Which areas of Chile are better?

I've been reading recently about retiring in Chile and would like more information about certain locations. Which areas are best for retirees or people who'd like a laid-back pace?
Are the mountain areas more or less affordable than the beach areas? Can you recommend any areas that are very pedestrian-friendly and walkable? I'd rather not have to drive as much as possible.
I'd really like an area with a slower pace of living so I'd rather not do a big city. From the photos it looks that Santiago and Valparaiso are very pretty, but I'd prefer a smaller place.
Does anyone live in the northern deserts? Is it hot there?
You don't have to answer all of these; just as many as you know. I'd really like to know whether the hills are cheaper, or the beaches, and which you would recommend.
Thanks!

Is is true that most of Chile has a dry climate?

I've been 7 times to Chile and have many friends living there so I think I can help you. Chile has wonderful places to live in and it does have a dry weather which of course doesnt mean that it doesnt rain! It does rain and a lot in certain places.
About big cities, I personally know 2 expats (former teachers) who retired in a place near Vi帽a del Mar. They wanted to be near Santiago and near the sea so they found this nice place 20 minutes from Vi帽a and have a wonderful kind of farm there. Places in the south like Pucon are beautiful during the summer but impossible to live in the winter. And Pucon, Villarica and nearby places are full of tourists in either summer or winter (ski season) so it wont be quiet and relaxed.
I would recomend a place in the north, just for the fact that it's warmer in winter and there are great places like La Serena, Vallenar, Coquimbo which are nice places. They are big enough to find everything you want and small enough to lead a peaceful life. However, you've picked one of the best countries to retire. Chile is a very nice place to retire.

Excuse, but my English is not good鈥?but I will try it.. Any city of Chile, that is not Santiago, Vi帽a del Mar, Concepci贸n or Valpariaso, is calm cities. The north is pretty and has warm beaches. Recommendable, calm and safe cities in the north are Iquique and La Serena. The south is colder, but he is beautiful, his mountains and lakes are indescriptibles. I recommend Puc贸n, mainly if you are thinking about the retirement. Luck