No. 6: Austin, Texas
By Jane Bennett Clark, Senior Associate Editor, Kiplinger's Personal Finance
July 2008
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ROCKERS, TACOS AND CHIPS
Population: 1,506,425
Population Growth Since 2000: 17%
Percentage of Workforce in Creative Class: 36.5%
Cost-of-Living Index: 92.8 (100 being national average)
Median Household Income: $52,882
Income Growth Since 2000: 12.2%
Don’t think for a minute that the laid-back, rockers-and-tacos atmosphere of downtown Austin is all this metro area has to offer. In fact, Austin and the surrounding region offer a strong economy, a solid, moderately priced housing market, a growing population and enough natural beauty to justify staying outside even if the weather weren’t great -- which, by the way, it is.
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Take Our Walking Tour Through Austin | ||
Already home to the University of Texas, the state capitol and a bustling music scene, Austin has lately expanded its economy to include digital media, green energy and biotech, creating 114,000 in the area in the last five years. Meanwhile, downtown Austin is in transformation mode. Redevelopment includes the Second Street District and more than a dozen residential developments. Among them: 360, where a two-bedroom, two-bath condo with a lake view starts at about $400,000.
City life not to your liking? Head to Round Rock, an 18.5 mile hike up I-35. This family-oriented suburb boasts topnotch public schools along with a local economy that includes Dell, three hospitals and a brisk business in sports tourism thanks to the playing fields it rents out for tournaments. As for housing, it’s a deal: For $270,000, you can buy a four-bedroom, three-bathroom house in the Teravista community and enjoy its rolling hills, 18-hole golf course, clubhouse and a pool.
Down the road apiece, in the tiny town of Lago Vista, residents enjoy access to Lake Travis in the spectacular Texas Hill Country setting. Once mostly a resort community for retirees, this 11-mile stretch of land increasingly appeals to young families who like the small-town atmosphere and don’t mind commuting to Northwest Austin or to Round Rock.
Reader Comments (42)
Posted by: Sanket Kumar at 05/29/2008 05:15:18 PM
Austin is the best city in the USA. Hands down. I live in Chicago right now but hope to one day move to Austin once again.
Posted by: Austingal at 05/29/2008 09:57:45 PM
Austin is so great. I fell in love with it 5 years ago and haven't looked back since! There is so much to do year round.
Posted by: Bill at 05/30/2008 02:15:20 PM
Austin is definitely the best city in America. It's got beautiful scenery, plenty of hiking, biking, and swimming holes for when the weather turns hot. The music scene is wonderful, the restaurants are top notch, and the weather is great.
Posted by: ex new yorker at 05/30/2008 04:02:13 PM
Yes, Austin is a great city; but every place has its negatives---and the traffic problem here is huge and probably ranks #1 on most peoples list of dislikes (along with other growth-related issues). Of course this is due to people like me who moved here because its such a great place. Now, someone please close the gate!
Posted by: Austin Bailiff at 06/03/2008 12:30:44 PM
Sorry to be the bearer of bad news, but Austin is now full. If you had intentions of moving here, don't fret, Omaha is just a few hundred miles away. Thanks!
Posted by: Joe at 06/03/2008 03:13:15 PM
Great city for drinking and Lake Travis is cool, but seriously the food is horrible! Austin, fun place to visit, wouldn't want to live there.
Posted by: Chamber President at 06/04/2008 01:42:41 PM
Thanks for mentioning Lago Vista. My wife and I came here from the north of England via Costa Rica, New York, Los Angeles and Houston and we're not moving again. It doesn't get better than Lago Vista - Lake Living, Texas Style!
Posted by: Moose at 06/07/2008 02:00:16 AM
Austin is a beautiful place to visit and even more beautiful to live. Steiner Ranch in the hills has a variety of prices for homeowners. A couple-of-minutes drive to the Oasis and the hillside view of the lake is unbelievable. You must visit to appreciate what Austin has to offer.
Posted by: april at 06/09/2008 05:40:16 PM
I have lived in Austin for over 20 years and I love it here...If you can find the right places, you will find the food is wonderful here. I will live here for as long as I can.
Posted by: Vivian at 06/11/2008 07:19:59 PM
I have lived in Austin for 5 years, moving here from Houston for college and I ABSOLUTELY FREAKING LOVE IT! It does get hot here too, but what can you expect from any city in Texas almost? Austin beats Houston in so many ways that I'm sad to see Houston as #1. Austin has so many more things to do than Houston. Live music venues, huge and awesome parks, trails, places to visit. Everything is closer together so you can waste less gas getting where you want to go - and taxis are plentiful...Best of all, the people are much more friendly here. In Houston I tend to find groups of people that cling to their own secluded selves and unless you know someone, it's hard to mingle.
Posted by: Christopher at 06/12/2008 10:14:00 AM
Austin is a nice place. But it is growing at such a mind-blowing pace it can't remain on this list indefinitely. Please, if you're in California - stay there. This place isn't all it's cracked up to be! It's hot, the prices of houses are going up, it's hot, and traffic isn't much better and lastly, it's hot. So, stay cool, remain in San Francisco with the knowledge that you made the smart choice by staying home - and dummies like me have to "suffer" Texas!
Posted by: Jim at 06/18/2008 11:51:27 AM
It's an OK place to visit, but the worst place I ever lived. After about ten days you have seen it all and there is nothing new to do or see. I can't believe people think this place has good weather. 90 one day and 25 the next. The horrible,humid summers last forever. I wouldn't return to that town full of bad drivers and rude arrogant Texans if you gave me a house in Westlake.
Posted by: claire at 06/19/2008 01:40:53 PM
I grew up in houston and moved to austin after college and i cant believe houston is #1 these writers have no idea what there talking about. houston is like the worst place ever!!! and austin is amazing
Posted by: stevear at 06/19/2008 01:56:46 PM
The problem with Austin is the influx of "others"...stay out if you don't like water, parks, trails, bugs & bats, gays, booze, education, and politics.
Posted by: Donna at 06/19/2008 02:13:50 PM
Austin is a great city, San Antonio is also a great city and all points in between, Yes it is very very hot, so if you can't take the heat then stay out of the kitchen. I moved here from Indiana 17 years ago what a great day that was. Yes some of the people are very hateful and full of themselves, but then you find that anywhere. Jobs are more about who you know and what color your skin is...If you like lots of single military men and women then this is for you. This whole area is more disciplined than most....This area is great for vacations, a lot to do and a lot to see. Cost of living is fair. Most inter-city high schools are a bit ruff but the small town schools are great and graduate a large amount of kids that go on to college...I will take this area over Houston anytime.
Posted by: JB at 06/19/2008 02:39:36 PM
Moderately priced housing???!!!... Austin is a great city but the traffic problems in Austin are enormously bad and will not be fixed ever. It is getting way too crowded and takes too long to get anywhere since you need a car. Poor public transportation although compared to other TX cities it's good. Perhaps 10 years ago Austin deserved to be on the list but not any more. The traffic and cost of housing issues are too much.
Posted by: E Guy at 06/19/2008 02:44:39 PM
Austin is a wonderful place to live, work and play. It is a multi-cultural playground that attracts persons of diverse backgrounds and persuasions intent on enjoying its abundant educational, occupational and recreational resources. It is a city which is constantly reinventing itself. A Austin resident since 1962, I have seen an Austin in dynamic transition ever since- never pausing in its evolution from sleepy capital of Texas to vibrant urban cultural center.
Posted by: Jennifer at 06/19/2008 03:05:40 PM
This is for Jim who responeded on the 18th: You must not have looked very hard when it came to going out and finding things to do. Austin is full of excitement and fun...Texas is in the South, so it is HOT and humid!! As for the bad driver's and the rudeness of Texans, you are soo wrong. Texans are the nicest people I've ever met compared to New Mexicans...are you from New Mexico?
Posted by: L at 06/19/2008 03:47:59 PM
How dismaying to find that Houston not only beats Austin but is ranked #1. It looks like they weigh local economy / cost of living ratio above all other factors, not taking into account the delights for which Houston is famous such as humidity, smog, traffic, rednecks, and a complete lack of cultural identity. Sure they have world-class museums but then again so does Detroit, Dallas, New York City, Austin, Topeka, etc. In response to Jim: I don't know how he experienced humidity. Our climate is classified as "semi-arid" meaning that it is either hot and dry or monsoon season here. Our traffic sucks but relative to Houston or DFW it's a walk in the park. Also I have heard more than once that if you live in Austin and you're bored, it's your own fault. There is so much to do here and for so many types of people too!
Posted by: Larry at 06/19/2008 05:44:18 PM
Austin is a victim of it's own success. Once the secret got out it became a terrible place to live: filled with ex-Californians and New Yorkers. The Austin that Texans knew and loved is LONG gone. The real Texans all moved out to West Texas to escape...
Posted by: Zach at 06/19/2008 05:45:32 PM
Austin has its positives and negatives. If your world consists of Tarrrytown, Westlake Hills, or the newer areas of downtown, it doesn't get any better than that. Things I don't like about Austin include the increasing rudeness of people here, the litter along every roadway and in every waterway, graffiti all over town, and lack of any planning for no-kill animal shelters like in other cities. It seems that while places like Houston and Dallas are awash in civic pride and are always improving, Austin's attractiveness continues to decrease.
Posted by: The Lawn Ranger at 06/19/2008 07:09:02 PM
I too can't believe that Houston is #1. Even Dallas is better than Houston. I've lived here for fifteen years when I moved hear for college, and I'll be here till I die. What is the deal with the Californians moving here? I own a business here and have notice many customers who have all moved here from Cal. I agree we should shut the door so that Austin stays wierd and great!
Posted by: Grace at 06/20/2008 12:53:41 AM
Well, claire, I beg to differ with you. I live in Houston, and it is everything Kiplinger says it is, and then some. I also like Austin, but there just isn't as much to do there in terms of professional sports, theater, museums, etc., as there is in Houston. Why not just be proud that TWO Texas cities made it into the top ten?
Posted by: Aaron at 06/20/2008 02:09:32 PM
I live in the burbs around Austin and work in the city. Traffic is not perfect but is getting better all the time. The views are great and there is plenty to do. While we might not have the major league sports or world class museums, we don't have the population and headaches that go with supporting them, like Houston. ..Austin offers the right balance in all the areas that matter...
Posted by: Dave at 06/21/2008 11:51:42 AM
Regarding the comment by "L", Austin's climate is not classified as "semi-arid". We do have occasional droughts, such as the one we're in now, but the humidity from spring through fall is usually not much less than in Houston. The heat is extremely uncomfortable here as a result. You have to go another 100 miles to the west before the air is typically dry enough to be comfortable. None of Texas' major cities have low enough humidity for the heat to be bearable. But the saving grace is that the weather is perfect from October through April.
Posted by: Tim at 06/25/2008 06:05:04 PM
All the people posting about how Austin is better than Houston...Try living inside the loop for a change. Then compare that to the humdrum of Austin. Yes, 6th street does in fact get old after a few nights. World class museums? Yeah? Name one. Dallas?...Don't hate, Houston's great.
Posted by: Monica at 07/05/2008 11:38:25 PM
So are the summers as hot as Vegas...? I am looking at relocating to the Austin area. Tired of nothing but casinos to entertain a person. And after dealing with 110+ from June thru Sept Austin looks like a piece of cake even with the humidity. Any one out there that can give an honest answer?
Posted by: Eric at 08/02/2008 05:16:12 PM
I have lived in both Houston and Austin. I actually like both cities for different reasons. I love Downtown Houston and I am a HUGE fan of all Houston professional sports. That being said, professional sports is about the only thing that Houston has over Austin. I believe this is the friendliest city in America. Granted, it's not as friendly as it used to be....but still the friendliest. Austin is a forward thinking city and it opens it's arms to all kinds. Austin is also one of the safest places to live. Try comparing our crime rate to Houston. I can't help but think that, because this is a financial magazine, they have 'sucked up' to the corporate giants that call H-Town it's home. Houston has great people! Unfortunately, it also has spawned some of the greatest political corruption in modern times. If you are a neo-con, you would love Houston and probably want to drop a bomb on Austin. Austin is a unique piece of Americana. Houston is a giant cookie cutter, of a metropolitan area.
Posted by: Allen at 08/18/2008 10:10:00 AM
I currently live inside the loop and Houston. I'm sorry but I totally disagree with Tim. Houston's outdoors life amounts to Buffalo bayou and hermann park..hardly a comparison to zilker park and hamilton pool. Houston has no identity of itself, part NY wannabe (downtown), part austin wannabe (heights), and mostly cookie cutter suburban. High crime rate and an influx of mostly uneducated illegal immigrants. Austin on the other hand has one of the lowest crime rates and is the live music capital of the nation.
Posted by: Christina at 09/27/2008 08:04:51 PM
I have been in Austin all my life (28 years) and love it!!! I have researched moving to other states and I just cannont fathom leaving such a beautiful town. Yes we have live music - this weekend is Austin City Limits. A huge musicial gathering of so many different and talented artists. Whole sections of downtown are closed, and there are so many people that make a living during these festivals just by riding a bike and pulling a small wagon with a few people in it. Or horse drawn carriages. This town is the best place to live. Not only about the music, but the different cultures, the food, and of course the business opportunities available here. Not to mention as the other posts say we are the city with a low amount of crime. So if you are serious about moving here, don't second guess it... its beautiful!!!
Posted by: kc at 12/13/2008 09:12:12 PM
GREAT PLACE for people who are not into "winning" and being hyper-consumers. Many of us take pay cuts to live here....we get to relax and enjoy city amenities but without all the drama and American Dream b.s....truly unique place for those that are into this way of thinking..
Posted by: Liam Harvie at 01/05/2009 12:17:12 PM
Forget Austin and Houston, the best place in Texas to live is San Antonio. We're bigger than Austin but without the traffic problems of Houston and Dallas. We're on the edge of the Texas Hill Country and only 2 1/2 hours away from both the Gulf and Mexico. Our cost of living here is low and we have only about 6 days a year that would not be good for playing golf. Check out San Antonio.
Posted by: Lang at 01/28/2009 09:36:28 AM
Austin sounds great. I'm looking for advice. I'm a "burnt out" NYC divorce lawyer, 50, single woman looking for inspiration to start over. Visited Texas (San Antonio, Corpus Christi) and fell in love with the state (I must say, I was surprised). Any thoughts from you Texans on an ex-Manhattanite moving to your climes?
Posted by: John at 01/30/2009 06:07:15 PM
Lang in NYC, Austin is "The Best" city in TX. Have lived here for 32 years and the city has a beat of it's own, great outdoor quality of life, with a very vibrant life music & downtown scene for all ages. You can head out to Big D or Houston anytime for a wkend visit and either is an easy drive.
Posted by: Rundberg58 at 02/10/2009 04:33:56 AM
Anyone who says Austin isn't humid is either a liar or too stupid to know what humidity is. 110 degrees of dry heat in the desert is nothing compared to 98 degrees of miserable humidity in Austin. Austin was an even better place to live before all the yuppies from out of state started changing things around town. Like the other guy said move to San Antonio. Leave Austin for us.
Posted by: Roman at 03/05/2009 12:55:51 PM
hey guys im looking to move from NJ ti TX. high taxes, average homes starting at $500,000, highest auto insurance rates ($1,200 per year for a perfect credit/college degree driver/average car) nasty brooklyn attitude on everyone's face, extremely corrupt politicians, strict gun laws, etc. any idea's where is a great place to start to live. wife's a nurse, and im a fireman. nothing ghetto, nothing dangerous, just a nice quiet place to live where i can feel ok with my wife walking our dog alone at night.
Posted by: Trixie186 at 03/17/2009 05:52:47 PM
Couldn't agree with Rundberg58 more... he/she's right on target. Austin is becoming super smug. It used to be a beautiful, quaint, quiet, family-oriented city, and now it's full of trust-fund yuppies or overly educated professionals that are fighting over the same low-paying jobs. I haven't even begun to mention the "Keep Austin Weird" wannabes or the pretentious "I'm a non-conformist though I’m trying to fit the fabricated Austin mold by being a weird artist." I moved to Dallas for a better, higher-paying job and a nicer house but ideally I WOULD choose San Antonio if I had the option, hands down! If you don't already have a GOOD job in Austin or a ton cash stored away, good luck fighting the crowds!
Posted by: Scott at 04/01/2009 01:09:41 AM
Rundberg58, It really depends on where you are from. My buddy from Santa Fe,New Mexico thinks its humid here, but I think it is dry being from Milwaukee, Wisconsin. In fact, I moved here a few years back in August and it did not feel that much worse, and that compares the 80 degree weather to 100+ in Austin. Also, people will keep moving to Austin because it is the best (in my opinion) city in America
Posted by: Scott at 04/01/2009 01:14:36 AM
Oh, and in response to Trixie186, there is no stopping the tech, biotech and green industry expansion in Austin, these will be around forever, a lot of these companies moved from SoCal to Austin because it is cheaper. Also, I know plenty of "overly educated (oxymoron?)" people that get paid bank here, so even though McDonalds might pay more in Dallas, doesn't mean everything will.
Posted by: Victoria at 04/13/2009 08:37:02 AM
Ouch Scott, and you are from Milwaukee? Seems like Austin yuppiness has rubbed off on you. Shame on you. I moved here from Milwaukee in 2005 and I had to take a "locality" pay cut to do so. When I moved here people talked about how cool it is, but really it isnt that great. The traffic is way worse than Milwaukee and the transit system for commuters isn't that extensive either. The schools are better in Wisconsin also. I think the people in Milwaukee are nicer and more down to earth, too. Its nice you love where you live, but don't you forget where you came from. So put down the Shiner and drink a Miller in honor of Brew City. I'd move back home if I could get what I paid for my house back in 2005.
Posted by: chris at 04/16/2009 10:06:33 PM
im from chicago moving down to Austin n August. What are the nicer surrounding suburbs to live in? what is there to do for entertainment?
Posted by: barb at 04/17/2009 05:37:11 PM
We're planning on relocating to Austin for the winter months and if we love it we'll live there yearround. What we have seen of Austin is very nice...nice friendly people...reasonable cost of everything from food to housing...traffic is a prob but if you are from Chicago or Detroit like me we're used to traffic. music scene is awesome...I've been all over and this town is the most desirable.