Retirement Retired Life

10 Worst Cities for Retirees in the South (Don’t Be Fooled by #4)

You may want to rethink a move to some of these southern towns when you retire.

By Chris Lewis, CEPF , Edited by Laura Hohenstein

Updated Jan. 27, 2026

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You might be looking forward to retiring and packing up to move somewhere warm, but the grass isn't always greener in the South.

Some cities could be welcoming, while others will have issues you haven't considered. Have you researched the cost of living, crime rate, or simply the ability to enjoy your retirement years in your desired location?

Consider revisiting some of these cities on your list as you make your retirement plan.

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Hilton Head Island, South Carolina

Hilton Head Island has been welcoming visitors for decades. If you have vacationed there, you may like to retire to the coastal town.

But Hilton Head Island is also expensive, which can quickly eat into your retirement savings. For example, according to Redfin, the median sale price for a home in August, 2026, was $749,504 higher than the national median sale price of $398,596 for the same month.

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Palm Beach, Florida

Palm Beach is becoming out of reach for more retirees due to the high cost of living as well as other issues affecting Florida residents.

Beyond food, housing, and utilities, you should factor in expensive health care, retirement communities' fees, homeowners' insurance, and sales tax if you're considering Florida.

Nashville, Tennessee

Nashville is home to plenty of music and entertainment venues for retirees to enjoy, but there could be hidden costs to living there.

Nashville may not be as welcoming for retirees compared to younger residents, and its health care availability and cost could also end up being more expensive than what you can afford when you're retired.

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Raleigh, North Carolina

Taxes can be an important factor when you're trying to decide where to retire, and cities like Raleigh or Durham may not be a good option if that's an issue for you.

The state doesn't tax your Social Security income, but it does tax withdrawals from your retirement accounts as well as any money you might receive from a pension.

Gulfport, Mississippi

If you're looking for a place with a water view or to enjoy outdoor activities like fishing, Gulfport is right on the water.

But you'll have to balance the access to water with a lack of access to good health care, which could be a bigger issue as you age in this city.

Atlanta, Georgia

Atlanta is a hub of entertainment with access to the busiest airport in the world, making it a great option for travel when you retire.

But Atlanta has a few downsides. You'll have to deal with plenty of traffic that may discourage you from going out to enjoy retirement. The hot and humid weather could be a barrier to outdoor activities, too.

And while the cost of living in Atlanta is about 6% lower than elsewhere in the U.S., the cost of health care is 1% higher, according to RentCafe.

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New Orleans, Louisiana

New Orleans can fulfill your needs for music, entertainment, and food, but you may want to reconsider moving there if you're concerned about affordability.

The city ranks experiences its share of extreme weather events and insurance companies have responded by raising rates. Retirees may struggle to pay for increased home and flood insurance coverage.

Montgomery, Alabama

Montgomery could be a good option if you're looking for affordable housing. The median sale price of a home was $191,873 in August, 2026, according to Redfin.

The taxes, however, could put a damper on retirement there. The state income tax rate ranges from 2% to 5%, and the state sales tax is 4%. The state taxes withdrawals on traditional retirement contributions as regular income.

However, income from a pension or Social Security is not taxed, and there is no estate or inheritance tax.

Tulsa, Oklahoma

Tulsa could be a good option if you want a southern town with a Western feel, but be aware that health care options may be limited and expensive.

The state ranked 48th in the nation for health care access and affordability. Oklahoma also ranked 50th in the nation for breast cancer deaths, according to a 2025 Commonwealth Fund report.

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Fort Smith, Arkansas

Fort Smith is located along the Arkansas River, giving you access to outdoor activities like fishing and kayaking.

But the city lags compared to other retirement locations for health care or quality of life while you're living there, which may not help you lower your financial stress in retirement.

Bottom line

Retirement can be a great way to reset your life and try something new by moving to a new city.

When you can choose where you want to live, you still have many considerations. Weather, activities, the cost of living, and health care are all important.

You've worked for years to build real wealth. Making one more "right" decision on where to spend your retirement years is the payoff for your good planning.

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