Real Estate

California's exodus continues, with population dropping for the third year in a row, putting its political influence at risk

Overview of Los Angeles, California.
Los Angeles, California. Neal Pritchard Photography
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California's population has dropped for the third year in a row, raising concerns about the effects of an exodus of residents from the Golden State.

The state's population decreased by 0.1%, or around 37,000 people, between July 1, 2022, and July 1, 2023, the Los Angeles Times reported.

In 2021, California recorded its first-ever yearly population loss in its history as a state. Over the next two years, the state lost more than 500,000 people, or 1.5% of the population, per The Times.

California's climate and economic strength has long attracted people to the most populous state in the country.

But in recent years, the gloss has come off the California lifestyle. The high cost of living has taken its toll, with residents particularly leaving population centers such as Los Angeles and San Francisco, where there have been skyrocketing housing costs — the median value of owner-occupied housing units is $573,200 — which strained working- and middle-class families.

Many residents also might have left the state during the pandemic due to the prevalence of remote working, the Times noted.

While the latest population drop is smaller than in the last two years, it still suggests that the trend is persisting.

New York, Louisiana, Hawaii, Illinois, and West Virginia were the other states to lose a larger share of their population over the year.

Residents leaving California have flocked to various states, including Texas and Florida.

California still has the highest population in the nation, with around 39 million residents.

Some have speculated that California risks losing its political influence due to these demographic changes.

The Brennan Center for Justice projected that California could lose seats in the House of Representatives in redistricting in 2030, reducing from the current 52 to 48.

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Alia Shoaib was a news reporter on the weekend team, based in Business Insider's London bureau, covering US politics and foreign affairs. She has reported extensively on Russia's invasion of Ukraine and far-right extremism in the US.She was previously an editorial intern at The Economist's 1843 magazine and her work has appeared in The Independent, The Guardian, 1843 Magazine, The Economist, and more.She also has an MA in International Journalism from City, University of London.Notable work:The making of a fake war hero: An American who reinvented himself as a social-media soldier in Ukraine is accused of 'stolen valor'A US veteran joined Ukraine's International Legion, then made a shock defection to Russia. Ex-comrades say he was incompetent and left behind a trail of chaos.A Ukrainian soldier died on the battlefield in Bakhmut. His death has sparked a fierce dispute between some American veterans and a volunteer trainer.Some QAnon believers are enraged by Trump's 2024 announcement and have started ignoring 'Q drops.' But experts say the movement is as fervent as ever.Election-denying Trump loyalists are running for obscure offices to influence future elections in battleground statesMen from Afghanistan's secret gay community say they are living through a 'nightmare' and fear that the Taliban will execute them at any momentAbuse, exploitation, and a mummified leader: Inside the bizarre cult Love Has WonEx-cult member Ginni Thomas may have fallen back into old habits with QAnon-backed conspiracy theories