Thinking about ditching the 9-to-5 grind and starting fresh somewhere sunnier (and cheaper)? You’re not alone. Thousands of expats and digital nomads are already living abroad for less—enjoying a higher quality of life in countries where the cost of living is dramatically lower. From sipping coffee in a Spanish plaza to working remotely on a Thai beach or shopping for fresh produce in Mexico, affordable living overseas isn’t just possible—it’s happening right now. And the best part? You can do it too.
This ultimate guide will show you how to live well abroad without draining your savings—with real destinations, practical tips, and the exact steps you need to make your expat journey stress-free.
1. Choose Your Country Wisely
Your destination is the biggest factor in how much you’ll spend abroad.
Top affordable countries for expats include:
- Spain & Portugal – low cost of living, great healthcare, sunny lifestyle
- Thailand – cheap food, digital nomad hub
- Mexico – vibrant culture, affordable housing
- Colombia – Medellín is safe, modern, and expat-friendly
2. Housing: Save Big by Thinking Local
Rent is usually the biggest expense for expats, but there are plenty of ways to keep costs down. Start by avoiding tourist-heavy areas, where prices are always inflated. Instead, look for housing in local neighborhoods and negotiate—landlords often offer lower rates for long-term rentals abroad. Use platforms like Idealista (Spain) or OLX (Latin America), and once you arrive, explore neighbourhoods on foot—you’ll often find hidden deals not listed online.
3. Food: Eat Local, Eat Well
Eating out abroad doesn’t have to break the bank—in many countries, it’s part of everyday life. Street food in places like Vietnam and Mexico is cheap, authentic, and delicious, while local markets offer fresh produce at half the cost of supermarkets. Keep breakfasts and dinners simple at home, and take advantage of set lunch menus like Spain’s menú del día, where three courses plus a drink often cost just €12–17—sometimes even cheaper than cooking yourself.
4. Healthcare: High Quality, Low Cost
No, you don’t need to give up healthcare to live cheaply abroad. Quite the opposite.
- Many countries offer excellent public healthcare, even for expats.
- Private care is often far more affordable than what you’re used to.
- International insurance options like SafetyWing or IMG can provide coverage while you get settled.
5. Get Around Like a Local
Forget owning a car—getting around is cheaper and easier with public transport, scooters, bikes, or simply walking. Cities like Prague, Lisbon, and Medellín have efficient, budget-friendly metro systems, while in smaller towns, a bike or scooter can cover everything for pennies. Walking not only saves money but also keeps you healthy. Learn local transport routes early to cut costs, avoid stress, and experience daily life like a true local.
6. Smart Budgeting Tips for Affordable Living Overseas
Start tracking your living expenses abroad from day one. A good rule of thumb is to spend about 30–40% on housing, 20–25% on food, 5–10% on transport, 10% on healthcare, and 10–15% on extras, while saving at least 10% or more. Tools like YNAB, Revolut, or even a simple Google Sheet make it easy to keep everything in check. Smart budgeting is the foundation of affordable living overseas, ensuring you can enjoy your new lifestyle without financial stress.
7. Sort Out Your Visa Early
Don’t rely on tourist visas. Many countries offer long-term visa options for retirees, freelancers, or remote workers.
Popular expat visas include:
- Portugal D7 Visa – Ideal for passive income earners.
- Spain’s Non-Lucrative Visa – Great for retirees or those with savings.
- Thailand Long-Stay Visas – Perfect for digital nomads and retirees.
- Digital Nomad Visa – Easy, flexible, and low-cost.
Always double-check the latest rules—or hire a local lawyer to guide you.
8. Understand the Tax Game
Even when living abroad, taxes don’t disappear—your home country may still want a share of your income. While some nations tax worldwide earnings, others don’t, so it’s important to understand the rules before you move. U.S. citizens, for example, can often avoid double taxation by using the Foreign Earned Income Exclusion (FEIE). To stay compliant and stress-free, it’s smart to hire an expat-friendly accountant who knows the international tax game.
Final Thoughts: Freedom Over Finances
Living abroad isn’t just about saving money—it’s about living with intention. It’s about trading stress for simplicity, rush hour for sunsets, and credit card bills for afternoon siestas. Affordable living overseas doesn’t mean giving up quality. It means dropping the stuff that doesn’t matter and making room for what does.
FAQs
How Can I Find Cheap Housing Abroad?
Avoid tourist areas, look for shared housing, negotiate long-term rents, and use local rental sites or Facebook expat groups. Once you’re on the ground, check bulletin boards and ask locals.
What’s the Key to Living Affordably Overseas?
It’s not just location—it’s mindset. Live like a local, spend on experiences, avoid unnecessary luxuries, and embrace the simplicity of a new lifestyle.
Can families or couples live affordably abroad, too?
Yes! Many families are homeschooling abroad or enrolling their kids in local or international schools. Couples often find they can save more and stress less living abroad than they did back home.
If you’re thinking about retiring specifically, we’ve also put together a detailed guide on How to Retire to Spain. It covers visa options, healthcare, budgeting, and the best places to settle down—so you’ll know exactly what to expect when planning your retirement abroad.
At Greystone International, we specialize in helping expats and investors find the perfect home and settle with ease. Contact us today and let our team guide your move to Spain.