Planning is an incredibly important factor to any retirement, and part of that planning includes knowing where to retire. You can save all you want, but if you were to retire in a high-cost city that quickly drains your finances, then your retirement would end very quickly.
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The Midwest is known for its relative affordability, particularly for seniors. GOBankingRates analyzed large Midwestern cities to find the cheapest places to retire, based on such factors as population, cost of living and the size of each city’s retirement community.
20. Lincoln, Nebraska
- Population 65+: 14.4%
- Monthly cost of living (with mortgage): $3,674
- Livability: 84
Lincoln has a cost of living approximately 5% lower than the national average (with housing 22% lower), per Payscale. That makes it a financially savvy place for retirees on fixed incomes to spend their golden years.
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19. Aurora, Illinois
- Population 65+: 10.5%
- Monthly cost of living (with mortgage): $3,612
- Livability: 71
For retirees hoping to settle down near Chicago, Redfin highly recommends nearby Aurora. Aurora’s housing market is extraordinarily affordable, especially when compared to surrounding cities, and it features a number of parks, nature trails and golf courses for active seniors.
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18. Omaha, Nebraska
- Population 65+: 14.1%
- Monthly cost of living (with mortgage): $3,590
- Livability: 83
Omaha is one of the most reasonably priced major Midwest cities — 8% cheaper than the U.S. average, per Payscale.
17. Saint Paul, Minnesota
- Population 65+: 12.2%
- Monthly cost of living (with mortgage): $3,517
- Livability: 80
Saint Paul is a thriving city with a low cost of living and a bustling economy. The housing market is low cost, and there are vibrant art and sports scenes within the city.
16. Grand Rapids, Michigan
- Population 65+: 12.9%
- Monthly cost of living (with mortgage): $3,339
- Livability: 83
Homes in Grand Rapids cost approximately $100,000 less than the national median home price, per Grand Rapids Neighborhoods. Additionally, general expenses are 6% less than national average and healthcare costs are 10% lower.
15. Columbus, Ohio
- Population 65+: 11.0%
- Monthly cost of living (with mortgage): $3,337
- Livability: 81
Retirees hoping to settle down on a budget would do well to consider Columbus. Payscale has noted that the city’s cost of living is 5% lower than the national average.
14. Kansas City, Missouri
- Population 65+: 14.1%
- Monthly cost of living (with mortgage): $3,263
- Livability: 78
Kansas City offers a number of enticements to prospective retirees — especially the affordable housing market. The median value of homes in K.C. is nearly $120,000 cheaper than the national average home value, per U.S. News & World Report.
13. Cincinnati
- Population 65+: 13.2%
- Monthly cost of living (with mortgage): $3,228
- Livability: 80
Compared to other American cities of the same size, Cincinnati is extremely affordable, with a cost of living 8% lower than the national average. Additionally, the healthcare in the city is considered among the best in the country, per Cincinnati Experience.
12. Springfield, Missouri
- Population 65+: 15.8%
- Monthly cost of living (with mortgage): $3,167
- Livability: 72
Cost of living in Springfield is 12% lower than the national average, making the city a very enticing prospect for those looking to settle down for their remaining years. Housing is especially cheap, a whopping 23% less than the national average.
11. Indianapolis
- Population 65+: 12.9%
- Monthly cost of living (with mortgage): $3,163
- Livability: 76
On top of being one of the most affordable city for retirees in the Midwest (with its low-cost housing and transportation costs), Indianapolis also boasts a healthy art scene anchored by the Indianapolis Museum of Art. Older retirees also likely will appreciate the city’s affordable healthcare costs.
10. Fort Wayne, Indiana
- Population 65+: 14.9%
- Monthly cost of living (with mortgage): $3,095
- Livability: 84
U.S. News & World Report has called Fort Wayne one of the most affordable cities in America, thanks most especially to its rather low cost of living. The city has a much lower population than other cities of its size, meaning housing is not in overwhelming demand.
9. Milwaukee
- Population 65+: 11.8%
- Monthly cost of living (with mortgage): $3,065
- Livability: 79
While Milwaukee does have something of a pricey healthcare system, the city is also known for extreme affordability when it comes to housing, with home and rental prices far below the national average.
8. Wichita, Kansas
- Population 65+: 15.4%
- Monthly cost of living (with mortgage): $3,014
- Livability: 68
The city’s cost of living is 11% below the national average, with affordable rental rates and housing prices — and that’s even with Kansas’ staggeringly high tax rates.
7. Des Moines, Iowa
- Population 65+: 12.5%
- Monthly cost of living (with mortgage): $2,975
- Livability: 83
Des Moines is one of the fastest-growing cities in the Midwest, per the Des Moines Register, and that includes a growing number of housing permits for the construction of new homes.
6. Kansas City, Kansas
- Population 65+: 13.0%
- Monthly cost of living (with mortgage): $2,959
- Livability: 75
Kansas City is a perfect retirement spot for those looking for affordable living mixed with a bustling music and museum scene, breweries and delicious barbecue. Additionally, Kansas is one of the cheapest states to live in throughout the entire United States, which keeps the prices of even a big metropolis like Kansas City rather low.
5. St. Louis
- Population 65+: 14.9%
- Monthly cost of living (with mortgage): $2,843
- Livability: 74
Great food? Check. Lowest cost of living among America’s 25 most-populated metros? Check. Vibrant art and cultural scene? Check. The perfect place for an active senior to retire? Absolutely.
4. Akron, Ohio
- Population 65+: 15.7%
- Monthly cost of living (with mortgage): $2,452
- Livability: 81
Akron (along with Youngstown, Ohio) is one of the last two cities in America where a household of any income level can afford to buy a home, according to a National Association of Realtors study. That makes it an excellent place for retirees to settle down and easily find a home for their golden years.
3. Detroit
- Population 65+: 14.8%
- Monthly cost of living (with mortgage): $2,449
- Livability: 73
Despite being the largest city in Michigan by population and size, Detroit boasts housing value that is about four times lower than the median home price in America. A number of previously abandoned buildings and homes throughout the city are being revitalized.
2. Toledo, Ohio
- Population 65+: 15.5%
- Monthly cost of living (with mortgage): $2,442
- Livability: 66
Realtor.com has described Toledo as a haven for homebuyers, as the typical house there lists for a whopping $200,000 less than the national median home value.
1. Cleveland
- Population 65+: 15.0%
- Monthly cost of living (with mortgage): $2,355
- Livability: 72
Cleveland easily boasts the most affordable homes (by square foot) out of any metro in America, per Cleveland.com. Even among the already very affordable housing market of the Midwest, Cleveland reigns supreme.
Methodology: GOBankingRates identified cities with populations of at least 150,000 and 10% of residents age 65 and over. Data was sourced from the U.S. Census American Community Survey, Sperling’s BestPlaces, the Bureau of Labor Statistics Consumer Expenditure Survey for retired households, AreaVibes and Zillow Home Value Index for December 2024. All data was collected on and is up to date as of Feb. 18, 2025.
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This article originally appeared on GOBankingRates.com: 20 Cheapest Big Cities in the Midwest To Retire in 2025
