Retirees Flee U.S. Towns as Costs and Safety Concerns Rise, New Analysis Finds

A GoBankingRates analysis identifies where Americans aged 65 and older are leaving fastest, challenging the notion that retirement means staying put. The study looked at towns with at least 5,000 residents and at least 20 percent of residents age 65 or older, ranking communities by the five-year change in their retiree population. The results span the Northeast, Midwest and Sun Belt, underscoring how affordability, taxes and services shape late-life decisions.

At the top of the list is Truth or Consequences, New Mexico, where the number of residents aged 65 and older fell about 25 percent over the past five years. North Hills, New York, a Long Island suburb known for independent and assisted living, saw a 23.5 percent decline. Oak Brook, Illinois, posted a 22.8 percent drop in retirees, followed by Fort Myers Beach, Florida, with a 21.2 percent decline, and East Cleveland, Ohio, with a 21.1 percent decrease.

The study highlights affordability and cost-of-living pressures as key drivers of relocation, even in places famous for retirees. Heather Taylor, senior personal finance writer at GoBankingRates, said the shifts reflect a nationwide trend influenced by a mix of economic and lifestyle factors. 'These shifts are happening across a wide range of states,' Taylor said. 'In fact, several states traditionally viewed as affordable retirement destinations appear prominently in the rankings.'

The analysis shows retirees face higher housing costs and taxes that can erode fixed incomes. In Oak Brook, for example, local Realtors note a median sale price around $860,000, far above the national median, while property taxes remain a pressure point for fixed incomes. In Florida, rising homeowners association fees and insurance costs add to the burden even in communities long marketed as retiree havens. Fort Myers Beach, commonly cited for warm weather and amenities, also posted a decline as rising costs eroded affordability, officials said.

Safety and neighborhood conditions further shape choices. East Cleveland, which rounds out the top five, has contended with crime issues, aging housing and pockets of poverty that deter retirees seeking stability. North Hills on Long Island has strong healthcare access but high taxes and sky-high home values that push retirees toward less costly locales, even when the town offers robust services and communities.

The study notes that the typical retirement income for Americans 65 and older is around $54,710, with top earners lifting the median to about $83,950. The data reflect a broader reality: where people settle depends as much on local tax codes, housing markets and disaster risk as on climate or community vibe. The results provide a snapshot of a nationwide shift in retirement geography, reminding planners and retirees that forevere homes can change as costs rise and circumstances evolve.