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A beach not far from Puerto Plata in the Dominican Republic. In this area are some German-speakers. Spanish, however, is the primary language. This is one of the most affordable areas to live in the Caribbean. |
Some Pros and Cons About Overseas Retirement
Confession of a HGTV junkie: we love to watch House Hunters International which often features youngish, attractive retirees searching for homes in places like Costa Rica, Italy, or the Dominican Republic. On the TV show they always talk about the warm weather and relatively low cost of living. And it is true that living abroad can be a solution to a future on a limited fixed income--as well as being an exciting adventure.
On the other hand there appears to be three potential issues that could create problems -- and no one seems to write much about them.
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Healthcare at home and abroad One potential issue is healthcare and getting good medical treatment abroad, particularly in Third World countries. Move to Italy, France, England--all high cost of living countries--and health care is excellent. But in a charming little fishing village in Mexico or a small town in Nicaragua, for example, health care, particularly emergency medical treatment, may not be adequate at all. While this may not be much of an issue for early retirees or people age 65, by age 75 it probably will be. |
New places, new networks
A second potential challenge of moving abroad for retirement: building a network of supportive friends in a new, foreign location. There are now hundreds, if not thousands, of American expatriate villages around the globe. Retirees who move into one of these "Little Americas" will have instant friends, or at least, instant acquaintances. Outside these retiree colonies, however, it may prove to be far more difficult to build a network of friends and acquaintances among the locals. The isolation may end up driving you back home.
Political Changes
Another thing that could drive you back to the U.S. are political changes in the country you move to. Suddenly your lovely beachfront life in a warm, friendly climate can become an experience in living in an environment of anger, fear or outright hostility. Or worse yet, in the midst of a civil war.
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A Real Life Retirement: Owners of a very comfortable, bus-size motor home, Sam and Ellen traveled extensively throughout the U.S., Mexico and Central America. Sam even took a year long sabbatical from his teaching job so they could spend time searching for a retirement location. Finally, they found one in a RV park with a lot of Americans next to a marina on the west coast of Mexico where they could go fishing everyday. Their costs would be so low that retirement at age 62 became realistic. Their next step was to find an inexpensive home in the Southwest so they would continue to have a U.S. residence. It took another year or so. Searching online real estate listings, they found a fixer on a big lot in a small Arizona town. Finally came the big leap: They sold their home in the Pacific Northwest. Sam left his job. Ellen works freelance and her clients do not care where she lives so she continues to work. They first moved into the fixer and fixed it up. They now live Mexico part of each year. |
Other retirees are moving to the Sunbelt.
NOTE: All names
on this site have been changed to protect individual privacy.
The stories are real, the names are not.
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