Many Americans dream about retiring abroad to stretch their dollars further. But a new report from GoBankingRates shows you don’t need to leave the U.S. to find affordable retirement living—even if Social Security is your main source of income.
The average Social Security check is roughly $2,000 per month. Yet, according to the Federal Reserve Bank of St Louis, households age 65 and older spend about $4,345 a month on average. That gap leaves many retirees searching for lower-cost options closer to home.
GoBankingRates identified 25 U.S. cities where retirees can live comfortably for under $2,000 per month. The study looked at housing costs, overall cost of living, percentage of retirees in the area, climate, and livability scores using data from the Census, Zillow, the Bureau of Labor Statistics, and other sources.
Tallahassee tops the list
The Florida capital is the most affordable U.S. city for retirees, with monthly expenses averaging $995 for renters and $1,248 for homeowners. That’s far below what most older households pay nationwide—about $1,787 a month just for housing, according to federal data.
Tallahassee has a liveability score of 85 out of 100, mild winters, and plenty of recreation. About 11% of its population is retirement age, and the cost of living is nearly 10% lower than average for older Americans.
Florida dominates the rankings
It’s no surprise that Florida claims eight of the top 25 cities. The state’s warm climate, lack of state income tax, and relatively affordable housing make it a magnet for retirees.
- Fort Myers ranks No. 2 with one of the nation’s largest retiree populations (22%) and a livability score of 85. Homeowners spend about $1,746 per month, while renters spend $1,468.
- Jacksonville (No. 4) offers coastal living at costs about 4% below the national average—homeowners spend $1,197 a month and renters about $1,073.
- Pensacola (No. 5) combines white-sand beaches with living costs 11% lower than the national average.
Other Florida cities in the top 25 include Orlando (13), Daytona Beach (16), Tampa (19), and Lakeland (25).
Texas and the southeast offer more affordable options
Texas has five cities on the list, thanks to low housing costs and no state income tax. These include El Paso (9), Dallas (10), San Antonio (14), Corpus Christi (15), and Midland (22).
The Southeast is another strong region for affordable retirement:
- Raleigh, North Carolina ranks No. 3.
- Greenville, South Carolina (6) and Columbia, South Carolina (21) combine Southern charm with low costs.
- Savannah, Georgia (12) and Athens, Georgia (17) are also great picks.
Few northern and western cities make the cut
Only three Northern cities crack the ranking: Providence, Rhode Island (8), Milwaukee, Wisconsin (20), and New Haven, Connecticut (24). This reflects how the South’s lower housing costs give retirees more breathing room.
The only Western city to make the list is Las Vegas (7), where renters average $1,203 a month and homeowners $2,089. Even though Vegas’ overall cost of living is 10% above the national average, healthcare is about 7% cheaper—a big plus since older households spend roughly $7,540 annually on medical expenses.
Affordable retirement is still possible in the U.S.
Retirees don’t have to pack their bags for another country to find an affordable lifestyle. From Florida’s sunny coasts to Texas’ booming cities, there are plenty of U.S. locations where living on Social Security is realistic—without sacrificing comfort.
The 25 best cities to retire affordably:
- Tallahassee, FL
- Fort Myers, FL
- Raleigh, NC
- Jacksonville, FL
- Pensacola, FL
- Greenville, SC
- Las Vegas, NV
- Providence, RI
- El Paso, TX
- Dallas, TX
- Norfolk, VA
- Savannah, GA
- Orlando, FL
- San Antonio, TX
- Corpus Christi, TX
- Daytona Beach, FL
- Athens, GA
- Charlotte, NC
- Tampa, FL
- Milwaukee, WI
- Columbia, SC
- Midland, TX
- Atlanta, GA
- New Haven, CT
- Lakeland, FL
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