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9 Unexpected Cities Retirees Are Flocking to in 2025

Discover the hidden gems where retirees are finding their perfect spot for their second act.

By Amanda Teague

Edited by Lauren Wellbank

Updated Feb. 27, 2025

When planning for retirement, many people think of Florida or California, but a surprising trend is emerging — retirees are flocking to unexpected cities that offer affordability, quality healthcare, and a high quality of life.

If you want to maximize your retirement savings without sacrificing comfort, these under-the-radar destinations might be worth considering.

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Charleston, West Virginia

Charleston offers retirees the best of both worlds — scenic mountain living with big city conveniences. Situated at the confluence of the Elk and Kanawha rivers, the city provides easy access to outdoor attractions like Kanawha State Forest and the New River Gorge National Park, while also boasting cultural gems like The Clay Center for Arts and Sciences.

With one of the lowest median monthly housing costs in the South, and a planned phaseout of Social Security taxes by 2026, Charleston is emerging as a budget-friendly retirement haven.

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Huntsville, Alabama

If you're considering retirement in the South, Huntsville is an excellent choice. The city offers a great mix of dining, entertainment, and outdoor recreation, with scenic parks, trails, and greenways. Redstone Arsenal provides valuable amenities for retired military members, making it a great option for veterans.

With a cost of living 8% lower than the national average and housing costs nearly 28% lower, Huntsville is an affordable retirement destination. Plus, Alabama doesn’t tax Social Security benefits, helping retirees stretch their savings further.

Des Moines, Iowa

Des Moines offers big city amenities with a small town feel, making it a welcoming spot for retirees.

With a population of over 210,000, the city boasts attractions like the Downtown Farmers’ Market and the Greater Des Moines Botanical Garden, plus a thriving live music scene at places like Wooly’s and Hoyt Sherman Place.

Iowa is highly tax-friendly for retirees, exempting Social Security benefits from state taxes. Additionally, residents age 55 and older are also exempt from paying state taxes on retirement income, including distributions from 401(k)s, IRAs, pensions, and annuities.

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Maryville, Tennessee

Located between Knoxville and the Great Smoky Mountains, Maryville is an ideal retirement destination with a welcoming, tight-knit community. Not only that, but 18.3% of residents are 65 or older, which means retirees will be in good company.

Outdoor lovers can enjoy Bicentennial Greenbelt Park, while history buffs can explore the Blount County Historical Museum.

Tennessee is incredibly tax-friendly, with no state income tax on wages, Social Security, pensions, or retirement withdrawals, allowing retirees to stretch their savings.

Rochester, Minnesota

With a population of 122,413, Rochester offers retirees a comfortable, mid-sized city with a cost of living below the national average. The median home price is just $335,000 compared to the U.S. average of $418,489. The city also features several 55+ communities for those seeking added amenities.

One of its biggest draws is access to world-class healthcare at Mayo Clinic, the top-ranked hospital in the nation, making Rochester an ideal location for retirees prioritizing health and affordability.

Kalamazoo, Michigan

kalamazoo skyline in front of lake and bridge in michigan

Located in southern Michigan, Kalamazoo is a charming and affordable place to retire. Just an hour from Lake Michigan, retirees can enjoy beautiful beaches like South Beach and Hagar Park Beach, while also exploring local restaurants and family-owned shops in town.

With a median home price well below the national average, Kalamazoo offers great value. Plus, Michigan’s new tax laws will allow retirees to claim the maximum pension deduction by 2026, making it an even more budget-friendly retirement destination.

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Bennington, Vermont

Dreaming of New England charm? Bennington is a quaint small town of just over 15,000 residents that offers walkable streets, a lively restaurant scene, and rich cultural attractions.

Situated in the Green Mountains, it provides year-round outdoor activities like hiking, biking, and skiing.

Vermont is one of the best states when it comes to healthcare, with the second highest number of community health centers in the country, with roughly 1.70 per 100,000 state residents.

It’s also frequently listed as one of the safest states to live in, with low crime rates across the board. Plus, with a median home price of just $177,500, Bennington is an affordable place to retire.

Yuma, Arizona

Yuma, Arizona, is a sunny and affordable retirement destination with a low cost of living compared to other parts of the state. The median home price is around $270,000, making it an attractive option for retirees looking to stretch their savings.

With year-round warm weather, Yuma is perfect for outdoor enthusiasts, offering golf courses like Desert Hills Golf Course, scenic parks like West Wetlands Park, and events at the Yuma Art Center.

Fredericksburg, Texas

Settle down in Fredericksburg, Texas, a charming town in the heart of Texas Hill Country. Known for its award-winning wineries and rich German heritage, Fredericksburg offers a mix of small-town charm and cultural attractions, including the National Museum of the Pacific War and Pioneer Museum.

Texas is a top retirement state with no state income tax, and Fredericksburg’s cost of living is 7% below the national average.

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Bottom line

These unexpected cities are quickly becoming top choices for retirees seeking an affordable and enjoyable place to settle down. From small towns with low costs of living to cities rich in culture and amenities, there are numerous options that provide the perfect foundation for a stress-free retirement.

Moreover, many of these destinations — like Charleston and West Virginia — are enhancing their appeal with tax incentives and amenities tailored to older adults, making them even more attractive for those looking to retire in comfort.

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Author Details

Amanda Teague

Amanda is an accomplished writer who is featured in several online publications and is a dedicated explorer of both the world and the written word. Her writing often intertwines her love for travel and finance, delving into topics like saving money to fuel adventures, finding the best travel credit cards, and exploring budget-friendly ways to see the world.