Alabama might be the best state to retire on a fixed income, especially if you want your retirement nest egg to stretch the furthest. Decatur has a stable housing market, making it a safe choice for those on a fixed income. Home values increased less than 5 percent year over year, while rents actually decreased. Additionally, homes are relatively affordable, with the median home value at $116,900.
Alaska is an income-tax-free state, making it one of the best places to retire on a fixed income. Home values in Palmer increased only about 2 percent year over year, but home prices are still relatively high compared with other cities on this list: The median home value is $252,400. But there is good news for renters, as the median rent decreased about 9 percent year over year.
If you’re thinking of buying a home on a fixed income, consider Sierra Vista. Home values in Sierra Vista rose less than 1 percent year over year, which means the market there is less volatile than the state as a whole: Arizona’s home values increased about 7 percent over the same time period, according to Zillow.
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