Most Affordable Countries to Live in the World

In light of the increasing cost of living being experienced across the globe, many individuals are now opting to relocate to a new destination in search of greater affordability. Numerous countries across the world offer a more affordable lifestyle whilst also boasting rich cultures, strong transport connections, high-quality housing and healthcare, and numerous professional opportunities.

Options like Spain, Mexico, the Philippines, and Portugal are all examples of common relocation choices, though this list is far from extensive. Many of the cheapest countries explored in this article also offer high-quality healthcare, rich cultural experiences, and strong cultural connections.

Overall, this article provides further details on some of the top choices amongst those looking for a more affordable relocation destination. The option which is right for you will depend on your preferred budget, global location, culture, and lifestyle.

Page Contents

• Introduction to Affordable Living Abroad
• Spain
• Portugal
• Philippines
• Thailand
• Mexico
• Vietnam
• Malaysia
• India
• Costa Rica
• Panama
• Cost of Living Comparison Across Different Countries
• Affordable Housing Options in Expatriate-Friendly Locations
• Healthcare Affordability and Quality in Various Countries
• Educational Opportunities and Costs for Expats
• Employment Prospects and in Affordable Countries
• Safety and Security Considerations for Expats
• Cultural Experiences in Budget-Friendly Destinations
• Community and Social Life for Expatriates
• Visa and Residency Requirements in Affordable Countries
• Tips for Successful Relocation to Economical Living Destinations
• Conclusion: Making the Most of Affordable Living Abroad
• How Can Total Law Help?
• Frequently Asked Questions

Spain is a popular choice amongst prospective expats looking for a change of pace and affordable living costs. Popular spots include Madrid for its cultural richness, Barcelona for its stunning architecture, and Ibiza for its beautiful beaches. Spain also offers a warm climate and easy access to the rest of the EU.

It ranks 46th out of 143 in Numbeo’s Cost of Living Index, making it far more affordable than many other European countries.

Overall, Spain is a popular choice amongst those looking for a European experience, rich culture, excellent food, and strong travel connections.

Portugal is another popular European destination for a more budget-friendly change of pace. Increasingly popular with digital nomads, it boasts the world-famous hilly streets of Lisbon, the cultural charm of Porto, and the castles of Sintra. Portugal also offers strong travel connections and a hot climate for much of the year.

It ranks 56th in Numbeo’s Cost of Living Index, making it one of the more affordable European countries.

Overall, Portugal is popular amongst those looking for numerous areas of natural beauty, the option of working as a digital nomad, strong EU connections, and easy travel accessibility.

The Philippines is a popular choice amongst those looking for a cultural change and an affordable lifestyle. It boasts popular spots like the cliffs and lagoons of El Nido, the beaches of Boracay, and the famous Spanish architecture of Vigan, a UNESCO World Heritage site.

The Philippines also offers a hot climate to its newcomers, with tropical weather conditions throughout much of the year.

It ranks 110th in Numbeo’s Cost of Living Index, placing it amongst the world’s third most affordable countries worldwide.

Overall, the Philippines is popular with prospective expats looking for a change of pace, greater affordability, and cultural richness.

Thailand is another popular Southeast Asian destination for prospective expats. Popular spots include the rich culture and excellent food of Bangkok, the ruins of Ayutthaya, and the jungles of Khao Sok National Park. The country also experiences tropical weather conditions for much of the year.

It places 90th in Numbeo’s Cost of Living Index, putting it in the most affordable half of countries worldwide.

Overall, Thailand is popular for those looking for affordability, strong community, excellent food, and rich culture.

Mexico is another popular choice for expats. Highlights include the thriving culture of Mexico City, the beautiful beaches of Cancun, and ancient Aztec and Mayan ruins. It also boasts a warm climate throughout much of the year.

It places 81st in Numbeo’s Cost of Living Index, making it more affordable than much of the rest of North America.

Overall, Mexico is popular for those looking for a North American location, a rich cultural scene, numerous areas of coastal beauty, and world-famous food and historical sites.

Vietnam is a top choice for expats looking for an affordable new home. It includes the ancient streets of Hoi An, the excellent food options of Hanoi, the scenic beaches of Phu Quoc Island, and the rice fields of Sapa. It also boasts tropical weather for much of the year.

It places 124th in Numbeo’s Cost of Living Index, placing it amongst the world’s most affordable countries.

In general, Vietnam is popular for those looking for a thriving cultural scene, strong community ties, and excellent food.

Malaysia offers a thriving culture, a welcoming community, and well-established expat neighbourhoods. Popular spots include the thriving capital city of Kuala Lumpur, the Langkawi Sky Bridge, and the country’s beautiful rainforests. It offers a hot, tropical climate for most of the year.

It places 104th in Numbeo’s Cost of Living Index, making it more affordable than the majority of other global destinations.

Overall, Malaysia is popular for those seeking a warm climate, strong sense of community, and numerous areas of natural beauty.

India offers an affordable and culturally rich option for those interested in relocation overseas and ranks as one of the cheapest places to live in this list. Highlights include the Taj Mahal, Kaziranga National Park, the Amber Fort, and the beaches of Goa. India also boasts hot weather throughout the year, making it a good choice for expats wishing for affordability and warmth.

It places 141st in Numbeo’s Cost of Living Index, making it the most affordable country in this list.
In general, India is a good choice for those looking for hustle and bustle, a lively cultural scene, and excellent food.

Costa Rica is a popular South American relocation hotspot. Highlights include the culturally rich San Jose, the Monteverde Cloud Forest, the La Fortuna Waterfall, and the Manuel Antonio National Park. Costa Rica also offers year-round warm temperatures.

It places 38th in Numbeo’s Cost of Living Index, putting it on the more expensive side of this list.

Generally, Costa Rica is popular with those looking for close proximity to the US, numerous areas of natural beauty, and a thriving culture.

Panama can be found in the middle of Central and South America. It is a culturally rich country which boasts the Panama Canal, the beaches of San Blas Islands, and Soberania National Park. It also offers easy travel access to the US. Its climate is hot throughout much of the year.

It places 60th in Numbeo’s Cost of Living Index, making it more affordable than many other popular relocation destinations.

In general, Panama is popular for those looking for strong US travel connections, beautiful beaches, and a lively culture.

When looking to move overseas, cost of living is often one of the major considerations for prospective expats.

Culture, travel connections, and lifestyle must all be balanced against how expensive it is to live in your destination of choice.

According to the 2025 Cost of Living Index of the World Population Review, the following 10 countries have the lowest cost of living:

1. Pakistan
2. Afghanistan
3. India
4. Colombia
5. Nepal
6. Bangladesh
7. Tunisia
8. Uzbekistan
9. Vietnam
10. Egypt

India, Colombia, and Vietnam are especially popular choices for affordable relocation amongst expats, offering a budget-friendly lifestyle, good quality of life, and strong travel connections.

While not within the 10 top most affordable global locations, many other countries offer a cost of living which is lower than average, such as the Philippines, Thailand, and Malaysia.

Numerous countries worldwide offer affordable housing options for expatriates. Using Numbeo data, the below table shows the average house prices in the 10 countries on which this article focuses.

Of the countries discussed in this article, India, the Philippines, and Malaysia are amongst the most affordable for housing. Spain, Portugal, and Costa Rica can be more expensive, whilst still more affordable than many other popular relocation options such as Italy, the US, and the UK.

Of the countries discussed in this article, most offer strong employment prospects for new arrivals. According to the World Population Review, their unemployment rates are as follows, based on the most recently available data:

Note that the year in which the data was collected varies from country to country. As such, this data provides a general insight rather than a direct comparison between the listed countries. The data itself was taken from the World Bank.

It is important to keep in mind that exact employment opportunities will vary from sector to sector and may also rely on proficiency in the local language.

Safety and security considerations shift significantly between countries and the exact measures which it is sensible for you to take will depend heavily on the country in question.

In general, it is important to research cultural and legal expectations in your chosen relocation destination and to pay attention to any security or safety warnings which are in place. This may mean avoiding crowded areas or not traveling alone at night, for example.

According to the World Population Review, the 10 safest countries in the world in 2025 are as follows:

1. Iceland
2. Austria
3. Ireland
4. New Zealand
5. Singapore
6. Switzerland
7. Portugal
8. Denmark
9. Slovenia
10. Malaysia

The World Population Review uses Global Peace Index data from the Institute for Economics and Peace in order to create its Safety Index.

While many of the countries in this list are more expensive relocation options, both Portugal and Malaysia offer affordability as well as safety. Portugal and Malaysia are therefore good choices for those looking to find a budget-friendly relocation destination where safety levels are also very high.

Some of the other countries discussed in this article also rank relatively highly for safety, with Spain in 23rd place and Vietnam in 41st place. In general, however, it is important to remember that numerous factors contribute to safety and even a country with a low safety ranking overall may still have many residential areas which are generally safe.

So too, countries which rank highly are still likely to have areas with higher crime rates. Overall, it is important to do your research before deciding on your final destination and to consider the specific safety variables which are most important to you.

The countries discussed in this article all have large expat communities and offer many social opportunities for new arrivals. Kuala Lumpur in Malaysia, the Algarve in Portugal, Mumbai and Delhi in India, and Madrid and the Costa del Sol in Spain are all popular expat choices, with many more across different regions and countries.

If you are looking to build social connections in your new home, consider joining local community groups for residents or expats or searching social media platforms for local communities with similar interests or hobbies to you. Common community activities include yoga, arts and craft, cooking, and hiking, all of which can provide an opportunity to form local connections.

Visa and residency requirements vary significantly from country and country and you will need to check the eligibility criteria before deciding on your final relocation destination. In many cases you will first need to obtain a Work visa before moving to your new home, although in some cases Investment visas may also be an option, such as numerous Caribbean locations and Spain.

In general, when applying for an international visa, you will be required to satisfy a range of eligibility criteria, including a valid passport, proof of sufficient financial means to support yourself and any dependants, and a clean criminal record. Additional criteria will also apply from country to country, such as an offer of employment in your country of choice or sufficient proficiency in the local language.

For more information on the specific visa requirements in your preferred expat destination, contact Total Law now.

When moving to a new economical destination, it is important to complete a number of steps.
Firstly, you should check immigration routes to the country in question and ensure that you are eligible. If you have ancestry or family in your country of choice, you may be eligible for a visa or citizenship through this route, which will provide a smoother path to completing your move.

Otherwise, it is likely that you will require a Work visa, which will involve satisfying a number of eligibility criteria.

You should also ensure that you conduct careful research into neighbourhoods and communities within your country of choice. For instance, if you have specific professional, educational, or medical needs, you should make sure that your chosen area has the right local amenities to satisfy your requirements. If not, you may need to consider looking further afield.

Additionally, you should make sure that factors like climate, local customs, and culture are all good fits for you. While your preferred country may offer an affordable lifestyle, it may not be a good fit for your other criteria. It is important to consider a wide range of factors before making your final decision.

There are numerous affordable expat hotspots across the globe and taking the first step towards relocation is an exciting move in that direction. In order to get the most out of moving to your new home, you should make sure to do your research and ensure that your destination of choice suits the budget and way of life which you have in mind.

If you are craving a more European lifestyle and strong EU travel connections, countries like Spain and Portugal are likely to be a good choice. If you fancy a change of pace, excellent food, and a bustling culture, Southeast Asian options like Thailand are likely to make more sense. If you want to be based in North America and are looking for a rich culture and sense of community, Mexico is likely to be a strong fit.

Overall, there is a wide range of options available; you simply need to find the one which is right for you.