One of the best and worst US states to retire in 2020
If you’re looking for the best place to retire, you have plenty of geographic options, according to a new ranking from Blacktower Financial Management. Most of the top states for retirees are not in the south, a departure from last year’s ranking.
“Retirement shifts are always fluid, as Florida was number 9 last year and number 1 this year,” said Christopher Thornton, US country manager at Blacktower, in a recent interview with Yahoo Money. “I think when it comes to planning for retirement, people want more outdoor space.”
Blacktower wasn’t responsible for the coronavirus pandemic and rising cases in some of the top 10 retired states. The company publishes its rankings on a regular basis, and in the future, Thornton said, the factors they measure such as crime, population and average house prices could be affected by the pandemic if its effects are long-term.
“I don’t think migration will ease for retirees,” he said. “There will only be delays in the logistics of the move, but I don’t think there will be a seismic shift.”
For its most recent ranking, Blacktower pulled data from government and nonprofit websites and calculated a cumulative score based on the following factors. Delaware was excluded from the study because the state’s cost of living was not available.
Crime: This figure shows how many violent crimes were committed per 100,000 people in 2017. The US crime rate was 394 crimes per 100,000 people.
Property price: Average house prices were also determined from census data. The average among the 50 states is $ 263,544.
Life expectancy: Average life expectancy in the 50 states ranged from 74.5 to 81.5 years, based on data from the Institute for Health Metrics and Evaluation, an independent health research center.
Top 10 Best States for Retirement
The Sunshine State, where more than a quarter of the state’s population is 65 years and older, took first place on this year’s Blacktower list. But not all experts were surprised, even when home prices averaged $ 252,309, much higher than other states like Iowa and Ohio.
“As a financial planner, none of the top states comes as a big surprise as most people make a decision to retire based on finances as the driving force,” said Amit Chopra, certified financial planner at Forefront wealth planning and wealth management.
The land of 10,000 lakes takes second place. The state’s crime rate was nearly half that of Florida, but the median home price was slightly higher at $ 263,708. The state also has the longest life expectancy at 81.1 years.
Iowa remains a top spot not only for retirees but also others looking to move to a new state. Helping Hawkeye State is its average home price of $ 154,727 and the relatively low cost of living.
Buckeye state ranks fourth on this list with a relatively low crime rate of 297.5, more than 100 points less than Florida.
Despite the highest crime rate in the top 10 with 438.9 points, the state of Lonestar has many seniors with 16.8% of its population aged 60 and over. The state also has an average home price of $ 211,199, which is still lower than states like Florida and Idaho.
“Texas was 29th last year and 5th this year,” said Thornton. “It didn’t surprise me because when you look at Austin, Houston, and Dallas, all of these places are beautiful because of their real estate values.”
Wisconsin, also known as America’s Dairyland, lost two places as of 2019. However, the crime rate of 319.9 and the elderly population remained unchanged.
Nebraska remains an affordable choice with an average home price of $ 178,983.
While the state wasn’t on last year’s list, this year it is attracting retirees with a high life expectancy of 78.5 years and a low home price of $ 198,377.
The state didn’t make the top 10 last year, but this year it made the cut mainly due to its high life expectancy of 79.0 years.
Continue reading: How to stay on the path to retirement during the pandemic
Idaho, a busy tech center safe for those in their golden years, ranks in the top 10. The state’s crime rate of 226.4 points is the lowest of any state in the top 10 list.
The 10 worst states for retirement
The worst states appear in ascending order.
With one of the lowest crime rates on the Blacktower list (377.1), the treasury has a slightly higher cost of living ($ 288,867).
The state of South Central has a high crime rate, although its average home price is relatively affordable at $ 130,907, the cheapest among the top 10 worst states.
Maryland’s high average home value of $ 312,990 borders Washington DC and is not attracting new retirees.
Known for its Carnival celebrations and French architecture, Louisiana is also not a safe haven for retirees. The state has a high crime rate and a low life expectancy of 75.1 years.
While the southern state of Alabama has about 22% of its population aged 60 and over, a 75.4 year lower life expectancy compared to other states can crowd out retirees.
While Tennessee doesn’t have the highest crime rate as it did last year, it has also climbed one place in the worst ranking compared to last year. While the state has an affordable average home price of $ 192,630, that’s not enough to offset its high crime rate.
New Mexico’s high crime rate of 783.5 is a huge deterrent for retirees and the reason it fell in the rankings this year.
Nevada is colloquially known as Silver State and is home to Las Vegas. It’s not an attractive option for retirees. The state rose four positions in the worst ranking due to its home price of $ 309,730.
Despite its temperate tropical climate and the highest life expectancy of any 50 states, Hawaii is still in the bottom 10. The state has the highest average home price on the list at $ 642,526, making it unaffordable for many retirees.
Cold weather isn’t the only factor that many retirees dislike. Alaska has the highest crime rate on the list of 829 points. Residents who are 60 years and older make up only 15.8% of the state’s population. Therefore, according to Blacktower, it is the worst condition for retirees.
Dhara is a reporter for Yahoo Money and Cashay. Follow her on Twitter at @Dsinghx.