6 Wallet-Friendly Small Towns To Retire In Hawaii
Known as ‘the Aloha State,’ Hawaii provides an unmatched mixture of tropical weather, natural beauty, and a relaxed lifestyle, making it a dream destination for those seeking to retire. With strong healthcare rankings and numerous opportunities for outdoor recreation, Hawaii is particularly appealing to older adults seeking a healthy and active lifestyle. Although living costs in many areas can be high, with a median home value of $825,000 as of November 2025, several small towns across the state offer a serene atmosphere, friendly communities, and tropical charm at a fraction of the cost.
Mountain View
Mountain View is a picturesque town located in the District of Puna, Hawaii. With an average housing value of around $325,000, this mountain town, renowned for its adventurous atmosphere, is an ideal place for retirement on a budget. In nearby Hilo, there are several independent living communities as well as the nearby Hilo Benioff Medical Center, accessible by public transportation. In Mountain View, residents have access to Hilo Coffee Mill, a 24-acre plantation that offers visitors roasting tours and coffee for sale at an on-site café and gift shop. Located nearby is a popular tourist destination, Hawaii Volcanoes National Park, a unique place where you can witness lava flow, spot glowing craters, explore lava tubes, and learn new things through educational programs offered.
Ocean View
The town of Ocean View, Hawaii, can be found in the District of Ka’u on the southern Big Island. Providing ocean views and an average house value of around $270,000, this town is one of the most affordable locations in Hawaii. Older residents have access to the Ocean View Community Center, which offers classes, educational activities, telehealth services, pancake breakfasts, and more. On Saturday mornings, residents can often be found at the Ocean View Swap Meet and Ocean View Community Market, each featuring dozens of vendors selling a wide range of locally sourced products. Seniors can enjoy a nice leisurely walk along a 2-mile nature trail at Manuka State Wayside, a state park centered on a native-plant arboretum, which includes camping and picnic areas.
Keaau
In the District of Puna, south of Hilo, is the town of Keaau. Known for its friendly and peaceful environment, the median home value in Keaau is approximately $450,000. Senior resources in the area include the Kūpuna Aging in Place (KAP) program, which offers services such as caregiver support and adult day care to moderate- to low-income seniors. Additionally, there is the Keaau Community Center, a meeting place for many local groups, which hosts numerous senior activities. Keaau is also home to Haena Beach (also known as Shipman Beach), a popular spot for swimming that can only be reached on foot. Another beautiful, secluded location to visit is Awapuhi Labyrinth, a park featuring a 30- to 40-minute walk through a 90-foot-diameter replica of a 13th-century Chartres Cathedral Labyrinth.
Pahoa
Pahoa is another stunning small town located in the District of Puna, Hawaii. With an average house value of approximately $285,000, Pahoa provides affordable living in an unforgettable place. Pahoa offers peace of mind during retirement with the Pahoa Senior Center. It is an excellent place for people 55 and over to come together and engage in a variety of activities such as painting and yoga. On Sunday mornings, residents can support local businesses by visiting Maku’u Farmers Market, which features over 150 vendors offering a wide range of fresh foods, delicious grinds, and local crafts. Seniors who enjoy fishing, seaside surfing, swimming, or camping can visit Isaac Hale Park and enjoy the beautiful weather of Hawaii.
Waianae
Waianae, in the city of Honolulu, Hawaii, offers beautiful beaches, stunning sunsets, and breathtaking views. The median home value for the area is approximately $560,000, providing serene living at a fraction of the value of the state average. The Waianae Neighborhood Community Center offers a mix of cultural significance and community services, drawing in visitors with its statue of Israel Kamakawiwo'ole. Through the local YMCA, residents aged 60 and over can access the senior meal program, known as Kupuna Food & Fun, which provides socialization, nutritious meals, wellness education, and physical activity. For those seeking adventure, nearby attractions include Pokai Bay Beach Park, a calm and scenic spot ideal for swimming and picnicking. Those who enjoy hiking can explore Ka‘ena Point State Park, located at the island’s westernmost tip, where a coastal trail leads to dramatic ocean views and opportunities to spot seabirds and monk seals.
Kaunakakai
The largest town on the island of Molokai, known for its mom-and-pop eateries and peaceful beaches, is Kaunakakai, Hawaii. The average house value is approximately $400,000, and the town is home to the Molokai Community Health Center, the only federally qualified health center on the island, making it a prime location for retirees. Kaunakakai also features the Mitchell Pauole Community Center, a multi-purpose sports facility that offers a range of activities, including cultural events and fitness classes, and serves as the headquarters for the Molokai Police and Fire departments. Outside adventure awaits at the Kamakou Preserve, a 2,774-acre nature conservancy site featuring 250 rare plants. The preserve is one of the biggest sources of fresh water on the island, and a place where visitors can see rare animals amid a stunning rainforest.
Affordable Retirement In The Aloha State
By retiring in Hawaii, individuals can enjoy a slower pace of life while surrounded by strong communities and natural beauty. With only a handful of its 132 islands inhabited, Hawaii offers many smaller, peaceful locations where retirees can enjoy all the things that make the state special, such as a welcoming spirit, stunning beaches, and pleasant weather. The more affordable Hawaiian towns discussed above demonstrate that the dream of retiring in what is known as a tropical paradise is attainable.
