Fresh towels, free breakfast, no lawn care: Hotel retirement starts at $2,000 — with trade-offs
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Fresh towels, free breakfast, no lawn care: Hotel retirement starts at $2,000 — with trade-offs
Kat Aoki December 30, 2025 at 5:08 AM
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$2,000 a month, no rent, no house: Is hotel life a smarter retirement plan? (Maskot via Getty Images)
No lawn to mow and no leaky faucets to fix — just fresh towels daily, gym and spa amenities and a free breakfast buffet calling your name. Sound good? For some retirees, ditching the house or apartment for permanent hotel living is a dream retirement plan.
And before you write it off as completely bananas, know that real people are actually doing it. A quick scroll through YouTube or TikTok introduces you to retirees bouncing from Holiday Inn to Hampton Inn, living out their golden years with room service and rewards points.
But is this actually viable long term or just an expensive fantasy? Here's what hotel retirement costs, which challenges catch people off guard and who makes it past year one.
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The math: Can you afford hotel retirement?
Here's where things get interesting. A typical extended-stay hotel can cost anywhere from $40 to $80 a night, which translates to roughly $1,200 to $2,400 a month. Add in loyalty programs like Wyndham Rewards or Hilton Honors, and you can knock those rates down even more.
Compare that to the median rent of $2,000 across all apartment types, and suddenly this idea doesn't sound quite so crazy. Factor in that you're not paying for utilities, internet, cable, property taxes or homeowners insurance, and the economics look even better. (It is a good idea to pay for renters insurance that covers your belongings and personal liability, but that shouldn't run you more than $15 to $30 a month.)
Here’s how monthly costs by housing type compare.
Expense
Hotel living ($40 to $80 a night)
Renting (1-bedroom apartment)
Home ownership (paid off)
Base cost
$1,200 to $2,400
$2,000
$0
Utilities
Included
$150+
$150 to $500+
Internet and cable
Included
$100+
$100+
Insurance
$15+
$15+
$175+
Property taxes
Not needed
No needed
$215+
Maintenance
No needed
No needed
$200 to $500+
Food (per person)
$300 to $450 (with free breakfast, you’re only paying for lunch and dinner)
$500
$500
Storage unit
$150 to $200
Not needed
Not needed
$1,650 to $3,050
$2,765+
$1,340 to $1,990+
💡 Pro tip: Join the rewards programs of two or three hotel chains like Marriott or IHG and regularly book stays to build elite status. Over time, you’ll unlock perks like bigger, more comfortable rooms and free drinks.
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The logistics: Potential hurdles to think about
That said, it’s not all easy living. Permanent hotel living creates head-scratching administrative and lifestyle challenges. Here’s what to consider before you hit the road.
Establishing a permanent address
Your permanent address matters more than you think. A hotel room address won’t work for essentials like voting, taxes, driver's license renewal or health insurance. Many long-term hotel retirees maintain a "home base" address, using a family member's home or a mail-forwarding service, though these solutions won’t satisfy residency requirements in all states.
💡 Pro tip: If you’re flexible, pick a traveler-friendly home base to establish residency. States like Florida, Nevada, Texas, South Dakota and Wyoming are popular with full-time travelers — they allow residency without property ownership and have no state income tax.
Navigating taxes across states
Where you claim residency affects everything from income taxes to estate planning and inheritance. And rules vary wildly by state: some tax you if you own property there or spend more than half the year in the state, while others — like Florida, Texas and Alaska — don't charge state income tax at all.
💡 Pro tip: Planning to bounce between states or spend most of the year away from "home"? A tax professional or financial advisor can help you establish residency strategically and avoid triggering taxes in more than one state.
Managing health care on the move
Medicare covers you anywhere in the U.S., but offers virtually no international coverage. Medigap plans provide up to $50,000 for foreign emergencies in your first 60 days abroad, and a good travel insurance plan can fill some gaps.
But even if you’re staying stateside, managing chronic conditions, filling prescriptions and building doctor relationships is tough when you're moving around every few weeks.
💡 Pro tip: If you have ongoing health needs, establish a home base city for regular checkups and use telehealth appointments to bridge gaps for continuity between visits.
Storing your belongings
Now, let's talk about all your stuff. Unless you're prepared to go full zen minimalist, you'll need somewhere to store everything that doesn't fit in your suitcases.
While some hotel nomads are happy to embrace the art of owning nothing, most folks will need to shell out for storage units back "home."
💡 Pro tip: Factor storage costs into your budget. Climate-controlled units in your base state can run $100 to $300 a month.
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The lifestyle: It’s not all room service and relaxation
The initial thrill of hotel living is real – no cleaning or maintenance with exciting new experiences and built-in social opportunities with other travelers. But the shine can wear off faster than you'd think.
Let's start with personal space. Even a nice extended-stay suite is pretty compact: one room with a bed, a small sitting area and a kitchenette — typically a microwave, mini-fridge and maybe a cooktop and stove. There might not be a separate bedroom, and definitely no workshop, craft room and proper home office.
The social element cuts both ways too. While extroverts might love the constant rotation of new people, others could find the transient nature isolating. You're not building lasting community connections or friendships if your neighbors change every few weeks or days.
Plus, emergencies get complicated when you don't have a home base. Where do your adult kids fly to if you get sick? Who's your emergency contact? These practical concerns matter more as you age.
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The alternatives: Is there a middle ground?
If the idea appeals to you but full-time hotel life feels too extreme, consider these options:
The snowbird approach. Rent furnished apartments in two different locations seasonally. You get ideal weather year-round with more space and stability than hotel hopping.
Senior communities with hotel-style amenities. Many upscale retirement communities provide housekeeping, meals and maintenance-free living — with permanent apartments and community built-in.
Full-time RV living. Rent or buy an RV and travel at your own pace. RV park costs often beat hotel rooms. Plus, you’ll have your own kitchen, bedroom and belongings right alongside you.
House sitting or international travel. Stay in real homes for free through platforms like Trusted Housesitters. Or stretch your retirement dollars further as a digital nomad in lower-cost countries abroad.
Downsizing strategically. Sell your larger home and use that equity to extend your travel while maintaining a small apartment or condo as home base.
🔍 Read more: 10 best places for Americans to retire abroad in 2025
Bottom line: How to know if retiring hotel to hotel is for you
Permanent hotel life works for some retirees. Whether it’s right for you depends on how much you value new scenery and a tolerance of administrative hassles with lack of personal space.
The financial math can work if you're strategic about loyalty programs and living lean — for example, choosing extended-stay hotels with kitchens to save on eating out. But let’s be honest: For most retirees, the lifestyle challenges likely outweigh the conveniences after the honeymoon phase.
Before committing, maybe test-drive it first. Try three months of hotel living before making any permanent changes. That’s enough to move past vacation excitement into the actual lifestyle. You might love the freedom or find yourself desperately craving your “home sweet home” — back home.
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About the writer
Kat Aoki is a finance writer who's written thousands of articles to empower people to better understand technology, fintech, banking, lending and investments. Her expertise has been featured on sites like Lifewire and Finder, with bylines at top technology brands in the U.S. and Australia. Kat strives to help consumers and business owners make informed decisions and choose the right financial products for their needs.
Article edited by Kelly Suzan Waggoner
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Source: “AOL Money”
