Besides beautiful beaches and a pleasant climate, the Caribbean is known for allowing expats to live an affordable lifestyle. Of course, the cost of living in the Caribbean varies depending on the island and your lifestyle. This guide provides a comparison of living costs in Caribbean countries, covering contributing factors such as:
- Monthly rent prices
- Groceries expensive
- Healthcare premiums
- Transportation costs
- Taxes
We’ll also list the cheapest and most expensive Caribbean islands to live in.
Cost of Living in Caribbean Countries
The Caribbean Community comprises 33 state entities, including 13 sovereign states and 12 overseas territories. All Caribbean islands offer a unique island life, some being relatively undeveloped with small populations and others with larger populations and modern infrastructure. The attractiveness of Caribbean islands varies, leading to differences in living expenses.
Some countries, like Barbados and Aruba, are small but popular for tourism, leading to high Caribbean real estate prices. In contrast, countries like St Kitts and Nevis, offering Caribbean citizenship by investment, attract foreign nationals to invest and relocate there, which could mean higher monthly expenses.
Here is a comparison of the cost of living between popular countries in the Caribbean region.
Country | Groceries (Milk, rice, eggs, beef) | Meal (Inexpensive Restaurant) | Basic Utilities (One Month) | One-bedroom Apartment (Monthly Rent) |
Antigua and Barbuda | $28.01 | $9.25 | $289.85 | $740 |
Barbados | $26.46 | $20 | $124.06 | $600 |
Cayman Islands | $33.93 | $30 | $409.17 | $2,510 |
Dominica | $20.97 | $7.40 | $138.98 | $305 |
Dominican Republic | $13.26 | $6.62 | $59.34 | $340 |
Grenada | $19.12 | $7.50 | $215.03 | $480 |
Jamaica | $16.82 | $7.55 | $131.56 | $470 |
Puerto Rico | $18.55 | $15 | $259.41 | $770 |
St Kitts and Nevis | 16.87 | $22.20 | $96.25 | $850 |
St Lucia | $22.18 | $7.40 | $115.63 | $440 |
Antigua and Barbuda
When living in Antigua and Barbuda, a single person’s monthly budget amounts to about $670, excluding rent. The cost of rent ranges between $370 and $740 per month for a one-bedroom apartment and between $1,110 and $1,455 a month for a three-bedroom apartment.
A basic utility bill will amount to around $290 per month, while a monthly pass for public transport costs around $33. A three-course meal for two at a mid-level restaurant costs around $92, while restaurant prices for a meal at an inexpensive restaurant cost around $9. Retirees in Antigua and Barbuda can expect to pay about $400 per month for a comprehensive healthcare plan.
There are few considerations for the cost of living in Antigua and Barbuda in regard to taxes as the country imposes no capital gains, inheritance, or wealth taxes and there are no Antigua taxes on personal income.
Dominica
Dominica is one of the cheapest places to live in the Caribbean. A single person’s monthly expenditure to live in Dominica comes to an average of $623 in Dominica, not including rent. The monthly rent for a one-bedroom apartment is about $300, which varies depending on whether you are in the city center or not. For a three-bedroom apartment, the monthly rent is around $742 outside the city center and $1,158 in the city center.
A one-way ticket on local transport is 93 cents, and a three-course meal for two at a mid-range restaurant costs around $57. Comprehensive health plans for retirees in Dominica cost about $400 per month for a comprehensive policy. Imported goods tend to be more expensive, while locally produced food tends to be more affordable.
Annual property taxes do not contribute to average Dominica living costs as there is only a municipal tax on properties in Roseau and Canefield.
Discover the Benefits of a Caribbean Passport
Grenada
The cost of living in Grenada is one of the most affordable of the five Caribbean countries that offer Caribbean citizenship by investment programs. In fact, one person can live on less than $650 per month, not including rent.
The average monthly rent for a one-bedroom apartment ranges from $432 outside the city center to $776 in the city center. Retirees in Grenada can expect to pay an average rent of $654 for a three-bedroom apartment outside the city center and $1,695 in the city center.
Basic utilities amount to around $185 per month. A three-course meal for two at a mid-range restaurant costs around $79, and a monthly pass for public transportation costs around $37. The estimated monthly costs for a comprehensive Grenada healthcare policy are $300 to $400 for senior citizens.
Residents benefit from low Grenada taxes, particularly those who do not earn income in Grenada as the country does not impose foreign income tax or wealth, inheritance, or capital gains taxes.
St Kitts and Nevis
Though the cost of living in St Kitts and Nevis can be slightly more expensive than in other Caribbean countries, it is still around 20 percent less expensive than in the US and the UK. Rent for a one-bedroom apartment ranges between $610 and $1,000 per month, while a three-bedroom apartment costs between $1,555 and $3,500 per month.
Monthly utilities amount to around $96. The country’s citizens should be aware of their use of air conditioning as electricity prices are generally expensive. A three-course meal for two at a mid-level restaurant costs around $96. As with other tropical islands in the Caribbean, imported goods tend to cost more than goods produced in the local markets.
St Kitts and Nevis healthcare expenses are relatively high, with monthly premiums for full coverage costing around $400 to $500.
St Lucia
St Lucia is widely considered one of the most affordable Caribbean islands. The average monthly expenses cited by expats living in St Lucia for food and transport amount to $645, while basic utilities amount to around $111 per month.
The cost of rent for a one-bedroom apartment ranges between $324 (outside the city center) and $508 (in the city center). For a three-bedroom apartment, rent is between $653 (outside the city center) and $891 (in the city center), contributing to St Lucia’s affordable living costs.
A three-course meal for two at a mid-range restaurant is about $65, while a meal at an inexpensive restaurant is just over $7. Imported goods tend to cost more, while locally produced goods tend to be more affordable. Like Many Caribbean islands, retirees in St Lucia will pay higher premiums of about $400 for comprehensive healthcare policies. Retirees and expats do not pay St Lucia tax on income earned outside the country.
Caribbean Transportation Costs
The cost of traveling around a Caribbean island will vary depending on the island, how you travel, and its size. Small islands like Grand Cayman in the Cayman Islands are relatively walkable due to their size. Other options for transport include driving and taking a bus or a taxi.
Here is a comparison of the cost of transportation in the Caribbean islands, including public transport, the cost of purchasing a vehicle, and petrol costs:
Country | One-way Ticket (Local Transport) | Volkswagen Golf 1.4 90 KW (or Equivalent) | Gasoline (One Liter) | Taxi Start (Normal Tariff) |
Antigua and Barbuda | $1.39 | $28,675 | $1.51 | $9.25 |
Barbados | $1.75 | $42,500 | $2.05 | $12.50 |
Cayman Islands | $3.30 | $35,995 | $1.80 | $15 |
Dominica | $0.93 | $33,255 | $1.19 | $3.70 |
Dominican Republic | $0.62 | $25,805 | $1.26 | $3.31 |
Grenada | $1.11 | $25,345 | $1.39 | $14.80 |
Jamaica | $0.94 | $39,970 | $1.30 | $0.94 |
Puerto Rico | $1.75 | $30,000 | $0.98 | $10 |
St Kitts and Nevis | $2.22 | $29,500 | $1.76 | $11 |
St Lucia | $1.11 | $28,675 | $1.51 | $9.25 |
The cost of purchasing a vehicle does not include import taxes such as import duty, VAT, and environmental levy. For example, the total Barbados import tariffs to import a vehicle amounts to 70 percent or more of the vehicle’s value.
Caribbean Real Estate Costs
Buying property in the Caribbean can be a profitable investment, owing to the region’s thriving tourism industry as well as the opportunity to acquire Caribbean citizenship. Places like St Vincent and the Grenadines, Dominica, and the Dominican Republic offer relatively cheap real estate, with average prices ranging between $1,000 and $1,500 per square meter.
Property in Western Caribbean countries like Jamaica is more expensive, with average prices between $2,000 and $3,000 per square meter. No matter where you make a Caribbean real estate investment, prices will vary depending on location. Generally, real estate in the city center of an island will be more expensive than if you purchase real estate further outside the city center.
Properties along the Caribbean coast, particularly world-class beaches or popular destinations for activities like scuba diving, often command higher prices due to high demand among foreigners investing in the Caribbean. The cheapest places for budget-conscious investors to purchase property are rural parts of a Caribbean country, which offer more reasonable prices.
The average price of real estate in seven Caribbean countries:
- St Vincent and the Grenadines: $1,095
- Dominican Republic: $1,426
- Trinidad and Tobago: $1,804
- Grenada: $1,911
- The Bahamas: $1,968
- Jamaica: $2,230
- Barbados: $3,087
These prices do not include various costs and fees that foreign buyers will encounter when purchasing Caribbean real estate, such as taxes, fees, and the cost of obtaining an Alien Landholding License.
Cost of Caribbean Citizenship
Five islands offer Caribbean citizenship by investment programs and the minimum investment requirement varies.
Antigua and Barbuda: The cost of obtaining Antigua and Barbuda citizenship by investment starts at $230,000 for single investors or families of four.
Grenada: An investor of a family of four can obtain citizenship by investment in Grenada with an economic contribution of $235,000.
Dominica: The Dominica citizenship by investment program is the cheapest for single applicants, with a minimum investment of $200,000. A family of four can obtain citizenship with a $250,000 investment.
St Kitts and Nevis: Foreign investors and their families can obtain St Kitts and Nevis economic investment contributing $250,000 to the government fund.
St Lucia: The St Lucia citizenship by investment program allows foreign nationals to obtain citizenship in return for a $240,000 investment in its economy.
Take a look at our Caribbean Citizenship by Investment Ultimate Comparison Guide
Caribbean Taxes
Many destinations in the Caribbean are considered tax havens thanks to their favorable tax policies and exemptions. While you may still be required to pay Caribbean taxes, the specific amount will vary depending on the Caribbean island and whether you’re a tax resident.
The Organization for Economic Co-operation and Development (OECD) helps to set international tax standards, while the Caribbean Community (CARICOM) influences tax policies through regional agreements and economic policies.
Many Caribbean countries do not levy capital gains tax, inheritance tax, wealth tax, or income tax on worldwide income. For example, St Kitts and Nevis taxes are not imposed on personal income. Some taxes are charged on a sliding scale, and others are not levied for companies in specific sectors.
Caribbean destinations like Turks and Caicos Islands, Antigua and Barbuda, St Kitts and Nevis, and the Cayman Islands are Caribbean tax havens, imposing zero income tax.
Cheapest Caribbean countries to live in
According to Numbeo’s cost of living analysis and testimonials from expats on Quora and Reddit, Haiti, the Dominican Republic, and Cuba are the most affordable Caribbean states to live in. Everyday expenses for a single person average at around $300 to $700, excluding rent.
Haiti is the cheapest place to live in the Caribbean on the list, Haiti, but is not a viable option for expats seeking a safe and affordable lifestyle due to the ongoing political situation and precarious living conditions.
Average monthly expenses for a single person, excluding rental expenses:
- Haiti: $290
- Dominican Republic: $600
- Cuba: $680
Despite Haiti’s currently low cost of living, political turmoil fuels inflation, causing prices to fluctuate significantly.
Caribbean countries with the highest cost of living
Along with some of the most luxury things to do in the Caribbean, the Cayman Islands, Turks and Caicos Islands, and Barbados have the highest living costs among Caribbean islands, with monthly expenses for a single person exceeding $2,000.
Average monthly expenses for a single person, excluding rental expenses:
- Cayman Islands: $1,910
- US Virgin Islands: $1,780
- The Bahamas: $1,420
The Bahamas is the most expensive island among independent Caribbean countries, whereas the Cayman Islands, a British Overseas Territory, and the US Virgin Islands, a territory of the United States, maintain the highest cost of living compared to all other Caribbean destinations.
Caribbean Cost of Living Pros and Cons
Pros
- Reduced taxes: Caribbean islands like St Kitts and Nevis, Antigua and Barbuda, and the Cayman Islands offer a zero-income tax structure, lowering tax burdens for expats.
- Affordable Healthcare: The quality of Caribbean healthcare varies, and out-of-pocket services are affordable.
- Local produce: Caribbean countries produce their own fresh fruits, vegetables, dairy products, and seafood, which are often inexpensive.
- Affordable property: Buying property in the Caribbean is relatively affordable, depending on the island, with many affordable property options for expats.
Cons
- High import taxes: Many regular consumer goods, such as vehicles and electronics, carry high import taxes, making them more expensive than in the US and European countries.
- High utility costs: Utility expenses, especially on islands reliant on imported petroleum fuel, can be high.
- Limited access to goods: Imported goods are not only expensive, but there is limited availability.
- Travel costs: Compared to the European Union, flights between Caribbean islands can be costly.
Frequently Asked Questions about the Cost of Living in the Caribbean
Grenada, Jamaica, the Dominican Republic, Cuba, and Dominica are some of the most budget-friendly Caribbean islands. Antigua and Barbuda, Anguilla, the British Virgin Islands, the Cayman Islands, Martinique, Montserrat, and St Barts are considered some of the safest Caribbean islands to live on. It is important to remember that every island will have more expensive and more affordable areas, as well as safer and slightly less safe areas to live in.
The cost of living in the Caribbean varies from island to island. Some islands, such as the Bahamas, are more expensive, while others, such as Dominica, offer a more affordable cost of living. The type of lifestyle you lead in most islands will also affect whether your cost of living is high or low. However, you are sure to find a place in the Caribbean that caters to your budgetary requirements.
The average cost of living in the Caribbean varies from island to island based on your lifestyle and whether you rent or own property. Livincost.org, a crowd-sourced database, states that Cuba, the Dominican Republic, and Haiti are the most affordable Caribbean countries to live in. You can live comfortably for around $600 to $700, excluding rent.
The cost of living on different Caribbean islands varies based on several factors, including rent, utilities, groceries, school (for families with children), transportation, and taxes. The average monthly cost for one person, excluding rent, can range between $600 on more affordable islands and $924 on more expensive islands.
Healthcare and insurance prices in the Caribbean vary depending on the country, the level of care required, and the individual’s circumstances and age. Caribbean healthcare can be relatively expensive, particularly for senior expats who do not have access to public healthcare systems. Nonetheless, private healthcare insurance can be secured for reasonable prices. A basic monthly plan from Sagicor in Jamaica costs around $50 for a single person and $100 for a family of four.
The cost of living in the Caribbean is generally more affordable than in the United States and Europe. Of course, this will depend on the Caribbean island you reside on. Generally speaking, the cost of living in places like St Kitts and Nevis, Dominica, Grenada, St Lucia, and the Dominica Republic is about 20 percent more affordable than places in the US and Europe.
How much money you need to live in the Caribbean as a digital nomad or for a comfortable retirement will vary depending on your lifestyle choices and the Caribbean island you live on. If you like to eat out at local restaurants frequently, your cost of living will be higher than someone who prefers cooking at home. People who enjoy modern comforts like air conditioning will also need more money to live in the Caribbean. A comfortable monthly budget to live in the Caribbean ranges from $2,000 to $5,000.
