Retirement Hotspots: 2 Cities That Offer the Most Life After Work

The publication U.S. News & World Report recently shook up its rankings for the top U.S. cities. Previously, the list emphasized areas of the country with a high cost of living. And that's still the case for this year's rankings. But the organization is now placing a higher emphasis on "happiness" rankings, such as local options for entertainment.

If you're looking for the most fun cities to retire to while still keeping living costs low, the two options below are for you.

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1. Naples, Florida

The small city of Naples in Florida comes in as No. 1 on the latest rankings from U.S. News. U.S. News lauds the city's "relaxed lifestyle," adding that it "offers plenty of activities, including pickleball, golf, fishing and more." Florida, of course, offers a very friendly climate for retirees. But its tax policies are also retirement friendly, with zero state taxes on income, capital gains, and dividends.

The biggest issue is housing. When it comes to affordability, Naples was ranked just 95th of the cities considered. The average house value is more than $1 million. So if you're looking for more affordable options, the city below is a better bet.

2. Virginia Beach, Virginia

No. 2 on the latest U.S. News rankings for top retirement locations is Virginia Beach, Virginia. Similar to Naples, the climate is friendly year-round for retirees. In fact, the summer months here are arguably much more comfortable than in southern Florida, which can get oppressively humid during the peak months.

U.S. News highlights the city's "friendly residents and relaxed atmosphere," adding that "glorious ocean views, beautiful waterfront homes, and award-winning restaurants make this vacation destination a place worthy of being [called] home." Affordability is also much better here than in Naples, with an average home value of just $376,000 -- in line with the national average.

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