Should you retire to Virginia?

If you’re a history buff, cities like Jamestown and Williamsburg in Virginia are probably already on your travel bucket list. And if you love the outdoors, Virginia’s beaches, mountains, and lakes may have caught your eye.

But if retiring to the Old Dominion has ever crossed your mind, there’s more to consider. Virginia could easily make it to the top of your list if the pros stack up in your favor.

Image source: Getty Images.

First, let’s talk about the cost of living. While Virginia isn’t the cheapest place to retire, it won’t break the bank either. The overall cost of living is about 3 percent above the national average, according to the World Population Review.

Housing costs, which can take a big chunk out of retirement income, are about 10% higher than the national average. The average home price in Virginia was recently $400,435.

However, if you’re open to more affordable areas like Roanoke or Lynchburg, your retirement money could stretch much further. Additionally, the average annual cost of car insurance in Virginia recently reached $2,808 — $209 below the national average.

How about health? Virginia is ranked the 32nd best state in the nation for health care for seniors by MedicareGuide.com. It’s not great, but it still beats 18 other states.

When it comes to taxes, Virginia is one of 41 states that does not tax Social Security benefits. While retirement income and withdrawals from 401(k) and IRA accounts are taxable, you may qualify for an age-based deduction to lower your tax bill. And there is no property tax in Virginia.

Now, the weather can definitely be a dealbreaker. The good news? Virginia gives you a taste of all four seasons without the extremes of hot summers or freezing winters. But if you’re looking at coastal spots like Virginia Beach or Norfolk, you’ll want to be prepared for hurricane season.

Before making any big decisions, consider spending a few months in Virginia to see if it’s a good fit for your retirement lifestyle.