I get asked this all the time. Many people have a fixed amount of money to retire and frankly there are places in Central and South America that provide a great quality of life at a reasonable cost.
Here are some things to look at before you settle on a place to retire.
First, you’ll need to find out the countries’ visa requirements. Different countries have different rules so be aware that some are going to be easier to deal with than others.
Second, quality of life and safety are a must. I’ve been to places that I really liked but a limited ability to get clean water would make it difficult to stay long-term.
Third, if you continue to earn income, consider if the country has a tax treaty with the US, remember to check for foreign tax credits and earned income exclusions before you choose a place.
Fourth, this is a no brainer but how far does the US dollar go in the country you’re looking at?
Fifth, does it make sense to rent or buy? This is really a personal preference in that some people don’t want to be tied to one place and want the freedom to move easily.
Lastly, ease of access is a must. If you have an emergency and need to get back to the USA, direct flights to a major US city are key.
In my opinion, I found that the best places right now for retired expats coming from the USA are Costa Rica & Panama. Do your research but if this is something that interests you, I’d start with these two countries first.