The cost of retirement on Hilton Head and Bluffton depends on the home and community you choose. Prices vary widely from inexpensive condominiums that begin at about $125,000 and homes in good areas that start from about $225,000. Homes in gated communities on Hilton Head Island start at about $350,000.

On Hilton Head Island and in Bluffton there is a large selection of homes, communities and amenities at a wide variety of prices. Start with an idea of how much you want to spend for your home and pre-quality with a lender before you shop. Typically retirement buyers pay cash or make a substantial down payment to keep their monthly payments low.

Talk with your accountant to see if there are benefits for you to carry a mortgage and if so, how much. In general, the cost of living on Hilton Head Island is only 3.6% higher than the national average. For details click here

Some specific costs of retirement for Hilton Head or Bluffton are:

1) Annual Property Owners’ Association Fee (POA or HOA) varies but is approximately $1,000 per year. For a complete list of annual association fees, click here. Most club memberships and specific activities are an additional fee.

2) Annual County Property Taxes. In 2008, South Carolina residents will see property taxes fall by at least 20% to be offset in an increase in sales tax from 6 to 7%. For primary residents in 2007, this was $1,414 per $200,000 value of your house on Hilton Head: $1,596 for Bluffton. Car taxes were $212 per $20,000 for cars on Hilton Head; $240 for Bluffton.

3) Income tax. South Carolina’s income tax follows Federal income tax laws and is calculated from the Federal taxable income with many of the same adjustments, exemptions and deductions. For a good summary of South Carolina taxes click here.

Find other answers to your tax questions at the South Carolina Department of Revenue web site: http://www.sctax.org/default.htm

4) Utilities: The energy in Hilton Head Island and Bluffton is almost entirely electric and provided by our non-profit company, a, Palmetto Electric Cooperative. Your electric bills should be no more and probably less than what you pay now. Many gas ranges, fireplaces and some swimming pool heaters throughout the area are fueled by propane available from several area vendors. Homes in Sun City Hilton Head and some other residences in Bluffton are heated by natural gas provided by South Carolina Electric and Gas