Unlock Your Savings: A Realistic Look at the Cost of Living in Paraguay (Updated for 2025)

Published: 26 Apr 2025

If you're considering a move to South America for a more affordable lifestyle, Paraguay is quickly becoming a popular destination for expats. Located in the heart of the continent, this vibrant country offers a unique blend of low living costs, modern amenities, and a welcoming culture. But how affordable is it really to live in Paraguay in 2025? In this detailed guide, we'll break down the cost of living in Paraguay, covering everything from housing to groceries and healthcare, so you can make an informed decision about whether this beautiful country fits your budget and lifestyle.

Why Paraguay is Gaining Attention for its Affordability?

As living expenses skyrocket in many Western countries, Paraguay is emerging as a top choice for those seeking an affordable lifestyle. Paraguay provides excellent value for your money offering low housing costs, affordable healthcare, and inexpensive everyday necessities. Whether you're an expat, retiree, or digital nomad, this country offers a high quality of life without the hefty price tag. In this guide, we'll explore the real cost of living in Paraguay and why it's becoming a preferred destination for those looking to live well on a budget.

Breaking Down the Monthly Expenses in Paraguay (Estimates for April 2025)

Please note that these figures are estimates and can vary based on your lifestyle, location within Paraguay (Asunción tends to be slightly more expensive than smaller towns), and personal preferences.

Housing and Real Estate

Renting in Asuncion

If you're looking for a modern, clean apartment in a top neighborhood of the capital city, rental prices are very reasonable compared to North America or Europe.

• A luxury two-bedroom apartment in a prime area can cost around 4 million PYG per month (about $500 USD).

• More ordinary two-bedroom apartments in other areas can be found starting from 2.5 million PYG (around $310 USD).

• One-bedroom apartments are very popular today, especially among young professionals. The fancier one-bedrooms range from 3 million PYG (approximately $380 USD).

Buying Property in Paraguay

Buying real estate in Paraguay is very accessible, even for foreigners. There are no restrictions — foreigners can purchase property with full ownership rights.

• In Asunción, buying a house in residential areas typically ranges from $200,000 to $600,000 USD, depending on the size and location of the property. This excludes premium areas, focusing on more affordable residential options.

• In more rural or suburban areas like Areguá (only a few kilometers from Asunción), you can find beautiful homes starting from 500 million PYG ($62,500 USD). Many of these homes include large gardens, pools, and multiple bedrooms.

Whether you're renting or buying, Paraguay offers affordable and high-quality housing options for every lifestyle.

Groceries

Expect to spend considerably less on food, especially if you embrace local markets and seasonal produce. Notably, Paraguay is known for its excellent quality beef, which is often very affordable.

Weekly Grocery Budget

Of course, the total cost of groceries varies depending on personal habits, but to give you a real example:

A typical weekly grocery trip for two people (including food, cleaning products, and household essentials) costs between 300,000 to 600,000 PYG ($37 to $75 USD).

Additionally, many supermarkets offer discount programs when you use local bank credit cards, allowing you to save even more.

Local Produce

One of the many advantages of living in Paraguay is the abundance of fresh, locally sourced produce that comes at a fraction of the cost you might find in other countries. Here are some examples of common household items and their prices:

• 30 eggs – ₲40,000 ($5 USD)

• 1 liter of milk – ₲7,000 ($1 USD)

• 1/2 kg of ground coffee – Starting from ₲60,000 ($7 USD)

• 1 liter of sunflower oil – ₲25,000 ($3 USD)

• Fresh vegetables and fruits – Often priced between ₲5,000 to ₲15,000 per kilo ($0.60 to $2 USD)

These prices make it easy to enjoy high-quality, fresh ingredients without spending a fortune, adding to the overall affordability of life in Paraguay.

Meat

Meat lovers will be happy to know that Paraguay produces some of the best beef in the world. Paraguayan meat is exported to many countries, known for its high quality and flavor.

For example:

• A top-quality cut like tapa cuadril (rump cap) can cost around 120,000 PYG (about $15 USD) — enough for three to four people to enjoy a full barbecue.

• Another popular cut, vacio (flank), is widely loved and can be found for as low as 60,000 PYG ($7.50 USD) for a portion large enough to feed three to four people. Demand for vacio is high, but it’s usually easy to find at major supermarkets or local butchers.

Cured Meat and Cheese

Paraguay is home to a thriving German Mennonite community, known for producing high-quality sausages, ham, milk, and cheese. These artisanal products are made with traditional recipes and methods, offering excellent flavor and freshness at affordable prices. For example, sausages are priced between 5 to 11 USD per kilo (40,000 to 90,000 PYG), cheese ranges from 6 to 9 USD per kilo (50,000 to 70,000 PYG), and ham is available for 5 to 8 USD per kilo (40,000 to 60,000 PYG). For those considering Paraguayan residency, these locally-made dairy and meat products offer great value and an opportunity to enjoy authentic, high-quality food while living in Paraguay.

Utilities

Another big advantage of living in Paraguay is the low cost of groceries and everyday essentials.

Monthly Utilities

For a standard two- or three-bedroom apartment in Asunción, typical monthly utility costs are:

• Electricity: ₲150,000 to ₲400,000 ($18 to $50 USD), depending heavily on your use of air conditioning, especially during the hot summer months.

• Water Service: Around ₲50,000 to ₲80,000 ($6 to $10 USD) per month.

• Internet: High-speed fiber optic internet costs between ₲150,000 to ₲250,000 ($18 to $31 USD) per month for a good plan.

• Mobile Phone Plans: Prepaid and postpaid mobile plans are widely available. A basic plan with data can start from ₲50,000 ($6 USD) monthly.

Electricity is usually the biggest variable, especially during summer when air conditioners run more frequently. However, with smart usage, bills can stay very manageable. But electricity in Paraguay is relatively inexpensive, with the added benefit of being primarily sourced from clean, renewable hydroelectric power from the country's dams. 

Other Essentials

• Home Cleaning Services: Hiring a cleaning lady for one day a week usually costs around ₲100,000 to ₲150,000 ($12 to $18 USD) per day.

• Cable TV: Many Paraguayans now prefer streaming, but if you want cable TV, plans start around ₲100,000 ($12 USD) per month.

• Gas: In Paraguay, most homes don't require a gas line because there is no need for central heating, thanks to the country's warm climate; gas is mainly used for cooking and is supplied through portable gas tanks ("garrafas"). Refilling a standard gas tank costs around ₲100,000 ($12 USD) and can last for two to three months depending on usage. 

• Online international shopping: If you're wondering whether you can shop online while living in Paraguay, the answer is yes! Paraguay offers convenient access to international online stores like Amazon, AliExpress, and Shein, allowing you to easily purchase your favorite products from Paraguay. With reliable courier services, shipping fees typically cost about 7 USD for packages weighing up to 200 grams.

Transportation

Public Transportation (Bus): Very affordable, with fares typically less than $1 USD per ride.

Ride-sharing Services: Convenient options like Uber are available. There's also a more budget-friendly alternative called Bolt. For example: an Uber ride in Asuncion during non-rush hour hours typically costs between 20,000 and 40,000 PYG ($2 - $5 USD), making it an affordable option for getting around the city.

Taxis: Traditional taxis still operate, and payment is predominantly in cash.

Owning a Car:

• Car Insurance: Expect to pay around $40 - $80 USD for a standard family car.

• Monthly Payments (New Car): Can start from $300 USD per month for a 5 year payment plan.

• Used Cars: Prices generally can start from $2,500 USD.

• Gasoline: Monthly expenses can range depending on your vehicle and usage, but if you commute everyday it can range from $40 - $100 USD.

Healthcare

Paraguay boasts a high-quality private healthcare system that is both accessible and affordable. The country has a solid network of private hospitals, clinics, and medical specialists in major cities like Asunción, offering excellent care at a fraction of the cost compared to countries like the United States or Europe.

Private healthcare services in Paraguay are generally very reliable, with well-trained doctors and modern facilities. Many healthcare professionals in the private sector have received training abroad, particularly in countries like Argentina, Brazil, and Europe.

For expatriates and locals alike, private insurance is widely available, providing comprehensive coverage at competitive rates. A really good private insurance plan can cost between ₲500,000 to ₲1,000,000 ($60 to $120 USD) per month, sometimes for the whole family, depending on the coverage and provider.

Hospitals such as La Costa, Migone, Británico, San Roque, and Italiano are well-known for their top-tier care and specialized departments. Many of these facilities also offer international services, catering to expats with services in multiple languages, including English and Spanish. The cost of consultations and treatments in private healthcare is typically much lower than in many other countries, making it a great option for those seeking quality care without the high price tags found in more developed nations.

Public healthcare in Paraguay is free of charge, offering basic medical services to residents. However, the system often faces long wait times, especially in urban areas, due to high demand and limited resources. While public hospitals provide essential care, patients are typically required to purchase their own medical supplies and medications unless they are covered by the Social Security Institution of Paraguay, IPS. In addition, notable public hospitals in Asunción such as the Barrio Obrero, Urgencias, Clínicas and San Pablo provide specialized care.

Entertainment & Leisure

Living in Paraguay isn't just about affordable housing and groceries — it's also about enjoying life without breaking the bank. Whether you're dining out, exploring the countryside, or partying in Asunción, you'll find that leisure activities are very budget-friendly.

Eating Out and Drinks: 

• Local Eateries (Comedores): A hearty meal at a simple local comedor can cost between 20,000 and 40,000 PYG (about $2.50 to $5 USD).

• Mid-Range Restaurants: Dining at a decent restaurant usually costs around 50,000 to 100,000 PYG per person ($6 to $12 USD).

• High-End Restaurants: If you're looking for a fancy night out, expect to spend between 100,000 and 250,000 PYG ($12 to $31 USD) per person for an excellent meal and service.

Drinks and nightlife:

• Local Beer: A cold beer at a bar or restaurant costs around 6,000 to 10,000 PYG ($0.75 to $1.25 USD).

• Bottle of Wine: Good imported wines start from around 50,000 PYG ($6 USD).

• Nightclub Entry: Cover charges for nightclubs are typically 30,000 to 100,000 PYG ($4 to $12 USD).

Exploring Nature:

If you're more into nature and outdoor activities, Paraguay offers many affordable options:

• Camping: Camping at natural parks or near lakes usually costs around 20,000 to 30,000 PYG per night ($2.50 to $4 USD). Some sites offer basic amenities for a small extra fee.

• Nature Hotels and Resorts: Rural hotels and eco-lodges start from around 250,000 PYG ($30 USD) per night for simple rooms, with luxury options going up to 800,000 PYG ($100 USD) or more, especially near beautiful destinations like Lake Ypacaraí, Saltos del Monday, or national parks.

• Rentable Villas: Private villas are also an option for families or groups, with prices depending on size, location, and facilities.

Location Matters: Cost Variations Across Paraguay

While the overall cost of living in Paraguay is very appealing, it's important to keep in mind that expenses can differ depending on the location. Asunción, the capital and largest city, tends to have slightly higher rental prices and certain goods may be more expensive due to its urban setting. However, if you're seeking a more affordable lifestyle, exploring other cities and regions can be rewarding.

For example, Ciudad del Este in the east, known for its proximity to Brazil and Argentina, offers lower living costs while still providing urban amenities. Encarnación, located near the Argentine border, is another great option, with affordable housing and a laid-back atmosphere, perfect for those seeking a more relaxed pace. Smaller towns like Areguá, just a short drive from Asunción, offer even lower costs while giving you access to Paraguay's beautiful landscapes and a slower pace of life.

Researching and considering different areas can help you find the perfect balance between affordability and quality of life in Paraguay.

Read more about How to apply for residency in Paraguay.

Making the Move: Your Path to Affordable Living in Paraguay

If the prospect of a lower cost of living in Paraguay and a potentially richer life resonates with you, taking the first steps towards residency is key. Our experienced team specializes in guiding individuals through the Paraguayan residency application process, making your transition smooth and efficient. We understand the requirements and can provide the support you need to navigate the bureaucracy.

Ready to explore how the affordability of Paraguay can transform your financial future and quality of life? Contact us today for a free consultation and let us help you understand the path to Paraguayan residency!