Introduction to Retiree Housing Markets in 2026
An estimated 6.5 million Americans will retire in 2026. If you are among them, you have likely started thinking about where to settle for your golden years, possibly even purchasing a dedicated retirement home.
Before committing, it is essential to identify which housing markets will be robust in 2026 and which will prove unaffordable. To pinpoint the 20 best and 20 worst housing markets for retirees in 2026, GOBankingRates drew from Zillow Research Data and cross-referenced it with household values and retirement income levels from the U.S. Census.
This approach enabled GOBankingRates to identify the 20 optimal housing markets for retirees in 2026, as well as the 20 markets to steer clear of during your 2026 retirement.
Related Developments
Recent announcements include plans to ban institutional investors from purchasing single-family homes.
The housing market is projected to provide minimal relief for buyers in 2026, even with some modest improvements anticipated.
Certain markets may experience the largest surge in homebuying as mortgage rates decline.
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Methodology
The New Homeowner Affordability, New Homeowner Income Needed, Zillow Home Value Forecast, and Zillow Home Value Index were obtained from Zillow Research Data for each housing market. Households with retirement income were sourced from the U.S. Census 2023 5-year ACS.
The one-year home value forecast was scored and weighted at 1.00, the percent of homes receiving retirement income was scored and weighted at 1.00, the new homeowner affordability was scored and weighted at 1.00, and the new homeowner income needed was scored and weighted at 1.00. All data was sourced and tabulated on December 18, 2025.
