Cheapest Countries to Live in 2025: A Data-Driven Guide

Rent in Austin just crossed $1,800 a month. A one-bedroom in Brooklyn will run you $3,200. Groceries in the US are up 25% since 2020, and health insurance premiums keep climbing even as coverage shrinks. For millions of Americans, Canadians, and Western Europeans, the math has stopped making sense — and a growing number of them are solving the equation by moving abroad.

Google searches for “cheapest countries to live” have tripled since 2021. The State Department estimates over nine million Americans now live overseas, and that figure is accelerating. This is not just digital nomads chasing sunsets in Bali. It is retirees stretching fixed incomes, young families escaping housing crises, and remote workers who realized that a $4,000 paycheck feels very different when your rent is $300 instead of $1,500.

But most “cheapest countries” listicles are garbage. They quote a single rent figure, ignore healthcare entirely, and pretend that a $400-a-month apartment with intermittent electricity and no hot water is a “deal.” Cheap is only valuable when it comes with livability.

That is why we built WhereNext. We score countries across seven data-driven dimensions — not just cost, but safety, healthcare, infrastructure, visa accessibility, lifestyle, and economic stability. In this guide, we rank the 10 cheapest countries to live in 2025 using real cost-of-living data: rent indices, grocery baskets, transport costs, and healthcare spending. No vibes. No sponsored content. Just numbers, context, and honest tradeoffs.

How We Define “Cheapest”

Our affordability scores draw from multiple institutional data sources — Numbeo cost indices, World Bank purchasing power parity data, and local rent surveys collected across 180+ countries. Everything is normalized against a US baseline (New York City = 100) so you can see exactly how much further your money goes in each destination.

A country’s affordability score reflects a weighted composite of five cost categories:

• Rent index — average monthly rent for a one-bedroom apartment in the city center and outside it
• Grocery index — the cost of a standard basket of staple groceries compared to the US
• Restaurant index — eating out costs relative to Western averages
• Transport index — public transit, fuel, and ride-hailing costs
• Healthcare access — out-of-pocket medical costs and insurance premiums for expats

Higher scores mean better overall affordability. A score of 92 does not mean a country is “92% cheap” — it means it ranks in the top tier globally when all cost factors are weighted together. For the full methodology, see how WhereNext scores countries.

The 10 Cheapest Countries to Live in 2025

Here is the complete ranking. Every score is a composite affordability metric built from rent, groceries, dining, transport, and healthcare costs. The monthly budget figures represent a comfortable single-person lifestyle — not bare-bones survival, but not luxury either.

Now let’s break each one down — what the real monthly budget looks like, where the savings actually come from, and what tradeoffs you should expect.

1. Vietnam — The Undisputed Budget Champion

Monthly budget: $600–$1,100

Vietnam consistently tops every credible cost-of-living ranking, and for good reason. A one-bedroom apartment in Ho Chi Minh City or Hanoi runs $250–$450 a month. A full meal at a local restaurant costs $1.50–$3. A monthly motorbike rental is about $50. Even with generous spending on Western-style cafes and the occasional taxi, most expats report total costs under $1,100 a month.

The grocery index sits at roughly 35% of US levels. The restaurant index is even lower. Healthcare is surprisingly affordable — a doctor’s visit at a private international clinic costs $30–$60, and comprehensive health insurance runs about $50–$80 a month. The median expat spends around $800 a month total, making it the single cheapest country to live comfortably as a foreigner.

The catch? Visa regulations are tightening, bureaucracy can be opaque, and the language barrier is real outside tourist areas. See Vietnam’s full country profile.

2. Cambodia — Dollar Economy, Rock-Bottom Prices

Monthly budget: $550–$1,000

Cambodia is one of the few countries where the US dollar is the de facto currency. That means no exchange rate headaches — what you see is what you pay. Phnom Penh rent for a furnished one-bedroom starts around $200–$350. Street food meals cost $1–$2. A decent coworking space membership runs $80 a month.

The grocery index hovers at about 30% of US levels. Transport is cheap — tuk-tuks and ride-hailing apps make car ownership unnecessary. The trade-off is infrastructure: roads outside the capital can be rough, public healthcare is limited, and internet speeds are improving but still inconsistent in rural areas. Explore Cambodia’s full profile.

3. Indonesia — Bali and Beyond

Monthly budget: $700–$1,300

Indonesia’s cost of living varies wildly by location. Bali — the digital nomad epicenter — has inflated somewhat, but a comfortable life in Canggu still runs $800–$1,300 a month. Move to Yogyakarta or Lombok and that drops to $500–$800. The rent index is about 20–25% of New York levels. A full lunch at a local warung costs $1–$2.

Healthcare is mixed: excellent private hospitals exist in Jakarta and Bali (consultations around $25–$50), but rural areas lack coverage. The digital nomad visa (B211A) gives you up to 6 months, and a new 5-year second-home visa targets higher earners. See Indonesia’s full profile.

4. Georgia — Europe’s Best-Kept Budget Secret

Monthly budget: $700–$1,200

Georgia has exploded in popularity among remote workers, and the numbers justify the hype. Citizens of 95 countries can stay visa-free for a full year — no applications, no fees, no renewals. A modern one-bedroom apartment in central Tbilisi costs $300–$500. Groceries are roughly 40% of US prices. A three-course meal for two at a mid-range restaurant costs about $20–$30.

The country punches well above its weight on food (Georgian cuisine is genuinely world-class), wine, and walkability. Internet speeds in Tbilisi average 50–80 Mbps. The main downside is geographic isolation from Western Europe and a somewhat limited English-speaking population outside the capital. Explore Georgia’s full profile.

5. Colombia — The Latin American Sweet Spot

Monthly budget: $800–$1,400

Medellín has become synonymous with affordable expat living, and the numbers back it up. A furnished one-bedroom in El Poblado (the most popular expat neighborhood) costs $400–$700. A full lunch at a local restaurant runs $3–$5. Monthly public transit passes cost about $25. Total monthly living costs average around $1,000 for a comfortable lifestyle.

Colombia’s rent index is roughly 25% of US city levels. The grocery index is about 45% — slightly higher than Southeast Asia because imported goods cost more. Healthcare is a major plus: Colombia’s private healthcare system is ranked 22nd globally by the WHO, and expat insurance plans start at around $80 a month. See Colombia’s country profile.

6. Peru — Underrated and Seriously Affordable

Monthly budget: $700–$1,200

Peru flies under the radar in expat circles, which is partly why it stays so affordable. Rent in Lima’s desirable Miraflores or Barranco districts runs $350–$600 for a one-bedroom. Eating out at local restaurants costs $2–$5 per meal. The rent index is about 70% lower than major US cities, and total monthly costs for a single person average around $900.

Transport is inexpensive (bus rides under $1, Uber rides across the city for $3–$5), and grocery costs sit at about 40% of US levels. The trade-off is that Lima can be gray and chaotic, and altitude sickness is a real concern if you head to Cusco or the highlands. Explore Peru’s full profile.

7. Thailand — The Expat Infrastructure King

Monthly budget: $700–$1,500

Thailand is slightly pricier than Vietnam or Cambodia, but what you get for the money is exceptional. Chiang Mai remains the gold standard for budget expat living — $700–$1,000 a month covers rent, food, transport, and social activities. Bangkok is pricier but still runs $1,000–$1,500 for a comfortable lifestyle that would cost $3,500+ in any major US city.

The standout metric is healthcare. Thailand has some of the best private hospitals in the world — Bumrungrad in Bangkok is literally a medical tourism destination — and a doctor’s visit costs $20–$40. The restaurant index is about 30% of US levels. The grocery index is about 45%. Thailand’s Long-Term Resident (LTR) visa gives qualifying remote workers a 10-year stay with reduced taxes. See Thailand’s full profile.

8. Mexico — Proximity Plus Affordability

Monthly budget: $900–$1,600

Mexico’s biggest advantage for Americans is not just cost — it is convenience. Same time zones, direct flights from most US cities, familiar cultural touchpoints. Mexico City, Oaxaca, and Merida all offer strong expat infrastructure at a fraction of US prices. A one-bedroom in Roma Norte (Mexico City) costs $500–$800. Groceries run about 50% of US levels. Total costs average $1,200 a month for a comfortable single-person lifestyle.

The restaurant index is roughly 35% of US cities. Street food is legendary and costs $1–$3 per meal. Healthcare is solid — private health insurance runs $60–$120 a month depending on coverage and age. Mexico’s 180-day tourist visa makes it easy to test the waters before committing. Explore Mexico’s full profile.

9. Malaysia — First-World Feel, Developing-World Prices

Monthly budget: $900–$1,500

Malaysia is the sleeper pick on this list. Kuala Lumpur has genuinely modern infrastructure — world-class malls, excellent public transit (MRT), fast internet, and a thriving food scene — at roughly 50% of Singapore’s cost. A furnished one-bedroom in KL city center runs $400–$650. Groceries are about 45% of US levels. Total monthly costs average around $1,100.

English is widely spoken, which dramatically lowers the friction of daily life. Healthcare is excellent and affordable — private hospital visits cost $15–$30. The MM2H (Malaysia My Second Home) visa is one of the most established long-term residency programs in Asia, though financial requirements have tightened recently. See Malaysia’s full profile.

10. Portugal — The Cheapest Gateway to Western Europe

Monthly budget: $1,400–$2,200

Portugal is the most expensive country on this list, and it earns its spot for a clear reason: it is the most affordable country in Western Europe with a genuine quality-of-life premium. Lisbon has gotten pricier (one-bedrooms now run $700–$1,100), but cities like Porto, Braga, and the Algarve region offer significantly lower rents ($450–$750). Total monthly costs outside Lisbon average around $1,500.

Groceries are about 60% of US levels. The restaurant index sits at roughly 45% of US cities. The real win is healthcare — Portugal’s SNS (national health service) provides universal coverage, and private insurance for expats runs $80–$150 a month. The D7 passive income visa and the Digital Nomad Visa make legal residency accessible for most remote workers and retirees. Explore Portugal’s full profile.

Regional Breakdown: Cheapest by Continent

Not everyone is open to moving anywhere in the world. Many people have a strong preference for a specific region — whether for time zone convenience, cultural familiarity, or flight accessibility. Here is how the cheapest countries stack up within their respective regions.

Cheapest Countries in Asia

Southeast Asia dominates global affordability rankings. The region offers the steepest discount on day-to-day living compared to the US or Western Europe: rent is 70–85% lower, groceries are 50–70% cheaper, dining out costs 60–80% less, and healthcare runs 60–90% below US levels. Here are the top five.

The spread within Asia matters. Malaysia and Thailand are noticeably more expensive than Vietnam and Cambodia, but they compensate with better hospitals, faster internet, stronger English proficiency, and more developed expat communities. If rock-bottom cost is your top priority, Vietnam and Cambodia win. If you want affordable and comfortable, Thailand and Malaysia offer the best balance.

Cheapest Countries in Europe

Europe is generally more expensive than Asia or Latin America, but several countries offer genuinely affordable living — especially if you move beyond capital cities. Georgia (technically at the crossroads of Europe and Asia) and several Eastern European nations provide European-adjacent living at developing-world prices.

Portugal stands out as the only Western European country that regularly appears on “cheapest countries” lists. Romania and Bulgaria are EU members with surprisingly modern cities (Bucharest and Sofia both have fast internet, growing tech scenes, and vibrant nightlife) at costs that rival Southeast Asia. For a deeper comparison of European options, see our US vs. abroad cost comparison.

Head-to-Head: Vietnam vs Thailand

Vietnam and Thailand are the two most popular budget destinations in Southeast Asia, and they attract very different types of expats. Vietnam wins on raw cost. Thailand wins on infrastructure and ease of living. Here is how they compare on the metrics that actually matter.

The bottom line: if your primary goal is spending as little as possible, Vietnam is the clear winner. If you want the best overall value — factoring in healthcare, internet, visa flexibility, and English accessibility — Thailand offers a more polished experience at a modest premium. For the full breakdown, see our Thailand vs Vietnam comparison.

Cheapest Does Not Mean Best

Here is something every “cheapest countries” article should say but rarely does: the cheapest place to live is not automatically the best place to live. Cost is one dimension. It matters enormously — especially if you are on a fixed income, a freelancer building a business, or retiring early — but it is never the whole picture.

Consider these tradeoffs before you pack your bags:

• Safety: Some of the cheapest countries have higher crime rates or political instability. A $500/month apartment is not a great deal if you do not feel safe walking home at night. See our safest countries ranking.
• Healthcare quality: Low costs are meaningless if the nearest decent hospital is hours away. Thailand and Malaysia score high here; Cambodia and rural Indonesia less so.
• Visa accessibility: Being cheap does not help if you cannot legally stay. Georgia’s one-year visa-free policy is remarkable. Vietnam’s visa situation is more complicated. Check our visa accessibility guide.
• Internet and infrastructure: If you work remotely, reliable internet is non-negotiable. Malaysia and Thailand lead here. Rural Cambodia and Indonesia lag behind.
• Social and cultural fit: Language barriers, cultural distance, and the size of the existing expat community all affect your day-to-day happiness — and no cost index captures that.

This is exactly why WhereNext scores countries across seven dimensions — not just cost. Our full affordability rankings let you sort and filter, but our personalized quiz weights every dimension based on what you actually care about.

Practical Budgeting Advice for Moving Abroad

Knowing which countries are cheapest is step one. Actually budgeting for a move is step two — and it is where most people get tripped up. Here is what we tell everyone who uses WhereNext to plan their relocation.

Budget for the Transition, Not Just the Destination

Your first three months will be the most expensive. Security deposits, furnishing costs, SIM cards, initial grocery stock, visa fees, insurance setup — these one-time costs can add 30–50% to your monthly budget in the beginning. A good rule of thumb: have at least six months of living expenses saved before you make the move.

Track the Expat Premium

Most cost-of-living data assumes you live like a local. You probably will not — at least not at first. Western-style groceries, international restaurants, coworking spaces, and English-speaking services all cost more than local alternatives. Budget an additional 20–30% above “local” cost estimates to account for this premium. Over time, as you learn the local language and find your routines, this gap shrinks.

Do Not Ignore Healthcare Costs

International health insurance is not optional. Plans vary from $50 a month (basic coverage in Southeast Asia) to $300+ a month (comprehensive global coverage with US inclusion). Factor this into your budget from day one. In countries like Thailand and Malaysia, the private healthcare system is excellent and affordable. In Cambodia or Georgia, you may want a plan that covers medical evacuation to a neighboring country.

Watch Exchange Rates

If you earn in USD or EUR and spend in a local currency, exchange rate fluctuations can swing your monthly budget by 5–15%. Use a service like Wise or Revolut to minimize conversion fees, and consider keeping a buffer in local currency for months when the rate moves against you. Cambodia’s dollar economy sidesteps this problem entirely.

Test Before You Commit

The smartest move? Spend one to three months in a country before signing a long-term lease or applying for a residency visa. Rent month-to-month or use furnished apartments. Treat it as an extended trial run. The data will tell you what a country costs on paper — but only being there will tell you if it feels right.

Finding Your Cheapest Country: What Matters Most to You?

The right “cheapest country” depends entirely on your circumstances. A retired couple on a $2,000/month pension has different needs than a 28-year-old freelance developer earning $5,000 a month. A family with kids cares about schools and safety in a way that solo travelers simply do not. Here is a quick decision framework based on common profiles:

• Maximum savings, minimal budget: Vietnam or Cambodia. You will live well on $600–$800/month.
• Remote worker wanting balance: Thailand or Malaysia. Best mix of cost, internet, healthcare, and established expat communities.
• Americas-based, want proximity: Mexico or Colombia. Same time zones, direct flights, growing nomad infrastructure.
• Europe-focused, budget-conscious: Georgia or Portugal. Georgia for rock-bottom costs and visa freedom; Portugal for EU access and Western European quality of life.
• Retirees seeking value plus healthcare: Thailand, Portugal, or Malaysia. All three have strong healthcare systems at a fraction of US costs and established retiree visa programs.

The data is clear: you can live well abroad for a fraction of what it costs in the US, Canada, or Western Europe. The question is not whether affordable options exist — it is which one is right for you. Start with the numbers, factor in your non-negotiables, and go try it. The worst-case scenario is a few months of adventure in a place where your money goes three times as far.

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