The 15 best cities for Army veterans to retire and buy a home are San Antonio, Virginia Beach, Jacksonville, Oklahoma City, Tampa, Austin, Dallas-Fort Worth, St. Louis, Salt Lake City, Nashville, Killeen-Temple, Lawton, Crestview-Fort Walton Beach-Destin, Augusta-Richmond County, and Des Moines.
The right choice depends on more than the home price. Before you buy, compare property taxes, military pension taxes, VA healthcare access, and the local veteran community. San Antonio pairs a large veteran community with no state income tax, while Lawton stands out for its lower home prices.
I’m Larry Fowler, a veteran and BUD/S Class 89 graduate who has published guidance on military and veteran benefits since 2007. I’ll walk you through the 15 best cities for Army veterans to retire and buy a home, including the costs and trade-offs worth checking first.
Key Financial and Lifestyle Factors for Military Homebuyers
Transitioning from active duty to civilian retirement is an incredible milestone, but it also brings important financial decisions. When we evaluate places to put down roots, we have to look beyond a house’s listing price.
A truly veteran-friendly city protects your hard-earned retirement pay, keeps everyday living expenses manageable, and offers world-class medical facilities. Checking our comprehensive VA veteran benefits guide can help you plan these steps ahead of time.
State Tax Advantages and Pension Exemptions
Taxes can make or break your retirement budget. Today, 25 states fully exempt military retirement pay from state income taxes, and several states levy no personal income tax at all.
Even more impactful for your monthly mortgage payment are local property tax policies. Many states offer substantial homestead reductions or complete property tax relief for 100% disabled veterans. In a state like Texas, a 100% disability rating eliminates property taxes entirely on a primary residence, saving homeowners an average of $6,400 annually.
VA Healthcare Infrastructure and Base Privileges
Top-tier medical facilities nearby are critical as we age. Settling near a major VA Medical Center (VAMC) or a network of Community-Based Outpatient Clinics (CBOCs) ensures seamless care and routine checkups.
Living close to an active military installation also lets you keep base privileges, including tax-free shopping at the commissary and base exchange (BX/PX), plus access to on-base pharmacies and fitness centers. Combined with current VA disability pay rates, these perks help your monthly income stretch much further.
The 15 Best Cities for Army Veterans to Retire and Buy a Home
To determine the top destinations, we balanced home affordability, state tax policies, VA medical access, and overall military community density. Insights from Realtor.com’s 2024 Top Military-Friendly Markets research show that high VA loan usage and favorable local inventory create exceptional buying conditions.
Top Major Metros: The 15 Best Cities for Army Veterans to Retire and Buy a Home
- San Antonio, Texas: Known as “Military City, USA,” San Antonio is home to over 200,411 veterans and Joint Base San Antonio. With a median listing price of $323,950, a cost of living index of 97.057, and zero state income tax, it is easy to see the clear analysis on why veterans retire in San Antonio.
- Virginia Beach, Virginia: Boasting 194,678 veterans, this coastal hub combines mild weather with an unmatched military support network. The median listing price sits at $412,500, offering oceanfront living alongside premier military healthcare.
- Jacksonville, Florida: Home to 141,594 veterans and a median listing price of $385,000, Jacksonville provides Florida’s zero-income-tax benefit, thriving beaches, and comprehensive naval and VA medical infrastructure.
- Oklahoma City, Oklahoma: Featuring a median listing price of $318,450—nearly $100,000 below the national median—OKC offers full pension tax exemptions and high affordability.
- Tampa, Florida: Tampa ranks 3rd nationally for VA health facilities per capita and 6th for VA benefits facilities. It pairs warm weather with a median home price of approximately $415,000.
- Austin, Texas: The WalletHub study highlights Austin as one of the best places for veterans, with a high median veteran income (~$62,000) and an expanding job market, though median listing prices are higher at $545,000.
- Dallas-Fort Worth, Texas: With 325,572 veterans, DFW is one of the nation’s largest veteran communities. It offers outstanding civilian career opportunities and a median listing price of $435,000.
- St. Louis, Missouri: Offering an affordable median listing price of $237,500, St. Louis provides low entry costs for homeownership and full state tax exemptions on military retirement income.
- Salt Lake City, Utah: Salt Lake City offers world-class outdoor recreation, high-ranking VA medical care, and strong economic stability, with median listing prices near $565,500.
- Nashville, Tennessee: With no state income tax on retirement pay and vibrant cultural amenities, Nashville is home to 94,635 veterans, with median prices around $529,000.
Leading Mid-Sized and Affordable Markets for Army Retirees
- Killeen-Temple, Texas: Located next to Fort Cavazos, this market has a median home price of $289,140 and offers robust military infrastructure and low living costs.
- Lawton, Oklahoma: Located beside Fort Sill, Lawton offers an accessible entry point, with a median listing price of about $192,400.
- Crestview-Fort Walton Beach-Destin, Florida: A premier Gulf Coast destination with median listing prices near $599,450, supported by Eglin AFB amenities and Florida tax advantages.
- Augusta-Richmond County, Georgia: Leading the nation in VA loan usage with 27.8 sales per 1,000 military households, Augusta combines proximity to Fort Eisenhower with affordable housing near $295,000.
- Des Moines, Iowa: Des Moines leads the country with an 88.8% military homeownership rate and offers stable job growth and a median listing price of $310,000.
Data Breakdown Across the Top 15 Locations
| Metro Area | Median Listing Price | Veteran Population | State Tax on Military Pension | VA Healthcare Access Score |
|---|---|---|---|---|
| San Antonio, TX | $323,950 | 200,411 | None (No Income Tax) | Excellent (VAMC & JBSA) |
| Virginia Beach, VA | $412,500 | 194,678 | Fully Exempt | Excellent (Hampton VAMC) |
| Jacksonville, FL | $385,000 | 141,594 | None (No Income Tax) | Very High |
| Oklahoma City, OK | $318,450 | 85,200 | Fully Exempt | Very High (OKC VAMC) |
| Tampa, FL | $415,000 | 98,400 | None (No Income Tax) | Outstanding (Top 3 Nationally) |
| Austin, TX | $545,000 | 52,100 | None (No Income Tax) | High |
| Dallas-Fort Worth, TX | $435,000 | 325,572 | None (No Income Tax) | Excellent (Dallas VAMC) |
| St. Louis, MO | $237,500 | 118,000 | Fully Exempt | High (St. Louis VAMC) |
| Salt Lake City, UT | $565,500 | 41,200 | Fully Exempt | Outstanding (SLC VAMC) |
| Nashville, TN | $529,000 | 94,635 | None (No Income Tax) | Very High (Tennessee Valley) |
| Killeen-Temple, TX | $289,140 | 62,300 | None (No Income Tax) | High (Fort Cavazos Network) |
| Lawton, OK | $192,400 | 18,900 | Fully Exempt | High (Fort Sill/Lawton CBOC) |
| Crestview-Destin, FL | $599,450 | 36,800 | None (No Income Tax) | Very High (Eglin 96th Med) |
| Augusta, GA | $295,000 | 44,500 | Fully Exempt | Very High (Charlie Norwood VAMC) |
| Des Moines, IA | $310,000 | 24,100 | Fully Exempt | High (Des Moines VAMC) |
How to Maximize VA Loan Benefits When Buying Your Retirement Home
The VA home loan remains one of the most powerful wealth-building tools available to military personnel. It allows qualified buyers to purchase a primary residence with zero down payment, no private mortgage insurance (PMI), and competitive interest rates. Reviewing our essential guide to VA home loans will ensure you are prepared before making an offer.
Navigating Entitlement and VA Loan Lenders
Understanding your Certificate of Eligibility (COE) and your full or partial VA loan entitlement lets you buy without conforming loan limits if you have full entitlement available.
Working with top-rated VA mortgage lenders and competitive rates makes a noticeable difference during underwriting. Experienced military lenders know how to verify non-taxable disability income and process VA funding-fee exemptions for service-connected disabled veterans.
Strategic Steps to Choose Among the 15 Best Cities for Army Veterans to Retire and Buy a Home
- Secure Pre-Approval: Obtain your pre-approval letter and COE early so sellers view your offer seriously.
- Select 2 to 3 Focus Corridors: Balance commute times, neighborhood safety, and proximity to military treatment facilities.
- Use Virtual Video Tours: If you are relocating from another state, have a military-experienced agent walk properties using video calls.
- Leverage the Option and Inspection Periods: Thoroughly check the property for VA minimum property requirements (MPRs) before closing.
Frequently Asked Questions About Military Retirement and Homebuying
What state offers the most comprehensive property tax exemption for disabled Army veterans?
Texas, Florida, and Oklahoma provide some of the strongest property tax exemptions in the country. In Texas and Oklahoma, veterans with a 100% permanent and total (P&T) service-connected disability rating receive a 100% exemption from property taxes on their primary residence, saving thousands of dollars each year.
How does cost of living compare between large military hubs and mid-sized cities?
Mid-sized markets like Lawton, Oklahoma, and Killeen, Texas, offer median home prices well under $300,000, providing lower entry costs and less traffic. Major metropolitan areas like San Antonio and Tampa offer slightly higher housing costs but provide broader specialized healthcare facilities, diverse second-career job markets, and major international airports.
Can retiring veterans use a VA loan to purchase a home before officially discharging?
Yes. Active-duty service members approaching retirement can use a Statement of Service or official retirement orders, along with proof of anticipated retirement income, to qualify for a VA loan before their official discharge date.
Conclusion
Choosing where to retire and purchase a home after your military service is an exciting step toward building long-term security. Whether you prefer the coastal atmosphere of Virginia Beach, the deep-rooted military community of San Antonio, or the budget-friendly housing in Lawton, finding the right balance of affordability, healthcare, and tax relief will protect your hard-earned benefits.
Take time to compare financing options, consult experienced lenders, and review your full military retirement benefits to make your transition to homeownership smooth and rewarding.
Personally, my wife and I purchased a home in the Destin, FL, area. With no state taxes, great infrastructure, and the beaches, we could not be happier. All to say, maybe I should give Destin an unbiased honorable mention. Lol.