Boomers and those approaching retirement are prioritizing happiness over affordability when deciding where to spend their golden years.
The city of Naples, FL, with its pristine beaches, world-class golf courses, and year-round sunshine nabbed the top spot in the U.S. News & World Report’s 2025 Best Places To Retire list. The median list price is $749,000, more than $300,000 over the national median.
Coming in second was Virginia Beach, VA, with a median list price of $425,000, which also boasts beaches and waterfront restaurants. New York, NY—where the median list price is a staggering $1,599,000—came in third due to its easy access to theaters, restaurants, and bars.
But there are other important factors to consider “when thinking of relocating and starting a new life,” says counselor Michael Anderson of Elizabeth, CO. “There are lifetime goals and priorities that every individual must consider.”
Since where to retire is as crucial a decision as when to retire, it’s certainly not something to be taken lightly. Here are six essential steps every retiree should take before making a final decision.
1. Create a budget
Once you start narrowing down potential retirement locations, it’s important to ensure you can afford to live there.
“It is super important to make a budget before making a big move, especially if you are on a fixed income. You don’t want to get in over your head, especially if you are moving to a place that is far from the support of family and friends,” explains Gary Massey, managing director at Massey and Company CPA based in Atlanta and Chicago.
“You need to consider property taxes, sales taxes, and estate taxes. Every state is different,” says Massey.
Nine states have no state income tax: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming.
However, that doesn’t necessarily mean they’re a bargain.
“States without an income tax often make up the difference by charging more for property taxes and sales taxes,” says Massey.
Insurance is another factor to take into account, particularly if you’re relocating to a region with greater climate risks.
“Always check on homeowners insurance, renters insurance, and auto insurance before deciding on a place to live. Those are ‘invisible costs’ that you might not notice until later,” says Massey.
It’s also important to keep in mind the price of utilities and groceries, in addition to the overall cost of living.
2. Evaluate access to health care
Access to quality health care is critical when choosing a place to retire.
“As we age, the likelihood of needing specialized care increases, and being near excellent health care facilities ensures that medical issues can be addressed promptly and effectively,” says physician Dr. Anthony Giuffrida, who treats many retirees at the Paley Orthopedic and Spine Institute in Fort Lauderdale, FL.
Choosing a retirement location with a strong health care network is an investment in your future health and well-being.
“For retirees managing chronic conditions, proximity to advanced treatments can greatly improve quality of life and mobility,” says Giuffrida.
In addition, having access to preventive care and early treatment can help prolong life by minimizing the risk of complications from conditions that go undiagnosed or untreated.
3. Scope out social connections
While retirement is often linked to relaxation and freedom, it can also bring about a range of emotions.
“Some retirees struggle with losing their routine, which can lead to feelings of depression or loneliness,” says Jeanne Cross, a licensed therapist in Denver. “Social connections play a vital role in combating this.”
Numerous studies show people who cultivate strong social connections are more likely to live longer.
“Having friends and a full, active life makes people happier, less isolated, and promotes better mental, physical, emotional, and social health,” says Sara Carbonell, director of marketing at Amblebrook at Gettysburg, a 55-plus community in Gettysburg, PA.
Connecting with like-minded people can help you build lasting friendships, so look into pickleball leagues, retirement communities, or book clubs that foster meaningful connections.
4. Pursue a sense of purpose
While many people look forward to retirement, some people struggle with losing their professional identity.
“They’re not quite sure what to do with themselves, as work previously was something that they strongly associated with their sense of well-being or purpose,” says licensed clinical social worker Mallory Grivner, who primarily works with seniors and retirees in Blue Bell, PA.
Research volunteer opportunities, part-time jobs, or hobbies that can bring a sense of fulfillment “by introducing new goals and purpose into life,” says Anderson.
5. Go over your plans with family
Discussing your retirement plans with family can lead to emotional reactions, especially when they’re hesitant about your moving away.
“This is certainly a challenge for a lot of our clients,” says retirement relocation consultant Mariana Lange, of Austin, TX. “And even though it is very much a personal choice, we encourage our clients to live for themselves and to do what is right for them and their overall happiness.”
To make the transition easier, explain your reasons for relocating, listen to family members’ concerns, and set up frequent visits.
Relocating closer to family can sometimes create tension as well, since living nearby doesn’t always result in deeper connections.
“Your children and children’s children will go their directions regardless of whether you’re next door or 500 miles away,” says retiree Richard Harr, 78, of Leesburg, FL. So it’s important to manage your expectations.
But no matter where you live, your family is only a phone call (or a FaceTime call) away.
“Today’s technology is a very advantageous development and helps ease retirees’ minds so that they can stay in touch easily with friends and family back home,” says Lange.
6. Consider trying before buying
Renting temporarily can be a practical way to explore a new location before deciding on a permanent move.
“Doing so may also help reassure worried family members that the move is a real possibility,” says Grivner.
Lange often advises renting for six months to a year before purchasing property, as it provides the flexibility to genuinely assess the area and the overall vibe of a place before making a long-term commitment.
This approach allows you to experience things like the weather, the transportation system, and the political climate to determine if the location is a good fit for you.
Originally by posted to realtor.com by Julie Taylor
