Owning vs. Renting: See Which Is More Affordable in America’s Top 50 Retirement Destinations
Could you afford to own a home in the nation’s 50 most popular retirement destinations? Maybe – but it’s more financially advantageous to rent in most of these locales. According to a new MoneyLion study, only seven popular destinations out of a 50-city ranking are identified as cheaper for owning a home than renting in retirement.
To determine the locations where it’s more affordable to own or rent in retirement, MoneyLion used the U.S. Census American Community Survey data to isolate cities with populations of at least 25,000 where at least 20% of residents are age 65 and older.
Also See: 50 Fastest-Growing ZIP Codes That Are Still Affordable for the Middle Class
Check Out: 9 Subtly Genius Things All Wealthy People Do With Their Money — That You Should Do, Too
MoneyLion found the average rental cost via the Zillow Observed Rental Index. The total cost of living for homeowners was calculated using the average expenditure and mortgage. For renters, this formula consisted of the average expenditure and rent. MoneyLion then calculated the dollar and percentage differences between the cost of living for homeowners and renters and sorted the cities in order of retirement-age population (highest percentage first).
Key Findings
It’s cheaper for retirees to own a home than rent in seven cities. Six of these locales are in Florida: The Villages, Sun City Center, Sebastian, Port Charlotte, Leesburg and North Port. Niles, Illinois, is the only outlier.
The 10 most populous retirement cities are largely better suited for renters. Only The Villages (#1) and Sun City Center (#5) ranked as cheaper for homeowners. The most affordable cities for renters are Sun City West, Arizona (#2); Sun City, Arizona (#3); Venice, Florida (#4); Sun City Center (#5); Estero, Florida (#6); North Fort Myers, Florida (#7); Bonita Springs, Florida (#7); Prescott, Arizona (#9) and Hilton Head Island, South Carolina (#10).
The annual cost difference for homeowners is more than double that of renters in two California cities. It makes more financial sense to rent than to own in Walnut Creek and Saratoga, where the percentage difference is 103.8% and 209.2% respectively.
Read on to see whether it’s cheaper to own or rent in America’s 50 most popular retirement locales.
1. The Villages, Florida
% of population 65+: 85.2%
Annual cost for homeowner: $49,339
Annual cost for renter: $50,716
Annual % difference: -2.7%
Which is cheaper? Homeowning
2. Sun City West, Arizona
% of population 65+: 85%
Annual cost for homeowner: $49,535
Annual cost for renter: $44,564
Annual % difference: 11.2%
Which is cheaper? Renting
3. Sun City, Arizona
% of population 65+: 74.7%
Annual cost for homeowner: $45,122
Annual cost for renter: $43,247
Annual % difference: 4.3%
Which is cheaper? Renting
4. Venice, Florida
% of population 65+: 61.4%
Annual cost for homeowner: $51,560
Annual cost for renter: $49,897
Annual % difference: 3.3%
Which is cheaper? Renting
5. Sun City Center, Florida
% of population 65+: 58.4%
Annual cost for homeowner: $45,066
Annual cost for renter: $49,677
Annual % difference: -9.3%
Which is cheaper? Homeowning
6. Estero, Florida
% of population 65+: 51.9%
Annual cost for homeowner: $64,653
Annual cost for renter: $54,921
Annual % difference: 17.7%
Which is cheaper? Renting
7. North Fort Myers, Florida
% of population 65+: 45.8%
Annual cost for homeowner: $44,818
Annual cost for renter: $43,901
Annual % difference: 2.1%
Which is cheaper? Renting
8. Bonita Springs, Florida
% of population 65+: 44.2%
Annual cost for homeowner: $64,899
Annual cost for renter: $54,772
Annual % difference: 18.5%
Which is cheaper? Renting
9. Prescott, Arizona
% of population 65+: 40.6%
Annual cost for homeowner: $66,677
Annual cost for renter: $47,061
Annual % difference: 41.7%
Which is cheaper? Renting
10. Hilton Head Island, South Carolina
% of population 65+: 39.2%
Annual cost for homeowner: $92,610
Annual cost for renter: $59,725
Annual % difference: 55.1%
Which is cheaper? Renting
11. Palm Desert, California
% of population 65+: 37.7%
Annual cost for homeowner: $66,219
Annual cost for renter: $55,937
Annual % difference: 18.4%
Which is cheaper? Renting
12. Sebastian, Florida
% of population 65+: 36.8%
Annual cost for homeowner: $47,092
Annual cost for renter: $47,640
Annual % difference: -1.2%
Which is cheaper? Homeowning
13. Oro Valley, Arizona
% of population 65+: 35.7%
Annual cost for homeowner: $57,980
Annual cost for renter: $42,451
Annual % difference: 36.6%
Which is cheaper? Renting
14. Palm Springs, California
% of population 65+: 35.3%
Annual cost for homeowner: $91,593
Annual cost for renter: $50,157
Annual % difference: 82.6%
Which is cheaper? Renting
15. Dunedin, Florida
% of population 65+: 35.3%
Annual cost for homeowner: $55,780
Annual cost for renter: $48,983
Annual % difference: 13.9%
Which is cheaper? Renting
16. New Smyrna Beach, Florida
% of population 65+: 35.3%
Annual cost for homeowner: $53,010
Annual cost for renter: $50,556
Annual % difference: 4.9%
Which is cheaper? Renting
17. Lake Havasu City, Arizona
% of population 65+: 35.2%
Annual cost for homeowner: $57,204
Annual cost for renter: $43,376
Annual % difference: 31.9%
Which is cheaper? Renting
18. Bullhead City, Arizona
% of population 65+: 34.3%
Annual cost for homeowner: $45,119
Annual cost for renter: $41,157
Annual % difference: 9.6%
Which is cheaper? Renting
19. Apache Junction, Arizona
% of population 65+: 34.0%
Annual cost for homeowner: $48,404
Annual cost for renter: $42,973
Annual % difference: 12.6%
Which is cheaper? Renting
20. Ormond Beach, Florida
% of population 65+: 33.5%
Annual cost for homeowner: $48,407
Annual cost for renter: $46,441
Annual % difference: 4.2%
Which is cheaper? Renting
21. Port Charlotte, Florida
% of population 65+: 33.1%
Annual cost for homeowner: $40,542
Annual cost for renter: $42,750
Annual % difference: -5.2%
Which is cheaper? Homeowning
22. Palm Beach Gardens, Florida
% of population 65+: 32.5%
Annual cost for homeowner: $76,993
Annual cost for renter: $58,606
Annual % difference: 31.4%
Which is cheaper? Renting
23. Pahrump, Nevada
% of population 65+: 31.7%
Annual cost for homeowner: $47,311
Annual cost for renter: $38,315
Annual % difference: 23.5%
Which is cheaper? Renting
24. La Quinta, California
% of population 65+: 31.6%
Annual cost for homeowner: $77,216
Annual cost for renter: $69,242
Annual % difference: 11.5%
Which is cheaper? Renting
25. Bella Vista, Arkansas
% of population 65+: 31.6%
Annual cost for homeowner: $46,297
Annual cost for renter: $44,097
Annual % difference: 5%
Which is cheaper? Renting
26. Tarpon Springs, Florida
% of population 65+: 30.0%
Annual cost for homeowner: $53,444
Annual cost for renter: $49,842
Annual % difference: 7.2%
Which is cheaper? Renting
27. Prescott Valley, Arizona
% of population 65+: 29.9%
Annual cost for homeowner: $56,101
Annual cost for renter: $45,991
Annual % difference: 22%
Which is cheaper? Renting
28. Walnut Creek, California
% of population 65+: 29.5%
Annual cost for homeowner: $125,572
Annual cost for renter: $61,612
Annual % difference: 103.8%
Which is cheaper? Renting
29. Palm Coast, Florida
% of population 65+: 29.5%
Annual cost for homeowner: $46,286
Annual cost for renter: $46,091
Annual % difference: 0.4%
Which is cheaper? Renting
30. Sarasota, Florida
% of population 65+: 29.2%
Annual cost for homeowner: $53,196
Annual cost for renter: $49,610
Annual % difference: 7.2%
Which is cheaper? Renting
31. Aiken, South Carolina
% of population 65+: 29.1%
Annual cost for homeowner: $40,775
Annual cost for renter: $38,711
Annual % difference: 5.3%
Which is cheaper? Renting
32. Centerville, Ohio
% of population 65+: 29.0%
Annual cost for homeowner: $51,552
Annual cost for renter: $42,041
Annual % difference: 22.6%
Which is cheaper? Renting
33. Palm City, Florida
% of population 65+: 28.9%
Annual cost for homeowner: $67,846
Annual cost for renter: $53,554
Annual % difference: 26.7%
Which is cheaper? Renting
34. Palm Harbor, Florida
% of population 65+: 28.6%
Annual cost for homeowner: $56,457
Annual cost for renter: $45,698
Annual % difference: 23.5%
Which is cheaper? Renting
35. Niles, Illinois
% of population 65+: 28.5%
Annual cost for homeowner: $53,342
Annual cost for renter: $54,694
Annual % difference: -2.5%
Which is cheaper? Homeowning
36. Leland, North Carolina
% of population 65+: 28.4%
Annual cost for homeowner: $49,826
Annual cost for renter: $44,346
Annual % difference: 12.4%
Which is cheaper? Renting
37. Leesburg, Florida
% of population 65+: 28.2%
Annual cost for homeowner: $41,574
Annual cost for renter: $42,034
Annual % difference: -1.1%
Which is cheaper? Homeowning
38. Bradenton, Florida
% of population 65+: 28.1%
Annual cost for homeowner: $50,777
Annual cost for renter: $44,595
Annual % difference: 13.9%
Which is cheaper? Renting
39. Delray Beach, Florida
% of population 65+: 28.0%
Annual cost for homeowner: $63,521
Annual cost for renter: $57,572
Annual % difference: 10.3%
Which is cheaper? Renting
40. Largo, Florida
% of population 65+: 28.0%
Annual cost for homeowner: $48,881
Annual cost for renter: $45,073
Annual % difference: 8.5%
Which is cheaper? Renting
41. Gloucester, Massachusetts
% of population 65+: 27.9%
Annual cost for homeowner: $77,948
Annual cost for renter: $54,015
Annual % difference: 44.3%
Which is cheaper? Renting
42. North Port, Florida
% of population 65+: 27.7%
Annual cost for homeowner: $43,852
Annual cost for renter: $45,466
Annual % difference: -3.6%
Which is cheaper? Homeowning
43. Banning, California
% of population 65+: 27.7%
Annual cost for homeowner: $52,869
Annual cost for renter: $48,750
Annual % difference: 8.5%
Which is cheaper? Renting
44. Merritt Island, Florida
% of population 65+: 27.6%
Annual cost for homeowner: $54,076
Annual cost for renter: $45,237
Annual % difference: 19.5%
Which is cheaper? Renting
45. Lincoln, California
% of population 65+: 27.0%
Annual cost for homeowner: $69,198
Annual cost for renter: $61,463
Annual % difference: 12.6%
Which is cheaper? Renting
46. Pearl City, Hawaii
% of population 65+: 26.9%
Annual cost for homeowner: $97,805
Annual cost for renter: $58,851
Annual % difference: 66.2%
Which is cheaper? Renting
47. Rancho Palos Verdes, California
% of population 65+: 26.8%
Annual cost for homeowner: $156,298
Annual cost for renter: $90,995
Annual % difference: 71.8%
Which is cheaper? Renting
48. Northbrook, Illinois
% of population 65+: 26.6%
Annual cost for homeowner: $80,476
Annual cost for renter: $58,163
Annual % difference: 38.4%
Which is cheaper? Renting
49. Cerritos, California
% of population 65+: 26.5%
Annual cost for homeowner: $101,736
Annual cost for renter: $68,893
Annual % difference: 47.7%
Which is cheaper? Renting
50. Saratoga, California
% of population 65+: 26.5%
Annual cost for homeowner: $320,475
Annual cost for renter: $103,661
Annual % difference: 209.2%
Which is cheaper? Renting
Summer spending adds up fast. Enter MoneyLion's Summer Break Giveaway for a chance to win $500 — and give your budget a break. (No pur. nec. Ends 7/4/26. See Official Rules at mlion.info/summerbreakofficialrules)
Methodology: MoneyLion isolated retirement destinations using the U.S. Census American Community Survey , finding places with total populations of at least 25,000 and the percentage of the population ages 65 and over of at least 20%. The cost-of-living indexes were sourced from Sperling's BestPlaces. The national average expenditure costs for all households were sourced from the Bureau of Labor Statistics, and the indexes were applied to calculate cost of living for each city. Mortgage costs were determined using Zillow Home Value Index for April 2026, assuming a 10% down payment and using the national average 30-year fixed mortgage rate of 6.53% via the Federal Reserve Economic Data from June 4. 2026. Mortgage was added to other expenditures to find the cost of living for homeowners in each city. The average rental cost was sourced from Zillow Observed Rental Index. Using the average expenditure and rent, the total cost of living for renters was calculated. The dollar and percentage differences between the cost of living for renters and homeowners were calculated. The cities were sorted by the highest percentage of the population ages 65 and over, showing the most popular retirement destinations. All data is up to date as of June 4, 2026.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
More From MoneyLion: