7 Best Michigan Cities To Retire on $2,600 a Month

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Retiring in Michigan could appeal to you for a variety of reasons, whether it be living in close proximity to your kids and grandchildren, living in a big city with lots to do to fill your spare time, or relocating closer to the Great Lakes and the water. But can you afford it?

A GOBankingRates study found Michigan cities where a retiree can live on less than $2,600. The locations were determined after considering the price of buying a house and paying a mortgage, as well as the day-to-day cost of living, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey. Below are seven of the best cities in Michigan to retire with $2,600 a month.

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What do the seven cities have in common? The percentage of the population of residents ages 65 and older for all of them is in the double digits, meaning you’re likely to find activities that appeal to you and others your age, allowing you to make friends when you settle somewhere new. And the average home values could be much easier on the pocket than where you currently live, with home values in none of the seven cities exceeding $145,000 — and three of them even less than $100,000.

Read on to learn more about places to live in Michigan for less than $2,600 a month.

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Burton

• Livability: 61

• Population total: 29,568

• Number of population aged 65+: 5,621

• Percentage of population aged 65+: 19.0%

• Total households: 12,522

• Median household income: $55,698

• Average home value (April 2024): $143,369

• Average monthly mortgage cost: $861

• Average monthly expenditure cost: $1,720

• Total monthly cost of living: $2,581

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Pontiac

• Livability: 64

• Population total: 61,965

• Number of population aged 65+: 7,689

• Percentage of population aged 65+: 12.4%

• Total households: 25,343

• Median household income: $40,307

• Average home value (April 2024): $122,384

• Average monthly mortgage cost: $735

• Average monthly expenditure cost: $1,837

• Total monthly cost of living: $2,572

Saginaw

• Livability: 62

• Population total: 44,316

• Number of population aged 65+: 5,908

• Percentage of population aged 65+: 13.3%

• Total households: 17,520

• Median household income: $35,521

• Average home value (April 2024): $121,478

• Average monthly mortgage cost: $730

• Average monthly expenditure cost: $1,732

• Total monthly cost of living: $2,462

Inkster

• Livability: 67

• Population total: 25,839

• Number of population aged 65+: 2,749

• Percentage of population aged 65+: 10.6%

• Total households: 9,222

• Median household income: $38,381

• Average home value (April 2024): $94,507

• Average monthly mortgage cost: $568

• Average monthly expenditure cost: $1,893

• Total monthly cost of living: $2,461

Bay City

• Livability: 69

• Population total: 32,664

• Number of population aged 65+: 4,997

• Percentage of population aged 65+: 15.3%

• Total households: 14,379

• Median household income: $45,026

• Average home value (April 2024): $109,825

• Average monthly mortgage cost: $660

• Average monthly expenditure cost: $1,699

• Total monthly cost of living: $2,359

Detroit

• Livability: 73

• Population total: 636,787

• Number of population aged 65+: 91,780

• Percentage of population aged 65+: 14.4%

• Total households: 249,518

• Median household income: $37,761

• Average home value (April 2024): $72,292

• Average monthly mortgage cost: $434

• Average monthly expenditure cost: $1,715

• Total monthly cost of living: $2,149

Flint

• Livability: 74

• Population total: 81,863

• Number of population aged 65+: 11,082

• Percentage of population aged 65+: 13.5%

• Total households: 33,854

• Median household income: $35,451

• Average home value (April 2024): $58,555

• Average monthly mortgage cost: $352

• Average monthly expenditure cost: $1,676

• Total monthly cost of living: $2,028

Methodology: For this study, GOBankingRates analyzed cities across Michigan to find the best places to retire on less than $2,600 a month. First, GOBankingRates found cities in Michigan by using the U.S. Census Bureau’s American Community Survey, along with the total population, population aged 65 and over, median household income and total households. For each city, a number of factors were found, including cost of living indexes as sourced from Sperling’s BestPlaces, average single-family home as sourced from the Zillow Home Value Index for April 2024, and livability index as sourced from AreaVibes. By assuming a 10% down payment and using the national 30-year fixed mortgage rate, as sourced from the Federal Reserve Economic Data, the average mortgage cost can be calculated. Using the national average expenditure costs for retired residents, as sourced from the Bureau of Labor Statistics Consumer Expenditure Survey, the average expenditure costs for each city can be calculated. Using the expenditure costs and the mortgage cost, the total monthly cost of living can be calculated for each city. All cities over $2,600 were removed for this study. The livability index was scored and weighted at 1.75, the expenditure cost was scored and weighted at 1.00, and the mortgage cost was scored and weighted at 1.00. All the scores were summed and sorted to show the best places to retire on less than $2,600 a month. All data was collected on and is up to date as of May 31, 2024.

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This article originally appeared on GOBankingRates.com: 7 Best Michigan Cities To Retire on $2,600 a Month