California's Population Is Growing Again After Years of Decline

California's population grew by 108,000 in 2024, driven by immigration and births. Explore the factors, challenges, and what it means for the state’s future.

California's Population is Growing Again After Years of Decline NewsVane

Published: May 1, 2025

Written by Lachlan Green

A Turnaround for the Golden State

California’s population is climbing again. After years of decline during the pandemic, the state added 108,000 residents in 2024, bringing the total to 39,529,000 as of January 2025, according to the California Department of Finance. This marks the second straight year of growth, a shift that has caught the attention of policymakers, economists, and residents alike.

The numbers tell a story of resilience. Revised data from both the state and the U.S. Census Bureau show that earlier estimates of population loss were overstated. For instance, 2023’s growth was adjusted upward to 192,219 from an initial 67,104. Even 2022, once thought to have seen a sharp decline, showed only a minimal drop of 151 people. These revisions paint a picture of a state rebounding faster than expected.

What’s Fueling the Increase?

Several factors are driving the uptick. Legal immigration has surged, with 277,468 more immigrants arriving between 2021 and 2024 than previously estimated. Many come from Asia, filling critical roles in technology, healthcare, and agriculture. The state’s natural increase, where births outpace deaths, added 114,805 people in 2024, largely due to higher birth rates among Latino communities.

Regional trends also play a role. Counties like Riverside, San Bernardino, and Fresno saw strong growth, tied to more affordable housing and job opportunities in agriculture and logistics. Meanwhile, coastal areas and the Central Valley reported gains as well. K-8 school enrollment rose by 13,890, and the 65-and-older population grew by 25,298, reflecting an aging but still expanding demographic.

Yet, not all the news is rosy. California continues to lose more residents to other states than it gains domestically. High housing costs and taxes push some toward places like Texas and Florida, where living expenses are lower. Still, international arrivals and births are now more than offsetting these losses.

A Broader View: Challenges and Opportunities

The growth brings both promise and pressure. Economists note that immigrants boost productivity and tax revenues, with immigrant households contributing nearly $90 billion in taxes nationwide in 2023. In California, they help sustain industries facing labor shortages. But rapid population increases strain housing markets, schools, and public services, especially in fast-growing areas like the Inland Empire.

Some stakeholders raise concerns about sustainability. Business owners in high-cost regions like Los Angeles and San Francisco point to regulatory burdens and taxes as barriers to growth, echoing sentiments that fuel out-migration. Meanwhile, advocates for affordable housing argue that the state’s zoning laws and slow construction permitting exacerbate shortages, making it harder for newcomers to settle.

Others see the growth as a chance to double down on California’s strengths. Leaders in Sacramento highlight the state’s economic clout, with its $3.9 trillion economy ranking fourth globally. Investments in technology, renewable energy, and education continue to draw talent from around the world, even as debates persist over how to balance growth with affordability.

Looking Ahead: Can the Momentum Last?

California’s population rebound raises questions about its long-term trajectory. The state’s growth rate still lags behind the national average and fast-growing peers like Texas and Florida. Declining birth rates and an aging population, trends seen across the U.S., could slow future gains. By 2030, K-12 enrollment is projected to drop further, signaling a shrinking youth population.

Policy choices will shape what comes next. Efforts to boost housing construction, streamline regulations, and expand social services could help retain residents and attract newcomers. At the same time, federal immigration policies, which influence the flow of legal migrants, remain a wildcard, especially under shifting national leadership.

For now, California’s growth signals a state adapting to change. Its ability to navigate the tensions between opportunity and strain will determine whether this rebound becomes a lasting trend or a fleeting moment.