Lifestyle
If you’re thinking about retiring in the Northeast, Delaware can be a great destination. Retiring in Delaware can mean cold, snowy winters, but you’ll also get a beautiful fall and spring and a milder summer than in more southern states or out west. There are also plenty of coastal towns for those who love boating or outdoor recreation.
Adam Cecil
Published October 25th, 2021
Updated January 19th, 2024
Adam Cecil
•
Published October 25th, 2021
•
Updated January 19th, 2024
Table of Contents
Key Takeaways
Delaware is stocked full of small, charming towns that will give you plenty to do in retirement.
The cost of living is higher than average overall, but you’ll find some cities are more affordable than others.
Delaware offers long, chilly winters, but you’ll also get milder summers.
If you’re thinking about retiring in the Northeast, Delaware can be a great destination. Retiring in Delaware can mean cold, snowy winters, but you’ll also get a beautiful fall and spring and a milder summer than in more southern states or out west. There are also plenty of coastal towns for those who love boating or outdoor recreation.
Is Delaware tax-friendly for seniors?
Delaware is tax-friendly for retirees, with no state tax on Social Security income or sales tax. Pension and 401k income is partially taxed.
Do seniors in Delaware pay property taxes over 65?
Seniors in Delaware can apply for some property tax relief, depending on their income and the value of their property. Additionally, you may qualify for a tax credit against school property taxes, which will reduce your state tax bill at the end of the year.
What benefits do seniors get in Delaware?
Delaware’s Health and Social Services department runs a number of programs for seniors, including meal programs, legal assistance, financial coaching, and nursing home transition services.
Where is the best place to retire in Delaware?
When you’re looking at the best places to retire in Delaware, it’s important to consider all of the factors, from cost of living to the 65-plus population to the restaurants and shopping and other amenities.
Take a look at the top 10 places to retire in Delaware for an affordable town that gives you all the amenities you need.
Salisbury
CITY POPULATION: 33,050
SHARE OF POPULATION 65+: 13.3%
COST OF LIVING FOR RETIREES: 22.2% above the national average
MEDIAN HOME VALUE: $241,318
MEDIAN RENT: $1,625
TAX RATING FOR RETIREES: Tax Friendly
Those looking for affordable beach towns in Delaware should start their search in the Salisbury area. The city is filled with some of the best beachfront towns, as well as other small, charming areas like Delmar and Blades. It’s also a great choice if you’re trying to decide whether to retire in Delaware or Maryland since it’s right on the border.
Dover
CITY POPULATION: 39,403
SHARE OF POPULATION 65+: 17.3%
COST OF LIVING FOR RETIREES: 11.1% above the national average
MEDIAN HOME VALUE: $309,376
MEDIAN RENT: $1,620
TAX RATING FOR RETIREES: Tax Friendly
Dover is one of the best retirement communities in Delaware, with multiple 55-plus communities and some of the best neighborhoods in Delaware overall. Costs are a bit higher than the national average, but in return, you’ll get plenty of dining options and attractions, including sporting and cultural events.
Newark
CITY POPULATION: 30,601
SHARE OF POPULATION 65+: 12.7%
COST OF LIVING FOR RETIREES: 12.3% above the national average
MEDIAN HOME VALUE: $340,495
MEDIAN RENT: $2,000
TAX RATING FOR RETIREES: Tax Friendly
Best known as the home to the University of Delaware, Newark has also been awarded one of the best places to retire in Delaware in 2018, 2019, and beyond. The city has plenty of outdoor and indoor recreation, as well as access to shopping and dining, and the cultural and intellectual benefits of being a university town.
Wilmington
CITY POPULATION: 70,898
SHARE OF POPULATION 65+: 16.5%
COST OF LIVING FOR RETIREES: 12.4% above the national average
MEDIAN HOME VALUE: $301,985
MEDIAN RENT: $1,700
TAX RATING FOR RETIREES: Tax Friendly
One of the best known cities in north Delaware is Wilmington, just southwest of Philadelphia. It’s a large city with pretty much everything you could need, plus great access to the rest of the Eastern Seaboard. Beautiful gardens and cultural attractions such as museums and boat tours will give you plenty to do, and you’ll have access to top-notch healthcare locations.
Milford
CITY POPULATION: 11,190
SHARE OF POPULATION 65+: 24.1%
COST OF LIVING FOR RETIREES: 10.6% above the national average
MEDIAN HOME VALUE: $324,325
MEDIAN RENT: $1,900
TAX RATING FOR RETIREES: Tax Friendly
Milford is a charming town in central Delaware that’s one of the best places to retire in the state. Built along the Mispillion River, you’ll have access to a lovely river walk and park that gives you plenty of space to enjoy the outdoors, as well as a large selection of boutiques, restaurants, and attractions downtown. Cost of living is high, but home values here are a bit cheaper than the national average.
Middletown
CITY POPULATION: 23,192
SHARE OF POPULATION 65+: 18%
COST OF LIVING FOR RETIREES: 11.7% above the national average
MEDIAN HOME VALUE: $501,062
MEDIAN RENT: $2,450
TAX RATING FOR RETIREES: Tax Friendly
Living in Middletown isn’t cheap—it has some of the more expensive homes on this list—but its rapid growth and abundant 55-plus communities make it one of the best cities in Delaware for enjoying retirement. If you’re a more affluent retiree, Middletown offers some unique cultural events, such as the annual Olde Tyme Peach Festival and the Labor Day baseball marathon.
New Castle
CITY POPULATION: 5,551
SHARE OF POPULATION 65+: 21%
COST OF LIVING FOR RETIREES: 12.4% above the national average
MEDIAN HOME VALUE: $261,897
MEDIAN RENT: $1,507
TAX RATING FOR RETIREES: Tax Friendly
Located just 10 miles south of Wilmington, New Castle is a small city that’s part of the broader Philadelphia metropolitan area. Originally settled by the Dutch in the 1600s, New Castle has a ton of historic buildings and museums for those interested in early American history. You’ll also have easy access to boating and water sports, as well as the broader Delaware Valley cities and towns in Pennsylvania and New Jersey.
Seaford
CITY POPULATION: 7,957
SHARE OF POPULATION 65+: 20.8%
COST OF LIVING FOR RETIREES: 11% above the national average
MEDIAN HOME VALUE: $287,125
MEDIAN RENT: $1,750
TAX RATING FOR RETIREES: Tax Friendly
Seaford has been named one of the best small towns in America, so naturally, our list of the best places to retire in Delaware has to include it. Located along the Nanticoke River, there are numerous opportunities for water sports and other outdoor activities. It’s also packed with arts and culture, as well as fantastic dining and shopping in its recently renovated downtown area.
Hockessin
CITY POPULATION: 13,478
SHARE OF POPULATION 65+: 23.3%
COST OF LIVING FOR RETIREES: 12.4% above the national average
MEDIAN HOME VALUE: $562,085
MEDIAN RENT: $2,600
TAX RATING FOR RETIREES: Tax Friendly
A small bedroom community on the outskirts of Wilmington, Hockessin is a lovely place to experience the Delaware Valley and greater Philadelphia metropolitan area. You’ll get a diversity of housing options—albeit pricey—and great access to all the amenities that a major city offers without the downsides of living in an urban neighborhood. Another added bonus: just a twenty-minute drive to nearby Wilmington Airport.
Georgetown
CITY POPULATION: 7,134
SHARE OF POPULATION 65+: 15%
COST OF LIVING FOR RETIREES: 10.6% above the national average
MEDIAN HOME VALUE: $325,678
MEDIAN RENT: $2,495
TAX RATING FOR RETIREES: Tax Friendly
Instead of a town square, Georgetown is built around a distinctive town circle. That circle continues to draw people to Georgetown, a lovely small town that has grown by 40% over the past several years. It’s just a short drive to the beach, but there’s plenty to do without ever leaving town, with regular festivals and concerts in the circle that help contribute to a small-town feel. fdd
Bottom Line
Is Delaware a good state to retire to? If you enjoy history, arts and culture, and waterfront views and water activities, Delaware might be the ideal location to retire. The financial element may make it more complicated for some retirees—while the tax-friendliness for seniors is a plus, the high cost of living should be an important factor in your decision.
Wherever you decide to retire, Retirable can help by working with you to craft a plan that will ensure you can enjoy your dream retirement without worrying about your finances.
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Adam Cecil is a freelance writer who has produced financial content for Retirable, Policygenius, and Donational, In his free time, he writes the weekly pop culture newsletter Night Water and produces independent fiction podcasts.
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Northeastern U.S. Best Places To Retire
Southern U.S. Best Places To Retire
Midwestern U.S. Best Places To Retire
Western U.S. Best Cities To Retire
Share this advice
Adam Cecil is a freelance writer who has produced financial content for Retirable, Policygenius, and Donational, In his free time, he writes the weekly pop culture newsletter Night Water and produces independent fiction podcasts.
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