Discover 6 attractive cities where retirees live on modest budgets

Research shows that many Americans dream of spending their golden years in a small town, preferring the tranquility of a slower pace to the nonstop energy of big cities or the crowds of coastal communities.

To help turn this vision into reality, Investopedia She joined forces with Travel + entertainment To conduct a data-driven analysis of housing costs, daily expenses, access to health care and local amenities nationwide. The result is a curated list of six cities—each with a population of less than 5,000—where retirees can find the rare combination of affordability, health care and community that makes small-town living so attractive.

1. Gregory, South Dakota

Gregory County, once considered America’s “last frontier,” was opened to settlement in 1904 by presidential proclamation. Originally, 2,600 people were given a 160-acre plot of land. Today, the county remains home to only 4,000 residents, of whom about 1,200 are in Gregory itself.

As the smallest city by population on our list, Gregory embodies the best of small-town affordability. Gregory County ranks in the top 10 counties nationwide for lowest median housing values ​​and ranks in the top three for lowest median housing costs on our list of the 50 Best Places to Retire. Here, the median home value is just $129,000, and typical monthly housing costs are $589.

Another affordability point is that South Dakota also does not tax Social Security benefits or withdrawals from 401(k)s, IRAs, and pensions.

Gregory offers many opportunities for retirees to bond — from friendly matches on the city’s tennis courts and horseshoe pits to rounds on the scenic nine-hole golf course. Gregory County’s hunting areas also attract people from all over the country for perfect deer and pheasant hunting.

2. Corning, Iowa

With a population of about 1,500, Corning, Iowa’s historic sites and picturesque Main Street lined with family stores may remind you of simpler days when conversations were slow and community connections ran deep.

Gather with friends at a cozy café, catch a performance at the historic Corning Opera House or the American Theater, or relax at the city’s expansive aquatic center – featuring a zero-entry pool, concession stand, and more. Just outside the city, Lake Ikaria offers a variety of activities, including disc golf, hiking, boating and fishing, making it a hub for outdoor socializing.

All this small-town charm at surprisingly affordable prices. Adams County has some of the lowest median home values ​​($116,900) and monthly food costs ($588) among all the counties featured. Iowa also exempts Social Security benefits and retirement withdrawals from state taxes, allowing retirees to stretch their money further in Corning.

3. Tryon, North Carolina

This community has been rated as “the Friendliest City in the South,” united by its intense love of horses. But the city offers more than that. There are golf courses, parks, trails, wineries and vineyards to explore with friends among its 1,600 residents.

Retirees enjoy an extended season for outdoor activities here, thanks to the city’s unique location along a mountainside. A rare weather phenomenon known as the “thermal belt” brings milder winters and cooler summers compared to surrounding areas, making Tryon a great place to visit all year round.

Besides its many arts and entertainment institutions, Tryon may be the small town in this article with the most things to do. There are also dozens of healthcare institutions and a few hospitals in the county, making this small city rank highly for access to healthcare.

However, these small-town amenities don’t come at a low price. The median home value in Tryon-Polk County is $281,000, and monthly taxes are about $700, placing it among the top 50 cities on our complete list of best places to retire.

4. Santa Rosa, New Mexico

Only about two hours from anywhere in New Mexico, Santa Rosa is a small city of about 2,700 people that features a historic downtown district and scenic drives along the Pecos River to Puerto de Luna.

Santa Rosa also features the fishing spots of Blue Hole Fishing Pond and Perch Lake, as well as several dog-friendly hiking and biking trails. Residents also enjoy a few arts and entertainment options and high-quality healthcare facilities.

Spend the day at the 66th Santa Rosa Auto Museum, where vintage cars are on display, or explore the Billy the Kid Museum with more than 60,000 artifacts at nearby Fort Sumner. In Puerto de Luna you will find historic churches and cemeteries against a desert backdrop.

With a median home value of just $107,200 and monthly housing costs averaging $510, Guadalupe County offers the most affordable housing in this entire roundup.

5. Parker, Arizona

Parker, Arizona, with a population of about 3,400, is the largest of the featured cities. Its Park Senior Center caters to adults aged 50 and over, offering members fitness classes, group outings, dance, art and a wide range of activities for a vibrant life.

Bill Williams National Wildlife Refuge is another gathering place where you can view wildlife, fish, hike, and bird watch with friends. It’s about a 30 minute drive from Parker. For an unconventional day trip, visit the London Bridge in Lake Havasu City, a real 19th-century building transported from England and carefully reassembled in the 1970s.

For a small town, Parker has a fair number of healthcare institutions. It also ranks highly for affordability, with median home values ​​at $117,600 and average monthly housing costs of $539 in La Paz County, where Parker resides.

6. Pomeroy, Washington

Tucked away in southeastern Washington, Pomeroy is ideal for retirees who don’t fear cold weather, snowy winters and short summers. During the height of summer, average highs reach the mid-80s, while nighttime lows hover in the mid-40s to low-50s.

There are plenty of outdoor activities if you don’t mind the cold weather. Enjoy a stroll or picnic in Pomeroy City Park, enjoy the free Tumbleweed Music Festival to mingle with the city’s nearly 1,400 friendly residents, or immerse yourself in local culture at the Garfield County Fair and Rodeo.

Despite the local festivities, Pomeroy may be the quietest of all our featured towns. Our data shows that Pomeroy’s Garfield District has only one arts and entertainment venue, one health care facility, and one major hospital. The nearest airport is 204 miles away, making travel more difficult for residents.

Bottom line

Small towns may lack the glamor of larger cities, but for retirees looking for charm, community, and affordability, these six municipalities deliver in spades. Each offers abundant character, rich culture, and true camaraderie – proving that small-town life can be both rewarding and accessible.

Retirees may enjoy Gregory’s frontier roots and fishing culture, or Cornings’ nostalgic Main Street. Others may prefer Tryon’s unique weather, lively arts and entertainment scene, or Santa Rosa’s history. Combined with Parker and Pomeroy’s strong sense of community, our list of small towns shows that each offers its own unique version of connectivity and convenience, helping you find the best city to spend your golden years.