29 Pros & Cons of Living in California (Benefits in 2024)

California is frequently known as the Golden State.  And while beautiful and temperate, it’s not for everyone. So what are the worst aspects as well as the benefits of living in California?

  1. Beautiful weather
  2. Mild Winters
  3. Lots of Career Options
  4. Amazing National and State Parks
  5. Incredibly High Home and Rental Prices
  6. High Gas Prices
  7. Poor Air Quality
  8. A Multitude of Natural Disasters

But those are just a few of the 29 pros and cons I outline in great detail below. I lived in California for a decade in 3 different cities, both renting and owning.

In this article, we will explore 29 pros and cons of living in California that make it an attractive destination for homeowners and couples struggling with debt.

Let’s dive in!

benefits of living in Cali lg

Pros of Living in California

1. Beautiful Weather

California’s inviting climate, boasting warm and sunny weather all year round, makes it a great place to live.

Known for its warm and sunny climate, the Golden State offers a comfortable atmosphere year-round, making it an ideal place to call home. No matter the city, California’s temperatures remain consistently pleasant.

Average Temperatures Across California Cities

  • Los Angeles: With an average temperature range of 59°F – 75°F (15°C – 24°C), LA residents enjoy mild winters and warm summers.
  • San Diego: This coastal city boasts a consistent temperature range between 57°F – 72°F (14°C -22°C) all year long.
  • Southern California: The southern region experiences slightly warmer temperatures than Northern California, with averages ranging from low-60s to mid-70s Fahrenheit (16°-23° Celsius).

The beautiful weather not only makes outdoor activities more enjoyable but also contributes to lower heating costs during winter months compared to other states. Additionally, homeowners can take advantage of solar energy options due to abundant sunshine across the state.

Solar Energy Benefits in Sunny California

In recent times, many in California have taken up solar power as a main source of electricity due to cost-effective housing schemes and government assistance like tax deductions or refunds on setup costs (such as the Residential Renewable Energy Tax Credit Program).

Thanks to affordable housing initiatives and government incentives like tax credits and rebates on installation costs (Residential Renewable Energy Tax Credit Program, for example), more people are able to harness the power of California’s sunshine to reduce their energy bills and carbon footprint.

2. Amazing National and State Parks

California is home to some of the most stunning national parks in the United States, offering a diverse range of landscapes and outdoor activities for residents to enjoy. California’s national parks boast an array of awe-inspiring sights and thrilling outdoor adventures, ranging from Yosemite in the north to Joshua Tree down south.

A. Yosemite National Park

Yosemite National Park, located about 200 miles east of San Francisco, is known for its granite cliffs, waterfalls, giant sequoia groves, and abundant wildlife. Visitors can explore over 800 miles of hiking trails or take part in rock climbing adventures on famous formations like El Capitan and Half Dome.

B. Joshua Tree National Park

In contrast to Yosemite’s towering peaks, Joshua Tree National Park, situated near Palm Springs between Los Angeles and San Diego offers a unique desert landscape filled with twisted Joshua trees, rugged rock formations perfect for bouldering enthusiasts as well as stargazing opportunities due to minimal light pollution.

C. Other Notable Parks:

  • Sequoia & Kings Canyon: Home to massive sequoias including General Sherman – the largest tree on Earth by volume – these two adjacent parks are also close enough that visitors can experience both during one trip (source).
  • Death Valley: Known for its extreme heat and vast salt flats, this park is the largest national park in the contiguous United States (source).
  • Pinnacles: Featuring unique rock formations created by volcanic activity, Pinnacles National Park offers excellent hiking and bird-watching opportunities (source).

Beyond these awe-inspiring national parks, California also boasts a network of over 280 state parks. From Big Sur’s awe-inspiring coastline to Redwood State Park’s majestic trees, California offers a wealth of natural beauty for visitors and residents alike.

In addition to providing endless outdoor recreation opportunities for residents, these protected areas contribute significantly to California’s tourism industry, attracting millions of visitors each year who come seeking adventure or simply an escape from their daily lives.

3. Mild Winters

California’s mild winters are an attractive feature for those looking to avoid the harsher climates found in other parts of the United States.

Unless you live in a high-elevation area, such as the Sierra Nevada mountains or Lake Tahoe, you’ll seldom see snow and can count on sunshine even in the dead of winter. This makes it an ideal place for those who want to escape harsher climates found elsewhere in the United States.

A Break from Seasonal Affective Disorder (SAD)

The sunny weather during winter months can be especially beneficial for people who suffer from Seasonal Affective Disorder (SAD), a type of depression that occurs due to changes in seasons. The ample sunlight experienced throughout much of California helps alleviate symptoms associated with SAD and promotes overall mental well-being.

Outdoor Activities Year-Round

Mild winters also mean that residents have access to outdoor activities all year long. From hiking and biking trails along the coastlines near cities like San Diego and Los Angeles, to exploring beautiful state parks such as Big Sur or Redwood National Park, there’s always something fun and active to do outdoors no matter what time of year it is.

  • Hiking: Take advantage of numerous trails across California, including popular spots like Runyon Canyon Park in Los Angeles or Mount Tamalpais State Park near San Francisco.
  • Surfing: Catch some waves at iconic surf spots like Huntington Beach or Malibu, where the water temperature remains relatively mild even during winter months.
  • Skiing and Snowboarding: For those who still crave a taste of winter sports, head to resorts in Lake Tahoe or Mammoth Mountain for world-class skiing and snowboarding opportunities.

In addition to these activities, California’s mild winters also make it possible for residents to maintain beautiful gardens year-round. Residents of California can savor healthy diets all year round, with plenty of fresh produce from nearby farmers markets and grocery stores.

Affordable Winter Travel in California

For a cost-effective getaway, take advantage of the plethora of winter activities and attractions California has to offer.

4. Lots of Career Options

California is a great place to reside and pursue one’s professional aspirations, with plentiful job prospects available for people of diverse backgrounds.

California is a leader in various industries, including tech, entertainment, and agriculture, making it an ideal place to live and work.

Tech Industry in Silicon Valley

Silicon Valley, located in the San Francisco Bay Area, is globally renowned as a hub for innovation and technology.

Home to tech giants like Apple, Google, Facebook, and Tesla – just to name a few – there are countless job openings available across various fields such as software development, data analysis, marketing and sales.

Hollywood: The Entertainment Capital

Los Angeles, also known as Hollywood or Tinseltown due to its strong association with the film industry has been attracting aspiring actors/actresses along with professionals working behind-the-scenes roles such as screenwriters or producers for decades now.

However, it isn’t limited only to movies but also television shows being produced here on regular basis thus providing numerous employment options within this sector too.

Agriculture Opportunities in Central Valley

  • Farming: California’s fertile Central Valley region produces more than half of America’s fruits & vegetables which creates ample jobs related directly or indirectly through farming activities especially during harvest seasons when extra hands are required at farms spread throughout this area;
  • Viticulture: The state is also known for its beautiful wine country, with regions like Napa and Sonoma being popular destinations. This industry offers jobs in winemaking, vineyard management, and tourism;
  • Dairy: California leads the nation in milk production as well which opens up opportunities within dairy farming too.

Apart from these main industries, there are numerous other fields providing job openings such as healthcare, teaching, construction, and more. For those with expertise and an eye for a new challenge, California provides an abundance of career opportunities.

5. Resident Prices at Disneyland

One of the many perks of living in California is having easy access to some of the most famous theme parks in the world, such as Disneyland, located in Anaheim near Los Angeles.

As a resident with a valid California driver’s license, you can enjoy exclusive discounts on tickets and annual passes for these iconic attractions.

Affordable Fun for Californians

Californians can benefit from special offers and promotions that are not available to non-residents, allowing them to experience discounted rates on multi-day tickets or seasonal events.

For example, Disneyland often provides discounted rates on multi-day tickets or seasonal events like Halloween and Christmas celebrations exclusively for locals.

This means more affordable fun for homeowners and couples struggling with debt who still want to create unforgettable memories with their loved ones.

Southern California Attractions Galore

Besides Disneyland, Southern California boasts other major attractions such as Universal Studios Hollywood, Six Flags Magic Mountain, and SeaWorld San Diego.

Local inhabitants can take advantage of exclusive offers and cost savings to appreciate the abundant opportunities that this area provides without having to spend a fortune.

Annual Pass Benefits: More Than Just Admission.

  • Savings: Annual pass holders typically receive significant savings compared to purchasing individual day tickets throughout the year.
  • Parking: Some annual passes include free or discounted parking, making your visits even more convenient and budget-friendly.
  • Discounts on Food & Merchandise: As an annual pass holder, you may also enjoy discounts at select dining locations and retail stores within the theme parks.
  • Exclusive Events & Previews: Annual pass holders are often invited to attend special events, previews of new attractions, or other exclusive experiences that are not available to regular park guests.

6. Frequent Celebrity Sightings

Living in California can offer a chance to get up close and personal with the stars.

From Los Angeles to San Francisco, celebrities are everywhere and can be spotted frequently. Whether it’s catching a glimpse of your favorite movie star at a local cafe or running into an A-list musician while shopping for groceries, there’s no shortage of opportunities for celebrity sightings in the Golden State.

Famous Neighborhoods and Hotspots

In Southern California, areas like Beverly Hills, Malibu, and Hollywood are known for their high concentration of celebrity residents.

Meanwhile, up north in San Francisco, neighborhoods such as Pacific Heights and Nob Hill attract well-known figures from various industries. Additionally, popular hotspots like trendy restaurants or exclusive clubs often draw in big names looking to enjoy some downtime.

Celebrity Events Throughout the Year

Besides everyday encounters with stars around town, California is also home to numerous events where you’re likely to see celebrities walking down red carpets or attending premieres.

The annual Academy Awards (Oscars), held at Los Angeles’ Dolby Theatre, serves as one example among many others. You’ll find film festivals like the San Francisco International Film Festival and the Palm Springs International Film Festival, which draw in movie stars from around the world.

Tips for Respectful Celebrity Sightings

  • Be respectful: Remember that celebrities are people too, and they deserve their privacy. Avoid invading their personal space or causing a scene if you happen to spot one.
  • Keep your distance: If you see a celebrity out in public, it’s best to admire them from afar rather than approaching them directly. Respect their privacy and give them some space – they could be trying to have a good time with those closest to them.
  • No paparazzi behavior: Refrain from taking photos without permission, as this can be invasive and disrespectful. Instead, enjoy the moment of seeing someone famous in person.

7. 5th Largest Gross Domestic Product in the World

California’s economy is a powerhouse, ranking as the 5th largest GDP in the world.

This implies that there are a great deal of economic possibilities available to both locals and businesses. California’s economy offers a variety of industries, from agriculture to technology, making it an ideal place for job seekers and entrepreneurs.

A Hub for Tech Companies and Startups

Silicon Valley, located in Northern California near San Francisco, is home to some of the biggest tech companies such as Apple, Google, Facebook, and Tesla.

Additionally, Los Angeles has become a hotbed for startups thanks to its growing tech scene known as “Silicon Beach.”

With these thriving hubs at your doorstep when living in California, you’ll have access to numerous career options within cutting-edge industries.

#1 Access to Venture Capital Funding

If you’re an entrepreneur or startup founder looking for funding opportunities, California ranks #1 in access to venture capital (VC) funding within the United States.

According to PwC MoneyTree Report, VC investments reached over $156 billion across all sectors during 2023 alone.

This makes it easier than ever before for innovative ideas and projects based out of California to get off the ground running with the necessary financial support they need to succeed long term.

Diverse Industries Provide Numerous Career Opportunities

  • Film & Entertainment: Los Angeles is the entertainment capital of the world, with Hollywood at its core. This industry offers an array of vocations for actors, directors, producers, and more.
  • Agriculture: California’s Central Valley produces over half of the United States’ fruits and vegetables. The agriculture sector provides jobs in farming, food processing, distribution, and more.
  • Tourism & Hospitality: With popular destinations like San Francisco, Los Angeles, San Diego, Napa Valley wine country, and national parks such as Yosemite or Sequoia National Park – tourism plays a significant role economy providing ample career options within hospitality service industries including hotels restaurants theme parks among others.

8. Excellent Colleges and Universities

California is renowned for its stunning scenery and lively cities, as well as the many prestigious colleges and universities within its borders.

With 23 campuses, the state is home to the largest public university system in the nation: California State University. The University of California system is another state system with prestigious campuses such as UCLA and UC Berkeley, among others.

In addition to these well-known public institutions, California has a few elite private universities that are highly ranked nationally.

For example, Stanford University currently ranks #6 among the top private institutions in the country according to U.S News & World Report’s rankings. Another notable institution is the University of Southern California (USC), which ranks at #27 nationally.

  • The University of California System: This renowned public university system includes ten campuses across the state, offering a wide range of academic programs from undergraduate degrees to doctoral research opportunities.
    • Berkeley
    • Davis
    • Irvine
  • The California State University System: As mentioned earlier, this massive network comprises 23 campuses throughout the Golden State. 
  • Private Institutions: In addition to Stanford and USC, California is home to several other highly respected private universities such as Pepperdine University, University of San Diego, and Santa Clara University
  • Community Colleges: For those looking for a more affordable option or seeking vocational training, the state has over 100 community colleges that offer diverse programs in various fields. 

9. Beautiful Wine Country

California’s picturesque scenery and temperate climate make it an ideal location for some of the world’s most renowned wine regions, such as Napa Valley and Sonoma County.

Vineyards and wineries throughout California, from Napa Valley to Sonoma County, are renowned for crafting exceptional wines.

A Variety of Wines to Savor

The diverse climate and geography across California allow for an extensive range of grape varietals to thrive.

This means wine enthusiasts can enjoy everything from bold Cabernet Sauvignons in Napa Valley to crisp Chardonnays in Santa Barbara or even unique blends from smaller boutique wineries scattered across various wine regions.

Touring Vineyards and Wineries

If you’re living in California, visiting these picturesque vineyards becomes an easy weekend getaway or day trip.

Many wineries offer guided tours where visitors can learn about the wine-making process, sample their offerings, and even participate in blending sessions or harvest events during peak seasons.

  • Napa Valley: Home to over 400 wineries including iconic names like Robert Mondavi Winery and Opus One, this region is known for producing high-quality Cabernet Sauvignon wines. Check out this list of top Napa Valley wineries.
  • Sonoma County: With more than 425 wineries, Sonoma County offers a more laid-back wine-tasting experience compared to its neighbor Napa Valley. Don’t miss the opportunity to visit iconic wineries like Kendall-Jackson and Francis Ford Coppola Winery.
  • Santa Barbara: Known for producing excellent Chardonnay and Pinot Noir wines, Santa Barbara’s wine country features beautiful vineyards along the Pacific Ocean. Discover the renowned wineries of Santa Barbara with this list of top local vineyards.

In addition to these well-known regions, California also has many hidden gems when it comes to wine production. From Paso Robles in Central Coast California to Temecula Valley in Southern California, there are countless opportunities for residents to explore new flavors and expand their palates.

A Thriving Wine Culture

Living in California means you’ll be surrounded by a thriving wine culture that extends beyond just visiting vineyards.

The state is home to numerous annual events such as the famous Napa Valley Film Festival, which combines film screenings with exclusive tastings from local winemakers.

Additionally, cities like San Francisco and Los Angeles host various food and wine festivals throughout the year where attendees can sample dishes from top chefs paired with exceptional Californian wines.

No matter where you reside within this vast state, living in California ensures easy access to not only breathtaking landscapes but also an incredible array of world-class wines waiting for you at your doorstep.

10. High Levels of Renewable Energy Resources

California is leading the way in renewable energy, having reached an impressive 95% renewable energy usage. The Golden State’s commitment to clean and sustainable power sources has made it a frontrunner in the race toward a greener future.

In fact, California currently converts more solar, geothermal, and biomass energy to electricity than any other state in the United States.

Ambitious Goals for a Greener Future

The state has set an ambitious goal of achieving 100% renewable energy by 2045.

This target demonstrates California’s dedication to reducing its carbon footprint and combating climate change on both local and global scales.

As homeowners or potential residents considering San Francisco, Los Angeles, or anywhere else within this environmentally conscious state, you can take pride in knowing that your community is working towards creating a cleaner planet for future generations.

Solar Power: A Shining Example

Solar power plays a significant role in California’s push for green energy solutions.

With abundant sunshine throughout most parts of the year – especially across southern California – harnessing solar power makes perfect sense here.

According to recent data from the Solar Energy Industries Association (SEIA), there are over 1 million solar installations statewide, making it one of America’s top producers of solar-generated electricity.

Taking Advantage as Homeowners:

  • Lower Energy Bills: Installing solar panels on your home can significantly reduce your monthly energy bills, providing long-term savings.
  • Tax Credits and Incentives: Homeowners who install solar panels are eligible for federal tax credits and various state incentives, making the initial investment more affordable.
  • Increase Property Value: Solar-powered homes often have higher property values compared to similar non-solar homes. This could be a major advantage when attempting to maximize the return on investment of your home.

11. Plenty of Water Sports

California is a great place for water sports.

With 840 miles of coastline along the Pacific Ocean, there are plenty of opportunities to enjoy the beach. Surfing is a popular activity in California, with many beaches offering great waves for experienced and novice surfers alike.

Boating is also popular, with many marinas and boat launches available along the coast.

Fishing is also a popular activity in California, with many species of fish available to catch. For those who just want to relax and feel the ocean breezes, there are plenty of beaches to choose from.

Whether you’re looking for an adrenaline rush or just want to relax and take in the scenery, California has something for everyone when it comes to water sports. From kayaking and paddle boarding to jet skiing and parasailing, there’s something for everyone in California’s 840 miles of coastline.

12. Nearby Snow Skiing

Snow skiing is a great way to enjoy the winter season.

Living in California, you are close to some of the best ski areas in the country. Lake Tahoe is one of the most popular ski destinations in California, and it offers a variety of terrain for all levels of skiers.

The lake is surrounded by several ski resorts, including Squaw Valley, Alpine Meadows, and Northstar. These resorts offer a variety of runs for all levels of skiers, from beginner to expert.

In addition to Lake Tahoe, there are also several other ski areas located throughout California. Mammoth Mountain is one of the most popular ski destinations in the state and offers a variety of terrain for all levels of skiers.

Other popular ski areas include Big Bear Mountain Resort and Bear Valley Ski Resort. For those looking for an even bigger challenge, Utah is just a short drive away and offers some of the best skiing in the country.

Utah has several world-class resorts such as Park City Mountain Resort and Snowbird Ski & Summer Resort that offer a variety of terrain for all levels of skiers.

13. Mexican Cultural Heritage

California is home to a vibrant Latin heritage, with influences from Mexico being particularly strong.

Mexican food is a staple of the state’s cuisine, with dishes like tacos, burritos, and enchiladas being widely available. Music from Mexico is also popular in California, with genres like mariachi and norteño being heard in many places.

Art from Mexico can be seen in galleries and museums across the state, as well as on murals and other public art displays.

The historical missions of California are also a testament to the influence of Mexican culture.

The first mission was founded by Father Junipero Serra in 1769 at San Diego de Alcala. This mission was followed by many others throughout the state, including San Carlos Borromeo de Carmelo near Monterey and San Francisco de Asis near San Francisco.

These missions were built by Spanish settlers who had come to California from Mexico and brought their culture with them.

Mexican culture has also been preserved through traditional festivals such as Cinco de Mayo and Dia de los Muertos.

These celebrations are held throughout California to honor Mexican heritage and traditions. Additionally, there are many cultural centers dedicated to preserving Mexican culture in California, such as the Mexican Heritage Plaza in San Jose or the Centro Cultural de la Raza in San Diego.

14. Tons of Natural and Organic Foods

California is a leader in the natural and organic food movement.

With its vast farms in the Central Valley, California is one of the fresh food capitals of the world. The Central Valley is home to some of the most productive agricultural land in the United States, producing a variety of fruits, vegetables, nuts, and grains.

This abundance of fresh produce has made California a leader in natural and organic foods.

The natural and organic food movement has been embraced by many Californians who are passionate about eating healthy and supporting local farmers.

Farmers markets are popular throughout California, offering locally grown produce that is often certified organic or grown using sustainable farming practices. Many grocery stores also carry a wide selection of natural and organic foods from local farms.

The popularity of natural and organic foods in California has led to an increase in demand for these products from other states as well as other countries around the world.

15. Tons of Fresh and Sustainable Seafood

California is one of the world’s premier seafood capitals, boasting an abundance of fresh and sustainable seafood.

From the Pacific Coast to the Central Valley, California offers a wide variety of seafood options. From Dungeness crab to wild salmon, California has something for everyone.

The Monterey Bay Aquarium is a leader in sustainable seafood practices. They work with retailers, consumers, fishermen, and government organizations to educate and ensure that our oceans do not get depleted of fish.

In addition, the aquarium has developed a Seafood Watch program that helps consumers make informed decisions about which seafood products are sustainably sourced.

California also has numerous aquaculture farms that raise fish and shellfish in a controlled environment, ensuring that they are raised in a healthy and sustainable manner.

With so many fresh and sustainable seafood options available in California, it’s no wonder why it is one of the world’s premier seafood capitals.

16. Thriving Foodie Scene and Great Restaurants

California is a foodie paradise, and it has more than its share of some of the best restaurants I’ve ever eaten at.

From Michelin-starred establishments to hole-in-the-wall eateries, there’s something for everyone. Celebrity chefs like Richard Blais, Nancy Oakes, Alice Waters, and Thomas Keller have all made their mark on the California food scene.

Top Chef alumni Richard Blais is known for his innovative approach to cooking and his use of modern techniques.

He has opened several restaurants in California, including Juniper & Ivy in San Diego and The Crack Shack in Los Angeles. Nancy Oakes is a James Beard Award-winning chef who has been at the helm of San Francisco’s Boulevard restaurant since 1993.

Alice Waters is a pioneer of the farm-to-table movement and her restaurant Chez Panisse has been a Bay Area staple since 1971. Thomas Keller is one of the most acclaimed chefs in the world and his Napa Valley restaurant The French Laundry has earned three Michelin stars.

California’s food scene also includes an abundance of ethnic cuisine from around the world.

From Mexican taquerias to Japanese sushi bars, there are countless options for those looking to explore different flavors and cultures.

There are also plenty of vegan and vegetarian restaurants such as Millennium Restaurant (now in Oakland but originally in San Francisco). I still have my 25-year-old cookbook from Millennium which was my first time dining at a 5-star fine dining restaurant that just happened to be vegan.

No matter what type of cuisine you’re looking for, California has something for everyone.

Cons of Living in California

1. High Cost of Living

Despite its many attractions, California is renowned for its exorbitant cost of living.

Despite its many attractions, California is notorious for its exorbitant cost of living. The price of living in California is exceptionally steep, with high costs for housing, transportation, and essential items like groceries.

With costs like California has, it’s no surprise many have added a side hustle to boost their income.

Not sure what to do on the side? Luckily, in a recent article, I detail not one, but 53 different (and totally legit) ways to make extra money! I even cover what I do that went from side hustle to a mid-6-figure full-time gig!

Just click that link to read it on my site.

Housing Costs

The housing market in California is notoriously pricey compared to other states. In fact, according to Zillow’s data from September 2023, the median home value in California was $704K while the national average was only around $303K during that same period.

More on this specifically below.

Transportation Expenses

Beyond housing costs, transportation expenses are another major component of California’s high cost of living.

Those include higher gas prices than the national average due to additional taxes imposed on gasoline sales by both federal and state governments as well as more expensive public transit fares compared with similar systems across America.

Additionally, public transit fares (like BART) are more expensive when compared with similar systems across America.

Daily Necessities: Groceries & Utilities

Groceries and utilities are also more expensive in California compared to other states. In California, groceries and utilities can cost 12-15% more than the national average.

Overall, living in California comes with a large price tag due to its high cost of living.

And while salaries are higher than in other parts of the country, housing expenses and daily necessities like groceries and transportation costs, are still higher as a percentage of that income.

As a result, residents often struggle financially or make significant sacrifices just to call this beautiful state their home.

Living in California can be expensive, putting a strain on homeowners and couples who are already dealing with financial difficulties. Taxes are also an issue that Californians must face when considering the costs associated with owning property or earning income within the state.

2. High Taxes

Inhabiting California involves shouldering the responsibility of shelling out some of the most elevated taxes in America.

The Golden State is notorious for its high income tax, sales tax, and property tax rates. These taxes can take a significant chunk out of your paycheck and make it difficult to save money or invest in other areas.

Income Tax Rates

In California, income tax rates range from 1% to 9.3% for most taxpayers, but those earning over $1 million per year are subject to an additional mental health services surcharge that brings their top marginal rate up to 13.3%.

California’s income tax rate is one of the highest in the nation.

Sales Tax Rates

The statewide base sales tax rate is currently set at 7.25%, which includes a mandatory local rate of 1%.

However, many cities and counties add on their own local sales taxes, pushing total sales tax rates even higher sometimes exceeding 10%.

  • Los Angeles: Sales tax rate is currently at 9.5%
  • San Francisco: Sales tax rate stands at 8.5%
  • Sacramento: A slightly lower sales tax rate of 8.75%

Property Tax Rates

The average effective property tax rate in California is 0.73%, which may seem relatively low compared to other states. Despite the seemingly low rate, homeowners in California still pay a hefty amount of money each year due to high property values.

For example, if you own a home worth $800,000 (which is not uncommon in California), your annual property taxes would be around $5,840 and that’s before considering any additional local levies or special assessments.

High property taxes in California can make it hard for many people to get ahead financially, despite them helping fund necessary services like healthcare and education.

When thinking of relocating to California or dealing with debt/saving for retirement in the state, it’s crucial to factor in these tax rates when strategizing your monetary future.

Many inhabitants of California are weighed down by the hefty taxation, making it hard for them to set aside funds and progress. Fortunately, another challenge Californians must address is the problem of traffic congestion.

3. Traffic Congestion

Living in California, by definition, means bad traffic. That’s especially true in large cities such as Los Angeles and San Francisco.

I literally used to live 6 miles from where I worked in San Francisco but had to allow an hour and 15 minutes to get to work on time.

The state’s population expansion and sprawling urban development have caused blockages on highways, extended trips, and augmented air contamination.

  • Rush Hour: During peak hours, travel times can easily double or even triple on some of the busiest freeways. Morning rush hour usually kicks off around 6 and persists until 10, while the evening congestion typically commences at 4 and continues to 7.
  • Parking Woes: In addition to heavy traffic on the roads, finding parking in densely populated areas can be a nightmare. Limited street parking combined with expensive garage fees often leaves drivers circling for extended periods just to find a spot.
  • Limited Public Transportation Options: While public transportation does exist in California’s major cities, it may not always be convenient or efficient enough to replace driving entirely. For example, Los Angeles’ sprawling layout makes it difficult for its Metro system to serve all areas effectively.

To combat these issues, many Californians are turning towards alternative modes of transportation such as biking or carpooling.

Cities like San Francisco have invested heavily in their bike infrastructure by adding more protected bike lanes (Better Market Street Project) and bike-sharing programs like Bay Wheels.

Additionally, the state has been working on expanding its public transportation options with projects such as the California High-Speed Rail to connect major cities more efficiently.

Despite these efforts, traffic congestion remains a significant concern for California residents. If you’re planning to move to California, be aware that despite the state’s efforts in public transportation expansion, traffic congestion is still a major issue.

4. Poor Air Quality

California’s large population and industrial activity have led to serious air pollution issues.

Residents of California cities can suffer from poor health and diminished quality of life due to the region’s air pollution levels, which are among the worst in the nation according to annual reports.

Air Pollution Rankings

The 2022 State of the Air report from the American Lung Association showed that California cities are consistently among those with the worst air quality.

In their 2023 report, seven out of ten metropolitan areas with the highest ozone levels were located in California:

  1. Los Angeles-Long Beach (CA)
  2. Bakersfield (CA)
  3. Fresno-Madera-Hanford (CA)

Negative Health Effects

The study by USC researchers found that exposure to high levels of air pollution increases the risk of developing asthma in children.

According to a study by the University of Southern California, children living in highly polluted areas are more likely to develop asthma than kids living in other cities with better air quality.

Action Steps for Improvement

Despite these alarming statistics, there are efforts being made towards improving California’s air quality situation. For example:

  • The state has implemented strict vehicle emissions standards that aim to reduce greenhouse gas emissions from cars and trucks.
  • To reduce its dependence on fossil fuels, California has been leading the charge for renewable energy sources such as solar and wind power.
  • Residents can do their part by using public transportation or carpooling, conserving energy at home, and supporting policies that promote clean air initiatives.

5. Earthquakes

California is located on the Pacific Ring of Fire, making it prone to earthquakes and other natural disasters.

The state’s position along this tectonic boundary means that it experiences frequent seismic activity, which can lead to property damage, injuries, and even fatalities.

A Brief Overview of California’s Seismic Activity

The Golden State is home to numerous fault lines, including the infamous San Andreas Fault.

This fault system stretches for over 800 miles (1,300 kilometers) through California and has been responsible for some of the most devastating earthquakes in history.

For example, the 1906 San Francisco earthquake caused widespread destruction throughout the city and resulted in an estimated 3,000 deaths.

Potential Risks Associated with Earthquakes in California

  • Property Damage: Earthquakes can cause significant damage to buildings and infrastructure. A study by CoreLogic recently discovered that a huge amount of homes in California are vulnerable to destruction due to earthquakes.
  • Injuries or Fatalities: Strong tremors have the potential to injure or kill residents who may be caught off guard during an event.
  • Economic Impact: The cost of rebuilding after a major earthquake can be astronomical – not just for individual homeowners but also for entire communities and local economies.
  • Limited Insurance Coverage: Although earthquake insurance is available in California, many homeowners opt not to purchase it due to its high cost. This leaves them vulnerable to financial ruin should a significant event occur.

Preparing for Earthquakes in California

If you’re considering living in California, it’s essential to be prepared for the possibility of earthquakes. Some steps you can take include:

  1. Educating yourself and your family about what to do before, during, and after an earthquake.
  2. Making sure that your home is properly constructed and adheres to the most recent building codes.
  3. Purchasing or updating an emergency supplies kit including food, water, first aid items, and other essentials so that you’re ready if disaster strikes.
  4. Consider earthquake insurance and see if the cost and limitations make sense for your situation and budget.

Ever wondered about being at Disneyland during an Earthquake?

Surely old Walt thought of every contingency, right? Check out a recent article where I detail the EXACT earthquake preparedness plans Disneyland has and can put in place at the first sign of trouble. I even cover what happens if you’re in the middle of a ride when the quake starts.

Just click that link to read it on my site.

6. Questionable Quality of the Public Schools

Californians are troubled by the quality of their public schools.

A recent survey from WalletHub revealed that California’s public schools rank 41st out of 50 states and Washington D.C., due in part to a greater number of students per teacher than other places, as well as an uptick in reports by high schoolers about dangers and harm experienced at school.

High Teacher-to-Student Ratios

California has a much higher-than-average teacher-to-student ratio, meaning there are more students per teacher compared to other states. This lack of one-on-one attention, and inability of some teachers to control their classrooms naturally negatively impacts the quality of the education.

A higher ratio can lead to less individualized attention for each student, potentially affecting their academic performance. According to the National Education Association (NEA), California has a student-to-teacher ratio of about 22:1, while the national average is just 16:1.

Increase in Reported Threats and Injuries Among High School Students

Besides the overcrowded classrooms, another alarming issue within California’s public school system is the increase in reported threats and injuries among high school students.

The National Center for Education Statistics (NCES) reports that nearly 10% of California’s high schoolers experienced incidents involving violence or bullying during the academic year – significantly higher than most other states.

  • Safety concerns: Parents may worry about sending their children to schools with high rates of violence and bullying, which can affect the overall learning environment.
  • Impact on mental health: Exposure to threats and injuries can lead to increased stress, anxiety, and depression among students – further hindering their academic performance.

Parents should be aware of the issues facing California’s public school system and investigate various districts before settling on a location.

Websites like GreatSchools provide valuable information about individual schools’ performance metrics and reviews from other parents. Additionally, considering alternative education options such as private schools or homeschooling may be worth exploring for families living in areas with low-performing public schools.

7. Frequent Wildfires

One of the key drawbacks of residing in California is that wildfires happen frequently, with a range of contributing elements.

A primary reason for these devastating fires is the lack of water in the ground, leading to dry brush and debris that easily ignite and spread flames over large distances.

My brother and his kids live up in the mountains outside of Sacramento and have had wildfires come dangerously close to their house. And even when their house isn’t directly threatened, the air quality gets horrendous from all the smoke.

According to the National Integrated Drought Information System (NIDIS), California experienced its longest duration of drought from December 2011 to March 2023, lasting a staggering 376 weeks.

In addition to this extended period of drought, 2023 was recorded as the driest year in California’s history since government monitoring began 128 years ago. This severe lack of rainfall has created an environment where wildfires are more likely and harder to control once they start.

  • Dry conditions: The ongoing droughts have led to parched landscapes with increased amounts of flammable vegetation.
  • Climate change: Rising temperatures due to climate change exacerbate these dry conditions by increasing evaporation rates and reducing snowpack levels that provide crucial water resources during warmer months.
  • Housing development near wildlands: As housing prices continue rising throughout California, more people are moving into areas bordering wildlands – places at higher risk for wildfires due to their proximity to natural fuel sources like forests or grasslands.

The consequences brought on by these fires can be catastrophic not only for homeowners but also for wildlife habitats and air quality across the state.

For example, according to CNN, the 2023 wildfire season in California broke records with over 2.5 million acres burned, causing billions of dollars in damages and displacing thousands of residents.

While living in California offers many benefits, it’s essential to weigh the risks associated with frequent wildfires when considering relocating or purchasing a home within the state.

Homeowners should take necessary precautions like creating defensible space around their property and staying informed about local fire conditions through resources such as Ready for Wildfire.

8. Impossibly High Home Prices

California is notorious for sky-high home prices.

This can make it difficult for many people to afford to buy a house in the state. In some of the largest cities such as San Francisco, Los Angeles, and San Diego, home prices are significantly higher than in other parts of California.

San Francisco

The median home price in San Francisco is currently about $1.4 million, making it one of the most expensive housing markets in America.

Los Angeles

In Los Angeles, median home prices average around $756,000 – still significantly higher than what you’d find elsewhere in America.

San Diego

If you’re considering living near beautiful beaches and year-round sunshine without leaving California behind entirely look no further than sunny San Diego.

To put things into perspective: Median home prices are 239 times higher compared to the national average.

That being said, there are a few select areas where home prices are still somewhat reasonable!

Check out all 21 of the most affordable cities in California. I cover mortgages, rentals, the overall cost of living, and other perks of living in those cities.

Just click that link to read it on my site.

9. Homelessness

Living in California is a tale of extremes; extreme wealth and extreme poverty.

Alongside million-dollar homes, you’ll find tent cities and folks living in doorways and streets. The homelessness crisis has become an unfortunate reality for many residents across the state.

Los Angeles: A City Struggling with Homelessness

Los Angeles consistently ranks as one of the worst cities in America for homelessness.

It’s true; you can’t live in LA without seeing the detrimental effects of homelessness around you. Rent costs soaring, a scarcity of inexpensive housing choices, and inadequate support systems have resulted in thousands having to make do without proper shelter.

San Francisco: High Cost of Living Leads to Increased Homelessness

San Francisco has one of the largest homeless populations in the country, a consequence of its high cost of living, limited affordable housing options, and year-round temperate weather.

The high cost of living makes it nearly impossible for low-income individuals or families to secure stable housing. As a result, many people are forced into temporary shelters or makeshift camps throughout San Francisco.

San Diego: Another City Facing a Growing Homeless Crisis

San Diego, too, is among the cities with a sizeable homeless population.

Similar to Los Angeles and San Francisco, San Diego struggles with providing adequate resources such as shelter beds and mental health services while grappling with rising housing costs. This has caused an increase in the number of individuals residing on the streets or relying on short-term shelters.

Overall, homelessness is a complex and multifaceted issue that affects many Californians daily.

The high cost of living, coupled with insufficient support systems for those in need, continues to exacerbate this crisis across the state. Before relocating to California, potential residents should be cognizant of the state’s homelessness crisis and its effect on the quality of life.

10. Rents Are Almost as Bad as Home Prices

In fact, apartment rentals in California are some of the most costly in the country, specifically 50% higher than the nation’s average.

The high cost of apartment rentals in California is attributed to the limited housing supply, strong demand from job seekers and new residents, as well as increased construction costs.

To give you a better idea of how expensive renting can be in California compared to other states, let’s take a look at some numbers:

  • Zumper National Rent Report: According to this report, San Francisco has the highest median rent for a one-bedroom apartment at $3,040 per month followed by New York City ($2,850) and Boston ($2,340).
  • Apartment List Rentonomics Data: This company reveals that Los Angeles ranks fourth nationwide with an average monthly rental price for a one-bedroom apartment at $1,960.
  • Rent Jungle Average Rent Trends: San Diego isn’t far behind either; its current average monthly rent stands at around $1,800-$1,900 for a one-bedroom unit.

The expensive rental fees in California are a burden not only for those living alone or with a partner but also for families searching for larger dwellings.

Two-bedroom units in San Francisco can be as expensive as $4,000 per month, with three bedrooms costing upwards of $5,500.

11. Mudslides

Mudslides are a common problem in California due to the state’s geography and climate.

They occur when heavy rains cause the soil to become saturated, leading to a landslide of mud and debris. Mudslides can occur anywhere in California, but they are most common in areas with steep slopes and loose soils, such as coastal hillsides.

They can also occur during periods of drought when vegetation is sparse and the soil is dry and easily eroded.

Mudslides typically occur during the winter months when heavy rains are more frequent.

They can also be triggered by earthquakes or other seismic activity that causes landslides. Mudslides can be very destructive, causing damage to homes, roads, bridges, and other infrastructure. In some cases, mudslides can even cause fatalities.

Mudslides are a frequent problem in California due to their geography and climate.

The state experiences an average of about 20 mudslide events each year, with some years having more than 40 events reported. The most severe mudslide events tend to occur during periods of heavy rainfall or after earthquakes or other seismic activity that causes landslides.

12. Horribly High Gas Prices

Gas prices tend to be higher than the national average due partly because they have additional taxes imposed on gasoline sales by both federal and state governments (source).

A significant portion of the cost of a gallon of gas is due to taxes, which can be as high as 50 cents per gallon. Additionally, California‘s environmental regulations require a unique blend of gasoline, which limits supply and drives up prices at the pump.

Generally speaking, California’s gas prices are 39% higher than the national average.

13. Public Transportation Is Poor

California’s public transportation system is often seen as inefficient despite the large amounts of tax dollars being spent on various systems in all the big cities.

The cost to consumers is often high.

When I lived in Oakland and worked in San Francisco, taking the BART (subway) and then moving to a bus to get to work took longer and cost more than if I drove my car.

Additionally, many of these systems are not used frequently due to their limited routes and schedules.

This means that many people are unable to use public transportation as a viable option for their daily commute. Furthermore, many of these systems are outdated and lack modern amenities such as Wi-Fi or charging ports.

This makes them less attractive to potential riders who may be looking for a more comfortable experience.

Additionally, some of these systems have been criticized for their lack of safety measures, which can make them unappealing to those who may be concerned about their safety while using public transportation.

Pros and Cons of Living in California


Living in California has its advantages and disadvantages, but with 29 pros and cons of living here, there’s a lot to consider before you choose the Golden State as your home.

From mild winters and beautiful beaches to high levels of renewable energy resources and frequent celebrity sightings – there is something for everyone.

California is a great spot to experience an invigorating break from the every day and offers numerous chances for making life worth living, whether you’re looking for somewhere ideal to start a family or just seeking some R&R.

Take advantage of the many benefits California has to offer and make sure you’re making smart financial decisions for a secure future. Make use of our resources today and start planning your money management strategy now!

Image by PeterBowers from Pixabay Image by David Mark from Pixabay and Image by David Mark from Pixabay

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