Delaware, often celebrated as the “First State” for its early ratification of the Constitution, offers more than just a rich historical tapestry for those considering where to spend their retirement years. Its unique combination of low tax burdens, diverse landscapes ranging from beautiful beaches to peaceful rural areas, and a strong sense of community makes it an attractive destination for retirees seeking both relaxation and adventure in their golden years. This guide delves into why Delaware stands out as a retirement haven and explores the top destinations within the state that promise a fulfilling and budget-friendly retirement lifestyle.
10 Best Places to Retire in Delaware on a Budget
- Why Retire in Delaware?
- Selecting the Best Retirement Destinations in Delaware
- Top 10 Affordable Retirement Destinations in Delaware
- Maximizing Your Retirement in Delaware
- Final Thoughts
Why Retire in Delaware?
Choosing Delaware for your retirement comes with numerous advantages that extend beyond its compact size. The state’s favorable tax policies, including no sales tax, low property taxes, and exemption from Social Security benefits taxation, significantly benefit retirees looking to maximize their savings. Additionally, Delaware’s strategic location in the Mid-Atlantic offers easy access to major cities like Philadelphia, New York City, and Washington, D.C., combining the tranquility of suburban life with the convenience and excitement of urban living.
The state’s varied geography—from the tranquil Delaware Bay and Atlantic beaches to the lush landscapes of its state parks—provides a scenic backdrop for a wide range of recreational activities tailored to every interest. Whether you’re drawn to the cultural vibrancy of Wilmington, the historic charm of Dover, or the coastal allure of Rehoboth Beach, Delaware provides a setting that can cater to any retirement dream.
Still can’t decide if Delaware is the right place to retire for you? See our comprehensive article breaking down the pros and cons of retiring in Delaware.
Selecting the Best Retirement Destinations in Delaware
Our curated list of the best places to retire in Delaware is based on important criteria such as affordability, access to quality healthcare, safety, and the availability of recreational and social activities suitable for retirees. Each selected destination combines these elements to offer a retirement experience that is both enriching and economically prudent.
Top 10 Affordable Retirement Destinations in Delaware
10. Lewes
- Cost of Living Score: 108.1 (8.1% higher than the national average)
- Population (2024): 3,750
- Median Listing Prices: $610,150
- Top choice for: history and harbor views
Lewes, Delaware, is a charming coastal town that attracts retirees with its rich history, beautiful beaches, and a relaxed lifestyle. As one of the first towns settled in Delaware, Lewes offers a unique blend of historic landmarks and modern conveniences, set against the backdrop of scenic water views.
The town is known for its well-preserved downtown area, where quaint shops, art galleries, and gourmet restaurants line the streets, creating a vibrant yet laid-back atmosphere. Lewes also boasts several pristine beaches and parks, perfect for those who enjoy outdoor activities like walking, biking, and fishing.
In addition to its natural and cultural offerings, Lewes is celebrated for its friendly community and frequent local events, such as the annual Sea Witch Festival, which brings together locals and visitors for a weekend of fun and celebration. With its combination of coastal beauty, historical charm, and a welcoming community, Lewes is an excellent choice for retirees looking to enjoy their golden years in a peaceful yet engaging environment.
9. Rehoboth Beach
- Cost of Living Score: 108.1 (8.1% higher than the national average)
- Population (2024): 1,262
- Median Listing Prices: $1,199,500
- Top choice for: a beachside retreat with a vibrant community life
Rehoboth Beach, Delaware, while slightly above the national average with a cost of living score of 108.1, remains more affordable than many other Mid-Atlantic coastal destinations. This vibrant seaside town is renowned for its beautiful beaches and bustling boardwalk, making it a favorite vacation spot—even President Biden is a frequent visitor! Retirees will find a lively atmosphere perfect for both relaxation and excitement, with wide sandy beaches ideal for sunbathing and leisurely walks
The town’s boardwalk is a hub of activity, lined with shops, eateries, and entertainment venues, providing endless opportunities for enjoyment. Rehoboth Beach is also known for its arts scene, featuring galleries, live theater, and annual events like the Rehoboth Beach Jazz Festival.
With a welcoming community and plenty of local attractions, Rehoboth Beach offers a dynamic setting for retirees. Whether you’re enjoying a quiet day by the sea or indulging in the local cuisine, Rehoboth Beach is the perfect backdrop for a rewarding retirement that doesn’t break the bank.
8. Dover
- Cost of Living Score: 99 (1% lower than the national average)
- Population (2024): 37,811
- Median Listing Prices: $349,000 to $425,000 (depending on zip code)
- Top choice for: a town steeped in history (with modern comforts)
Dover, Delaware, the state capital, combines historical charm with affordability, making it an appealing option for retirees. The city boasts well-preserved colonial landmarks, such as the Old State House and Johnson Victrola Museum, alongside vibrant cultural events like the Dover Days festival, which celebrates Delaware’s heritage.
The cost of living in Dover is reasonable compared to other East Coast cities, offering financial advantages for retirees. Recreational opportunities abound with numerous parks, walking trails, and the nearby Bombay Hook National Wildlife Refuge, providing scenic beauty and wildlife viewing. Overall, Dover presents a balanced mix of historical interest, cultural activities, and natural beauty, ideal for a fulfilling retirement.
7. Middletown
- Cost of Living Score: 104.1 (4.1% higher than the national average)
- Population (2024): 26,018
- Median Listing Prices: $586,900
- Top choice for: small town charm in an up-and-coming spot
Middletown, Delaware, has emerged as one of the fastest-growing towns in the state, making it an increasingly popular choice for retirees seeking affordability and quality of life. This growth is largely due to its strategic location in New Castle County, which combines easy access to major cities like Wilmington and Philadelphia (just a 30-minute drive and 1-hour drive respectively) with the tranquility of a small-town setting.
The town has seen substantial development, adding modern residential communities that offer a variety of housing options to suit different budgets. These new developments, coupled with Middletown’s reasonable cost of living compared to nearby urban centers, make it an attractive option for retirees looking to stretch their savings further.
Middletown also boasts excellent community facilities, including parks, recreational centers, and regular events that enhance its small-town charm. The local economy is robust, with a friendly business environment that continues to draw new shops, restaurants, and services, increasing convenience and enhancing the lifestyle for its residents. Overall, Middletown offers retirees an affordable, vibrant place to call home, with the added benefit of being close to larger cities for occasional urban excursions.
6. Newark
- Cost of Living Score: 104.1 (4.1% higher than the national average)
- Population (2024): 30,305
- Median Listing Prices: $325,000 to $515,000 (depending on zip code)
- Top choice for: lifelong learning and cultural opportunities
Newark, Delaware, offers a vibrant mix of collegiate energy and suburban comfort, making it an appealing destination for retirees. As the home of the University of Delaware, Newark boasts a lively cultural scene with numerous educational opportunities, arts, and entertainment that keep retirees young!
The town features a variety of amenities that cater to a comfortable retirement lifestyle. Main Street is the heart of Newark, lined with shops, cafes, and restaurants that provide a bustling yet relaxed atmosphere. The area also offers numerous parks and recreational facilities, including extensive walking trails and green spaces, ideal for those looking to stay active and engaged.
Additionally, Newark’s proximity to major cities like Philadelphia and Baltimore, and even a relatively short drive to Washington, D.C., offers retirees the advantage of suburban living with easy access to urban attractions. The cost of living in Newark is reasonable, particularly given its location and the amenities available, making it a cost-effective choice for retirees seeking a dynamic yet tranquil place to settle.
5. Milford
- Cost of Living Score: 108.1 (8.1% higher than the national average)
- Population (2024): 14,653
- Median Listing Prices: $430,000
- Top choice for: riverfront beauty and unbeatable location
Milford, Delaware, located along the Mispillion River, combines historic charm and natural beauty, making it an appealing choice for retirees. Known for its vibrant community and scenic riverwalk, Milford offers a peaceful yet engaging environment.
The town celebrates its cultural heritage with local museums and several annual festivals, including the popular Riverwalk Freedom Festival. Strategically positioned between Dover and Delaware’s beaches, Milford provides easy access to broader amenities while maintaining a small-town feel.
With its affordable housing and low cost of living, Milford is an attractive destination for retirees seeking a cost-effective lifestyle in a charming setting.
4. Bethany Beach
- Cost of Living Score: 108.1 (8.1% higher than the national average)
- Population (2024): 1,098
- Median Listing Prices: $1,074,500
- Top choice for: long walks on the beach lighter on tourists
Bethany Beach, Delaware, is a serene and picturesque coastal town that is especially appealing to retirees seeking a quiet beach lifestyle. Known for its beautiful, wide sandy beaches and family-friendly boardwalk, Bethany Beach offers a peaceful retreat with all the benefits of coastal living.
The town itself is compact and easy to navigate, featuring charming boutiques, local eateries, and cozy cafes. The boardwalk, though quieter than those of larger beach towns, provides the perfect setting for leisurely strolls with views of the ocean.
Bethany Beach is also known for its tight-knit community and frequent local events, including free summer concerts and the annual Bethany Beach Boardwalk Arts Festival. These activities foster a strong sense of community and provide plenty of opportunities for social engagement.
For retirees looking for a tranquil place to enjoy their golden years, Bethany Beach offers a blend of relaxation and community activities, all in a beautiful seaside setting. Its proximity to larger beachside like Ocean City and Rehoboth Beach mean there’s always new shoreline to explore.
3. Smyrna
- Cost of Living Score: 99 (1% lower than the national average)
- Population (2024): 13,635
- Median Listing Prices: $477,500
- Top choice for: a blend of history and natural beauty
Smyrna, Delaware, located in the heart of the state, offers retirees a blend of small-town charm and modern conveniences. This community is growing in popularity due to its affordable living, friendly atmosphere, and strategic location between Dover and Wilmington.
Smyrna features a historic downtown area with quaint shops, local eateries, and regular community events that foster a strong sense of belonging among residents. Events like the annual Smyrna at Night, a music and food festival, bring the community together in celebration of local talent and cuisine.
The town is surrounded by natural beauty, with several parks and recreational areas nearby, providing plenty of opportunities for outdoor activities like walking, fishing, and bird-watching. Lake Como and the Bombay Hook National Wildlife Refuge are local favorites for nature enthusiasts.
2. Hockessin
- Cost of Living Score: 104.1 (4.1% higher than the national average)
- Population (2024): 13,584
- Median Listing Prices: $599,950
- Top choice for: suburban living amongst scenic landscapes
Hockessin, Delaware, offers retirees a serene suburban lifestyle with easy access to urban amenities. Nestled in the rolling hills of New Castle County, this community is known for its lush landscapes and tight-knit atmosphere.
Local shops, restaurants, and annual events like the Fourth of July fireworks and Hockessin Art Festival contribute to its vibrant culture and community spirit. The nearby Auburn Valley State Park provides ample opportunities for hiking and enjoying the outdoors.
1. Seaford
- Cost of Living Score: 108.1 (8.1% higher than the national average)
- Population (2024): 9,042
- Median Listing Prices: $375,000
- Top choice for: simple small town living on the river
Seaford, Delaware, nestled along the Nanticoke River, offers a tranquil setting ideal for retirees seeking a peaceful lifestyle. Known for its affordable living and welcoming community, Seaford features a historic downtown area and plenty of outdoor activities like boating and fishing, courtesy of the river.
The town hosts annual events such as the Seaford Riverfest, fostering a strong community spirit. Additionally, its proximity to Delaware’s beaches and larger cities like Dover enhances its appeal, offering the tranquility of a small town with easy access to more urban amenities.
With its scenic surroundings and active community life, Seaford is a great choice for retirees looking for a comfortable and engaging place to settle down.
Maximizing Your Retirement in Delaware
To fully enjoy retirement in Delaware, immerse yourself in the local culture, participate in community events, and explore the state’s natural landscapes and historical sites. Delaware’s small size and welcoming communities make it easy to find hobbies and social groups that match any interest, ensuring a retirement life that is both fulfilling and enjoyable.
Final Thoughts
Retiring in Delaware means embracing a lifestyle that marries affordability with quality, set against a backdrop of natural beauty and cultural vibrancy. The state’s diverse range of retirement destinations, from tranquil beach towns to bustling historical cities, provides a wealth of options for every retiree. With its favorable tax environment, high-quality healthcare, and myriad of recreational and social opportunities, Delaware stands out as an ideal place for a serene, engaging, and budget-friendly retirement.
Those considering retirement in Delaware might also want to explore affordable retirement options in Virginia, North Carolina, and Tennessee.
Median listing price data provided courtesy of realtor.com
All population data is courtesy of World Population Review
Cost of living score provided courtesy of BestPlaces.net
