Am I crazy to want to leave CA?

[Andrew M.]

I live up in the Bay Area, have a nice job and a wonderful house, but still with a wife and two young kids, feels like you can't get ahead here because its so expensive.  Also hard to do any real estate investing when everything is so pricey and low cash flows up here.

I'm thinking life would be much less stressful if I moved to the Midwest (ex. had an opportunity in Omaha that I passed up), got a similar job, a much cheaper house and cost of living and was able to take the cashed out equity on my house here and start doing some serious real estate investing that could allow me to retire 10-15 years earlier than I might here in CA.

Has anyone done this move out of CA, and how did it go.  Am I crazy to even consider leaving the beautiful weather and so forth in CA? 

[Account Closed]

The thing about the Bay Area is that rents are high and property is high.  Appreciation rates are high and rent growth is high.  THAT is a fact.  There are high paying jobs in the Bay Area.  If you are making minimum wage or the same pay that you would get in Podunk then you are probably better off living in Podunk.  But if you can command the higher salaries that the Bay Area offers then with a little smarts and sacrifice then you can benefit from the high cash flow and appreciation that the Bay Area offers. 

If you NEED the 3,000 sf house for $100,000 then Podunk is your place.  If you NEED the acre lot with the snow mobile and jet ski and motorcycle in the three car garage then Podunk is your place.  If you need equity to cover you $200,000 a year long term care then the Bay Area is where you need to be providing you invested in the Bay Area.

I've had friends who bailed with their equity after ever boom since the seventies and ALL the younger ones have regretted  the move.  Those that sold at $200,000 and see the same place selling for $400,000 ten years later and then $800,000 ten more years later almost cry.  Friends that have bailed after retirement usually are only happy if they have extensive family in Podunk.  Others complain about maintaining large houses that they feel are necessary because they are trapped in them most of the year.