Retirement Retired Life

10 States Where Renting Is Draining Seniors' Retirement Savings the Fastest

Average rent is surprisingly high in several popular retirement states.

By Laura Gesualdi-Gilmore , Edited by Calista Headrick

Updated March 31, 2026

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Standard financial guidance suggests that no more than 30% of your income should be spent on housing costs like rent or mortgage payments. This can be particularly important for retirees living on a fixed income.

To help retirees and those approaching retirement avoid money mistakes, FinanceBuzz compared rent prices across the U.S. to the average income of residents 65 and older. These 10 states all exceeded that 30% standard with the highest rent-to-income percentages, despite several being hot retirement destinations.

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Washington

Rent to income percentage: 31.7%

Washington, where the rent-to-income percentage for retirees exceeds 30%, is not exactly known for its affordability. At $1,824 a month, median rents in the state far exceed the national average ($1,487).

While the Evergreen State boasts much beauty and tranquility, residents 65 and up make an average of $5,751 a month, which simply may not be enough to comfortably enjoy that tranquility.

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Oregon

Rent to income percentage: 31.7%

It may boast plenty of natural beauty, but the Pacific Northwest is not the most cost-effective move for retirees on a fixed income. Oregon ties Washington with a rent-to-income percentage of 31.7%.

The median monthly rent in the state is a bit cheaper than its northern neighbor, at $1,597, but the average monthly income for those 65 and older is also lower at $5,034.

Arizona

Rent to income percentage: 32.1%

Arizona draws many retirees with its dry heat and year-round sunshine, but the rent-to-income percentage for those 65 and over presents a financial hurdle for many. The median monthly rent in the state exceeds the national average at $1,672, and the average monthly income for retirees is $5,215.

On the plus side, the Grand Canyon State does not tax Social Security benefits.

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Massachusetts

Rent to income percentage: 32.1%

Many who spent their working years in or around Boston want to stay in Massachusetts to retire, but the state has one of the higher rent-to-income rates in the country, and median monthly rents are nearly $1,850. The average monthly income for residents 65 and up is $5,758.

The good news? Social Security payments are exempt from taxes in the state, but most other retirement income is not.

Nevada

Rent to income percentage: 32.2%

Nevada is another hot retirement destination with a range of perks that extend far beyond the glitz of Las Vegas, with plenty of natural beauty and gorgeous state parks to boot. Affordability, though, is generally not one of those perks.

The median rent in the state is $1,709, and the average monthly income for people 65+ is just over $5,300.

Georgia

Rent to income percentage: 32.2%

From the coastline to the lively streets of Atlanta to the foot of the Blue Ridge Mountains, it's clear why many retirees are drawn to Georgia. And though it does make our list as one of the least affordable for seniors, Georgia has the lowest median rent of any city on this list at $1,506.

It likely landed the No. 5 spot here because the average monthly income for 65+ residents is just $4,668.

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Colorado

Rent to income percentage: 32.5%

Colorado is one of the least affordable states when comparing average retirement income to rent prices. The median monthly rent in the Centennial State is $1,822, and both Social Security and income from other retirement accounts are partially taxed. Average monthly income for retirees is $5,610.

New York

Rent to income percentage: 32.7%

While New York City rarely makes lists of affordable places to retire, there are many smaller towns around the state where life is much less costly. Still, the median rent across the state is $1,634, and the average income for those 65+ is just $4,992, putting it above that 30% housing rule.

On the plus side, Social Security benefits are exempt from taxes in the Empire State.

California

Rent to income percentage: 35.2%

California has the highest median rent of any state in the country at $2,104. While it's easy to see why the weather and natural beauty would draw many retirees to the Golden State, the rent-to-income percentage is well above that 30% limit, with the average monthly income for retirees sitting at $5,973.

California also taxes retirement account income and pensions at some of the highest rates in the U.S.

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Florida

Rent to income percentage: 36.2%

While Florida took the top spot for the highest rent-to-income ratio in the country, the state has many other draws for retirees (beyond year-round warmth).

The Sunshine State has no income tax, which means no retirement benefits are taxed at all. However, the median monthly rent in the state is $1,812, and those 65+ average just $5,000 a month in income.

Bottom line

If you're hoping to downsize in retirement and relocate to an area where retirement dollars will stretch far enough to help pay your rent, consider the states that had the best average rent-to-income ratios.

Retirement dollars stretch far in Wyoming, the Dakotas, Iowa, and West Virginia — and average rents are below $1,000 in all of them.

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