I did my first two years of education at a California CC. There are different things to take into account when going to a CC:
Pros:
--It's cheap. Live at home/cheap in-town apt, pay very low tuition rates, work part-time with CC's forgiving schedules.
Cons:
--You may lose out on some entering/freshman-only funding.
--Many Uni's limit numbers of transfer students.
--You may lost out on the connections established in that first or second year.
--You may have to repeat courses
My cons list is bigger, but with a good CC and very good planning, the cons almost disappear. Going to a CC will require more dedication and more planning than simply starting at a four year. That is why, in my opinion, that many schools like to tout that transfers do better. To move on from the two year requires more work, but it is work that will pay off in the long run.
Going out of state is obviously a problem. State schools favor in-state applicants, and in-state CCs often have transfer agreements with the four year Unis. If you have out of state applications, it will be extremely important to communicate with counselors at both the CC and potential out of state school almost monthly. You will need to send syllabi, course descriptions, and transcripts often. Getting great marks at a CC will signal, however, that you are a capable student and more matured than a high school graduate.