OVERVIEW
San Diego, California, is one of the most desirable retirement destinations in the United States, offering 70 miles of coastline, a Mediterranean climate with year-round temperatures ranging from the mid-50s to the low 80s, and top-ranked hospitals, including UC San Diego Health. The median listing price in San Diego County is approximately $900,000, and the city and surrounding areas offer more than 30 active adult and 55+ communities across neighborhoods such as La Jolla, Carlsbad, Oceanside, and Escondido.
San Diego is one of the most desirable retirement destinations in the country. With 70 miles of coastline, comfortable weather, and a thriving cultural scene, it’s easy to see why so many retirees decide to call the city home. The area is particularly attractive to those already living in California, with many retirees coming from Los Angeles and San Francisco.
Here’s what retirees need to know about San Diego.
Retiring in San Diego: Pros and Cons
Pros
- Year-round outdoor living: San Diego has a Mediterranean climate, which is the city’s biggest selling point. Summer highs reach only the low 80s, and winters stay in the mid-50s, keeping temperatures comfortable nearly all year long. There isn’t much rain either, with precipitation mostly limited to the months between November and March. With no punishing summer heat or winter cold to deal with, retirees can enjoy coastal walks and hikes through Torrey Pines State Natural Reserve.
- A rich cultural scene: San Diego is a popular tourist destination, offering plenty of theaters, museums, and cultural events. Balboa Park hosts the San Diego Museum of Art, the region’s oldest and largest art museum, where you’ll find elegant galleries and stunningly curated exhibits. For retirees who value access to the arts, San Diego punches well above its weight.
- Diverse, world-class dining: The culinary landscape in San Diego has improved significantly over the past few years, now offering farm-to-table restaurants and an excellent craft beer scene. The city’s proximity to the border also grants it plenty of authentic Mexican restaurants. A nice side effect of the weather is the year-round farmers markets that keep fresh produce on the table.
- Strong health care infrastructure: San Diego is home to several top-rated hospitals. UC San Diego Health is on the U.S. News & World Report’s Best Hospitals Honor Roll. It’s also ranked among the top five hospitals in California across nine adult specialties. The Scripps Health network adds further depth, making the city among the best in the state for health care access.
Cons
- Housing is expensive: The median home price in San Diego County is around $1.1M. However, according to 55places data, the median list price of a home in a 55+ community in the San Diego area is $699,000, making the 55+ market more affordable. Inventory in the city is low, with the median days on market for the San Diego-Carlsbad area being 38. This is better than the 22-day median from a few years ago, but it still represents fewer homes on the market than other areas.
- Traffic is a challenge: San Diego is a major metro area, so it inevitably gets heavy during commute hours. The city offers a trolley system and bus network that help in some urban corridors, but is remains fundamentally car-dependent. In addition to traffic, parking in popular areas can be frustrating.
- Earthquake and wildfire risk: It’s wise to consider the potential for natural disasters when choosing a retirement destination. While major earthquakes are rare in San Diego, it does sit in a seismically active region. Perhaps the more pressing concern for those considering a move to the city is the wildfire risk. The high risk of wildfire, including its impact on insurance costs and availability, is worth factoring in when making a home purchase.
San Diego Climate
Moving to San Diego means you can enjoy a Mediterranean climate and gentle seasons year-round. The city sees very little rain and mostly clear skies. Summer temperatures may reach the low 80s, while winter temperatures may dip into the mid 50s. So, you won’t need to worry about scorching summers or frigid winters.
Outdoor Activities
With such a fantastic climate, you can enjoy your favorite outdoor activities year-round. Go for a bike ride along a scenic coastal path or take a stroll along the shore. You could also spend the day golfing at the iconic Torrey Pines Golf Course, which offers spectacular panoramic views of the Pacific Ocean.
San Diego Taxes
When it comes to taxes, San Diego residents must take the good with the bad. The combined sales tax rate in most of the city is lower than that of other large cities in California, at 7.75%. It’s worth noting that specific districts in the city may have different rates, with some reaching as high as 8.75%.
Income Taxes
How retirees fare with taxes on retirement income depends on the source of that income. Those living on Social Security retirement are at an advantage, as that income is not taxed. Those who rely on public and private pension income are less fortunate, as California taxes that income at the full state income tax rate. Since California has some of the highest income tax rates in the country, retirees with significant income from these sources should plan carefully.
Property Taxes
Property taxes are more favorable than income taxes. The state caps the base property tax rate at 1% of a property’s assessed value. While local levies can add to this, the effective rate is still more moderate than in many other states. Retirees moving from within California get a special benefit from Proposition 19, which allows them to transfer their existing property tax assessment to a new home anywhere in the state.
San Diego Health Care
If you’re considering moving to San Diego, the city is home to numerous top-rated hospitals. The UC San Diego System, as well as the Scripps Health network of hospitals, is known for its specialty services and high-quality care.
Additionally, UC San Diego Health-La Jolla and Hillcrest Hospitals in La Jolla are on the U.S. News & World Report’s Best Hospitals Honor Roll. This general medical and surgical facility is nationally ranked in 11 adult specialties and rated high-performing in 19 adult procedures and conditions.
Where to Live in San Diego
When thinking about where to live in San Diego, each neighborhood has its own unique appeal. Whether you want to be a stone’s throw away from the ocean or you want a laid-back coastal vibe, there are many areas to explore.
For example, if you’re a beach enthusiast who loves upscale dining and shopping, take a look at La Jolla. If you want a more relaxed beach atmosphere, head just north of San Diego to Carlsbad. This charming beach city is walkable and offers easy access to a wide range of restaurants and shops.
Wondering where to retire in San Diego? Here are some 55+ communities within San Diego and the surrounding areas.
55+ Communities Within San Diego
- Auberge at Del Sur
- Avante at Del Sur
- Junipers
- Mira Vista
- Oaks North
- Regency Villas
- Seven Oaks
- Villa Sao Miguel
55+ Communities in the Surrounding San Diego Area
Carlsbad
Chula Vista
Encinitas
Escondido
Fallbrook
Oceanside
- Costa Serena
- Emerald Lake Village
- Ocean Hills Country Club
- Oceana
- Oceana Mission
- Pacifica
- Peacock Hills
- Pilgrim Creek Estates
- Rancho Hermosa
- Villa Trieste
San Marcos
Vista
FAQ: Retiring in San Diego
Is San Diego a good place to retire?
Yes, San Diego is one of the most desirable retirement destinations in the country. The city offers a Mediterranean climate with year-round comfortable temperatures, 70 miles of coastline, a rich cultural scene, diverse dining, and top-rated health care. The main tradeoffs are high housing costs, California’s income tax on pensions, traffic congestion, and wildfire risk.
How much does it cost to live in San Diego?
San Diego is expensive. The median listing price in San Diego County is around $1.1M, with homes taking 38 days to sell. California has some of the highest state income tax rates in the country, though Social Security is not taxed. The combined sales tax in most of the city is 7.75%, with some districts reaching 8.75%. Property taxes are capped at a 1% base rate.
What is the weather like in San Diego?
San Diego has a Mediterranean climate with gentle seasons and very little rain. Summer highs reach the low 80s, and winter temperatures stay in the mid-50s. Precipitation is mostly limited to November through March. The mild, consistent weather supports year-round outdoor activities like coastal walks, hiking, biking, and golf.
Are there 55+ communities in San Diego?
Yes, San Diego and its surrounding areas have numerous 55+ communities. Communities within the city include Auberge at Del Sur, Avante at Del Sur, Junipers, Mira Vista, Oaks North, Regency Villas, Seven Oaks, and Villa Sao Miguel. The broader San Diego area offers additional options in Carlsbad, Oceanside, Escondido, Fallbrook, San Marcos, Vista, Chula Vista, and Encinitas, giving homebuyers a wide range of locations and price points.
What are the best hospitals in San Diego?
UC San Diego Health is on the U.S. News & World Report’s Best Hospitals Honor Roll and is ranked among the top five hospitals in California. The Scripps Health network adds further care across the region. San Diego also offers the San Ysidro Health Senior Care Center and 211 San Diego for connecting retirees with community services.
Is Social Security taxed in California?
No, Social Security benefits are not taxed in California. This is an advantage for retirees living primarily on Social Security income. However, public and private pension income is fully taxed at California’s state income tax rates.
What are property taxes like in San Diego?
California caps the base property tax rate at 1% of a property’s assessed value. Local levies can add to this, but the effective rate remains more moderate than in many other states. Retirees moving from elsewhere in California get a special benefit from Proposition 19, which allows homeowners 55 and older to transfer their existing property tax assessment to a new home anywhere in the state.
What outdoor activities are available in San Diego?
San Diego offers coastal walks, surfing, hiking at Torrey Pines State Natural Reserve, biking along scenic coastal paths, kayaking at La Jolla Cove, sailing, and golf at courses like Torrey Pines Golf Course with panoramic Pacific Ocean views. Also, the city has more than 50 parks and recreation centers.
What is there to do in San Diego for retirees?
San Diego offers Balboa Park, the San Diego Zoo, the historic Gaslamp Quarter, the Museum of Contemporary Art, and the San Diego Natural History Museum. Shopping destinations include Fashion Valley Mall and Westfield UTC. The San Diego Civic Theatre hosts performances year-round. Also, year-round farmers markets and an excellent craft beer and restaurant scene round out daily life.
Where is the best place to retire in San Diego?
It depends on your lifestyle. La Jolla offers upscale beach living with proximity to UC San Diego Health. Carlsbad has a relaxed, walkable beach atmosphere with shops and restaurants. Communities in Oceanside and San Marcos offer more affordable options with coastal access. Escondido and Fallbrook provide a quieter inland setting. For 55+ homebuyers, communities are spread across all of these areas.
Is San Diego traffic bad?
Traffic congestion is a notable downside. As a major metro area, San Diego experiences heavy traffic during commute hours. The city offers a trolley system and bus network that help in some urban corridors, but the area is fundamentally car-dependent. Parking in popular areas like the beaches and downtown can also be frustrating. Retirees who can schedule errands and activities outside peak hours will find it more manageable.
Is San Diego worth the cost for retirement?
For retirees who can afford it, San Diego offers one of the best combinations of climate, culture, health care, and natural beauty in the country. The key is understanding California’s tax implications, having realistic expectations about what your budget will buy, and factoring in costs like wildfire insurance. For those who’ve done the math and the lifestyle still pulls them in, San Diego is a strong choice.
The Bottom Line
For most retirees, San Diego offers the perfect blend of climate, culture, health care, and natural beauty. Although some places are more affordable than others, San Diego is still in California, which is one of the most expensive states to live in. The market is a little more navigable than it was a few years ago, when every house came with a frenzied bidding war. As long as retirees considering San Diego understand the tax implications and have realistic expectations of what their budget will buy, it’s a fine choice for retirement.
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