Asunción, the capital of Paraguay, is an increasingly attractive destination for American expats seeking a low-cost, uncomplicated lifestyle in South America. Nestled along the Paraguay River, this vibrant yet underrated city offers a mix of colonial charm, modern amenities, and a relaxed pace of life that appeals to retirees, digital nomads, and budget travelers alike.
Why Move to Asunción?
The biggest draw for many expats is the affordability. According to Numbeo, rent for a one-bedroom apartment in a central location averages between $200 and $400 per month. Eating out, groceries, and transport are all very inexpensive compared to U.S. standards. You can enjoy a high quality of life on a modest income.
Asunción is known for its welcoming locals, known as Paraguayans or “guaraníes,” and a cultural blend of Spanish and Guaraní influences. The city also features lush parks, a thriving arts scene, and access to nature without the crowds of larger Latin American capitals. Its warm subtropical climate makes it enjoyable year-round.
Visa Requirements for Americans
Americans must obtain a visa to enter Paraguay. This can be done on arrival at the airport for a fee (usually around $160) and allows a stay of up to 90 days. For longer stays, you can apply for:
- Permanent Residency: Paraguay offers a relatively simple and low-cost residency process. You’ll need to deposit a minimum of around $5,000 USD in a Paraguayan bank and provide basic documents such as a background check and birth certificate.
- Investor or Pensioner Visas: These are also available for those meeting income or business investment thresholds.
Check the Paraguayan Embassy website for the most up-to-date requirements.
Where Expats Live
Popular neighborhoods among expats include Villa Morra and Carmelitas, which offer a good mix of comfort, safety, and access to restaurants and shops. These areas are home to cafes, shopping malls, and many international companies and schools.
Life in Asunción: What to Expect

While Spanish is the dominant language, Guaraní is widely spoken. English is also increasingly common in business circles and among younger people. Learn some Spanish to make your experience smoother.
Healthcare is affordable and efficient, especially in private clinics and hospitals. Monthly health insurance plans can cost as little as $50 to $100.
The city has a laid-back vibe, minimal traffic compared to major capitals, and a growing coworking and startup scene. You’ll find local markets, music festivals, and a strong community spirit.
Final Thoughts
If you’re looking for a safe, place to relocate, Asunción might just surprise you. It offers friendly locals, simple residency process, and low living costs. A hidden gem for American expats wanting a quieter life abroad.
Make sure you take a look at my expat travel gear before you head out, too!