10 Best Underrated Cities for American Expats in 2025

You've heard of Dubai. You've heard of Tokyo. But those aren't the only places Americans are moving to. Not even close. Our expat clients desire these 10 cosmopolitan destinations offering first world amenities and a fresh but big city lifestyle. One of them offers a $400,000 fasttrack citizenship. Another zero tax on US retirement income. And number one, the best food in the world. Let's start the countdown with number 10, Bogota Colombia. You probably didn't expect this city to have the most trafficked airport in Latin America, but it does. And that one fact tells you something important. Bogota is a thriving capital with momentum. If you're looking for lower costs, this is for you. Bogota offers US expats the chance to live in a massive talmolitan city with all the perks at 30 to 50% of American prices. High-rise penthouse apartments under $2,000 a month. $25 for worldclass meals. Premium private health care for a third of what you pay in the US. Columbia also makes immigration pretty accessible. There's a retirement visa if you show just $900 a month in pension income. Or if you want to invest, you can get investor visa, which I have in Colombia, by purchasing about $110,000 in property or investing about $40,000 in a local business. Maintain that investment and the visa for 5 years and you're eligible for permanent residency. But, and this is important, Colombian taxes can get very messy. Once you're a tax resident, your global income is subject to Colombian tax and there is no double tax treaty with the United States, which means you could end up paying tax on your income in two countries, not just one. You need a solid plan. You need local tax expertise to structure things correctly. The Freedom Files can help, but the easiest way to avoid Colombian taxes is to avoid becoming a tax resident in the first place. Still, if you're looking for a lively Latin American city with improving infrastructure, energy, proximity to the US, a bit more unfamiliar environment, yes, but incredible cost of living benefits, Bogota should be on your radar. Let's jump from the Andes to Southeast Asia of all places. Number nine, Koala Lumpur, Malaysia. If you want Bangkok buzz without maybe the chaos that comes with it, Singapore standards without the price tag, say hello to KL. Koala Lampur is clean, efficient, tropical, English-speaking, wildly affordable, and surprises most who visit. The city is designed for comfort, fast Wi-Fi, really sleek condos with rooftop pools, Michelin level food, and hospitals that rank among the best in Asia. You'd never guess it. There's a reason the medical tourism industry here has just flourished. The visa setup. Malaysia's MM2 Malaysia My Second Home program just reopened and it now requires around a $125,000 bank deposit. In return, you get 5 years of renewable residency. Rare for this part of the world. And yes, that gets you access to local health care and of course tax friendly treatment. Zero tax that is on foreign income no matter how long you remain in the country. What's the catch? The weather's hot and humid year round. Alcohol can be pricey and the government's visa policies tend to change often without warning. But if you want big city living without the big city costs, Gualur is one of the best kept secrets in Asia. Before we move on to the next European capital with unexpected financial perks, what are you looking for in your next home overseas? I'm curious. Food, safety, low taxes, great weather. Drop a comment down below for me. All right, number eight, Paris. Yes, Paris made this list. We know it's not underrated in the cultural sense, but for expats, I think it absolutely is. Here's the thing most Americans don't realize. Thanks to the US France double tax treaty, American retirees with social security or pension income do not pay tax on that income to France, even if they do become tax residents in the country. Not at all what you'd expect from France, right? Adam France's worldclass infrastructure and a top tier lifestyle, France may have just made your list. The trade-off is obviously bureaucracy. Well, it is France, but croissants. Now, let's head east to another European destination city full of oldw world charm and new world affordability that doesn't get enough respect. Number seven, Budapest. It's no accident that digital nomads and expats are flocking here. Budapest offers one of the most unique costs to quality of life ratios in Europe. You can live in a beautifully restored apartment for under $1,500 a month, soak in thermal spas daily, and still save money compared to most US cities. Hungary offers several visa routes, including a digital nomad visa, called a white card, and an investor visa for those willing to dump 500,000 in real estate funds in the growing country. taxes. Like many Eastern European countries that have moved far from their communist past, Hungary has a flat 15% income tax and foreign pensions can often be structured favorably depending on your setup. Downsides, Hungarian can be a tough language to learn. That's putting it lightly. Integration is not the easiest, especially with fewer expat numbers here than in say Paris. Still, if you want Western European charm with Eastern European pricing, Budapest should be on your radar. Now, let's head back to South America with a city that feels European as well, but is obviously not European. Number six, Buenosidis, Argentina. Buenosides has the architecture of Paris, the the food scene of Madrid, and the soul of Latin America. If you're looking for culture, history, and art in Latin America, Buenosides is for you. It's one of the most European feeling cities outside of Europe. And yet, the cost of living is low for such a worldclass city. Granted, it's not as low as in 2023, for example, when I was last there. I'm talking $20 tomahawk steak dinners and $500 a month in rent, but it's still lower than Buenosides deserves. There's a Rentista visa that works really well for retirees. You'll need to show just $2,000 a month in income from abroad. And you can apply for a powerful citizenship after just 2 years and permanent residency after 3 years. I know, funky how that works, right? Even better, Argentina is planning to roll out a citizenship by investment program, giving you an immediate shortcut to a second passport. We broke that down in the little white bookmark in the top right where wherever that might be over here. Few people are talking about this, but it could be a gamecher for the industry and the region as a whole. Now, let's head a bit closer to home to Lassio de Mexico. Number five, Mexico City. If you're looking for proximity to the US, of vibrant culture, and serious city energy, Mexico City may just hit the mark. It's one of the largest cities in the world with a good mix of history, nightife, green space, almost reminiscent of my home in Medigene, and yes, of course, international cuisine. You can live well on $4,000 a month, including rent, in trendy neighborhoods like Roma or Condesa. Healthc care is world class, and a private insurance plan costs a fraction of US prices, probably 50% less. Visa options are straightforward. Depending on current exchange rates, the temporary residency visa, which is called economic solveny, requires just about $4,500 a month in income or $75,000 in savings. or you can apply for permanent residency directly with about $250,000 in assets if you're above the age of 50. And thanks to the US Mexico tax treaty, you may not owe Mexican taxes on your US retirement income. Pair that with cheap flights home and street tacos on nearly every corner. That's tough to beat. When it comes to downsides, air pollution, traffic, and safety vary by neighborhood, but with the right immigration guidance from the Freedom Files, many expats thrive here long term. Coming up, the Turkish metropolis offering citizenship just for buying a home. Number four, Istanbul. Istanbul is where continents collide. Literally one foot in Europe, one in Asia, and 15 million people in between. It's electric. From rooftop cafes to spice bizaars, ancient mosque to modern malls, this city never really slows down. Here's a a small aside. A few years ago, a friend pointed out to me this dog cat proxy, and it's pretty cool. If you see cats roaming around streets in a city, you can safely consider the bat culture, that city is more peaceful, quiet, safe, and cozy. On the other hand, if stray dogs roam the avenues, you can consider it louder, more dangerous, and generally more chaotic. If you've never been to Istanbul, you know that Istanbul falls into the former. If you buy a home in Turkey for $400,000, you qualify for immediate Turkish citizenship just processing in under 6 months. No, that can't be right. Yes, it is. The government rolls out the red carpet for foreign property investors. Healthcare is solid. The food is outstanding, and the cost of living is still far lower than most Western European cities. But there are trade-offs. You'll need a tolerance for bureaucracy and some good local contacts via the Freedom Files. The Turkish layer that is is volatile which can either work for or against you given the day or even the time of day. Still, Istanbul $400,000 instant passport 6 months. That's less than a broken condo. What are we even doing here? Now, let's southern Europe. Number three, Lisbon. Lisbon has been the darling of the expat world for a decade now. But has everything changed? Portugal's D7 visa allows retirees with passive income as little as $900 a month to get residency. You'll need to stay at least six months per year, but in return, you get access to health care in in Portugal, education, and European lifestyle. If you want more flexibility, the Golden Visa in Portugal offers a path to residency and citizenship in just 5 years through a 500,000 fund investment or a €250,000 donation. What about taxes? This is where Portugal has changed. Portugal's non-habitual resident regime was phased out a few years ago, and with it went many of the attractive tax incentives that made Portugal a top destination in the first place. Lisbon is also not as cheap as it used to be. But if you're looking for Western European quality of life and high English proficiency, it's still one of the top contenders for our clients. Okay, quick recap. What's your favorite city so far? I want to hear your take in the comments. We just have two left. Number two, Athens. Sun, history, olives, and a legal 7% tax rate. Yes, really. High English proficiency. It's still one of the top contenders for our clients. Athens is a history buff's dream, but also it's one of the most underrated expat hubs in Europe right now. I was here a few months ago, and I concur. The reason is simple. Greece wants your pension in the nicest way possible. Here's the deal. If you move to Greece on a retirement visa, like the financially independent person visa or the Golden Visa, you can opt into their 7% flat tax regime on all foreign pension income. And that rate is locked in for 15 years. And if you prefer the property route rather than just proving your income, Greece's golden visa still exists. You just have to invest €250,000 in converted or renovated real estate and you're in. That could get you a C view apartment on a quiet island or a city flat in the heart of Athens. What's Athens really like? It's gritty but grand. I thought it would be something else entirely. Walkable, affordable, great public transit, really incredible food. Bureaucracy exists. Sure, it's Europe after all. And some neighborhoods are safer than others, but with the right guidance from the Freedom Files, it's very manageable. For retirees looking for culture, weather, and a financial break, Athens is a sleeper pick. Which brings us to our final underrated cosmopolitan city pick. Number one, Madrid. Most Americans think of Barcelona when they think of Spain. Sure, but the expats in the no, they go to Madrid. And if you're looking for wine and food, this is for you. Here's why. Madrid offers a rare blend of big city living, kind of a laid-back energy. It's polished but not pretentious, affordable, but full of luxury. And for expats, especially retirees, it hits a sweet spot. Prime Shopping, connected to most other hubs around the world, best food in the world. Comment down below if you disagree. And residency is pretty straightforward. Spain's non-nucative visa is designed for people with passive income or savings, around $30,000 for individuals, and $50,000 for couples. You get access to Spain's top tier health care system, and the ability to renew into permanent residency and eventually citizenship if you remain in the country for 5 and 10 years, respectively. Taxes are where Spain usually gets knocked, though. Very high rates on global income, up to 50%. I recognize that's a huge deal because it's also the reason I have not moved to Spain quite yet. Spain's lifestyle can outweigh the tax burden, but only if you're strategic. Madrid is clean, efficient, safe, and full of life. Don't expect to pay bottom-of-the- prices, especially in Salamanca or Chambi. But if you want European quality of life with serious expat infrastructure, Madrid might just be the best of all worlds. So, each of these cities offers its own flavor of freedom, whatever that means to you. Which city caught your eye, though? I'm I'm curious. If you want help figuring out which destination best fits your goals, book a freedom consult with our relocation experts. We've helped hundreds of Americans at this point build a better life abroad. Also, don't miss our video on the legal tax loophole that saves US expats $22,000 a year. It's packed with detailed breakdowns of how taxes work for Americans abroad and how you can save big. See you in the next one.