With our 2026 Overseas Retirement Index just released, featuring 12 of the world’s best destinations and most enticing lifestyles—6 of which are in Europe—my adopted realm’s prowess is impossible to ignore…
Even with the entire globe under consideration, Europe dominates the rankings this year.
Fully half of the destinations featured in our 2026 Overseas Retirement Index are European havens—from the sun-drenched Algarve in Portugal to the historic charm of Tarragona, Spain, and the rugged beauty of Crete, Greece.
Whether it’s wine country in the south of France, coastal serenity in Sardinia, or a mix of culture, cuisine, and lifestyle in the Mediterranean, the European winners of this year’s Overseas Retirement Index offer retirees an irresistible combination of affordability, amenities, and quality of life.
Let’s take a closer look at three of this year’s top retirement picks in Europe…
Coming in at #11: Sardinia, Italy
Sardinia is a Mediterranean gem—Italy’s second-largest island, roughly the size of New Hampshire, with over 1,100 miles of coastline boasting everything from secluded coves to sparkling white-sand beaches.
Famous for Costa Smeralda, the playground of the rich and famous, Sardinia mixes luxury with authentic Italian charm, historic towns, and vibrant local culture. Cagliari, the capital, offers lively streets, beaches, and an English-friendly expat community, while Alghero charms with its Catalan heritage, seafood, and medieval old town. Olbia, the gateway to Costa Smeralda, blends convenience with access to stunning beaches.
Life here can be surprisingly affordable: furnished apartments start around $400 to $950 per month, groceries and dining out are reasonably priced, and transport costs are low.
The Mediterranean climate delivers hot, dry summers and mild winters, perfect for beach days, hiking, or skiing in the mountains. Sardinia also boasts excellent health care, festivals, watersports, golf, and cultural attractions.
With a safe environment, stunning scenery, and a relaxed pace of life, Sardinia appeals to retirees and expats seeking sun, sea, and a slice of authentic Italian living—luxury or local style, take your pick.
Coming in at #9: Kotor, Montenegro
Kotor Bay, Montenegro, is a hidden Adriatic treasure—a deep, fjord-like inlet framed by towering mountains and 57 miles of sparkling coastline.
Medieval villages, terracotta-roofed homes, and cobblestone streets feel straight out of a storybook, while small cities like Kotor, Tivat, and Herceg Novi offer modern comforts. For a taste of luxury, Porto Montenegro and Luštica Bay bring superyacht marinas and upscale living, letting you enjoy the high life without the sky-high costs.
Montenegro’s charm lies in its mix of affordability and lifestyle options. Furnished rentals start around $500 to $900 per month, meals at local spots hover under $20, and spa, yoga, and boating experiences are all wallet-friendly. The Mediterranean climate brings warm summers and mild winters, perfect for beach days, mountain hikes, or skiing nearby.
Kotor Bay is also a playground for outdoors enthusiasts: kayaking, sailing, hiking, rafting, and even skiing are all within reach. History buffs will love Kotor Old Town and nearby Perast, while cultural events, music, and festivals keep the calendar lively.
With friendly expat communities, safe streets, accessible health care, and residency options tied to property ownership, Kotor Bay is a rare combination of beauty, adventure, and practicality—a true Adriatic gem.
Coming in at #6: Tarragona, Spain
Once the Roman capital of the Iberian Peninsula, Tarragona today blends historic charm with modern conveniences.
Located on Catalonia’s Costa Daurada, about 60 miles southwest of Barcelona, this little city offers golden-sand beaches, lush parks, and a slower, authentic Spanish lifestyle without the crowds or high prices of larger cities. Plus, the Mediterranean climate here is temperate, with hot, dry summers and mild, wet winters.
Enjoy the amazing climate and get outdoors with the region’s fantastic sailing, water sports, hiking, golf, and tennis options.
The city’s compact center is best explored on foot, showcasing Roman ruins, a Gothic-Romanesque cathedral, vibrant markets, and a lively cultural scene including festivals, unique human tower performances (castells), and live music. Excellent transport links connect it to Barcelona and Valencia by train, and international flights are accessible via nearby airports.
There’s a growing expat community here, thanks in part to its excellent health care with both public and private options, and affordable living—furnished apartments start under $650 per month, groceries are inexpensive, and dining out is budget-friendly.
With low crime, reliable infrastructure, and no restrictions on foreign property ownership, Tarragona combines history, culture, affordability, and coastal living, making it a compelling choice for retirees and expats seeking a balanced Mediterranean lifestyle.
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Next week, I’ll pull back the curtain on the top three retirement picks in Europe for 2026—stay tuned!
Bonne route,
Kat Kalashian
Editor, In Focus: Europe
