Over the years, a worrying phenomenon has been happening in the Golden State: People have been leaving the state in large numbers. During an episode of the Dave Ramsey show, personal finance guru Dave Ramsey called this mass exodus “just math.” Here’s his take on the population drop.
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Since 2015, California has seen its population numbers drop, the lowest number recorded last year. The New York Post shared some data from a Consumer Affairs 2024 Migration Trends report that shows these population numbers continue to drop in 2024, largely from cities like Los Angeles and San Francisco. The report said, “California’s mass exodus continues to ensue,” with the South and Southeast regions of the country being the “hottest regions for people moving.” This is not anything new. Planet Citizen reported, “The U.S. Census Bureau reported in March that California’s population as of last July had dropped to an estimated 38,965,000.” The Consumer Affairs report also revealed that between 2020 and 2023, California reported a 1.4% drop in population, whereas other retirement hot spots like Florida, Texas and North Carolina saw an increase in population.
The reason for this mass exodus of residents can be attributed to a number of factors, from politics to the environment to, according to finance expert Ramsey, money. A local Los Angeles news outlet, KTLA5, reported a poll conducted by the 2024 LABC Institute Housing Affordability Survey in Partnership with the Los Angeles Times revealed why people are leaving the city of angels. The poll revealed that almost three-quarters of renters and those under 35 have considered moving out of the city due to the rising housing expenses. Moneywise shared why a resident of San Francisco for 35 years eventually moved from California to Florida. Terry Gilliam cited the reason for his move as “It was the cost of living and the politics, the traffic, homelessness, crime — everything has gotten worse and worse in California and the solutions they proposed only made things worse.”
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Data from Rentcafe showed that the cost of living in California is a staggering 38% higher than the national average. For example, housing in the Golden State is 97% higher than the national average. Everything in California is above the national average, including food, utilities, health care and transportation. The cheapest city in California is Fresno, which is 9% higher than the national average.
Another 87% of participants in the 2024 LABC Institute Housing Affordability Survey felt that housing affordability in the state is a serious problem, and Ramsey agrees.
He asked on social media platform X, “Do you know anyone who’s moved out of California recently?” During an episode of the show, Ramsey advised a caller on whether a move out of the Golden State is a good idea. Ramsey explained on the show that his friend had moved from California after living in the state his whole life. He explained that his friend had moved to Nashville and even bought a house in cash from his income tax savings of just one year. He says, “One year with no California income tax bought him a cash house in Nashville. That’s why people are leaving. It’s math.” Ramsey sympathizes and reveals that he understands why people are leaving the state and that it’s a hard decision. “I also understand that it’s a beautiful, wonderful place, and it’s hard to leave home.” So, if the high cost of living is the deciding factor for your move out of California, should you leave? For Ramsey, the answer is simple.
“Mathematically, if I’m you, I’m gone,” Ramsey stated.
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This article Dave Ramsey Tells The Truth About California’s Massive Exodus Of People Fleeing The State, Saying ‘It’s Just Math’ originally appeared on Benzinga.com
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