Arctic blast may bring March snowstorms
We all know the drill—rising rent prices, expensive grocery bills, and eye-watering utility costs. It feels like the dream of a comfortable lifestyle is slipping further out of reach, leading many people to consider moving abroad hoping to find better living conditions and lower expenses. The idea of relocating to another place with a more affordable cost of living is appealing, however, not all destinations offer the same relief.
Numbeo, the world’s largest crowd-sourced database for cost of living and quality of life data, has recently released its latest ranking of the most expensive countries and territories to live in for 2025. By factoring in key expenses like housing, groceries, and transportation, this comprehensive list offers valuable insight into where costs are skyrocketing—and where they’re more manageable.
Click on to discover the top 30 countries and territories where your paycheck will stretch the least—and why.
Italy's high cost of living is concentrated in cities like Rome and Milan, where demand for real estate and high-end services drives up prices. However, rural areas and smaller cities can offer a more affordable lifestyle, balancing out the national cost.
The UAE, especially cities like Dubai and Abu Dhabi, experiences high living costs due to luxury lifestyles, high real estate prices, and expensive international goods. Thriving tourism and business sectors only drive up demand and prices.
Sweden’s high cost of living can be attributed to its excellent social welfare system, which comes with high taxes. The costs of housing, transportation, and food in cities like Stockholm add to the overall expenses for residents.
New Zealand’s remote location and small population drive up costs for imported goods, especially food. High housing prices in cities like Auckland also contribute to the steep cost of living, though the country’s quality of life remains high.
Belgium’s high cost of living stems from its location as a key European center for business and international organizations. Housing prices in Brussels and other urban centers are high, and the cost of dining out and entertainment further elevate living expenses.
South Korea’s cost of living is heightened by its advanced infrastructure, high-tech industry, and demand for housing in Seoul. Expensive private education and the nation’s consumer culture also drive up costs for everyday goods and services.
Macau, with its thriving gambling and tourism industries, has inflated prices, particularly in real estate and dining. Its status as a major international financial and entertainment hub leads to increased living costs for both locals and expats.
France's living expenses are influenced by its high standard of living, especially in cities like Paris, where rent and real estate prices are high. However, the country’s world-class healthcare and social services make these costs more manageable for residents.
The country's high living costs are linked to its economic power and the demand for housing in major cities. The strong social welfare programs provide excellent healthcare and education, but residents face higher taxes and housing costs in return.
The elevated cost of living is influenced by Canada's expansive size and high-quality healthcare and education systems. Housing prices in cities like Toronto and Vancouver, as well as a strong Canadian dollar, contribute to the rising expenses faced by residents.
Finland’s living costs are driven by its high-quality public services, particularly in education and healthcare. Remote living conditions, combined with an expensive housing market in cities like Helsinki, make Finland one of the priciest European countries.
As a US territory, Puerto Rico faces high import costs and limited resources, leading to higher prices for everyday goods. Tourism is also a major economic driver, which pushes up prices, particularly in the hospitality and real estate markets.
High living costs in the UK are influenced by steep housing prices in London and other major cities. The expense of living in the country is compounded by taxes, healthcare costs, and the strong pound, which boosts the overall cost of goods and services.
In recent years, Ireland's booming tech sector and increased foreign investment, particularly in Dublin, have significantly driven up living costs. While newcomers and expats benefit from higher wages, this surge in housing demand and rising living standards puts immense pressure on locals, making daily life increasingly more expensive.
Like other countries on this list, the high quality of life in the Netherlands is supported by a well-developed welfare system, high taxes, and a competitive housing market. Amsterdam’s popularity also drives up both housing and transportation expenses.
In Austria, the cost of living is high due to the country’s robust economy, public services, and premium real estate market, especially in Vienna. The high standard of living, combined with expensive housing and services, makes it a costly destination.
Australia's cost of living is driven by its strong economy, high demand for housing, and import costs. Cities like Sydney and Melbourne are notorious for sky-high housing prices, but residents also benefit from world-class services and public infrastructure.
Luxembourg's small size and exceptional standard of living make it one of the most expensive places to reside. The country’s flourishing banking and finance sectors attract expats, which drives up real estate prices and inflates the costs of goods and services for both locals and newcomers.
While there’s considerable regional variation, the United States overall experiences high living costs, especially in major cities like New York, San Francisco, and Los Angeles. A strong dollar, expansive healthcare system, and soaring real estate markets all add to the expense.
Israel’s high cost of living is driven by high housing costs in cities like Tel Aviv and Jerusalem, as well as a growing tech sector that attracts well-paid professionals. Additionally, the country's reliance on imports increases prices for everyday goods.
The small British island of Guernsey boasts a high cost of living, primarily due to its status as a tax haven and an exclusive place for the wealthy. A limited housing supply and high wages further contribute to inflated living expenses.
Denmark’s high cost of living is linked to high income taxes that fund extensive social benefits like universal healthcare and free education. The country's reputation for a high quality of life comes with a price tag, especially for housing and dining.
Despite being a developing nation, Papua New Guinea experiences high living costs due to its isolated location, limited infrastructure, and dependence on imports. Additionally, the oil and resource industries play a role in inflating costs for goods and services.
Norway’s cost of living is bolstered by its generous welfare state, with high taxes supporting excellent healthcare and social services. However, the country's oil wealth and remote location drive up the cost of living, particularly for food and housing.
In Barbados, the high cost of living stems from its reliance on imports and a strong tourism industry that pushes up real estate prices. Luxury services and imported goods dominate the market, making everyday expenses steep for residents.
Hong Kong’s cost of living is notorious for its inflated housing market, with some of the world’s most expensive real estate. The special administrative region's status as a global financial hub also drives up costs for everything from transportation to food.
Singapore has one of the highest costs of living in Asia, driven by limited space, high property prices, and a wealthy population. The city-state’s reputation for quality education, healthcare, and low crime rates come at a premium for its residents.
The Bahamas faces high living expenses due to its reliance on imports, with nearly everything being shipped from other countries. Luxury tourism also inflates housing and service prices, adding to the overall cost of life on the island country.
Iceland’s remote location and small population contribute to higher living costs, especially for imported goods. The country also boasts high-quality healthcare, education, and energy-efficient housing, making it an attractive but costly place to live.
Switzerland regularly ranks as one of the most expensive countries due to its high wages, strong Swiss franc, and elevated prices for goods and services. The nation’s exceptional healthcare, world-class public transport, and scenic landscapes also contribute to its high living standards.
Sources: (Numbeo)
See also: These are the best countries for Americans to live in
The most expensive countries and territories to live in this year
Where does your place of residence rank?
LIFESTYLE Cost of living
We all know the drill—rising rent prices, expensive grocery bills, and eye-watering utility costs. It feels like the dream of a comfortable lifestyle is slipping further out of reach, leading many people to consider moving abroad hoping to find better living conditions and lower expenses. The idea of relocating to another place with a more affordable cost of living is appealing, however, not all destinations offer the same relief.
Numbeo, the world’s largest crowd-sourced database for cost of living and quality of life data, has recently released its latest ranking of the most expensive countries and territories to live in for 2025. By factoring in key expenses like housing, groceries, and transportation, this comprehensive list offers valuable insight into where costs are skyrocketing—and where they’re more manageable.
Click on to discover the top 30 countries and territories where your paycheck will stretch the least—and why.