Retirees have been looking for affordable sunny destinations for decades where they can extend their savings and enjoy a comfortable lifestyle. Places like Florida, Arizona and certain international hotspots are considered safe havens for older people who want to retire without financial pressure. But in recent years, those once unaffordable locations have experienced soaring costs of living, property values and taxes.
The harsh reality is that many retirement destinations considered budget-friendly only 10 or 15 years ago, the retirees they once attracted are now out of reach. Rising housing prices, inflation and a large influx of remote workers have pushed these areas into the “pricing” category.
Here are 10 retirement attractions that used to be famous for affordable prices but no longer bargaining.
1. Sarasota, Florida
Sarasota was once one of the most affordable coastal cities in Florida. With beautiful beaches, warm weather and many retirement communities, this is the first choice for seniors. But with the increasing popularity and influx of new residents, housing prices have soared more than 60% over the past decade.
Today, retirees find themselves competing with young professionals and remote workers, many of whom are driving the local housing market. Coupled with rising insurance costs, especially floods and hurricane coverage, Sarasota is no longer a budget-friendly paradise.
Retirees’ tips: Looking for smaller Florida towns in the interior that still offer reasonable costs but have access to beaches and health care.
2. Asheville, North Carolina
Asheville’s artistic atmosphere, mountain scenery and mild climate make it a favorite for retirees to seek a slower pace of life. But the housing boom in New York City and the towering property taxes make it difficult for retirees to settle with fixed income.
The city’s growing popularity among younger buyers and visitors has brought the cost of living to a level comparable to that of larger metropolitan areas. Even basic groceries and services, prices have risen sharply.
Retirees’ tips: Consider the smaller mountain towns in western North Carolina that offer the same natural beauty without the cost of Asheville’s expansion.
3. Austin, Texas
Austin has been praised as an affordable and vibrant city, and they want culture, food and a mild winter retirement. But housing prices have surged more than 80% over the past decade, mainly due to growth in the technology industry and a surge in population.
Although Texas does not have state income taxes, the rise in property taxes and insurance premiums also makes Austin a financial challenge for many retirees. Once a retired-friendly city, it was out of reach for those with a fixed budget.
Retirees’ tips: Looking for smaller Texas towns, such as Georgetown or the new Braunfels, these towns are still affordable compared to Austin.
4. Santa Fe, New Mexico
Santa Fe’s desert beauty, long historical and cultural scenes make it the highest retirement location in decades. But in recent years, house prices have soared far above the national average. Retirees who once thought they could buy quaint Adobe homes on their budget now find that the median home price is over $600,000.
As new immigrants seeking an art and laid-back atmosphere in the area have increased, so have the costs of utilities and groceries.
Retirees’ tips: Consider nearby towns, such as Taos or Las Cruces, which still offer the charm without the Santa Fe high-priced label.
5. Portland, Oregon
Portland’s mild climate, outdoor lifestyle and cultural appeal once became hidden gems for retirees. However, the city’s popularity has led to a sharp rise in housing costs and property taxes.
In addition, Portland’s growing population has increased demand for health care and amenities, increasing costs across the board. While the city is still beautiful and vibrant, it is no longer the once affordable retirement haven.
Retirees’ tips: Explore smaller Oregon cities like Salem or Eugene where the cost of living is still easier to manage.
6. Denver, Colorado
Denver used to be affordable for retirees who love mountains, outdoor activities and access to quality health care. Now, it is one of the most expensive cities in the western United States, with median housing prices exceeding $600,000 and climbing.
The influx of young professionals, coupled with a limited list of housing, has prompted many retirees to consider nearby suburbs and even other states. Additionally, daily spending such as groceries and catering has increased significantly due to Denver’s thriving population.
Retirees’ tips: Consider smaller towns in the western slope or southern region of Colorado that offer scenic spots without the high-priced labels in Denver.
7. Scottsdale, Arizona
Arizona’s warm climate and tax-friendly environment once made it a retirement destination, but the housing market in Scottsdale exploded. The development of luxury goods, coupled with the surge in new residents, has brought costs to homes and rents.
Once an affordable desert retreat, it is now compared to some California cities in terms of housing costs. Seniors looking for budget-friendly life usually have to look outside of Scottsdale.
Retirees’ tips: Nearby towns such as Mesa or Apache Junction are still affordable compared to the high-end communities in Scottsdale.
8. Charleston, South Carolina
Charleston’s southern charm, history and coastal beauties make it the highest point of retirement. But its popularity has led to higher housing prices, higher travel costs and higher property taxes.
The influx of remote workers and vacation home buyers makes it difficult for retirees to find affordable housing. As Charleston meets the wealthier population, even the cost of dining and entertainment increases.
Retirees’ tips: Look for smaller towns nearby, such as Summerville or Beaufort, at slower pace and at lower costs.
9. Naples, Florida
Naples was once one of the most affordable beach towns in Florida. Today, it is the most expensive, with median house prices exceeding $600,000. Wealthy out-of-state buyers drive prices, and property taxes and insurance costs follow.
Retirees who are planning to live with a fixed income now find that Naples is increasingly unable to obtain savings.
Retirees’ tips: Explore nearby towns, such as Cape Coral or Fort Myers, to offer budget-friendly options with similar facilities.
10. Boise, Idaho
Boise was once one of the most reasonable secrets of an affordable retirement. But over the past few years, its housing market has soared due to the influx of Californians and other out-of-state buyers.
The median home prices in Boise have doubled since 2015, with daily costs from groceries to health care rising. Retirees in Boise once thought have been priced now.
Retirees’ tips: Look at smaller Idaho towns, such as Twin Falls or Pocatello, where the cost of living remains low.
Why these attractions become expensive
Several factors have led to these rising costs:
- The influx of remote workers Who can afford higher housing prices?
- Housing supply is limited Combined with increased demand.
- Tourism-driven economies This prioritizes luxury living.
- Property taxes and insurance costs rise In coastal or high-risk areas.
- Inflation and higher medical expenses Hitting the retirees is the hardest.
These shifts mean that even states once known for their affordable life are no longer budget-friendly for retirees.
How retirees can still find affordable options
If your dream retirement location is now priced, there are other options:
- Explore smaller towns or suburbs Close to popular cities.
- Consider states without income tax For example, parts of Tennessee or Florida (outside the premium market).
- Looking for a position that has grown but not yet arrived Provide value before they are overspent.
- Rent before purchase See if the area is really right for your budget and lifestyle.
- Expand your search internationally, With some retirees finding higher value abroad in countries such as Portugal or Mexico.
Is your dream retirement location still affordable?
The idea of an affordable retirement location has quickly disappeared in many once currency-friendly areas. The housing boom, rising costs and demographic changes mean that today’s retirees need to go beyond traditional hotspots to find value.
Which previously affordable retirement destination do you think has changed the most, and where are the next retirees?
Read more:
7 Financial measures make retirement efforts harder than expected
Why selling a home in cash can backfire
Riley Schnepf is an Arizona native with over nine years of writing experience. From personal finance to travel to digital marketing to popular culture, she wrote everything in the sun. When she is not writing, she will spend time outside, reading or embracing two corgis.
