With food, fuel and housing costs on the rise in the United States and Canada, the coming decade is sure to see a sharp rise in the number of Americans living abroad. Many places around the world remain affordable by North American standards, and the dollar’s secular uptrend will only increase the spending power of Americans living internationally. Join the overseas-living revolution and start studying up on the best places to live cheap around the world.
Nicaragua
Nicaragua is Central America’s largest and most ecologically diverse country. Occupying a wide point on the Central American isthmus, the country borders both the Caribbean Sea and the Pacific Ocean. Near the latter, low-lying Lake Nicaragua and Lake Managua offer stunning water views of Nicaragua’s towering volcanic ranges. The coffee plantations blanketing the subtropical highland plateau that bisects the country produce exceptionally high-quality beans, drawing international tourists in healthy numbers.
While Nicaragua’s interior is beautiful and culturally diverse, its changeable climate poses a challenge for sun-seeking settlers. Most expatriates flock to the beautiful strip of land between Lake Nicaragua and the Pacific Ocean, where the city of San Juan del Sur offers cosmopolitan living at a serious discount. With favorable exchange rates and a local government policy that waives duties on expatriate-imported goods worth $10,000 or less, Nicaragua is one of the Western Hemisphere’s most affordable overseas-living destinations.
Of all of Nicaragua’s stunning natural environments, one place stands out. Isla de Ometepe, a twin-peaked volcanic island that may be Nicaragua’s most recognizable physical feature, lies near the center of Lake Nicaragua. Despite its high visibility and stunning scenery, the island is accessible only by ferry and remains free of crushing crowds throughout the year. Several inns and resorts, some of which charge as little as three or four dollars per night, have cropped up along the island’s main roads.
Panama
Strategically located on the land bridge between North and South America, Panama is a tropical paradise that brings out the best in locals and visitors alike. Since it’s located just a few degrees north of the equator, the country rarely sees dramatic temperature swings. Even the volcanic peaks that dot its border with Costa Rica are fairly hospitable: Panama’s highest peak, the 11,500-foot Volcan Baru, is considered one of Central America’s easiest high-point climbs.
Expatriates who move to Panama generally settle along its coastlines. Folks interested in big-city living at small-town prices flock to Panama City, a charming colonial capital with a tremendous stock of old architecture and an exciting nightlife scene to boot. Seekers of solitude often look to the Islas Secas, a group of small islands just off the Pacific coastline, where big-game fish jump and the distance between occupied houses can be measured in kilometers.
The town of El Valle, located in a dormant caldera near the center of the country, is a compromise between these two extremes. The surrounding region boasts a healthy expatriate community, complete with second-home subdivisions that climb the walls of the caldera, that never upstages the local culture.
Ecuador
As its name suggests, Ecuador straddles the equator. Despite its low-latitude location, it features a changeable climate and a range of natural environments to make life interesting for expatriates from further north. Quito, the country’s capital, has legendary weather: At an elevation of nearly 10,000 feet, its days are warm but never hot and its nights are cool and crisp.
By contrast, the country’s Pacific lowlands have a warm, humid climate with a well-defined rainy season. Land values are even cheaper along the tropical coastline than they are in the capital, attracting long-term residents to the region’s quiet villages. While remote, the incomparable Galapagos Islands are just a short flight from the mainland. Development is restricted in many areas of this island chain, but visiting them is nevertheless a rite of passage for Ecuadoreans of means.
Choosing from among the best places to live cheap around the world can be tricky. With even more headaches than typical cross-country changes of residence, international moves can be downright frustrating to execute. Use this guide of the best places to live cheap and take advantage of Live and Invest Overseas’ full suite of literature on international retirement and investment to make the right choice.