Retirement Retirement Planning

Everyone’s Chasing Florida - Smart Retirees Are Quietly Buying Here Instead

Retirees are looking beyond Florida as costs reshape the map.

By Kristin Hitchcock , Edited by Laura Hohenstein

Updated Oct. 18, 2026

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Editor's note: Retirement migration data comes from HireAHelper's 2026 retirement migration analysis, housing prices from Redfin, property tax rates from the Tax Foundation, and homeowners insurance costs from Insurify, unless otherwise stated. State tax and homestead exemption information comes from the applicable state revenue or tax agency.

Florida hasn't stopped attracting retirees. In 2025, roughly 45,700 Americans age 65 and older moved there, more than to any other state. The surprise is on the other side of the ledger: nearly 44,900 older residents left. That left Florida with a net gain of just 815 retirement-age movers.

The broader Census numbers tell a similar story. Florida's net domestic migration fell to 22,517 in 2025, down from more than 310,000 in 2022. If you're trying to save money in retirement, that shift is worth watching. Retirees aren't giving up on warm weather. Increasingly, they're finding it somewhere else.

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Florida's retirement math has gotten harder

Florida still has no state income tax, and its August 2026 median home sale price was about $383,400. But housing costs don't end at closing. Florida's average homeowners insurance premium reached an estimated $8,292 in 2025, up 18% in one year, largely because of severe-weather exposure.

Retirees and relocation professionals also point to rising housing costs, hurricane risk, traffic, and crowding. Florida remains attractive. It just isn't the automatic bargain it once was.

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South Carolina is taking the lead

South Carolina had the country's largest net gain of residents 65 and older in 2025, adding 5,427. Nearly 1,900 arrived from Florida alone.

The numbers help explain the appeal. The statewide median sale price was about $348,500 in August, while the effective property tax rate on owner-occupied homes was just 0.49%. Social Security isn't taxed, and residents 65 and older can qualify for retirement and age-based income deductions. South Carolina also temporarily raised its senior homestead exemption to $75,000 for tax year 2026.

There's a catch: Charleston, Myrtle Beach, and other coastal areas share some of Florida's hurricane and insurance exposure. South Carolina's statewide average home insurance premium was already about $3,092 in 2025. Health care access is generally strongest around Charleston, Columbia, and Greenville.

North Carolina offers more climate choices

North Carolina posted a net gain of 3,202 retirement-age residents in 2025. Unlike Florida, it gives retirees a choice between the coast, Piedmont cities, and cooler mountain communities.

The median home sold for roughly $373,500 in August, and the statewide effective property tax rate was about 0.66%. Social Security is exempt from state income tax, although most other retirement income can face North Carolina's 3.99% individual income tax. Qualifying seniors with lower incomes can also receive property tax relief.

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Tennessee trades the beach for lower taxes

Tennessee gained a net 3,191 residents age 65 and older in 2025. It doesn't have Florida's beaches, but East Tennessee and the Cumberland Plateau offer four seasons without giving up relatively mild winters.

Tennessee doesn't tax Social Security, pensions, IRAs, or 401(k) distributions because it has no individual income tax. Its effective property tax rate was only about 0.52%. There's no broad senior homestead exemption, although lower-income elderly homeowners can qualify for state property tax relief.

The August median sale price was about $378,300, though smaller markets can be considerably cheaper than Nashville. Nashville and Knoxville also provide access to major medical centers, while rural areas may involve longer drives for specialists.

Texas wins on housing prices, but watch the property tax bill

Texas added a net 5,156 retirement-age movers, second only to South Carolina. Its median home price was about $333,600 in August, and there's no state individual income tax. Large metros also offer deep health care options.

But Texas shows why looking at income taxes alone can backfire. Its roughly 1.40% effective property tax rate is among the highest in the country. The state softens that somewhat with a large school-district homestead exemption and additional relief for homeowners age 65 and older.

Florida also isn't the only place with expensive homeowners insurance. Texas averaged about $4,380 in 2025. Gulf hurricanes, hail, and punishing summer heat are real trade-offs.

Georgia sits somewhere in the middle

Georgia added a net 1,646 retirement-age residents in 2025. The August median sale price was about $358,500, while the effective property tax rate was roughly 0.79%.

Social Security isn't taxed, and Georgians age 65 and older can exclude as much as $65,000 of qualifying retirement income per person. The statewide homestead exemption is fairly modest, although counties can offer substantially better senior exemptions.

Atlanta offers extensive health care access, with additional medical hubs around Augusta and Savannah. North Georgia gives retirees somewhat cooler weather, while coastal Georgia brings hurricane exposure back into the equation.

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Alabama and Mississippi are the sleeper picks in the data

Alabama gained 1,828 older residents, and Mississippi gained 1,240 in 2025. Their housing prices help them stand out. August median sale prices were roughly $301,100 in Alabama and $277,700 in Mississippi. Effective property tax rates were just 0.37% and 0.58%, respectively.

Both states exempt Social Security. Mississippi generally exempts qualified retirement income as well, while Alabama exempts several pension categories and offers additional relief for certain retirement income. Both states also offer property tax breaks that can benefit older homeowners.

Bottom line

Florida may still attract many retirees, but the migration data shows the gap is narrowing as more older Americans look to the Carolinas, Tennessee, Texas, Georgia, and other lower-cost alternatives. The best choice depends on the full cost of living there, not just whether a state taxes retirement income.

One of the smart moves for seniors is to price the expenses that are easiest to underestimate before buying, like homeowners insurance, property taxes after reassessment, and travel costs if family lives elsewhere. A cheaper house can lose much of its advantage if those recurring costs come in higher than expected.

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