[randomacct3847]

It’s not just cost of living but taxes. Living in a state with no income tax is an automatic 10-12% bump in take home pay.

Agree though if you’re single your living situation is more flexible and you can find a place for less than market rate here pretty easily. It’s once you get married and want kids that SF makes no sense for most people.

Someone making 200k in Austin has a much much better quality of life than someone making 300k in SF. No question.

[burlesona]

As someone from Austin living in SF I disagree. Austin has better housing affordability and less severe homelessness. To me, just about everything else is nicer in SF. But more to the point, everyone is different and you really can’t generalize about what place is better or worse, because people’s tastes, interests, and logistics vary so widely.

[randomacct3847]

Define nicer. To me housing affordability is a massive lever that drives quality of life. You can find a place for 300k in Austin (renovated) what would cost 1.5m in SF.

[burlesona]

There isn’t a neighborhood in the entirde Austin metro where you can walk to all your daily needs. The summer heat is brutal and the winters are surprisingly chilly given how hot the summer is. You don’t have anything like the natural beauty of California at your doorstep.

For me though the walkability is the biggest thing. There’s not a single neighborhood in Austin that can compare to the quality of life in my “middle of the road” SF neighborhood. Miles of beautiful archictecture all around. My kids can and do walk everywhere.

It’s just a completely different experience, being in an actual pre-car city, and unfortunately there’s nothing like it in Texas.

[b3b0p]

Just left Austin for this exact reason. All the companies, except a few startups and exceptions are not in downtown. They are out in the boonies. Live downtown and you are looking at 2-3 hours of commute every day and traffic is gloriously terrible. The transportation system in Austin is none to speak of. The other thing that bugs me is none of these companies are actually in Austin. It's more like Round Rock. So, when people say Austin is a tech hub, it seems like play on marketing.

This is why I left for Minneapolis, I actually bought a condo in central downtown. I can walk and bike everywhere. I can take a train or bus at any given moment to everything I would ever need and there is something to be said when you are easily and casually attend any of the major 6 sporting leagues at a drop.

As for the tech and pay. I find it pays the same or actually more in my experience. Finding a job is easy. Most companies don't play that Leetcode game, some do, but most don't it seems. Tons of huge fortune companies that use modern tech and have interesting problems, including places like Target, big banks and tons of healthcare. There are hidden startups, if you look, hard, but many haven't even take VC are only 2-5 people right now and are bootstrapped and highly profitable.

If I ever decide to take that job at a big tech in SF I'll rent out my condo in central downtown, pack up my backup and take the light rail to the airport with my one way ticket.

[shambolicfroli]

I read an article (a month or so back) saying that Austin's great quirkiness was a fluke, of an economic downturn creating a transitory surplus of very cheap housing.

[Bahamut]

In that case, taxes and rent only would account for about a $50k difference at those numbers - not enough to make up the gap between Austin and SF if we're talking $200k and $300k, and I'd imagine $200k isn't as easy to hit in Austin as $300k+ in the Bay Area.

[randomacct3847]

The difference is buying. A 300k house in Austin would be 1.5m in SF. Again, if you’re single and renting and ok with roommates SF makes sense, but if you’re buying 300k/year will not be enough to afford a 1.5m place (which probably won’t be renovated and in a bad location)

[Bahamut]

It is more than enough to buy - not sure what you're expectations are around buying here. Sure, it maybe possible to buy instantly in Austin, to my understanding in not as great neighborhoods if you want it cheaper, as I hear house prices have gone up there as well, but in 5-10 years of working at $300k+, it's very possible to buy in most of the Bay Area.

The benefit becomes compounded in the Bay Area if you have a spouse also working, and timelines accelerated.

[randomacct3847]

Not if the best places are cash offers only. And cap on SALT taxes starting 2018 tax year means many high earners will not be able to deduct expensive property taxes and most income above and beyond their base salary.

300k is living with a roommate level IMO unless you’re just looking to buy a 1 bedroom and not have kids.

[Bahamut]

What the heck would you be spending $ on to be living with a non-significant other roommate necessarily at $300k?

This is extraordinary hyperbole that pretty much ignores what it’s really like in the Bay Area - many people making $100k or even less don’t even live with roommates here if they don’t want to. I make over $300k myself and the only reason I have a roommate is because she’s one of my best friends and I am helping her out while she’s early in her career.

There’s no need to put down another place just due to whatever biases, especially if there are few facts behind it. It’s ok to like where you’re at without going to extraordinary lengths to stretch it to everyone.

[closeparen]

Saving up $100k/year towards ownership is just treading water; prices will easily rise that much on their own. This leaves another ~$70k/year to play with in your $300k salary. The marginal cost of living alone vs. with roommates is not insignificant in that context. So yes, if you are making $300k/year and serious about buying, it would be hard to justify renting an entire apartment.

Absolutely agree that you can afford to live alone if you do not particularly care about buying.

[techslave]

taxes don’t drive it. the 10% income tax savings is made up by prop tax and other costs.

yes austin is cheaper but not because of taxes

[randomacct3847]

What? Yes TX has higher property taxes as % property value than CA but, again, if you’re buying a 300k place in Austin your annual property taxes are going to be <<< than the CA property taxes you pay on a typical 1.5m place + income tax in CA.

And because TX does not have income tax it also means for a 300k place your state and local taxes won’t hit the $10k limit for fed deductions which you will easily hit if you earn and have property in CA.

[techslave]

a 300k place in austin is not comparable to a 1.5m place in sf bay.

the 10k limit is irrelevant because most people will be in the 200k-500k AMT range where prop tax is not deductible anyway.

please compare apples to apples.

why picking on austin? it was just an example. wyoming has no income tax. you think living in jackson, WY is cheaper than cupertino? and that the reason is taxes???