Is it true what you read about the low taxes in Delaware? Yes, it is absolutely correct. If you now live in New Jersey, New York, Maryland, Pennsylvania, DC and almost anywhere else, your property taxes will be much lower here. Even in Coastal Delaware resort towns like Lewes, Rehoboth Beach and Bethany, taxes on a $400,000 new home will average less than $1,500 a year.
I get many calls from people looking at retiring to Coastal Delaware because our taxes are so much lower but they really don't know that much about this area. They may tell me what they are looking for in a home and their target price range for a new active adult community with all the amenities. I often have to tell them that "Lower taxes doesn't necessarily mean cheaper homes than where you now live". What is a realistic price range for a new or resale home in a community that has it all - a clubhouse, a pool and some of the other amenities like a Fitness Center and group activities? That depends on location and the total list of amenities and size of facilities.
So how do you calculate what you might be able to afford as you prepare for retirement and living here in Delaware? Print this post and fill in the information below so that we can compare your expenses now to what they might be if you moved here:
- Property taxes:
- School taxes:
- Community fees (HOA, Condo or Club):
- Membership in a Fitness Club or Gym:
- Sales Tax:
- Insurance costs for both your home and your vehicles:
- Social Security and projected income taxes on retirement income:
More difficult to calculate but perhaps most important, what is your lifestyle cost? Can you put a price tag on less stress, less traffic and a more relaxed lifestyle? What I have noticed is less wear and tear in general. My car looks better and lasts longer than it did when I lived in New York or Boston or the DC area. Even my clothing wears longer and goes more places and there are no more suits taking up closet space. I'm just saying, the way to make decisions about where and how to live can be fun and lead to new adventures. Lower taxes just might make it possible.