Are you Considering Moving to the Bay Area for a Tech Job?

Photo by Gary Meulemans on Unsplash

I moved to the Bay Area from Michigan a little more than 8 months ago. Since then I rented an apartment in San Mateo, then my wife and I decided to purchase a house in Castro Valley (East Bay). In this article, I’m going to reflect on my move from South East Michigan (specifically the Royal Oak / Ferndale / Madison Heights area) to the Bay Area. If you’re planning on taking the leap to move to the Bay Area, I hope my journey will help you with the decision-making process. Here’s what I’m going to cover.

1. The Weather
2. Cost of Living
3. The Food
4. Traffic
5. Work-Life and Compensation
6. Overall Savings Rate Since the Move 
7. Social Life (Family and Friends)
8. Conclusions for Anyone Planning a Move to the Bay Area

The Weather

The weather, thus far, is more moderate than in Michigan. Having lived in Foster City (which is right by the bay) and then in Castro Valley, I can say that the temperature has always been in the 65-80F range and hasn’t fluctuated too much above or below those limits for most of the year. It never snows here, and the coldest it will ever get is around the low 60s.  

Cost of Living

The rent here is, to put it bluntly, a scam; a 2 bedroom apartment in the Bay Area will cost you anything from $2500/month to $4500/month depending on where you live and how many amenities you want. I was paying almost $3000/month for a 2 bedroom apartment in Foster City; compare that to a $1700/month mortgage payment for my 2600 sq.ft., 3bed-2bath house in Michigan.

The cost of living in the bay area is absurd, and because people are throwing so much money away in rent they aren’t able to save for a house fast enough. Luckily, having spent 5 years in a low-cost living environment such as Michigan allowed us to save and invest enough money to pay for a house in the East Bay. We are paying $4800 in mortgage costs for a 4 bedroom, 3 bathroom house. If you have kids and are looking for a 3 bedroom rental in a good school district, it would cost you around $4000-$5000. A typical single-family home in the Bay Area is starting to hit about $1 million.

The Food

There is both greater quality and quantity of restaurants in the greater Bay Area compared to Michigan. My wife and I have been going out more often just because there are so many delicious varieties of food to try: tacos, pho, dim-sum, Himalayan food, Cantonese food, dipping Raman, dumpling houses. Did I mention tacos? Whatever food you’re looking for, the Bay Area probably has a dozen options for that type of food. However, many restaurants can be hit-or-miss because of the number of restaurants and it’s difficult to find food gems.

The Traffic

The traffic in the Bay Area is bad, but it depends on where you live and what freeways you take. I have a 30-minute commute, however, some of my co-workers have more than a 1-hour commute time (with traffic). If you’re considering a move to the Bay Area, pay close attention to where you live and how you plan to commute to work. The highways you take and the public options available will make the difference between a 30-minute and 1-hour commute.

Work-Life and Compensation

If you’re thinking about joining a larger tech company or even a start-up, the total compensation is greater than that of a traditional large company in the midwest. I’m being paid more than 60% more at my current company than what I was paid working in Michigan. Also, working at a startup or a tech company offers equity and stock benefits. Although there is an inherent risk with smaller companies, I think there is more potential reward and upside if the company succeeds and you hold on to the stock options. 

Furthermore, I have much more responsibilities in my current role. This comes as a double-edged sword because even though I am learning more and in charge of more, I’m probably working 10 additional hours a week compared to my previous job in Michigan. Fortunately, the culture at my company seeks to strike a work-life balance and encourages employees to take time off to prevent burnout. Make sure you understand the culture of the company you’re joining and you level-set your expectations accordingly.

Overall Savings Rate Since the Move 

Despite the large cost of living increase, my wife and I have been able to save around 30% more compared to what we were able to save in Michigan. Even though the cost of living is almost 2x as much compared to the cost of living in Michigan, other commodities, such as food, utilities, groceries, clothing, are only 10-20% more expensive.  

Social Life (Family and Friends)

My wife and I have never been extremely social people, so I can’t comment about the social side of the bay area. We have, however, been able to spend more time with our parents and our siblings since they also live in California. This was a big part of our move. Having the luxury and peace of mind in the ability to drive down to see your parents any given weekend has made the move to California worth it. 

Conclusions for Anyone Planning a Move to the Bay Area

I think it’s important to ask yourself a couple of questions before moving to the Bay Area: 

1. Can I save more money after considering the increased cost of living and increased salary compensation?
2. Am I going to get equity in a company that has a promising future? 
3. Am I looking for a challenge in my career, and am I willing to put in some more time into work? If so, will this challenge help me grow and develop in my career path?
4. Will I be closer to family and loved ones? 

If you can answer yes to any of these questions, I think it’s definitely worth making the move. If you’re coming for just the food and the weather, it’s not worth it. I would like to add that if my wife and I were able to work fully remotely, to maintain my compensation (or at least 90% of it), and all my family all of a sudden moved to Michigan, then I probably would have stayed in the Mid-West.