Cuenca, Ecuador

Living in Cuenca, Ecuador walking the old cobblestone streets, marvelling at the historic Spanish architecture, and the grandeur of Cuenca’s colonial churches, you’ll know that you’re not in Kansas anymore. A lot of retirement destinations tout the fact that they’re just like the United States—that you can settle in to familiar surroundings—but you won’t hear that about Cuenca.

Cuenca In A Nutshell

• It’s a beautiful colonial city in a fascinating and diverse country.
• The cost of living is low, and the cost of properties is near rockbottom in Latin America.
• The health care is high quality, honest, and inexpensive.
• You can enjoy its fresh, spring-like climate 12 months of the year.
• Cuenca’s large and growing expat community is one of Latin America’s most diverse and well-blended.

Cost Of Living In Cuenca

If you’re looking for the world’s best place to retire overseas on a budget—to live better for less—then Cuenca is almost impossible to beat. The cost of living is low, and the cost of properties is near rock-bottom in Latin America. It’s low in an absolute sense and an amazing value for the quality of life that you’ll find here. A couple can live well on around US$1000 per month.

Perhaps the biggest draw to Cuenca has been the cost of living; it’s low in an absolute sense and an amazing value for the quality of life that you can enjoy here.

Eat Well For Less In Cuenca

The US$1 fixed-price lunch is still alive and well in Cuenca (although US$2.50 is more common), and the city is awash with fresh tropical fruits and vegetables on offer for pennies on the dollar. Fresh fish and shrimp arrive daily from the coast, and much of the local poultry is free-range.

A bus trip through the city is a quarter, taxis start at about US$1.50, and if you have a car, gas is only US$1.48 per gallon. You can rent a furnished apartment for US$400 per month, an unfurnished apartment from US$300 per month, or buy a small condo outright for less than US$40,000.

You won’t need to pay use heat or air conditioning in Cuenca, which can go a long way toward keeping your monthly costs low.

The city is very walkable, and has an excellent public transit system, as does all of Ecuador. You can live easily in Cuenca without a car, which saves even more on the monthly budget.

While the cost of living is quite low, it’s not as low as many would have you believe. Claims of “living like a king for US$650 a month” may have been true for Cuenca back in the late-90s, but they’re well outdated today. Those modest budgets serve in small towns like Cotacachi or Vilcabamba (where there’s not much to spend money on) but not in Cuenca, where you enjoy such a selection of city amenities.

What This Means In Real Terms

The bottom line is that you’ll live for less in Cuenca than you will in most any attractive expat destination out there, but if cost of living is your primary concern, you should understand that elsewhere in Ecuador can be cheaper.

To enjoy all that Cuenca has to offer, I’d plan on spending US$1,500 per month per couple if you’re renting and US$1,000 per month if you own your property. You can certainly live for less; but at these levels you’ll be able to make the most of the lifestyle that Cuenca has to offer.

Here is a detailed budget for a couple retiring to Cuenca. Many of the costs are fixed. Rent, HOA fees, Internet, cable, phone, gas, electricity, and household help (if you opt for it) would be the same for a single retiree as they would for a couple. However, other important items could be less. Your monthly food, transportation, and entertainment costs could all be considerably reduced, maybe even cut in half, depending what and how you eat and how often you go out on the town.

Monthly Budget For A Couple Living In Cuenca, Ecuador

Note: Ecuador uses the U.S. dollar.

Owning your own apartment

Renting an apartment

Penny-Pincher’s Budget (for a couple, bare minimum costs for all)

Eating out:

A beer: US$2.50 (1/2 liter)

Rum and Coke (or any other local, mixed drink): US$3.50

A coffee: US$1.75

A sandwich (or equivalent): US$4.50

Average cost of a meal out:

Lunch: US$5.50

Dinner: US$10 (without alcoholic drinks)

Car/motor bike ownership:

• Vehicle insurance: US$50 per month
• Fuel: US$25 per month
• Upkeep: US$50 per month
• Monthly payments: There’s little financing options available for foreigners
• Parking: US$25

Infrastructure In Cuenca

The health care is high quality and inexpensive. Don’t forget that underneath the Spanish-colonial charm, Cuenca is located in a poor, developing country. So the standards of maintenance for the roads, buildings, and sidewalks won’t always be what you’d want, and the inefficiency of administrative processes will drive you crazy sometimes.

A populist who is quite unpopular with the U.S. government, President Correa has brought dramatic improvements to Ecuador, mostly by redirecting funds away from politicians’ pockets and into Ecuador’s infrastructure, education, and health care systems.

Climate In Cuenca

You can enjoy its fresh, spring-like climate 12 months of the year. Cuenca has little seasonal weather variation but the most pleasant months of the year, overall, are November, December, and January.

Like many former Inca capitals, Cuenca is located in a central valley at a high altitude: 2,550 meters (8,365 feet). It enjoys year-round, spring-like weather, with little seasonal variation.

You can expect average highs around 71 degrees Fahrenheit and lows a bit over 50 all year, although the strong sunshine at that altitude makes it feel much warmer. I find the climate perfect for daytime comfort and nighttime sleeping, but, if you prefer hot weather, you may find it too cool.

Click here for the weather in Cuenca.

Expats In Cuenca

Cuenca’s large and growing expat community is one of Latin America’s most diverse and well-blended. It’s a beautiful colonial city in a fascinating and diverse country.

The True Appeal Of Living In Cuenca, Ecuador
By David Morrill

As a favored destination for English-speaking expatriates, Cuenca is strictly a 21st-century phenomenon…

Although it received favorable notice in travel publications for years and was known to foreign students as a good place to study Spanish, the city didn’t make a big impression on North Americans considering relocating overseas until the turn of the century.

Today, it’s home to an estimated 10,000 expats.

So What’s Cuenca’s Appeal?

Infrastructure

“The infrastructure is good and getting better, the weather and colonial culture are excellent, and it was relatively easy to get to, especially from the United States,” says Live And Invest Overseas Correspondent Lee Harrison, who moved to Cuenca from New York in 2002.

Most important, he adds, “The city is the perfect size for a lot of people—large enough to have big city amenities and cultural activities but small enough to have a comfortable, homey feel.”

Cuenca’s Incentives For Retirees

Another major draw for expats is Cuenca’s low cost of living, allowing North Americans to live comfortably on Social Security and pension checks.

Other incentives include: an efficient public transportation system, the best drinking water in Latin America, and good health and dental care.

Ample opportunities for outdoor activities abound, including biking, fishing, and hiking. To enjoy, go 15 miles to Cuenca’s west to nearby Cajas National
Park, or drive a few hours to Ecuador’s Pacific coast or the Amazon jungle.

Cuenca is also a great place to get around on foot. Most expats are seasoned pedestrians. Some centrally located expats tell us that they rarely or never take buses or taxis. That said, Cuenca’s public transportation and taxi system is well-developed and affordable.

The city’s 475 public buses cover all corners of town, including the suburbs, for only a 30-cent fare. Most daytime taxi fares range from US$1.50 to US$2. In busy parts of town, it’s easy to hail a taxi from the curb.

“The central city is compact and I can get almost everywhere I need to go by foot, even to a couple of shopping centers with supermarkets,” says longtime resident Sylvan Hardy. Walking is also healthy, he points out. “It’s why most people who move to Cuenca lose weight.”

The Weather

Average daily high and low temperatures in Cuenca are 69°F and 52°F (11°C to 20.5°C). Average annual rainfall is 34 inches (864 mm). March, April, and May are the wettest months (about four inches of rainfall for each), and July and August are the driest (less than an inch per month).

In Cuenca, like in all of the Ecuadorian Sierra region, UV rays pose a serious health threat, even on cloudy days, thanks to the city’s high elevation and proximity to the equator. Use sunscreen or, like the natives, a parasol.

Cuenca’s elevation of 2,550 meters (8,365 feet), can be a deal-breaker for some.

Although most people acclimate to the elevation within three to four weeks, others can’t make the adjustment, mostly because of heart and respiratory issues.

It’s important that prospective expats spend time in the city before preparing to up sticks, to determine if elevation is a problem. Cuenca is about the same elevation as the ski resort of Vail in Colorado.

The Low Cost Of Living

One of Cuenca’s biggest selling points is the low cost of living. So, the savings come not just from point-of-sale purchases, but from a lifestyle change.

Take car ownership, for example. Instead of the two cars in the driveway that most expat couples had before leaving North America, most have none in Ecuador, resulting in hundreds of dollars in savings per month.

Among the categories offering the biggest savings in Ecuador is housing. And, the average purchase price of a home in Ecuador is less than 50% of a comparable property in the States.

You’ll also save a lot in utilities. Because of its elevation and location near the equator, homes in Cuenca don’t require air conditioning or heating.

Almost all homes in Cuenca use gas for cooking, hot water, and clothes dryers. You’ll rarely pay more than US$10 a month, including the home delivery of gas cylinders if necessary (most condominiums have central gas). Gas usage helps lower electric bills, which rarely run more than US$60 even for large homes.

Big savings also await you in full-pay dental and medical care, health insurance, eating out, and groceries, although the latter depends on whether you are buying local products or imports.

Although some newer medications are more expensive at local pharmacies or not available at all, most cost the same or cheaper than back home. Ecuador makes wide use of generics, many of which aren’t available in North America. Many drugs that are available only by prescription in other countries can be bought over-the-counter in Ecuador.

Real Estate In Cuenca, Ecuador

When it comes to real estate, renters have plenty to choose from. In addition to local agents, you’ll find a number of English-speaking real estate agents who cater exclusively to foreigners.

For those making exploratory trips to Cuenca or even new expats, the turnkey option makes a lot of sense. Not only are all your housing needs covered, many rental agents will help out with simple repairs and even language-related difficulties.

In addition to turnkey options, you’ll find units in the standard rental market where the tenant provides furnishings and pays utilities and fees. Keep in mind that “unfurnished” in Ecuador, as in much of the world, usually means no kitchen appliances.

Rental costs are exceptionally low in Cuenca, compared to most of the world. A turnkey three-bedroom, two-bath apartment in an upscale complex would typically run about US$800 per month. On the standard rental market (without furnishings and utilities), the same unit would cost about US$500 a month.

While prices on two-bedroom turnkeys begin as low as US$450 a month, you can find suites for as low as US$250 in secure buildings within walking distance of the historic center.

Most new foreign arrivals prefer rentals in modern condominium complexes, but you’ll find many single-family houses on the rental market as well, even if fewer of them are turnkey.

Getting Residency in Cuenca, Ecuador

Ecuador has always offered a relatively easy path to permanent residency. Legal residents here enjoy almost all the rights of citizens, including access to a generous program of senior citizen discounts.

If you do choose to settle here, you won’t lack for things to do.

Cuenca resident Tom Espy says he is busier now than he ever was back in the States…

“I’m involved with bicycle and hiking clubs and we take trips all over the country. I’m almost constantly on the go and I love it,” he says. “I have friends who are big in the arts and who perform with the local theater group and sing with the international chorale. If you can’t find something to do in Cuenca, you’re not looking very hard.”

Where is Cuenca, Ecuador, Located?