Retire Here, Not There: Texas

For the more than 36 million Americans who will turn 65 in the coming decade, the best cities and towns to retire in now have a much higher bar to clear: They can't just be great places -- they have to be affordable. Each week, SmartMoney.com tours a different state to find less-expensive alternatives to the most well-known golden year destinations.

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Retire Here, Not There: State-by-State Forget your parents' retirement destinations. These less-known gems offer lower prices and peppy economies.

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It's hard to mess with Texas -- at least as a retirement destination. The state boasts warm weather, zero income tax, a friendly vibe and a cost of living that's lower than the national average, says Rick Salmeron, founder of Dallas-based Salmeron Financial Network. "We've got a killer economy," with low unemployment and a relatively robust housing market, he adds. Granted, the fiercely independent, cowboy culture that permeates most of the state isn't for everyone. Nor are the McMansion-filled developments and strip malls that sprawl from the centers of many of the big cities. (They don't say, "Everything's bigger in Texas," for nothing.)

Despite the low overall cost of living in the state, advisers say there are some pricier spots, especially in and around Dallas and Houston. Take The Woodlands: Low crime, golf courses designed by Jack Nicklaus and Arnold Palmer and roughly 6,000 acres of green space at this master-planned community roughly 30 miles from Houston. But the cost of living in this tucked-away haven for retirees is nearly 13% more than average and the median home price is $274,100, compared to roughly $200,000 on average.*

For retirees looking for less-expensive options, retirement experts say Texas still delivers. Here are four great places they say to consider.

* Source: Sperling's Best Places

Corpus Christi: For the beach bum Bob Hall Pier in Corpus Christi / iStockPhoto By the numbers*

• Population: 287,641
• Median home cost: $103,500
• Cost of living: 15.4% lower than average
• Unemployment: 7.4%
• * Source: Sperling's Best Places

The tagline for Corpus Christi -- "Beaches Plus" -- is certainly fitting. The area boasts more than 100 miles of sandy beaches, including Padre Island and Mustang Island, and clear Gulf Coast waters at a cost that's significantly less than most Florida beach towns. Retirees can build sand castles with the grandkids, take the boat out for a cruise or fishing trip, or try their hand at windsurfing.

As the nickname implies, this town is more than just sand and surf, locals say. The thriving downtown has a variety of museums and galleries, nearly 600 restaurants and an impressive aquarium. It also offers hiking and bird-watching in the local parks and nature trails, says Colette Rye, the communications manager for Corpus Christi Convention & Visitors Bureau. There are also five golf courses in the area and a major hospital system called Christus Spohn, she adds.

The downsides: The summers are hot -- temperatures stay in the 90s most of the season, which in combination with the humidity means many older residents spend much of their days inside with the AC cranked. Corpus Christi is also a popular spring break destination for college kids. Come March and April the town may be more Girls Gone Wild than a relaxing retirement spot, locals say.

Austin: For the intellectual Austin's skyline / iStockPhoto By the numbers*

• Population: 767,250
• Median home cost: $196,200
• Cost of living: 2.4% higher than average
• Unemployment: 6.3%
• * Source: Sperling's Best Places

Advisers say Austin deserves its place as a mainstay on several "best places to retire" lists. The state capital and liberal stronghold is also home to the highly ranked University of Texas at Austin, a thriving arts, music and cultural scene including the world-renowned South by Southwest music festival and more than 2,000 restaurants. Residents can enjoy live theater and events at the city's three performing arts centers, listen to live music at one of the dozens of venues in the city (Austin calls itself the "Live Music Capital of the World") and take an adult education course at one of the many universities in the area. "It's got as much to see and do as a big city, but still has a friendly, small-town feel," says Salmeron.

But thanks to the warm weather, people also enjoy year-round outdoor activities, says Mike Rollins, president of the Austin Chamber of Commerce. Town Lake, for instance is surrounded by more than 10 miles of hiking and biking trails. Kayaking in the Colorado River is also nearby. There are also a number of good hospitals and medical facilities in the area.

Keep in mind the city is quirky, locals warn. A popular bumper sticker in the area reads "Keep Austin Weird." Indeed, one of the favorite local pastimes is gathering near the Congress Avenue Bridge in the evening to watch millions of bats leave their roosts at twilight. In addition, Austin's recent economic boom has caused some residents to complain that widespread development is choking the character of the city.

Georgetown: For quaint, small-town life Williamson County Courthouse / iStockPhoto By the numbers*

• Population: 44,762
• Median home cost: $215,000
• Cost of living: 0.6% higher than average
• Unemployment: 7%
• * Source: Sperling's Best Places

Retirees attracted to the culture and learning opportunities of Austin, but who want a smaller venue, might consider Georgetown. Roughly 30 miles from Austin, the Red Poppy Capital of Texas, it's best known for two things: the abundance of bright red poppies that bloom around April and its Victorian architecture. (There are more than 180 homes and buildings listed on the National Historic Homes Registry.)

Smaller can mean inconvenient, locals warn. The Houston and Dallas airports, the two largest in the state with plenty of direct flight service, are a full two hours away. (Though you can fly out of the nearby Austin airport, though it is smaller.) And despite Georgetown's admirable efforts, for major cultural activities residents still need to travel a half hour to Austin.

That said, outdoorsy types won't be disappointed. Blue Hole is a lagoon on the South San Gabriel River that's bordered by limestone bluffs. The 180-acre San Gabriel Park is graced with myriad 200-year-old oak trees and miles of hiking and biking trails. Lake Georgetown is a popular spot for bass fishing and the Inner Space cavern is one of the state's many caves worth exploring, says Keith Hutchinson, the communications director for the City of Georgetown. The city is also home to several art galleries, a theatre with year-round productions and Southwestern University.

San Antonio, Texas: For the history buff Restaurants along San Antonio's River Walk / iStockPhoto By the numbers*

• Population: 1,321,692
• Median home cost: $105,600
• Cost of living: 16.6% lower than average
• Unemployment: 7%
• * Source: Sperling's Best Places

The site of the Alamo, where Davy Crockett was killed in 1836, this Texas town is steeped in Old West history. The former mission is San Antonio's best known historic site, but there's also the Casa Navarro State Historical Park and the King William Historic Area. The unique Spanish and Mexican heritage gives this town its unique flavor with its art and cultural museums and the Fiesta festival, a celebration of the diverse cultures in the San Antonio area that includes more than 100 official events including parades and concerts.

But the real draw for tourists and retirees alike is the famed River Walk. Five miles of walking paths along the river -- lined with shops and restaurants -- connect the Alamo to the Rivercenter Mall and the San Antonio Museum of Art and beyond. Throughout the year, more than 20 events take place along the River Walk, including a St. Patrick's Day festival, a Mardi Gras parade and a slew of arts and crafts shows. "A healthy economy, affordable living costs, access to world-class healthcare and year-round great weather makes San Antonio one of the top places for retirees to visit and live," says Casandra Matej, executive director of the San Antonio Convention & Visitors Bureau.

Experts warn, however, that at times the town can feel overrun with tourists. Indeed, more than 25 million people visit San Antonio each year. And there's little relief from the oppressive summer heat, with the nearest beach is two hours away.