8 Underrated Southwest Towns Where You Can Retire on $1,800 or Less a Month

You may be considering the Southwest as a destination for your retirement. After all, it's an area known for nice weather and plenty of cultural experiences to keep you active and engaged after leaving full-time work. 

However, you may be concerned about the cost of living in some of the well-known cities in that part of the country.

If so, here's a look at some underrated towns in the Southwest that may fit into your retirement plan and budget.

All data about housing prices are from Zillow unless otherwise noted.

Average rent: $1,500

If El Paso isn't on your radar for retirement, it should be. According to PayScale, the cost of living in El Paso is 12% lower than the national average. And that's not where the savings stop, housing is about 28% lower and groceries are about 5% lower.

While temperatures may be high in El Paso — which is great for anyone who is hoping to work on their tan in retirement — crime rates are low, making it a safe environment for retirees who are prioritizing peace and quiet during their golden years.

Average rent: $949

Canyon has been named as one of the top 10 small towns in America more than once.

Nature lovers will find plenty to enjoy in Canyon, thanks to the natural beauty of the town. Housing here is about 26% lower than the national average, but if you want to buy a new home in your retirement, you may need to search around for a good deal on a house to avoid paying too much. That's because home prices have gone up 2.2 percent in the last year.

Average rent: $850

You may have been considering New Mexico for retirement, but not sure what town may be best.

When it comes to affordability, Portales ranks among the best in New Mexico and the Southwest. The median property tax is $611 per household, making it an affordable choice for homeowners. Nature lovers will also enjoy retiring to this spot thanks to the city's proximity to Oasis State Park, where both fishing and wildlife encounters abound.

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Average rent: $1,450

Beaumont is a good place to look if you want to retire in Texas. Here, retirees will find a cost of living that is 7% lower than the national average, and housing costs are 22% less.

As for staying active, seniors will have plenty to do, including visiting some of the area's local museums, like the John Jay French Museum and the Art Museum of Southeast Texas. If you plan to dine your way through your retirement, you'll want to visit some of the local eateries that call this area home, including plenty of BBQ and Tex-Mex establishments.

Average rent: $1,300

You can enjoy a suburban feel in Clovis, where the population hovers around 38,000 and includes a mix of retirees and families.

Seniors who are looking for things to do in town can visit some of the area's unique offerings, which include the Norman & Vi Petty Rock 'N' Roll Museum and the Norman Petty Studios. Not only that, but retirees who want to stay close to healthcare options won't have to travel far to see the doctor, because the city is home to the Plains Regional Medical Center.

Average rent: $1,500

You don't need to retire to Las Vegas to enjoy the fun in Nevada. That's because Elko offers its residence a natural glitz and glam thanks to the stunning scenery of the Ruby Valley. Active seniors can hike the Ruby Crest trail, while those who want to experience more nightlife can visit the town's Old West saloons for a cold one.

Average rent: $1,500

If you think Phoenix is nice but a bit too expensive for your retirement, then Douglas may be just the spot. Like Phoenix, this town offers warm weather and plenty of recreational activities. According to BestPlaces, the cost of living here is 15.2% lower than the national average and 20.3% lower than the rest of the state.

That makes Douglas a great option for those who want all of the perks of living in Arizona, without the cost of some of the more popular (and pricy) towns.

Average rent: $1,200

If you're looking for an affordable place to retire, check out Hugo, Oklahoma. It may be tough to find a town in the Southwest where you'll pay less for housing. That's because the cost of living here is 26.7% lower than the national average, according to BestPlaces, and 10.8% lower than the rest of the state.

Hugo offers the charm of a rural town with plenty of activities, which include the Frisco Depot Museum. Looking to find a sense of community? Consider joining the town's Senior Citizens Club, which welcomes members who are ages 55 and up.

You may be working to set yourself up for retirement. If your plan includes settling in the Southwest, there are lots of towns where you can retire on $1,800 or less a month.

One way to find an affordable city is to look at metro areas you like and then branch out to nearby smaller towns. Generally, this can help you find more affordable living. Additionally, don't let the sticker shock scare you while some average prices may seem high, there are plenty of lower priced options outside of city centers.