5 Small Towns With Great Weather To Retire on $2,500 a Month

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Retirement doesn’t mean you have to give up nice weather or the enjoyment of life. Yes, it’s tough to live on a fixed income, but location is everything.

According to the U.S. Bureau of Labor Statistics, the average American household’s expenses are $78,535 a year, but depending on where you settle, having a monthly income of $2,500 can cover a comfortable pace of life. Here are five small towns where you can retire on a modest budget and soak up the beautiful weather. 

1. Las Vegas, New Mexico: Affordable High-Desert Retirement With Sunny Weather

• Population: 13,000
• Cost of living: 21.5% lower than the U.S. average
• Average home value: $241,426
• Median household income: $50,585

Las Vegas, New Mexico, isn’t as flashy as the strip in Nevada, but it has something else going for it — affordability. Retirees who enjoy outdoor activities and spending time in nature can live there for about $2,333 a month, according to BestPlaces. The high-desert climate is dry and sunny, with especially beautiful weather in the spring and fall.

2. Sebring, Florida: A Budget-Friendly Retirement Town With Year-Round Sunshine

• Population: 11,382
• Cost of living: 17% lower than the U.S. average 
• Average home value: $238,872
• Median household income: $44,184

Community, year-round sunny skies and a wide range of activities are perks retirees can look forward to in Sebring. Plus, it’s wallet-friendly. You can live there for $2,300 per month, according to BestPlaces.

3. Mason City, Iowa: One of the Most Affordable Small Towns for Retirees

• Population: 27,050
• Cost of living: 26.7% lower than the U.S. average
• Average home value: $154,095
• Median household income: $64,804

Retirees on a budget can enjoy a low cost of living of around $2,133 a month, according to BestPlaces, and enjoy the town’s historic architecture, walking trails, parks and golfing. The area features long, warm summers and shorter cold winters. 

4. Brownsville, Texas: Warm Weather Retirement on a Budget

• Population: 189,177
• Cost of living: 25.1% lower than the U.S. average
• Average home value: $195,993
• Median household income: $52,130

With its warm, tropical climate, proximity to South Padre Island beaches and welcoming community, Brownsville is a destination retirees are drawn to. It’s also cost-effective, with monthly expenses averaging $2,400 per month, according to BestPlaces. 

5. Grenada, Mississippi: A Low-Cost Retirement Town Near the Lake

• Population: 12,375
• Cost of living: 29.2% lower than the U.S. average 
• Average home value: $133,953
• Median household income: $46,303

Grenada is a peaceful small town where retirees can enjoy an affordable cost of living of about $2,000 per month, per BestPlaces. With Grenada Lake nearby, residents have easy access to camping, fishing, hiking and scenic waterfront views.

Retiring in the U.S. has been a financial strain for many, but in the right spot, it’s possible to live on $2,500 a month and still enjoy a fun lifestyle.

Editor’s note: Population and media household income figures were sourced from Data USA. Cost-of-living figures were sourced from BestPlaces, and average home values were sourced from Zillow.

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