You’ll Struggle To Live Well in Maine on Just Your Social Security, Even If Your Mortgage Is Paid Off

Retirees in Maine face significant financial challenges, if they plan to rely solely on Social Security and no other source of income, even if their mortgage is squared away.

According to a Realtor.com® analysis of median Social Security benefits by state and the Elder Economic Security Standard Index, seniors in the Pine Tree State experience an annual shortfall of $3,612, or about $301 per month, even with their mortgage paid off.

The story remains very much the same in most of the North East, with one stand out exception: Delaware.

Housing costs at the heart of the problem

Retirees in Maine face average monthly living expenses of $2,110, while the median Social Security benefit is just $1,809. Housing costs average $637 per month, consuming more than one-third of the average Social Security check. This leaves insufficient income for other essential needs like food, healthcare, and transportation.

Housing costs are what really separate the states where Social Security is enough from those where it falls short. In Delaware, the average monthly living expenses is $1,992, which is on par with Maine. However, housing costs come in at a mere $555 per month, which is less than half of what you'd pay in the Pine Tree State.

Some key differences? High property taxes, costly utilities—especially heating during Maine’s long, cold winters—and rising insurance rates all contribute to the burden. Even mortgage-free homeowners find that these unavoidable housing-related expenses prevent Social Security from covering the basics.

Maine in the national context

Still, Maine offers much that appeals to retirees: natural beauty, a slower pace of life, and strong community ties. Coastal towns like Portland, Rockland, and Bar Harbor are especially popular with older adults drawn to ocean views and cultural amenities.

And the shortfall is not as bad as it could be, if you look at the country at large.

Nationally, retirees depending solely on Social Security face an average annual shortfall of $2,762, or about $230 per month. Maine’s $3,612 gap is worse than the national average, but less severe than in the hardest-hit states like Vermont (-$8,088) or New Jersey (-$7,512).

Compared to its New England neighbors, Maine performs slightly better but still falls firmly in the red. Massachusetts retirees face a $7,345 annual shortfall, while New Hampshire’s deficit is $6,564 and Connecticut’s is $5,436. Rhode Island seniors fall short by $4,164. Across the region, high housing and utility costs make retirement on Social Security alone nearly impossible.

The future of Social Security

So, even without a mortgage, retirees must budget for property taxes, insurance, utilities, and maintenance, and in truth, relying on Social Security isn't a safe bet even if it did cover all expenses.

Looking ahead, Social Security’s looming solvency issues add to the uncertainty. Without reforms, benefits may be reduced to about 77% of current levels by 2033. For Maine retirees, that would widen today’s $3,612 annual shortfall to more than $7,000.

Maine’s landscapes and communities make it an attractive place to live, but for retirees relying solely on Social Security—even mortgage-free—the state remains financially out of reach. Therefore, supplemental income or savings are essential to make retirement sustainable in the Pine Tree State.

This article was produced with editorial input from Dina Sartore-Bodo, Gabriella Iannetta, and Allaire Conte.