4. Alabama
Home median price: $123,600
Healthcare costs: 12% below the national average
Tax friendly
We are continuing our list of cheapest states to live in the US for seniors with Alabama that has the lowest healthcare costs which are 12% below America’s average. At the same time, it belongs to a group of states whose residents receive relatively solid medical care, especially in urban centers. Like many other places, it struggles with physician shortfall, so the quality of health care varies across the state. Public and private pensions, as well as social security income, are all exempt from taxation in Alabama. The “Heart of Dixie” cannot be called a tax heaven only because of sales taxes which are third highest in America.