Top 7 Affordable Cities to Retire in Philippines

Retiring in the Philippines is an increasingly popular option due to the country’s warm climate, low cost of living, and welcoming culture. From bustling urban centers to serene coastal towns, the Philippines offers a variety of cities that provide comfort, convenience, and affordability. Below are the top seven cities to consider for retirees looking for a place to settle down in this tropical paradise.

1. Cagayan de Oro

Cagayan de Oro, located in Northern Mindanao, is known as the “City of Golden Friendship” due to the friendliness of its residents. This rapidly growing city is a hub of trade, industry, and tourism. One of its most popular attractions is the Cagayan River, which draws adventure seekers for white-water rafting. The city also offers a warm tropical monsoon climate and an array of natural wonders like Makahambus Cave and Gaston Park.

The cost of living in Cagayan de Oro is quite low, with an average monthly budget ranging from $1,200 to $1,500. The city’s affordable lifestyle, coupled with its modern amenities and a strong sense of community, makes it a favorite destination for both locals and expats. However, retirees should be mindful of the monsoon season and the risk of natural disasters like flooding. Despite these risks, Cagayan de Oro remains a vibrant and affordable city for retirees seeking both adventure and tranquility.

2. Cavite

Cavite, just south of Manila, offers a perfect blend of rural and urban living. Known for its agricultural bounty, Cavite produces rice, corn, vegetables, coffee, and coconut. It also has a strong fishing industry with its proximity to three major fishing grounds. Golf enthusiasts will enjoy the numerous golf courses available, while nature lovers can explore the province’s stunning waterfalls and mountain views.

Being close to Metro Manila, Cavite is ideal for retirees who prefer a peaceful lifestyle with access to modern conveniences. The province has a strong healthcare infrastructure, with 43 private and 12 public hospitals. Its proximity to the capital ensures that retirees can enjoy urban amenities without the hustle and bustle of big-city life. The cost of living remains low, thanks to its agricultural abundance, making Cavite a great option for retirees on a budget.

3. Baguio

Baguio, often referred to as the “City of Pines,” is a cool, mountainous retreat located in the northern region of the Philippines. Its pleasant climate is a major draw for retirees looking to escape the heat of the lowlands. Baguio is known for its vibrant cultural scene, with a rich history and a growing art community. The city’s markets are filled with fresh produce, and nearby farms offer strawberries and other locally grown products at very affordable prices.

Retirees in Baguio can enjoy a laid-back lifestyle while staying active by exploring the area’s hiking trails, hot springs, and scenic views. The city also boasts historical sites such as Tam-awan Village and Camp John Hay, giving retirees plenty to see and do. Baguio’s affordable cost of living and its peaceful environment make it a popular destination for retirees who appreciate both nature and culture.

4. Davao City

Davao City is one of the safest cities in the Philippines, known for its clean environment and strict enforcement of laws. Located in the southern part of Mindanao, Davao is surrounded by natural beauty, from beaches to mountains. It is also home to Mount Apo, the highest peak in the country. The city offers a balance of urban living with access to outdoor activities such as hiking, diving, and wildlife viewing.

The cost of living in Davao is significantly lower than in other major cities like Manila or Cebu, with monthly expenses averaging around $598. The city has modern infrastructure, a thriving business sector, and top-notch healthcare facilities, making it a great option for retirees looking for an affordable yet vibrant lifestyle. Davao also takes pride in its agricultural production, with durian being one of the most famous local products.

5. Bacolod

Bacolod, known as the “City of Smiles,” is located in the province of Negros Occidental in the Visayas region. It is renowned for its laid-back atmosphere and friendly locals. Bacolod is also famous for its culinary scene, with dishes like chicken inasal and fresh seafood taking center stage. The city has a growing expat community, thanks to its relatively low cost of living and high quality of life.

With a budget of $1,200 to $2,000 per month, retirees can enjoy a comfortable lifestyle in Bacolod. The city is modern, offering excellent healthcare facilities, shopping centers, and cultural activities. Its proximity to other popular destinations like Cebu makes it convenient for retirees who want to travel and explore the region. While the nightlife is not as bustling as in larger cities, Bacolod offers a peaceful and secure environment, perfect for those seeking a more relaxed pace of life.

6. Dumaguete

Dumaguete, located on Negros Oriental’s southeastern coast, is a charming coastal city that has become a haven for retirees. Known as the “City of Gentle People,” Dumaguete offers a small-town feel with the amenities of a larger city. The city is home to a thriving expat community and offers a variety of restaurants, cafes, and cultural activities. Its location provides easy access to beaches, waterfalls, and dive spots, making it a perfect spot for retirees who enjoy outdoor activities.

The cost of living in Dumaguete is very affordable, with most retirees living comfortably on a budget of $1,000 to $1,500 per month. Dumaguete’s healthcare facilities are of good quality, and the city is home to Silliman University Medical Center, ensuring access to medical care. Dumaguete’s relaxed atmosphere, combined with its natural beauty and affordability, makes it one of the best places to retire in the Philippines.

7. Iloilo City

Iloilo City, located in the Western Visayas region, is a historical gem with well-preserved colonial architecture and a vibrant cultural scene. Known for its festivals, churches, and rich history, Iloilo is a city where the old meets the new. In recent years, the city has undergone rapid modernization, with new shopping centers, healthcare facilities, and residential developments springing up.

Iloilo is an ideal place for retirees who want to experience the charm of a historical city while enjoying modern amenities. The cost of living is affordable, with most retirees budgeting between $1,200 and $1,500 per month. The city also offers excellent healthcare options, making it a safe and comfortable place to live. Its peaceful environment, combined with its rich cultural heritage, makes Iloilo City an appealing retirement destination.

These seven cities in the Philippines offer a variety of lifestyles, from the vibrant urban centers of Davao and Bacolod to the cool mountain retreat of Baguio and the coastal charm of Dumaguete. No matter your preferences, you’ll find a retirement destination that suits your needs and budget in this diverse and beautiful country.