Retire in a Foreign Country – Ecuador

Although retirement in a foreign country is something that we baby boomer think about, Ecuador is not one of the countries that immediately comes to mind.

Maybe it should be.

Most boomers understand that a prime reason for considering retirement outside the U.S. is luxury living at lower cost. According to International Living, more of its readers move to Ecuador than anyplace else, if their interest is low cost of retirement living. One retired couple – readers Lee and Peggy Carper – report that they enjoy a comfortable life in Ecuador on less than $600 per month.

The Carpers (ages 56 and 53) rent a three-bedroom apartment in a mountain town for $150 per month. They eat out every day, paying only $250 for food.  Other monthly expenses include medicine ($50/month), maid service ($40/month), and $24 per month to have their all laundry done. They also report that haircuts are $2 and visits to the doctor are only $10. That’s incredible. You could afford to enjoy a lot of extras in retirement if your basic living expenses are that low.

Retiring in a foreign country like Ecuador can be a way to both  improve your quality of life and reduce expenses. Ecuadorians live in jungle river towns, coastal fishing villages, isolated cattle ranches, ancient haciendas, and in large colonial cities. Despite this diversity of natural beauty, Ecuador’s compact size makes it possible to experience many of these different lifestyles in a single day.

From what I have read, there are several different living style options in Ecuador:

1. Live on the Beach. One of International Living’s experts says that a favorite beach in Ecuador beach is found in the surfer town of Jama. According to him, quarter-acre beach lots cost only $50,000.  Because of low construction costs, you can spend only another $50,000 to build a high-quality, 1,250-square-foot home. Thus, for only $100,000 you are set up with a beach front property for easy full or part-time retirement living.

2. Retire in a Lush Valley. Another popular destination for U.S. retirees is in southern Ecuador, the region of Vilcabamba. This area is called the Valley of Longevity. Apparently, there are lots of centenarians there. Tis region is surrounded by mountain peaks rise in all directions. Crystal clear streams from the nearby forest provide the area with clean water. You can buy a 2-acre farm in this region (including a house) for $75,000.

3. Rent a Penthouse. Another International Living reader Kent Zimmerman lives in a penthouse apartment overlooking the colonial city of Cuenca. He pays only $300 a month in rent. If a retiree wanted something upscale in Ecuador, a four-bedroom, two-floor penthouse rents for only $1,050 per month.

According to other International Living readers, new three-bredroom condos with ocean views sell for less than $100,000 in Salinas, Manta, and Atacames. Small beachfront houses can be purchased for $65,000 to $80,000 in villages such as Punta Blanca, Olon, and Canoa. In fact, it’s hard to pay more than $225,000 for real estate in Ecuador.

One attractive aspect of retirement living in Ecuador is that the U.S. dollar is not losing value there. Following its debt default in the late ’90′s, Ecuador adopted the U.S. dollar as its official currency. This eliminates currency risk for American retirees. Labor costs are a tremendous bargain and are not rising appreciably. This makes it easy for U.S.  citizens to afford help around the house.

Here is a video highlighting the beauty of Ecuador as a travel destination:

Has any reader traveled to Ecuador or investigated retiring there?

Source: International Living

Photo credit: Rinaldo W.

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