Retiring to Tennessee: Financial info (Mountain City, Charlotte: renting, buying a home, buying)

[Father John]

Results of my financial research on the best places to live in the Tennessee (and surrounding states) part of the country.

According to the Tax Foundation, in 2006 Virginia had the 10th lowest state and local tax burden in the country at 9.5 percent of income. Alaska's state and local tax burden was the lowest at 6.6 percent. Tennessee had a lower rate than Virginia at 8.6 percent. Maryland and North Carolina were both higher than Virginia at 10.7 percent and 10.5 percent, respectively. The national average was 10.6 percent.

CNN/Money listed the cheapest states (of the 50 states) to live by total tax burden as follows: #4 - Tennessee, #17 - Virginia, #18 - South Carolina, #20 - Georgia, and #23 - North Carolina. Kentucky was 32 and West Virginia was 38.

Based on my own calculations, using rates from each state's own financial web pages, with the following assumptions, the results are similar.

Assuming a $300,000 home and the state-wide AVERAGE of local taxes, an income of $80,000 per year (married filing jointly), and taxable expenditures of $50,000 per year in state, the total tax burden (in order of cheapest state) would be as follows:

Tennessee: $5,821
Kentucky: $8,911
Georgia: $10,252
N. Carolina: $10,423
W. Virginia: $12,636
Virginia: $14,401

I included Arizona (my home state right now) and Michigan (where my wife's family lives) for comparison. Arizona's tax burden with the above assumptions is $11,461 and Michigan's is $12,748.

Your mileage may vary. Property taxes DO vary by LOCAL taxes. Living OUTSIDE a city and paying only county or state taxes will cut property tax roughly in half. The lowest STATE-wide property tax (not including any local taxes) is Tennessee's .0282% rate followed by North Carolina's 0.313% rate (0.000313 time home value).

I hope this is interesting and/or helpful to those contemplating a move.

[hiknapster]

Great. Just what we need: A bunch of retirees trying to save a buck that end up hating it here and complaining all the time.

[Father John]

Originally Posted by hiknapster

Great. Just what we need: A bunch of retirees trying to save a buck that end up hating it here and complaining all the time.

spoilsport.

[hiknapster]

Darn skippy. And whining retirees will quickly be put in their place by me and others. Saving money isn't the best thing about Tennessee.

[Father John]

Originally Posted by hiknapster

Darn skippy. And whining retirees will quickly be put in their place by me and others. Saving money isn't the best thing about Tennessee.

You should LOVE retirees who come and spend money in your state, creating jobs without crowding schools, etc.

I won't be whining. I'll be fishing and hiking.

[BULLARD]

Tn is always trying to lure manufacturing to their state . . . but economicaly, retirees bring more to the local economy than the jobs created by manufacturning according to recent articles (and don't pollute like manufacuring). Many states have now recoginized this and launched marketing campaigns to attract the lucrative retirees and are in competition for retirement dollars ie., building golf courses, man made lakes, etc.

Florida has know this for some time and recently LOWERED property taxes to keep'em coming.

Aside from causing traffic accidents, they provide tons of well paying healthcare jobs, as well as service and construction work.

[SPLIT]

H.K.: I had a Great Day with 150 of my New Neighbors, but wont tell the location. You want to come to East Tn with me Next Year and bring ATV or Horse??
FATHER J: You have some nack for numbers, What kind of Church do you run.?? I suppose Alaska may also be 1st in Scenry, but TENN has to be top 5,? You may want to Fish ? HIKE with me, we like the OFF_Trail stuff , or Pre Mapped Cumberland Trail 305 mile stuff.......[/IMG]

[Father John]

Originally Posted by SPLIT

FATHER J: You have some nack for numbers, What kind of Church do you run.?? I suppose Alaska may also be 1st in Scenry, but TENN has to be top 5,? You may want to Fish ? HIKE with me, we like the OFF_Trail stuff , or Pre Mapped Cumberland Trail 305 mile

I am retired, Congregational minister (like my father and grandfather before me).

My numbers ability goes back to HS with my 800 on the SAT math. Just have a knack (and love it, too). My budget is so detailed that I have things mapped out from income and investments through age 100... LOL. I should live so long!

I love trout fishing and moderate hiking. The strenuous stuff is getting to be a bit much as I get older. The mind is willing but the body yells at me.

I can also sit is a boat for hours casting for bass and crappie and perch...

I also volunteer. And I have played Santa for 12 years now. Pic of me:



I am looking forward to buying a home somewhere in the Tennessee / North Carolina area. We are flying into Charlotte Aug 18, renting a car, and driving all over for 10 days. Right now, except for being unable to find out if there is cable TV and internet in Mountain City, that looks like a great place for us - almost ideal.

[alleycat]

You have a good point about the schools.

And you should check out Brown's Creek Lake off the Natchez Trace Parkway for crappie.

[JMT]

Originally Posted by Father John

You should LOVE retirees who come and spend money in your state, creating jobs without crowding schools, etc.

I won't be whining. I'll be fishing and hiking.

On the surface, that sounds ideal. However, if that were true (retirees bringing lots of cash without burdening the school systems) then why are Florida's schools so woefully underfunded and overcrowded? I lived and taught in retirement-mecca Saint Lucie County, and holy cow its schools were just pitiful; rows upon rows of portable classrooms, poorly-paid teachers, gigantic classes, few supplies, etc. Palm Beach County's school system is even worse in spite of the thousands of wealthy retirees moving to town.

So the argument that "retirees come and spend money in your state, creating jobs without crowding schools" just doesn't fly. If that were really true, then Florida's schools should be flush with cash and among the best in the nation.

I'm not saying that I'm opposed to retirees moving to Tennessee. I just want retirees (who often seem to come from up north...) to quit telling us that they're doing us a favor by moving here, that we yokels should be grateful that they're gracing us with their presence and cash. I heard it in my beloved Florida, and I don't want to hear it in my beloved Tennessee.