Why Invest in California?

Why You’ll Never See This State on a “Best Places to Invest” List — and That’s Exactly Why You’re Missing Out

Texas. Arizona. Florida. Ohio.

Investors are just spinning the same damn wheel every year and pretending it’s “research” when they decide to invest in these popular choices.

I’m not saying those markets are bad. I’m saying they’re not universally good. They’re fine for the right person, with the right systems, at the right price, for the right reason.

But most people quoting these states don’t even live there. They’re just regurgitating BiggerPockets forums or paralyzed by some influencer’s slideshow.

The real answer?

🧠 It depends.

But nobody says that — because “It depends” doesn’t get clicks.

What does get clicks?

“Top 5 States to Invest in 2025 👇 You Won’t Believe #3!”

Spoiler: I can believe #3. It’s Florida or Texas or Arizona or Ohio on a rotating loop.

The States No One Talks About

Nobody’s talking about California.

Nobody’s talking about Hawaii.

Or Seattle. Or Portland. Or New York.

Why?

Because they’re labeled “investor-unfriendly.”

Because of politics.

Because people don’t understand how to actually vet, contract, or manage risk.

But let’s zoom out.

Let’s Do Some Math:

  • $300/mo cash flow × 5 years = $18,000

    (and that’s before you replace a fence, fix a leak, or evict a tenant)

  • Meanwhile, someone in San Diego, Oahu, or Seattle just made $300K+ in equity… by doing absolutely nothing.

And yeah — I hear the rebuttal already:

“BUT WHAT ABOUT SQUATTERS? WHAT ABOUT TENANT LAWS?!”

Cool story. That’s called:

  • Bad vetting

  • Bad contracts

  • Bad luck

Let’s say you do get the tenant from hell. Let’s say you lose $1,200/mo for three straight years (which is absurd, but I’ll play along). That’s $72,000 down the drain.

Guess what?

You’re still up $228,000.

Net. After the worst-case.

That’s called wealth transfer. For the patient and prepared.

The Places They Warn You About Are Where People Are Quietly Winning

You know what markets have?

✅ High desirability

✅ Limited inventory

✅ Consistent demand

✅ Institutional buyer pressure

✅ Deep value retention

But God forbid you buy in a blue state.

Never mind the fact that homeowners in those “scary” states have watched their net worth balloon over the past decade while you’re sweating over $200/month in Alabama.

But What About the Repairs?

Yeah, let’s talk about that.

That $300/mo?

Cool — until your HVAC dies.

Or your foundation cracks.

Or your tenant vanishes and you’re juggling a month-long vacancy with a shitty local PM who doesn’t even return your calls.

Meanwhile?

That “expensive” house in SoCal or Oahu or NorCal?

Just sat there.

Quiet.

Appreciating.

Not calling you at 11PM.

Why Do Investors Ignore These Markets?

Easy:

  • They’re scared of price tags

  • They’re scared of regulation

  • They think “cheap = good deal”

Spoiler alert:

Cheap ≠ valuable

Cheap ≠ safe

Cheap ≠ growth

If you know how to add value, mitigate risk, and work your damn system

Then California?

Hawaii?

Seattle?

They’re goldmines.

They just don’t come with clickbait.

So What Should You Actually Do?

Here’s what no one’s saying:

🔍 Invest where you have an edge.

Where you know the people, the market, the rules, the context.

🧠 Stop letting politics run your portfolio.

Red state, blue state — I don’t care. Can the deal stand on its own?

📊 Think in terms of total return.

Appreciation. Depreciation. Leverage. Tax strategy. Equity. Time. Risk. Control.

🧼 Stop shopping for real estate like you’re buying clearance racks at Ross.

This isn’t about price per door. This is about systems and lifetime yield.

Final Word

If your whole strategy is buying a $75K duplex in Alabama and praying for $200/month of cash flow — go follow one of those threads.

But if you’re trying to build a system that reflects:

  • your life

  • your values

  • your vision

  • your energy

Then maybe — just maybe — the states that never make the list…

are the exact places you should be looking.

You don’t need the “best” state.

You need a strategy that actually fits you.

And that might mean ignoring the forums or the cutsie phrases “equity comes, equity goes but the cash will always flow” —

and actuallly creating your own frameworks that fit your goals.

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