The buzz around the Baby Boomer “Community” (everyone is in a community), is that it’s time to reevaluate moving out of California (this article can apply to any large city or suburban area e.g Illinois, Minnesota, New York, Washington State, etc.) to a friendly place where elected politicians are more interested in those who elected them than fighting the federal government daily with your tax dollars. If you object to those you have elected voting for higher taxes regularly it may be time to consider alternatives when it comes to your long-term plans for a place to live.
If you have lived for many years in most of the larger counties in California, you will have noticed the congestion on streets and freeways. Older communities are filling in virtually every square foot with homes and apartments making the communities even more crowded. The infrastructure has been ignored for decades, schools and other public buildings and spaces are in desperate need of dollars for repairs. Unlike many other states, California has a full-time legislature. Texas for example elects its legislators on a part-time basis, that is, they meet every other year. A full-time legislature costs more and they have more time to create new laws that cost you more.
“Weather Tax”
It’s one thing to pay the “Weather Tax” when you are younger and working. Nothing wrong with paying 60-70% of your gross pay for taxes and hidden fees but as you begin to think of retirement, perhaps paying the Weather Tax has or will become a real burden. If you search the internet you will find many other areas with great amenities, good weather and without the Weather Tax.
It may be time to leave. If that’s true, where should you move to? How about Florida? What about Colorado? Texas sounds good! Well, my friends, while those areas are indeed nice, you could find yourself in the same situation you are leaving in California. It seems that most people who leave California tend to concentrate on the same areas.
As a result, some of those popular destinations have become or are on their way to becoming overcrowded, housing prices are rising, property taxes are moving up and the infrastructure in some areas was not designed for rapid growth. Housing prices in hot areas in Colorado and Texas have nearly doubled in the last five years. I own a rental home in Arizona, it has more than doubled in value in the last five years, home prices in Las Vegas are also up.
Colorado, it was great. Ask some who are leaving now. Some areas in Colorado have been overcome with Californians bringing in all of those things that they wanted to get away from. The metro areas are crowded, prices are rising fast and the state government is becoming somewhat like California. Texas is a great state. The property tax is high so if you purchase a low-priced house and pay it off, you will have a large tax bill in the future.
People leaving California are causing housing prices in Texas to rise
If you were planning on moving to Austin, San Antonio, Dallas, or Houston, you may as well stay in California. According to October 23, 2018, Bloomberg article, housing price increases in popular destinations e.g Idaho, Nevada, and others are fueled by people leaving California. The story supports the assertions that I am making in this blog.
The Bloomberg article further explored “political” reasons to move. Conservatives are looking for friendlier areas to call home. California, Oregon, Washington, Illinois, and New York have become uncomfortable places for conservatives to live. Political issues are driving up the populations of conservatives in Idaho, Texas, and other Red states. Perhaps you need to consider the fact that your decision to relocate to one of the currently “trending” locales is a bit late. It’s a bit like showing up at a gas station in a hurricane and finding that there is little gas and the price just doubled.
Mississippi Gulf Coast
So where? How about the Mississippi Gulf Coast. I moved there from California and so have some friends. Homes are far less expensive than in any of the “popular” retirement states and the property taxes for those over 65 are very low, under 1%. A lifetime fishing license is a few dollars. Sales tax on a vehicle is 5% after deducting the value of the trade. Gas is in some cases more than one dollar less per gallon than say California. Mississippi is consistently ranked as the lowest cost state when all is considered. For those of you who may be political refugees, the three Mississippi Gulf Coast counties voted for Trump in 2016 by a factor of about 2-1 over the others. The area is conservative, this should come as no surprise as Mississippi is solidly in the Red column.
I like the Jefferson, Harrison, and Hancock County areas which are on the Gulf of Mexico located between the Louisiana state line (New Orleans is an hour away) and the Alabama state line. Compare Ocean Springs a pleasant small town of about 17,000 where the level of college graduates exceeds many California cities. There are a wide variety of events and things there if fishing and boating is not your thing. There are several casinos where they give you free drinks and the buffets are great.
The weather is good all year.  Yes, the summer months are humid but I suspect that many of you are not installing roofs on homes and have to work outside all day. You know the drill, AC at home, car, stores, casinos, restaurants. Breezes in the afternoon on the beach.Â
If you like to garden, there is water and soft soil which will produce flowers, fruits, and vegetables. I lived in Southern California where the water bill continued to increase even as people cut back on their showers.  I exchanged very hard water that was damaging plumbing for naturally soft water in Ocean Springs.  While we do not waste water, there is sufficient water to take a reasonable shower and not just once per week.
Perfect jumping off location for trips to Florida, and the North East.
The location is perfect for trips to Florida, Texas, and the Midwest. Gulfport airport is served by three airlines and you can park across the street. If you take a couple of minutes to unload your luggage you are not put in handcuffs and your car towed. You will not be run over by traffic either. I keep looking for the traffic helicopter but I never see it (a joke). If you want to golf, there are very good courses. As a friend told me, the cost to golf there is about ½ of the cost in California and at one location they throw in a golf cart as well.
About that “weather tax”, there is none on the Mississippi Gulf Coast. Â Except for a couple of months of hot humid weather, the remainder of the year is warm to cool. Â It does not rain every day and hurricanes are few are far between. Â There are no earthquakes, brush fires, avalanches, or smog. Â You can eat fish caught that day from one of many restaurants that receive their fish from the numerous fishing fleets on the Gulf.
 How about an eight-year driver’s license instead of a four-year or less in some states?  Ever been in and out of the DMV in California in fifteen minutes without an appointment?
Check this blog article that contains our planning spreadsheet where you can compare the cost of a home in California with the cost of a home on the Gulf Coast.
I can’t help but give you one example. How about a 1,900 sq ft home on a 10,000 sq ft lot for $200,000 in Ocean Springs with a property tax rate for over age 65 of about $1,400. (Note prices have increased by 2022 but the concept is similar). Smaller homes start at less than $100,000. Want a home on the beach, would you believe under $450,000. Consider having your custom home built on a lot you select, perhaps on the water.
The Gulf Coast is economically vibrant
Full disclosure: Let’s hit the stereotype of Mississippi head-on. Yes, there are economically challenged areas in the state as there are in every state. Much of what people know about Mississippi comes from old movies and bad information passed along. It’s all about location, location, location. The Gulf Coast is a great area with an active economy. Higher income, higher education, great schools, higher-paid jobs, great medical care with several hospitals including the VA. Military bases with facilities for those who are retired military.
There are shipyards, NASA facilities, fishing, Casinos, and many other employers who keep the area vibrant. Â If you are in your early 20’s and want the nightclub scene move to Hollywood. Â
If you are family-oriented, think of downsizing your home, want neighbors who walk their dogs and kids in the neighborhood, perhaps this is where you need to be. Â Notice: Â If you can’t live without crowded freeways, smog, higher crime rates, poor school ratings, high taxes, or simply want something for nothing (a handout), stay where you are.
Come visit, compare this beautiful area to any other in the country just on what you see around you. Then compare economic elements. You will either stay or you will be back.
FYI, no weather tax on the Mississippi Gulf Coast
This article was updated a bit on December 31, 2021. It’s 74f outside with clear weather. We had a bit of fog this morning but it’s been warm all week. Compared to the temperature in other areas of the country this is heaven. Our vacation rentals and hotels are full. There are no masks required in restaurants or casinos or frankly anywhere except for medical facilities and the occasional government office.
Leave your vaccine cards home if you like, you will not need them here. By the way, I am not anti-vax, I have had my shots. It’s just that in Mississippi it’s generally up to the individual to get their shots and we are not locked down.
Time to buy along the Mississippi Gulf Coast
This post was originally written in September 2018. Prices are up along the Mississippi Gulf Coast but they are up elsewhere as well. The numbers mentioned here may not be accurate for a home today but they were and if they are up X% you can bet that they are even higher in a high-cost area. This can be a benefit since you may be one of many who could pay cash for a home on the Mississippi Gulf Coast with the proceeds from the sale of your home.
Two articles on this blog site are the most popular and are similar to this article. These articles are: “Why you need to retire on the Mississippi Gulf Coast” and “Why I decided to retire in Ocean Springs, Mississippi”. There are many more articles that discuss relocation, retirement, and finance.
The next step is to visit Logan-Anderson, Gulf Coastal Realtors website and look at available homes. There are several great articles on their blog site as well.
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