Sometimes when I’m interviewed about experiencing life abroad, I get pressed for details with the query, “How can your costs decrease by half by relocating overseas?” Which expenses decrease so significantly that you can manage on $2,000 a month instead of $4,000? Or enjoy a comfortable lifestyle on a single social security check instead of just getting by with two checks?
The responses all derive from this singular truth: living expenses can fall by half or more upon moving to another nation.
I notice this contrast daily as an expat in Mexico, as do the 80+ individuals I interviewed for the second edition of A Better Life for Half the Price. Here’s a detailed look for both expats and digital nomads.
Non-Americans may not enjoy the same healthcare savings as Americans who are stuck in an overpriced, malfunctioning for-profit system. Otherwise, anticipate comparable savings for anyone transitioning from a highly developed nation to a less affluent one. Remember to make similar housing comparisons: from San Francisco to Buenos Aires or rural England to rural Portugal. You can’t always expect a 50% reduction if you’re moving from a small Nebraska town, living with your parents, to a penthouse in Bangkok, for example.
However, many aspects of your life will decrease by half or more, making it relatively easy to cut your costs by that amount. A change of address or a flight for a trial run will lead to half as much money slipping through your fingers. Here are the primary reasons.
Where Housing Costs Decrease by Half (or More)
It’s quite challenging to locate something decent in a sought-after neighborhood for under $2,000 a month in a major US city or the primary cities of Western Europe, particularly if you require two or more bedrooms. We had difficulty finding anything appealing for below $2,200 in mid-sized Tampa to be in the right school district in a central area, and that was years ago. In NYC, Tokyo, or London, you might find yourself facing $4,000 a month just for rent or a mortgage. And it could be a studio.
Zillow reports that the average rental price in the USA as of 2025 is $2,100 a month. It exceeds $2,500 in Massachusetts, New York, Hawaii, California, and DC. None average below $1,000, and the lowest are red states needing to entice residents, like Oklahoma and North Dakota.
In the area of Mexico where I’ve been living since 2018, you can secure a lovely two-bedroom house or apartment within walking distance to the center for $600 or less and right in the center for $800 or less. If you pay what’s average to live in a city comparable in size in the USA or Canada, you’d be in a very pleasant location. Moreover, your utility bills would be a fraction of what you currently pay, including high-speed internet.
Here’s what some individuals I interviewed for A Better Life for Half the Price reported paying:
– Keith & Tina Paul in Cuenca, Ecuador: $735 a month for a large, newly constructed 2BR apartment in a prime location
– Kris & Joel in David, Panama: $385 per month for a 2BR house in a neighborhood they cherish
– Ryan Shauers in Medellin, Colombia: $400 for a 1BR apartment, inclusive of utilities
– Ron MacDonald in Buenos Aires: $650 per month for a 2BR apartment featuring an outdoor barbeque terrace
– Jon Sterling in Tbilisi, Georgia: $400 for a furnished 1BR apartment in a prime location
– James Leithart in Pogradec, Albania: $90 for a one-bedroom apartment in a convenient area
– Richard Sterling in Battambang, Cambodia: $140 per month for a furnished 1BR apartment
– Mariellen Ward in Rishikesh, India: $350 per month for 1,200 square feet, with 2 bedrooms
– Helen Davies in Penang, Malaysia: $625 per month for 1,600 square feet, with 3 bedrooms, on the 15th floor of a high-rise that features a pool and gym
– Cory Varga residing in Hungary: $800 a month for a 2BR apartment near the Opera House in Budapest’s center.
Some individuals mentioned they are at the higher end of the market, like Keith and Tina in Cuenca (where you can find a 1BR for around $450 quite easily) and Cory in Budapest shared they were being selective. One interviewee residing in Buenos Aires was paying $1,200 a month; however, she described it as a “luxurious, impressive apartment in the most costly district of the city.”
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