Top 5 Reasons Why You Should Retire In Arizona

Arizona has long been known for its stunning desert landscapes, stunningly designed homes for sale, and an influx of retirees every year. Arizona has seen a steady increase in its population since the post-war economic boom of the 1950s. However, in recent years Arizona has been recognized as of the nation’s fastest-growing states, with an estimated 750,000 new residents between 2010 and 2020. Additionally, it has been found that a whopping 300,000 retirees make Arizona their home either year-round or during the winter months. After all, Arizona has everything to offer retirees. From skiing at Snobowl in Flagstaff to boating at Lake Havasu to lounging under palm trees by the neighborhood pool, Arizona has something to offer every retiree that is considering moving to Scottsdale, Phoenix, or anywhere else in Arizona in terms of housing, activities, and weather. 

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The multitude of perfect climates is not the only thing that Arizona has to offer retirees. Those looking to retire in Arizona will not have to worry about a lack of activities or places to frequent when considering moving to Arizona. In fact, 18.5% of the state’s total population consists of residents over the age of 65. While 13% doesn’t seem like much, it, in fact, accounts for just under a million Arizona residents. Therefore showing how desirable Arizona is to the retirement community. World-class golfing and horseback riding are just two of the many outdoor activities that Arizona has to offer. For outdoor enthusiast retirees, Arizona has many activities to offer its residents. Additionally, there are plenty of indoor activities and places to visit friends and family for those who are more indoor activity-focused.

In order to assist retirees with determining whether or not retiring in Arizona is the best thing for them, we have compiled a list of the top reasons why retirees have previously chosen to do so in Arizona. 

Arizona Has Amazing Weather For Retirement

While most of the country is scraping ice off its cars during the tough winter months, Arizona has some of the best weather in the country. Moreover, there are over 300 days of sunshine each year, which makes the state a very pleasant place to live. A low level of humidity makes this a desirable retirement location when compared to other retirement locations, such as Miami, Florida, where the humidity can reach over 90%. In Arizona, the weather allows those nearing or entering retirement to spend their time outdoors throughout the year and enjoy the variety of activities that the area has to offer, such as hiking and biking. 

In addition to the ability to participate in various outdoor activities year-round, the dry climate and sunshine have even been found to be beneficial to many health conditions. Additionally, retirees and their families do not have to worry about driving to appointments and gatherings during winter storms or icy conditions. 

Arizona can receive as little as 3 inches of rainfall in the southern parts of the state and as much as 40 inches in the mountainous areas. Therefore, there are a variety of options to choose from depending on how much rain a retiree wants to experience where they live. Those that wish to have warmer and dryer lifestyles are more suited to the southern areas of Arizona, and those that wish to have some weather and rain are more suited to the northern mountainous areas of Arizona. This shows how versatile Arizona can be in catering to retirees’ needs and wants when it comes to weather. 

Tax Structures Are Beneficial To Arizona Retirees

Many individuals that reach retirement are likely going to live on a fixed income either provided through Social Security,  through a pension, or through a retirement fund. Therefore, they need their money to stretch as long as possible. For this reason, many choose to retire in Arizona simply because it is a very tax-friendly state. Arizona does not charge a tax on Social Security income, therefore retirees are able to be compensated fully. Additionally, there is no inheritance tax in Arizona, which means that retirees can leave their family members an inheritance without having to worry about a good majority of it going towards paying the tax bill. 

However, when it comes to pensions, Arizona is not so tax friendly. Arizona fully taxes private pensions, however, an exemption of up to $2,500 applies to military, state, and local government pensions. This does not mean that the exemption applies to other state governments. Any private pension provided by an out-of-state entity will be fully taxed. 

The state of Arizona also does not have a gift tax or estate tax, which can make a huge positive impact on retirement savings. As far as other taxable income is concerned, the rates are fairly low compared to other states, with a rate of around 2.59% for married couples with $20,690 of taxable income. For retired couples that make more than $310,317 of taxable income, their tax rate is set at around 4.54%. 

Retirees Have Easy Access To Healthcare

One stipulation that many retirees have when looking for a retirement destination is not only affordable healthcare but quality healthcare as well. Stunning homes in Scottsdale and Phoenix are not the only thing the areas have to offer. Top-rated and nationally ranked hospitals such as the Mayo Clinic and the Banner Medical System offer locations all over Phoenix and Scottsdale for retirees to utilize. 

More often than not, health issues for retirees fall into an unexpected financial category when planning retirement finances. Therefore, having a number of affordable and quality healthcare options at retirees’ fingertips is essential to providing the perfect place to retire, and Arizona doesn’t disappoint. 

Plenty Of Outdoor & Indoor Activities and Events To Enjoy During Retirement

Retirees looking for a place to retire with plenty of outdoor activities need to look no further than the state of Arizona. The Grand Canyon and Sedona’s Red Rock State Park offer various hiking and horseback riding opportunities for all skill and ability levels. Many retirees choose to purchase a National Parks and Federal Recreational Lands lifetime Senior Pass that allows them to access hundreds of parks and public lands not only in Arizona but throughout the United States. This way they are able to save money as well as sightsee and participate in outdoor activities throughout Arizona and the rest of the country. The Arizona Hot Springs near the Hoover Dam is also very popular amongst retirees who want a natural and beautiful place to relax and restore their bodies. 

There are world-famous events that take place in Arizona that retirees love to enjoy. As far as indoor activities and events are concerned, the Barrett Jackson auto auction is a fun event for retirees to attend and spend time reminiscing as they go back in time while viewing various makes and models of classic cars. Additionally, the Arabian horse show that occurs every February in Phoenix is an amazing event full of fun for retirees and their families. 

There are countless restaurants to satisfy all kinds of tastebuds movie theatres to catch all the newest releases, state-of-the-art libraries, as well as various outdoor activities such as swimming, fishing, boating, hiking, horseback riding, golfing, and much more. In fact, there are over 300 golf courses across the state of Arizona for retirees to enjoy. 

For avid sports enthusiasts, Phoenix and the rest of Arizona have plenty of sports teams to follow and attend events for. Phoenix has its own professional men’s and women’s basketball teams, in addition to a professional hockey team and an NFL football team. The Arizona Diamondbacks also play games in Scottsdale both during spring training, as well as during the regular season. Retirees love to spend their spring months attending spring training games where they can scout their team’s potential for the year. It is also a great opportunity for retirees to watch their favorite team play, in the event that they are unable to attend a regular season game. 

Arizona Has An Affordable Cost Of Living For Retirees

Many prospective retirees choose to retire in Arizona mainly due to the affordable cost of living. After all, many senior citizens are dependent upon their fixed Social Security income provided by the government. The average Social Security payment for individuals over the age of 65 is around $2,484 a month. Therefore, prioritizing having an affordable cost of living during retirement is key. 

While the cost of living is on par with the national average, it is still much more affordable than in nearby states such as California and Nevada. This is mainly due to the fact that Arizona has a relatively low cost of housing. The median value of a home in Arizona is around $225,500, which allows retirees much more options to choose from. In some parts of the state, like Tucson, the cost of housing is even cheaper, at around $155,300. 

While Arizona has a low cost of housing, retirees will need to account for the cost of utilities, which is slightly higher than the national average. This is mainly due to the fact that Arizona has a dryer and hotter climate than other areas of the United States. 

Groceries should also be factored into the cost of living, and in Arizona groceries cost 4% less than the national average. For example, the national average cost for a gallon of milk is around $3.57, whereas in Phoenix is it $1.57 and in Tucson, it is $1.62. As a result of these relatively low prices, a single retiree only needs to budget around $300 a month for groceries and food costs. 

Contact An Experienced Arizona Real Estate Agent Near You

Are you ready to make the leap and find the perfect retirement home in Arizona? Our expert real estate specialists are well-versed on the ins and outs of the real estate market and serve retirees in the Phoenix and Scottsdale areas, as well as many other areas in Arizona. To start your journey towards retiring in Arizona today, contact our team of diligent real estate agents at the Gluch Group today

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“Thank you to the whole Gluch Group Team for all your hard work and dedication, helping my family relocate to Arizona and find our dream home! We had the pleasure of working with Garrett, he was amazing. He was always there when we needed him for advice and encouragement (the Phoenix market is crazy right now), and even went so far as to send us virtual walk-through videos before we sold our house in Colorado to move to Arizona. Garrett, and his team (we also had the amazing pleasure to work with Brad and Jeremy as well) were professional, punctual, and experts in the housing market, exactly what we needed! My mother is also relocating here this summer and she will be using The Gluch Group for all her housing/relocating needs! Thanks for everything!”

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