After retiring from a career in healthcare management in 2019, my wife and I knew we wanted to live abroad. Since 2014, we’ve been considering different countries for our retirement, visiting places like Costa Rica, Mexico, Portugal, Ecuador, Switzerland, Italy, and France. We wanted a slower pace of life, affordable living, and a chance to immerse ourselves in new cultures. But this wasn’t something we wanted to rush into—we needed to do it right.
Why We Did Thorough Research
Deciding where to retire is one of the biggest decisions we could make, and for that reason, we didn’t rely solely on what others said online or in magazines. We made it a priority to experience each potential country firsthand, living there for 3-6 weeks to understand what daily life would really be like. This allowed us to assess things like the cost of living, the quality of healthcare, public transportation, and infrastructure. We talked to both locals and expats, giving us a balanced view of what we could expect.
Key Factors in Choosing the Right Place
There were a few key factors that were non-negotiable when deciding on our retirement destination. Affordable healthcare, modern infrastructure, and the cost of living were top of the list. We also had to consider how easy it would be to travel to and from the country, the availability of public transportation, and whether we’d need to own a car. Additionally, we had to navigate the residency permit regulations, which can vary wildly from country to country and change unexpectedly.
Challenges and Lessons Learned
One of the most frustrating parts of our journey was the frequent changes in residency and tax regulations in places like Turkey and Portugal. For example, we initially chose Antalya, Turkey, as our retirement spot. But when living costs rose due to an influx of Russian buyers, we had to think about a Plan B. In Portugal, we were surprised by the outdated infrastructure, unreliable public transportation, and challenging terrain, all of which made it less ideal for us, despite the country’s glowing reviews in publications like *International Living*.
The Financial Motivation for Moving Abroad
A big motivator behind our decision to move abroad was financial. Maintaining the same standard of living in the U.S. on retirement savings would have been difficult, and we knew that relocating could offer us a more affordable lifestyle. We wanted our savings to stretch further, allowing us to enjoy life more comfortably without constantly worrying about money.
The Emotional Aspect of Moving Abroad
Beyond the financial benefits, there was also an emotional and social side to our decision. We wanted to break away from the familiar and experience something new. For me, as an immigrant to the U.S., I was already used to the idea of starting fresh in a new country. But it’s not for everyone. Moving abroad requires leaving behind family and friends, which can be tough, especially if you get homesick or feel lonely. My advice is to be prepared for those moments of loneliness and make an effort to build a new social circle.
Our Experience in Budapest
One of the places we’ve been exploring lately is Budapest. The cost of living has been manageable so far. For example, we only paid $3 for gas last month and $6 for water, which is affordable compared to many other European cities. The climate is diverse, with four distinct seasons, although last winter was milder than expected, and this summer was hotter than usual. Locals mentioned that this was the first time they had experienced such extreme weather patterns.
In terms of residency, Budapest offers a few interesting options. You can invest €250,000 in a real estate fund for a five-year permit, or you can go the “Golden Visa” route, which requires purchasing real estate worth €500,000, offering a 10-year residency. We decided to open a company, creating an LLC, which required us to deposit around $9,000 into a business account. This option allows both my wife and me to apply for residency as company directors, and while it’s not guaranteed, it has worked for others.
Advice for Future Retirees
If you’re considering retiring abroad, my number one piece of advice is to do your research. Visit the country for an extended period and experience life as a local. Don’t rely on short vacations or blog posts to make such an important decision. And be prepared for the emotional adjustment. You’ll likely feel lonely at first, but joining local groups and attending events can help you find like-minded people and build a social circle.
Also, be open-minded. You’ll meet people from different cultures and walks of life, and that’s a beautiful part of the experience. Focus on connecting with people who share your values, like empathy, humility, and inclusivity, regardless of their background.
In the end, the decision to retire abroad is personal, and you need to make it based on your own experiences. What works for someone else might not work for you, and vice versa. Take the time to figure out what kind of lifestyle you want and find a place that suits your needs. It’s a big step, but with the right planning, it can also be an exciting new chapter in life.
Great advice! Thank you and all the best for a happy retirement!
Omar says thank you Patricia