4 Reasons Atlanta Is Becoming More Expensive for Retirees in 2025
Written by
J. David Herman
Edited by
Jenna Klaverweiden
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Atlanta has a lot to offer retirees, even if it isn’t quite the financial bargain it once was. While Atlanta has a reputation for affordability compared with many other major U.S. cities, prices have risen as the city has boomed.
As for those increasing expenses, here are four reasons living in Atlanta may cost more for retirees than you think.
Housing Costs Are on the Rise
Increased demand, higher prices.
According to data from Zillow, booming Atlanta’s median home value has jumped by more than 25% in the past five years. BestPlaces lists the median home value in Atlanta at $364,300, 7.7% higher than the national average.
Renting is also more expensive these days, with a two-bedroom apartment in Atlanta now costing an average of $1,730 a month — more than 21% above the U.S. average.
“As you get closer into the city, that cost of living increases,” said John Manrique, senior vice president of marketing for Kolter Homes, which specializes in move-in ready homes for those 55 and older. He added that many retirees are drawn to areas just north of Atlanta.
Single-Family Homes Can Be Tough To Find — and Pricey
Manrique said that living in Atlanta proper may mean living in a condo, with stairs, unless you have a hefty budget.
“That’s not what the active set wants,” Manrique said. “They want ranch-style living.”
Single-family homes are increasingly tough to land, as are properties with large lots.
“You have to go further and further out,” Manrique said. “In town, I don’t know of any new developments of single-family homes.”
Retirement communities may offer tax friendliness, and though you may not have your own lot, you’ll likely have access to community facilities for less cost. There may be bargains available if you get in on these communities early, though that may mean having to live through the build-out.
Need Healthcare? Bring Your Wallet
Atlanta is home to the Centers for Disease Control and Prevention (CDC) and highly rated medical facilities like Emory University Hospital. Atlanta also has 365 physicians per 100,000 residents, according to BestPlaces. That’s well more than the national average of 210.
Healthcare can be expensive though, coming in around 7.8% more expensive than the national average, according to Apartments.com. Since healthcare costs tend to go up in retirement, living in Atlanta could spell bad news for retirees on a budget.
Georgia Is Fairly Tax-Friendly for Retirees — With Some Exceptions
On the positive side, Georgia doesn’t tax Social Security retirement benefits. There are also no inheritance or estate taxes.
Georgia does tax withdrawals from retirement accounts, along with pension income, however.
Additionally, according to October 2024 data from Redfin, Atlanta saw the second-largest increase in property taxes in the U.S. since 2019, with a 65.8% increase.
Benefits and Drawbacks of Living in Atlanta
Even with high costs, there’s a lot to like about Atlanta.
“It’s a fun city,” Manrique said. He noted Atlanta’s history, culture, arts, sports, fine dining and access to an airport where you can fly just about anywhere, along with proximity to places like the Blue Ridge Mountains and the coast. It adds up to a good match for today’s “active adult” population, he explained.
“Today’s retiree is an adventurer, more so,” Manrique said. “They don’t want what their parents had. They are looking for new adventures.”
There are drawbacks, however. In addition to increasing costs, there are a few other factors you may want to consider before making Atlanta your retirement destination.
For people familiar with the city, the traffic may come to mind first. Late last year, The Zebra — an insurance comparison site — ranked Atlanta’s traffic as the worst in the country. Among the numbers cited, those in Atlanta spend 33 extra hours in their car each year on average, and Atlanta has a long average commute time of 33.4 minutes.
“There’s no secret about the traffic in Atlanta,” Manrique said. “Never has been. If you want to be closer to downtown, it can be difficult to find that place that will allow you to have ease of travel.”
Crime is also an issue in some parts of town, with Atlanta ranking 14th in Safe and Sound Security’s November 2024 list of the most dangerous U.S. cities. The usually mild winters are a big draw for retired folks, but they should also be ready for hot, muggy summers.
As with any city, there are benefits and drawbacks of living in Atlanta. As always, be sure to run the numbers when you weigh potential retirement destinations.
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