Retiring in Italy on a budget isn’t just a daydream—it’s something a growing number of people are actually doing, and with good reason. Life here has a knack for moving at its own rhythm. Quiet mornings in a sunlit square, fresh produce just around the corner, and a genuine sense of community you don’t always get elsewhere. While the image of Italian retirement often conjures up grand villas or big-city glamour, you’ll quickly find there are welcoming towns and easy-going regions where your money stretches further than you might expect.
If you’re considering retiring in Italy on the cheap and want to know where comfort, affordability, and culture meet, Italy offers more than a few good options. From welcoming hilltop villages surrounded by olive groves to historic coastal towns with their own local flair, you’ll find plenty of places to retire in Italy where life’s essentials come at a pleasantly reasonable price.
Cost of living in Italy for retirees
For many retirees, daily expenses in Italy turn out to be lower than what they’re used to back home, especially if you’re living outside the major cities. This is one of the reasons why foreigners, especially Americans, are choosing to relocate to Italy. You’ll likely find that things like local produce, eating out, and public transport are all rather reasonable, particularly in smaller towns or rural regions.
How much money you need to live comfortably in Italy depends on lifestyle choices and property, but it is possible to live on €1,500, or even less. How expensive an area is often becomes a key factor when retirees decide where to live in Italy, as there is no longer the stability of a regular income to fall back on.
Cheapest and best places to retire in Italy
If you’re after the sweet spot where genuine Italian living and affordable prices comfortably meet, a handful of regions keep popping up on expats’ radars. Here are some of the top rural places to live in Italy where the cost of living stays low, the welcome is warm, and daily life is delightfully easy on the wallet.
Abruzzo
Tucked between mountains and the Adriatic coast, Abruzzo is a bit of a hidden gem. Life here is quieter than in the big cities, but there’s no shortage of lively street markets, hearty food, and stunning natural parks. The region is also recognised for producing some of Italy's most unique wines. Towns like Sulmona, Pescara, and Lanciano are popular with expats, drawing those who enjoy a mix of hill towns, seaside, and green open spaces. The region is made up of just four provinces, with Chieti the most populous.
Property prices in Abruzzo in May 2025 were, on average, €1,190 per m2, which is considerably lower than in Tuscany, where housing costs €2,378 per m2.
Calabria
Calabria, located right on the toe of the boot, is known for its dramatic coastlines and untouched rural landscapes. Property is some of the most affordable in Italy, and you’ll find expat communities gathering in places like Tropea, Scalea, and Pizzo. Life here feels traditional—think unhurried days, locally grown produce, and long, sandy beaches.
Housing prices are very low in Calabria, at an average of €912 per m2 as of May 2025.
Sicily
If you’re after somewhere with sunshine on tap, proper character, and a pace of life that never feels rushed, Sicily ticks all the boxes. The cost of living is one of the lowest you’ll find in Italy, making it really appealing for anyone looking to stretch their budget without sacrificing good food or warm weather.
Expats often settle in places like Palermo for its buzzing energy and culture, or drift towards smaller towns such as Sciacca and Noto.. Local markets, lively piazzas, and dramatic coastal scenery are everyday staples here.
Property prices in Sicily averaged no more than €1,175 per m2, with some areas costing as little as €649 per m2.
Le Marche
Le Marche sits quietly between the mountains and the Adriatic. It’s not a big name on the typical tourist trail, which is exactly why many retirees feel at home here. There’s space to breathe, good food with no fuss, and plenty of time for a chat over coffee.
The region’s small towns, like Ascoli Piceno, Urbino, and Fermo, give you a real taste of everyday Italian life. You’ve got the hills on one side for peaceful walks, and the coastline just a short drive away if you fancy a dip or a stroll by the sea.
Housing prices in Marche averaged €1,489 per m2 in May 2025, although this increased slightly in areas such as Pesaro Urbino.
Puglia
Located on Italy's stiletto heel, the first thing you notice in Puglia is the miles of olive groves, the iconic trulli dotted along the countryside, and the kind of blue sea that makes you want to stay put for hours. For retirees, it’s a part of Italy that offers real value, both in daily costs and quality of life.
Towns like Ostuni, with its whitewashed streets and the seaside feel of Monopoli have quietly built communities of both locals and expats settling in for the long term. Lecce’s baroque beauty has made it one of Italy's most underrated cities. Here, the markets are bustling, the neighbours tend to know your name, and good food is never far off.
In May 2025, housing prices in Puglia averaged €1,238 per m2, with Bari being the most expensive place to buy property.