How To Answer The Question “Where To Retire”
Arizona Tops Kiplinger’s List Of Where To Retire
Are You Thinking About Where To Retire?
Data indicates the current housing market is improving in many cities. As good as it was in 2005/2006? NO Way. But better than it has been in at least 5 years.
The housing market improvement might finally be giving baby boomers and others the thing they want most. The opportunity to sell their home. Once sold, they can answer the question “Where to retire?” more easily and with less worry.
Many home owners are again seeing the option to sell their present home and move. Generally, the move will be to a warm place. The prescription is usually sunshine or sunshine and water.
Kiplinger’s Top Picks
Kiplinger’s created a list of states that might qualify for your “where to retire” place.
They looked for special tax incentives for seniors. AOL Real Estate then zeroed in on metropolitan areas or communities that provide older adults with access to the amenities and lifestyles. The idea is that where to retire should also be a lower cost place to live.
It is notable that there aren’t any locations in California. In fact, California topped Kiplinger’s list as the least tax-friendly states for retired people. It actually has the highest taxation rate of any state in the UNITED STATES.
Also note worthy is that just two on the East Coast made the list along with Florida.
The states most friendly to retirees are listed in alphabetical order.
Here they are;
At the top of the “where to retire” list is Arizona. Arizona has a low personal income tax rate. It tops out at 4.54 percent. It also exempts Social Security benefits. Arizona is a great place to retire, according to Kiplinger’s.
In Arizona, homeowners age 70 and up can apply to postpone their property taxes. They will need to satisfy specific residency conditions.
Also considered is that a two-bedroom townhouse in a Tucson golf community can be found for under $200,000. That includes a great room with fireplace, a kitchen, dining area and a 2 car garage. Many will have a separate space for the golf cart.
In Tucson AZ, single family homes can also be found for not much more.
Other cities identified in the Kiplinger study included:
Deleware with no state or local sales tax. Delaware can be a haven for retirees. Taxpayers age 60 or older can exclude $12,500 of investment and qualified pension income from state income taxes.
Florida has no inheritance tax or state tax. Even better retirement income is not taxed.
Georgia exempts up to $35,000 of most types of retirement income. Social security income is also exempt from taxes in Georgia. If you’re older than 65 the 2013 exemption is $65,000 per taxpayer.
Louisiana exempts Social Security, military, civil-service, and state and local government pensions from state income taxes. People 65 or older may exclude up to $6,000 of annual retirement income from their taxable income.
Mississippi has is the lowest property taxes in the nation. Residential property is taxed at 10 percent of its assessed value, and seniors qualify for a homestead exemption on the first $75,000 of value.
Nevada has no state income tax, no inheritance tax and no estate tax. However, there are no property tax breaks for seniors.
South Carolina provides a homestead exemption. To qualify, a homeowner needs to be 65 or older. The person must be a legal resident for at least a full 12 months of the tax year. For those who qualify, a homestead exemption allows the first $50,000 of a property’s fair market value to be exempt from local property taxes.
Wyoming is one of the least populous states in the US. It has no state income tax. Prescription medications are also not taxed. The really good news is that neither is retirement income and social security benefits.
If you are asking yourself the question “Where to retire”, then put Tucson Arizona on your list! Looking for a Tucson retirement community? We can help!
Questions about the Tucson Real Estate Market or Tucson Homes for Sale?
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