The Washington Post’s editorial board recently referenced U-Haul’s 2025 growth index, suggesting that it’s not only billionaires leaving California but also everyday residents. They’re all looking to escape the state’s steep living costs for areas described as “pro-growth” and low-tax.
In a Thursday editorial, the publication analyzed data from the moving truck company to uncover which states are experiencing an influx and which are seeing an exodus. Texas claimed the top spot for growth, marking its seventh time leading the index in the past decade. Florida, South Carolina, North Carolina, and Tennessee followed closely behind.
The report highlighted that nine out of the ten states showing growth voted Republican in the last presidential election, while the “usual suspects” found themselves at the bottom of the list. California landed in last place, with Massachusetts, New York, Illinois, and New Jersey completing the bottom five. Interestingly, out of the bottom ten, seven had voted for Biden in the election.
The editorial board pointed out that while U-Haul’s findings don’t perfectly match up with trends in population or economic development, they do illustrate the migration patterns emerging across the U.S. It seems that many are eager to embrace life in states that promote economic growth and lower taxes. In contrast, areas characterized by large government and high taxes appear to be losing residents.
According to the board, national policies are filtering down to metropolitan areas. The three cities that are growing the fastest—Dallas, Houston, and Austin—are all located in Texas, with Florida, South Carolina, and Texas dominating the list of the top ten growing cities overall.
The editorial emphasized that the situation in California is a choice, attributing rising living costs to policies perceived as unfriendly to entrepreneurs. These measures might ultimately affect the funding for social services. The board concluded, albeit somewhat ambiguously, that while weather could play a role in relocation decisions, it isn’t the main reason people are moving away from California.
In another notable move, Oracle’s founder, Larry Ellison, sold his San Francisco mansion for around $45 million in December, reportedly to sidestep a proposed wealth tax due to hit California residents by the end of 2025. If enacted, the tax would claim 5% of billionaires’ net worth residing in the state at year-end.
This has prompted several billionaires to relocate before the new year, with the Post noting Ellison could have faced a potential loss of $9.6 billion had he stayed, interestingly aligning with U-Haul’s market cap.
