Retirement Crisis: Florida Is No Longer a Paradise for Retirees 

For decades, Florida has been considered an idyllic paradise for retired Americans. From the gorgeous beaches to affordable condos, perfect weather all year round, and no retirement taxes, the Sunshine State was once considered absolutely perfect.

According to a survey conducted by Bankrate, Florida ranked just eighth among the best states for retirement, a substantial drop from its former position at the number one spot.

As Gailey mentioned, there are essentially three reasons why Florida is no longer the best state for retirees: increased housing prices, property taxes, and homeowners insurance.

First, Florida’s homes and condos are more expensive than they once were. Currently, the median Florida home price is $399,130, which is 292% more than the median price of 2010, which was just $136,600.

In 2019, the median annual property tax in Florida was just $2,226, but in 2023, it jumped to $3,003. And that number has continued to grow as the cost of homes throughout the state increased.

Meanwhile, the cost of homeowners insurance in Florida has increased by more than 40% in just one year.

Many Floridians are facing an insurance crisis. Hurricanes and litigation have made it tough for homeowners to protect their property. Many insurance companies have pulled back, left the state, or called it quits.

The property damage wouldn’t be as concerning if there were affordable insurance options available. However, like in California, Floridians are struggling to find coverage.

As previously mentioned, some believe that the increased cost of purchasing, insuring, and paying taxes on homes in Florida is really no one’s fault. However, there’s no question that Governor DeSantis is to blame for the increased homeowners association fees.

Of course, the cost of housing and homeownership fees are not the only factors making Florida less desirable for American retirees. The growing cost of living is also a factor.

Heat isn’t the only challenge facing Florida residents. The increasing frequency of hurricanes has led to prolonged power outages and significant property damage as the weather continues to worsen.

Although affordability is certainly a driving factor for most retirees when deciding where to live out their later years, another is weather. Seniors don’t want to be worried about cold fronts or heat waves; they just want to be comfortable.

While sunny weather is often ideal, Florida residents are finding the heat increasingly unbearable. Rising temperatures have pushed the heat to extreme levels, with some claiming it’s already 80 degrees as soon as the sun comes up.

Because of these many reasons, many retirees have either already decided or are seriously considering leaving the Sunshine State behind.

It’s important to note that, aside from the growing cost of owning a home and living in the Sunshine State, Florida still has quite a lot to offer retirees.

To create the analysis of the best states to retire to, Bankrate used data from several sources, including the Tax Foundation, the Council for Community and Economic Research, the US Census Bureau, and the National Oceanic and Atmospheric Administration.

A review of the top retirement spots in the US, as reported by Bankrate, reveals an intriguing trend: the Midwest and South are prominently featured among the best destinations for retirees.

However, according to the Bankrate survey, Delaware is now the number-one state for American retirees. While the weather isn’t quite as pleasant as it is in Florida, Delaware still offers gorgeous beaches, substantial recreation options, and light tax burdens.

Democratic State Senator Stephanie Hansen noted that low property taxes is what draws most retirees to Delaware (via Newsweek).

West Virginia closely follows Delaware as an excellent retirement destination due to its affordability and low taxes. The state’s mild climate and stunning natural landscapes make it an attractive option for retirees eager to enjoy the outdoors.

Georgia offers retirees a comfortable lifestyle with its mild climate and low cost of living. The Peach State is also home to top-notch healthcare facilities, particularly in its larger cities like Atlanta, Augusta, and Savannah.

South Carolina has long been considered a top retirement spot due to its affordable cost of living and tax benefits. Recently, it has climbed into the top ten best states for retirement, thanks to its improved affordability.

With its mild climate and affordable cost of living, Missouri is an appealing choice for retirees. Its central location in the US makes it easy to travel to other parts of the country, which is convenient for those looking to visit family or explore new places.

Despite its drawbacks, Florida still ranks eighth in the Bankrate report for the best states to retire.