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Second Asheville. Never been there, myself, but I know a number of people who've fled the California Coast (Santa Cruz, specifically) for Asheville to get affordable housing in a similar academic/cultural/countercultural/pretty area, and they're all happy as clams back there.
Portland's fine. If you must do Arizona, try Sedona or Flagstaff. Phoenix is big, flat, ugly, and dusty, and the traffic's not all that great, either. Oh yeah, and _hot_. Real hot. Tucson I can't speak for, or against.
If you just want somewhere cheap to live with a reasonable climate, try Arkansas. But "cheap" and "good weather" is all I'll say for it.
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