These days, as I look through real estate data, Las Vegas keeps catching my eye.

While it used to have a strong image as a "casino city," it has now become one of the most sought-after residential cities for people moving from California.

I also regularly check housing price data, and I found it impressive that Las Vegas has steadily increased over the years rather than experiencing a sudden spike.

Currently, according to Zillow, the median home price in Las Vegas is around $420,000. For those coming from California, this price might elicit a response of "That's better than I expected!" since it's not easy to find a single-family home for $420,000 in LA or Orange County.

I actually did some calculations. If you put down 20% on a $420,000 home, that's about $84,000 upfront, and you would take out a loan of about $336,000. With a 30-year fixed rate at an interest rate of 6.75%, the monthly principal and interest would be around $2,180.

On top of that, you need to add property taxes and insurance. Nevada has relatively low property taxes in the U.S., so if we calculate the effective tax rate at about 0.6%, the monthly property tax would be around $210. Home insurance varies based on location and coverage, but you can expect an average of about $120 to $130 per month. If you're in a community with an HOA, there are often additional monthly fees of about $50 to $150.

Ultimately, for a typical home without an HOA, the monthly housing maintenance cost would be around $2,515. If there is an HOA, a realistic estimate would be around $2,600 to $2,700 per month.

So, what kind of income do you need? Generally, applying a DTI of 28%, a monthly income of about $9,000 is required, which translates to an annual income of about $108,000. For a dual-income couple, earning around $55,000 each would be a feasible level.

Interestingly, Nevada has no state income tax. Even with the same salary, you end up with more money in your pocket compared to California. Therefore, it's important not to just compare monthly mortgage amounts but also to consider actual disposable income. This is why many people moving from California often say, "Life is much more comfortable than I expected."

There are also regional differences. Henderson has a good school district and living environment, with median prices around $500,000 to $550,000, which is slightly higher than Las Vegas. Conversely, North Las Vegas offers options around $380,000 to $400,000, making it popular among first-time homebuyers. Summerlin, being a desirable area, often has listings exceeding $600,000.

Of course, you shouldn't make a decision based solely on home prices. The Las Vegas economy is significantly influenced by tourism and the hotel industry, making it somewhat susceptible to economic fluctuations. While logistics, data centers, and the sports industry are growing, the reliance on tourism remains high. It's essential to consider job stability and whether income can be consistently maintained.

Personally, I believe the biggest advantage of Las Vegas is the 'barrier to entry.' In California, you need to prepare $800,000 to $1,000,000 to consider a home, while here, you can often buy a comparable home for half that price. Especially if you can prepare a down payment of 25% to 30%, your monthly burden decreases significantly, broadening your options.

In conclusion, I see Las Vegas not just as a "cheap housing city" but as a market where the absence of income tax, relatively reasonable home prices, and still manageable mortgage levels come together. If the influx of people from California continues, there's a possibility of gradual price increases, making it a market worth considering for those looking for a home to live in.