Why Californians Are Choosing Los Cabos Over Texas, Arizona & Nevada: What Affluent Buyers Are Discovering

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Karla and Erick Cabo Realty

Last update:  2026-06-02

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Why Californians Are Choosing Los Cabos Over Texas, Arizona & Nevada

Why Californians Are Choosing Los Cabos Over Texas, Arizona & Nevada

For decades, Californians looking for a better quality of life have followed a familiar path. Some relocated to Texas for lower taxes, others chose Arizona for its golf communities and warm climate, while many moved to Nevada for affordability and proximity to the West Coast.

Today, however, a growing number of affluent Californians are making a different choice.

Instead of moving to another U.S. state, they are looking south to Los Cabos, Mexico.

What was once viewed primarily as a vacation destination has transformed into one of North America's most desirable locations for retirement, second-home ownership, remote work, and luxury real estate investment. With direct flights from California, world-class golf courses, luxury communities, modern healthcare facilities, and a coastal lifestyle that is difficult to replicate elsewhere, Los Cabos is attracting buyers who want more than simply a lower cost of living—they want a better quality of life.

Table of Contents

Why Are People Leaving California?

California remains one of the most desirable places in the United States, but many residents are facing challenges that have encouraged them to explore alternatives.

The rising cost of housing continues to be one of the primary concerns. In many California markets, homeownership has become increasingly difficult, even for high-income households.

In addition to housing costs, residents often cite:

  • State income taxes
  • Traffic congestion
  • Higher insurance costs
  • Increased cost of living
  • Population density
  • Concerns about retirement affordability

Why Are Retirees Leaving California?

Many retirees discover that their retirement income can stretch significantly further outside California. Rather than spending retirement years managing high expenses, many are choosing destinations that offer sunshine, recreation, healthcare access, and a more relaxed pace of life.

Are Californians Still Moving Out Of State?

Yes. While California remains an economic powerhouse, relocation trends continue to show residents moving to destinations that offer lifestyle advantages, tax benefits, or lower overall costs.

Why Texas, Arizona & Nevada Attract So Many Californians

For years, these states have been the primary relocation destinations for Californians.

Why Are Californians Moving To Texas?

  • No state income tax
  • Strong job market
  • Large luxury homes
  • Business-friendly policies
  • Growing metropolitan areas

Cities such as Austin, Dallas, Houston, and San Antonio continue attracting California residents.

Why Are Californians Moving To Arizona?

Arizona remains especially attractive to retirees and second-home buyers.

  • Warm weather
  • Golf communities
  • Active adult neighborhoods
  • Outdoor recreation
  • Lower housing costs in many markets

Why Are Californians Moving To Nevada?

  • No state income tax
  • Proximity to California
  • Luxury communities
  • Entertainment and dining options
  • Growing business opportunities

Why Some Affluent Californians Are Looking Beyond These States

While Texas, Arizona, and Nevada offer advantages, many affluent buyers are beginning to prioritize lifestyle over economics.

The conversation is shifting from:

"Where can I save money?"

to

"Where do I want to spend the next 10 to 20 years of my life?"

Today's buyers increasingly prioritize:

  • Ocean views
  • Wellness
  • Golf
  • Walkability
  • Resort amenities
  • International travel
  • Outdoor living
  • Community

Why Los Cabos Is Attracting Attention

Los Cabos occupies a unique position in North America.

Located at the southern tip of Mexico's Baja California Peninsula, it combines luxury living with easy accessibility from the United States.

How Far Is Los Cabos From California?

Direct flights connect Los Cabos with Los Angeles, Orange County, San Diego, San Francisco, Sacramento, and San Jose.

For many Californians, reaching Cabo is easier than traveling to parts of Texas.

Is Los Cabos Safe For Americans?

Los Cabos has become one of Mexico's most established international tourism and residential destinations. The region is home to thousands of American and Canadian residents who live in master-planned communities, gated developments, golf communities, and beachfront neighborhoods.

What Makes Los Cabos Different?

  • Ocean views
  • Beach clubs
  • Championship golf
  • Luxury resorts
  • Fine dining
  • Sport fishing
  • Wellness facilities
  • International airport access

Why Some Californians Choose Cabo Over Texas, Arizona & Nevada

Ocean Lifestyle

Unlike Arizona and Nevada, Los Cabos offers immediate access to the ocean. Many buyers place enormous value on beach walks, boating, fishing, oceanfront dining, and coastal views.

Golf Lifestyle

Los Cabos has become one of the world's premier golf destinations. Residents enjoy access to courses designed by Jack Nicklaus, Tom Fazio, Tiger Woods, Greg Norman, and Robert Trent Jones II.

Resort-Style Living

Many communities offer concierge services, beach clubs, fitness centers, spas, restaurants, and private security.

Year-Round Outdoor Activities

Residents enjoy golf, hiking, paddleboarding, fishing, tennis, pickleball, swimming, and whale watching throughout much of the year.

Cost of Living Comparison: California vs Cabo

One of the most common questions buyers ask is whether Los Cabos is less expensive than California.

The answer depends on lifestyle.

Luxury communities in Los Cabos can be comparable to premium U.S. markets. However, many day-to-day expenses can be lower than those found in California.

Is It Cheaper To Live In Los Cabos?

For many residents, certain expenses such as services, dining, and household help may cost less than in major California cities.

How Much Money Do You Need To Retire In Cabo?

The answer depends on housing preferences, travel frequency, healthcare needs, and lifestyle expectations.

Can Americans Buy Property In Los Cabos?

Yes. Foreigners can legally own residential real estate in Los Cabos through a bank trust known as a fideicomiso or through other approved ownership structures.

Is Buying Property In Mexico Complicated?

With the right professionals, the process is straightforward and well-established. Thousands of Americans own property throughout Los Cabos.

Can Foreigners Get Financing In Mexico?

Financing options exist, although many foreign buyers purchase using cash, equity from property sales, or financing available through specialized lenders.

Where Affluent Californians Are Buying In Los Cabos

Palmilla

Palmilla is one of the most prestigious communities in Los Cabos. Known for luxury beachfront living, golf, and one of the most established reputations in the region.

Querencia

Querencia attracts buyers seeking privacy, golf, and a highly exclusive environment.

Club Campestre

Club Campestre offers golf, beach club access, mountain views, ocean views, and strong value relative to other luxury communities.

Diamante

Diamante is known for world-famous golf, luxury residences, and resort amenities.

Quivira

Quivira offers dramatic Pacific Ocean views, championship golf, beach clubs, and luxury homes.

Questions To Ask Before Moving To Los Cabos

  • Will this be a primary residence or second home?
  • Do I prefer golf or beachfront living?
  • How often will I travel back to California?
  • Which community best fits my lifestyle?
  • What healthcare services are important to me?
  • Do I want rental income potential?
  • What ownership structure should I use?
  • What is my long-term retirement strategy?

Frequently Asked Questions

Do A Lot Of Californians Live In Los Cabos?

Yes. Los Cabos has become one of the most popular international destinations for California residents seeking retirement, second homes, and investment properties.

Can I Work Remotely From Los Cabos?

Many residents operate businesses remotely or work online while enjoying the lifestyle benefits of Cabo.

Is Healthcare Good In Los Cabos?

Los Cabos offers modern private healthcare facilities, specialists, and hospitals that serve both residents and visitors.

Is Los Cabos Better Than Scottsdale For Golf?

Both destinations offer excellent golf. However, Los Cabos combines golf with ocean views, beaches, fishing, and resort amenities.

Is Los Cabos Better Than Nevada For Retirement?

The answer depends on personal goals. Buyers seeking ocean access, luxury communities, and international living often find Los Cabos particularly attractive.

Conclusion

Texas, Arizona, and Nevada continue to be excellent options for Californians seeking lower taxes and a different pace of life.

However, a growing number of affluent buyers are discovering that Los Cabos offers something fundamentally different.

Instead of choosing between affordability and lifestyle, they are finding a destination that combines luxury living, championship golf, ocean access, world-class amenities, and a strong international community.

For many Californians, the question is no longer whether they should leave California.

The question is whether Los Cabos might be the lifestyle upgrade they have been looking for all along.

Download Your Free Relocation Guide

Thinking about moving to Los Cabos?

Download our FREE relocation guide and learn:

  • Best communities for expats
  • Golf and beach communities
  • Cost of living insights
  • Healthcare information
  • Property ownership for foreigners
  • Relocation tips and strategies

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Karla & Erick | Cabo Realty

Karla & Erick | Cabo Realty, backed by Century 21 Paradise Properties, specializes in helping buyers, retirees, investors, and second-home owners successfully navigate the Los Cabos real estate market.

Whether you're exploring Palmilla, Querencia, Club Campestre, Diamante, Quivira, or other luxury communities, our team can help you find the right property based on your goals, lifestyle, and investment strategy.

Schedule a Private Consultation Today

Karla & Erick | Cabo Realty | Century 21 Paradise Properties

Karla and Erick Cabo Realty

Karla and Erick Cabo Realty

Thinking of moving to Baja California Sur, México?

Karla Andreu and Erick Flores (Century 21) guide U.S. & Canadian buyers, expats, retirees, and families through every step.

We specialize in beach & golf communities across Los Cabos and Baja California Sur—offering expert advice, relocation support, and clear guidance to help you invest with confidence.

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