Retirees like it hot on the Gulf Coast

The Gulf Coast is a scorcher when it comes to hot real estate markets for retirees, according to a new RealtyTrac report.

The Irvine, Calif.-based real estate data firm actually pegs five Gulf Coast markets in its survey of the 15 best retirement hot spots for real estate investing. The report, an analysis of markets nationwide where at least one-third of the population is of retirement age, is based on price appreciation and the owner's expected return on investment, or capitalization rate.

The No. 1 market for annual price appreciation, the report shows, is Dunnellon in Marion County, about 100 miles north of Tampa, where prices rose 31.4% in the last year. And the No. 1 market for capitalization rates is Orange City, in Volusia County, at 12.9%. Dunnellon, with a cap rate of 10.3%, and Orange City, with an annual price appreciation of 8.8%, are two of seven Florida entries on the list.

The Gulf Coast areas on the list, meanwhile, are well-known retiree destinations, though the real estate markets in these communities have been hot and cold over the last five years. The local markets include: