The World’s Best Places To Move (Or Retire) in 2025
International Living has released its Annual Global Retirement Index for 2025, ranking the best countries to move or retire based on affordability, quality of life, and welcoming communities. This year’s list is particularly timely as more Americans consider relocating abroad following recent political and economic developments. The index is designed to provide essential information for those seeking an improved lifestyle, lower costs, and greater opportunities abroad.
Key Trends in 2025 Relocation
The report highlights a shift in demographics, with younger adults aged 35-45 showing increasing interest in living abroad. Traditionally aimed at retirees, the index now also evaluates locations based on factors appealing to working professionals, such as infrastructure, remote work compatibility, and family-friendliness. The rise of remote work and digital nomad lifestyles has further fueled this trend, making international relocation more accessible than ever before.
In addition to affordability, factors such as political stability, healthcare systems, and climate resilience have played a bigger role in shaping preferences this year. Many of the top-ranked destinations offer a balance of natural beauty, modern amenities, and inclusive communities that appeal to people of all ages.
Evaluation Criteria
International Living assessed countries across seven categories to create its rankings:
Housing Affordability - Evaluates the cost of renting or buying property in expat-friendly areas.
Visas and Residency Programs - Reviews ease of obtaining visas, including long-term residency options.
Cost of Living - Measures everyday expenses such as groceries, dining, and transportation.
Healthcare Quality and Accessibility - Analyzes the quality of healthcare services and their affordability.
Infrastructure and Governance - Looks at transportation, utilities, and political stability.
Climate - Considers weather patterns, seasons, and resilience to climate change.
Community Integration and Social Life - Examines the ease of making friends and accessing expat networks.
The evaluation process relies heavily on insights from correspondents who live in these destinations, providing real-world perspectives on affordability, safety, and overall quality of life.
Top 5 Countries for Relocation in 2025
1. Panama
Panama topped the list due to its affordable cost of living, excellent healthcare, and attractive visa programs like the Pensionado Visa. Expats enjoy discounts on medical services, utilities, and entertainment. Younger families can also benefit from the Friendly Nations Visa, which offers flexible residency options.
Panama City, the capital, combines urban sophistication with proximity to beaches, while regions like Boquete offer cooler climates and tight-knit communities. The country’s infrastructure is highly developed, and its use of the U.S. dollar eliminates currency exchange issues.
2. Portugal
Ranking second, Portugal offers a mild climate, rich culture, and affordable living costs. The D7 visa allows easy residency, and the healthcare system is both high-quality and affordable. Expats flock to areas like the Algarve for coastal beauty, while Lisbon and Porto attract those seeking urban living with old-world charm.
Portugal is also known for its safety, excellent transportation system, and accessibility to other European countries. The welcoming locals and active expat communities make integration easier.
3. Costa Rica
Costa Rica, known for its "Pura Vida" lifestyle, combines natural beauty with eco-friendly living. It’s ideal for retirees and digital nomads looking for relaxed, community-driven environments. Popular regions include the Central Valley, known for its temperate climate, and beach towns like Tamarindo, which offer surf and sun.
The country also emphasizes sustainability, making it a haven for environmentally-conscious expats. Its healthcare system is highly regarded, with both public and private options available.
4. Mexico
With a low cost of living, proximity to the U.S., and a large expat community, Mexico appeals to retirees and families. Coastal towns and inland cities provide a mix of adventure and familiarity. Locations like San Miguel de Allende and Puerto Vallarta are particularly popular.
Mexico’s affordability extends beyond housing to everyday expenses, including food, transportation, and healthcare. Its vibrant culture and rich history further enhance its appeal.
5. France
France balances affordability and luxury, offering world-class healthcare and diverse living options, from countryside retreats to urban hubs. Southwest regions like Oloron-Sainte-Marie attract retirees with their charm and accessibility.
While known for its cuisine, art, and culture, France also offers a high standard of living with strong infrastructure and a well-connected transportation network. Its healthcare system ranks among the best globally, providing peace of mind to residents.
Other Top Destinations
Spain - Mediterranean lifestyle, cultural richness, and affordable living.
Malaysia - Affordable, modern amenities and a multicultural society.
Greece - Scenic landscapes and low living costs make it an attractive destination.
Italy - Focused on slow living, affordable housing, and rich cultural experiences.
Thailand - Offers a mix of vibrant cities, beaches, and low-cost living.
Responsible Relocation
The report also addresses concerns about gentrification and housing impacts caused by expats. Experts emphasize the importance of integrating respectfully into local communities by learning the language, supporting local businesses, and contributing positively to society.
Respectful relocation practices can prevent cultural clashes and foster meaningful relationships with locals. Many of the listed countries have well-established expat networks, making integration easier for new arrivals.
Final Thoughts
Whether you’re looking for affordability, adventure, or a fresh start, the 2025 Global Retirement Index provides valuable insights for relocating abroad. From Panama’s residency programs to Portugal’s cultural charm, these destinations cater to a wide range of lifestyles and budgets.
For retirees, the focus is often on relaxation and community, while younger professionals and digital nomads prioritize connectivity and modern amenities. This year’s report captures both perspectives, ensuring there’s something for everyone.
Ultimately, choosing the right destination involves careful planning, consideration of personal priorities, and a willingness to embrace new experiences. With the insights provided in this index, relocating abroad has never been more achievable or rewarding.