, and raise a family.
Which cities have the lowest cost of living in Texas?
Brownsville and Abilene are some of cheapest places to live in Texas. Living costs in these cities are 25% and 8% below the national average.