Melissa and Tayna Smith grew up in southern California and raised their family in Ventura County, only a 10-minute drive to the Pacific Ocean.

“It is a beautiful area that we really loved, but when we saw what Tennessee has to offer at a much lower price we decided to look for our retirement home in Tennessee,” Melissa Smith recalled. “I remember standing outside the Boathouse restaurant watching people paddle boarding on the river, biking on the river walk and walking their dogs along the water and I realized all the things we enjoyed in California you can do right here in Chattanooga.”

The couple found what they hope will be their final retirement home near the Chickamauga Lake in Soddy-Daisy two years ago at a price less than one-third as much as their comparably sized home sold for in California.

Initially, Melissa, who is 55 years old, thought she would work a few more years before relocating to Tennessee. But when the Smiths saw the cost of living advantages in taxes, utilities, housing costs and other expenses, they decided to make the move last year.

Smith said the natural beauty, changing seasons, and affordable cost of living in the Chattanooga area have all lived up to their expectations — so much so that they were able to convince a longtime friend from Southern California to buy a retirement home in Hamilton County, too.

The Smiths are among thousands of relocating retirees who are moving to Tennessee every year. Propelled by America’s aging population and the cost advantages and natural appeal of the Chattanooga region, nearly one of every five residents of Hamilton County is 65 years old or older.

Nationwide, the number of American Baby Boomers reaching the age of 65 is projected to reach a new peak this year with the senior population growing by more than 11,000 a day. Approximately 4.1 million Americans are poised to turn 65 years old this year and every year through 2027, according to U.S. Bureau of Census estimates.

Dubbed by experts as “Peak 65” or the “silver tsunami,” the figure represents the largest surge of retirement-age Americans in history. By 2035, the U.S. Census Bureau projects the United States will reach a new age-related milestone when senior citizens outnumber children for the first time in U.S. history. If current trends continue, experts project senior citizens in America will outnumber those under the age of 18 by 14.9 million by the year 2060.

Tennessee’s appeal

The graying population is even more prominent across East Tennessee. In Cumberland County, where Fairfield Glade and other retirement villages lure retirees with its amenities, mild climate and low cost of living, one third of the population is now age 65 or older — nearly twice the share of seniors in the rest of the country.

Many people who are retiring or nearing it are relocating to places where they can enjoy their senior years and stretch their savings thanks to a lower cost of living. Tennessee has been a key beneficiary of this trend and has worked to attract retirees through its Retire Tennessee program.

Tennessee created the targeted sales effort in 2001 to attract more retirees here, marketing the state at Ideal-LIVING Real Estate shows across the Northeast and Midwest, through various podcasts, and through direct mailings that reach more than 2 million people every year.

“Retirees who move to Tennessee are a real boost to our economy because they bring their money and investments here but they don’t require a lot of government services, like schools for their children,” said Jessica Hollingworth, the tourism initiatives coordinator for the Tennessee Department of Tourist Development who heads the Retire Tennessee program. “Having the senior generation in our community is just a good thing and it also helps attract a lot of visitors to Tennessee from their family and friends.”

The mountains seem to be calling many retirees to East Tennessee. Among the 19 counties in Tennessee that are certified retirement communities and are marketing properties to relocating seniors, 11 are in East Tennessee, including Hamilton County. Luxury mountaintop and golf communities like Jasper Highlands, River Gorge Ranch and Fredonia Mountain in Marion County and Flipper Bend, Council Fire and Black Creek in Hamilton County have all benefited by attracting many relocating retirees.

“Many seniors are looking for places with tax advantages and Tennessee is certainly a more tax-friendly state for retirees and I think that is attracting a lot of people to Chattanooga,” said Brian Mack, vice president of sales and marketing at Black Creek Mountain.

For many approaching retirement or newly retired from their jobs in other cities and eager to stay connected with their former locations, EPB’s fiber optic network with high-speed internet service to every home offers another unique advantage for Chattanooga.

Senior businesses grow

The aging population has also helped grow local businesses serving older Americans. Life Care Centers of America, headquartered in Cleveland, Tennessee, has grown into the nation’s biggest privately owned nursing home chain. Several former Lifecare executives have gone on to create other locally-based businesses focused on senior housing and nursing care, including Morning Pointe, Grace Healthcare and Legacy Senior Living.

Other Chattanoogans have also capitalized on the graying of America. Misty Bolt has worked with those approaching or in retirement for more than two decades as an advisor to seniors trying to select the best Medicare program. With her early career experience at BlueCross BlueShield of Tennessee, Humana and Healthspring, Bolt started what ultimately became known as Medicare Misty in 2011 and has since grown the business with 50 agents serving clients in 45 states around the country.

“It’s growing more and more because you have more people who are turning 65 this year, and then you have people who waited and still worked under their commercial plans at work and now that they are retiring are needing help in picking a Medicare plan,” Bolt said. “Like doing your taxes, there are so many rules with Medicare that can get you in trouble, if you are not an expert.”

Bolt said in Chattanooga, those age 65 and older have 38 options for Medicare coverage as the number of health plans for seniors continues to grow, creating the need for help to make the right selection.

Relocating retirees

In metropolitan Chattanooga, nearly one of every five residents is now a senior citizen. Every week, another 17 people in Hamilton County turn 65 years old, according to the U.S. Bureau of Census.

Many of those, like 65-year-old Bill Gaudet and his wife Sue, have relocated to Chattanooga for their retirement years. After Gaudet retired as a vice president for Goodyear Tire and Rubber Co. in Akron, Ohio, the couple previously lived in a golf community in Naples, Florida. But after a couple of years in South Florida, Gaudet said they got tired of hot summers and the growing congestion in Naples and have found their new dream retirement home atop Black Creek Mountain.

“We love the mountains and open spaces of Tennessee and the four seasons,” said Gaudet, who moved into a new home on Black Creek Mountain in January. “What also attracted me was the health care that is in Chattanooga, and we’ve found the people in Tennessee and here at Black Creek are so friendly. It’s really checked all of our boxes.”

The couple were initially drawn to the area by family living nearby, and Black Creek offers the retired couple an active lifestyle with its golf course, clubhouse and walking trails.

Bob and Nancy O’Donnell said they have found similar appeal at Black Creek where they built their retirement home last year. O’Donnell, a retired Army colonel who later served as a vice president for business development at the Boeing Co. complex in Huntsville, Alabama, has lived and worked around the globe.

“Living in Huntsville and later visiting our daughter here, we fell in love with Chattanooga,” Bob O’Donnell said. “I ran marathons and loved soccer and baseball and I’m really happy here with the AA baseball team (Chattanooga Lookouts) and we bought season tickets to the Chattanooga Football Club.”

Mack said that a majority of those buying in the luxury residential community are like the O’Donnells — coming from other markets and either already retired or soon will be.

Black Creek, a golf course community with more than 600 homes in Lookout Valley, is in the process of adding another 1,200 lots atop Black Creek Mountain over the next 12 to 15 years. Home prices on the mountain start at about $650,000, Mack said.

“People who are buying houses right now are often those close to retirement who have a lot of cash or equity in their existing home and many of them are downsizing and looking for a community with tax advantages like what Tennessee offers,” he said.

Tennessee’s most senior counties

Among Tennessee’s 95 counties, most of the counties with the biggest share of those age 65 years and older are in East Tennessee. Nationwide, 17.7% of all Americans were age 65 of older in 2024. The Tennessee counties with the biggest share of their population who were senior citizens last year were:

1. Cumberland: 32.5%

2. Pickett: 28.7%

3. Loudon: 28.1%

4. Henry: 24.7%

5. Decatur: 25.6%

6. Clay: 25.6%

7. Benton: 24.3%

8. Henry: 24.3%

9. Hardin: 24.2%

10. Van Buren: 23.9%

Source: U.S. Bureau of Census

* Experts: Start planning now if you intend to eventually sell your business

* Why some Chattanooga-Area retirees are returning to work