A move from San Francisco to Austin with the same six-figure salary and no state income tax sounds like the sort of upgrade that should make a family feel instantly "richer." For one couple earning $210,000, the numbers told a different story. Their spreadsheet confused them enough to take the question to Reddit: "Relocation to Texas looks richer at first. Our math says break even. What are we missing?"
In the MiddleClassFinance subreddit, the couple laid out the details. They rent for $3,200, pay $2,050 for daycare for two young children, and cover the usual costs of groceries, utilities, car insurance, gas and health premiums. After federal and state withholding—and each spouse contributing 10% to a 401(k)—their take-home pay lands around $8,000 a month. As several Redditors pointed out, those numbers look surprisingly modest for the Bay Area, especially the rent and childcare costs.
The Austin opportunity keeps the couple with the same employer. Base pay would rise slightly to $215,000, with a target bonus and a $12,000 relocation payment. The biggest draw is Texas' lack of state income tax. But the couple wants to buy immediately instead of renting again.
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Their Redfin searches pointed to a "starter newish house" around $650,000. With 10% down at a 6.9% rate, they estimate principal and interest just under $3,850. Travis County property tax at roughly 2.1% adds more than $1,100 a month, and insurance quotes near $270 reflect local hail risk. A small HOA fee brings housing costs to about $5,318 before utilities.
Childcare in Austin appears cheaper, with quotes between $1,500 and $1,700 for both kids once the four-year-old moves into a lower-cost pre-K spot. That puts housing and childcare near $6,900 a month. After adding utilities and normal day-to-day expenses, their projected Austin budget would reach roughly $10,200 monthly—higher than their current California life.
The annual comparison doesn't offer much relief. They'd save nearly $10,000 by avoiding California's income tax, but Texas property taxes on a $650,000 home approach $13,600 a year. Insurance is higher. Utilities are projected to climb by at least $1,200 annually. Driving costs increase with longer commutes. Austin daycare becomes cheaper over time, and they avoid Bay Area rent inflation, but the overall trade still trends sideways.
Their expectations weren't unreasonable. Recent Zillow data shows San Francisco's typical home values sitting above $1.2 million, while Austin's median is just under $500,000. Cost-of-living comparisons often show San Francisco more than 40% higher than Austin once housing is normalized. On paper, leaving a seven-figure housing market for a mid-six-figure one looks like free financial breathing room.
Redditors quickly explained why this couple's situation breaks the pattern. "You're comparing renting in California to buying in Texas," one user wrote, calling it an apples-to-oranges calculation.
Others echoed that their current rent of $3,200 is an unusually strong deal, and replacing it might be harder than they realize. Texans chimed in with their own warnings, from steep electric bills to special taxing districts that push property rates well above 2%.
One Dallas commenter wrote, "Texas will kill you with property taxes and utilities bills," adding that even a small apartment regularly hit $300 for electricity.
Many recommended renting in Austin for a year before committing, arguing that local traffic, weather and neighborhood differences can't be understood from afar. Others focused on long-term career mobility, noting that if the couple works in tech, leadership roles are still more concentrated in the Bay Area.
If a big move feels too permanent, there's also a way to ease into real estate without committing to a full mortgage or learning a brand-new tax system overnight. Platforms like Arrived let people buy small shares of rental homes in any city for as little as $100, giving them a way to build real-estate exposure without relocating, dealing with maintenance or taking on a local property-tax bill. It's a simple way to test the waters while bigger decisions stay on hold.
Ultimately, as one user summed it up, "There's no secret hack here. Texas gets your money differently." For this couple, the move doesn't feel richer—not because the math is wrong, but because trading one expensive market for another rarely works the way a calculator makes it look.
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