Lancaster ranked as the best place in the country to retire

Florida is a well-known retirement destination, but this year, three of the top five best places to retire are in Pennsylvania, according to a U.S. News & World Report analysis released Tuesday.

That’s because retirees are prioritizing housing affordability as home prices rise above last year’s highs, mortgage interest rates continue to increase, prices of goods and services remain high, and recession fears grow.

Affordability has always been a top factor in the U.S. News ranking, said Emily Brandon, senior editor for retirement, but “retirees are more concerned about their finances this year than they have been in the past couple of years.”

“Pennsylvania really came out on top due largely to having more affordable housing than most cities in Florida,” she said.

Lancaster ranked No. 1 on this year’s list, thanks also to high scores on the quality and proximity of health care for seniors, tax rates for retirees, and how much current residents like where they live. The metro area rose from its No. 5 ranking last year.

U.S. News also took into account outsiders’ interest in moving to the location and job markets in its analysis of the 150 most populous metropolitan areas in the country. It evaluated places based on what survey respondents from across the country who are at or nearing retirement age said were the most important factors in choosing where to live. Housing affordability was given the most weight.

Harrisburg rose from its ranking as 13th last year to second this year. York, Pa., jumped from 17th to fifth. These metro areas reached the top five spots for the first time. Allentown and Reading rank ninth and 10th this year.

In the top 20 best metro areas to retire are Scranton (17th), Philadelphia (19th), and Pittsburgh (20th). All the Pennsylvania cities showed increases in their scores for happiness of residents and retiree taxes. All but Scranton had increases in housing affordability scores. Scranton’s score stayed flat.

As in previous years, Florida has a strong showing in U.S. News’ rankings. Four of the top 10 places to retire are in the Sunshine State: Pensacola, Tampa, Naples, and Daytona Beach.

“A lot of people are still looking for that Florida beach retirement,” Brandon said. But, “if affordability is your top concern, several cities in Pennsylvania are quite a bit more affordable than being right on the beach in Florida.”

More than two-thirds of the metro areas ranked in the top 25 best places to retire are either in Pennsylvania or Florida.