A single person in Asunción spends around $1,600 a month, according to aggregator averages for 2026. That's the headline number you'll see quoted everywhere. It's also the number that scares people off before they look closer, because most expats who actually live there tell a different story. They report living comfortably on $1,000 to $1,500, and the Paraguay-wide average sits near $935 a month.
So which figure is real? All of them, sort of. The gap between them is the whole point of this article. Aggregator data lags what people pay on the ground, and it lumps a premium capital in with a country where a lot of life costs much less. If you're weighing a move or sizing up an investment, you need both the top-line averages and the caveats that come with them.
Everything below is aggregator data for 2026, converted to US dollars. Real prices vary by neighborhood, season, and how you live. Treat these as a starting map, not a quote.
What a month actually costs
Let's build the budget from the parts, not the total. Rent is the big lever. A one-bedroom apartment in the Asunción city center runs about $781 a month. Move a bit outside the center and the same apartment drops to roughly $486. If you need space, a three-bedroom averages around $1,356 downtown and about $815 in the suburbs.
Groceries land near $273 per person per month. Utilities are where Paraguay quietly wins. Power, water, and the basics for an 85 square meter apartment come to about $65 a month. That's not a typo. Mild climate and cheap electricity do a lot of work here.
Put those pieces together and a typical single person's spending splits like this: housing eats around 55%, groceries 19%, eating out 10%, and utilities 7%. The rest goes to transport, phone, health, and the fun stuff. Notice how much housing dominates. Your rent decision more or less sets your entire budget.
Cost of living in Paraguay, by category
Here's the breakdown in one place. Ranges reflect the spread between suburban and central Asunción, plus normal month-to-month variation.
| Category | Monthly range (USD) | Note |
|---|---|---|
| Rent, 1-bedroom | $486 to $781 | Suburb vs. city center |
| Rent, 3-bedroom | $815 to $1,356 | Suburb vs. city center |
| Groceries | ~$273 per person | Cook at home, local markets |
| Utilities | ~$65 | 85 m² apartment, includes power and water |
| Eating out | Varies | Roughly 10% of a typical budget |
| All-in, single person | $935 to $1,600 | Country average to Asunción aggregate |
The wide all-in range isn't a mistake. The low end reflects the national average and lean expat budgets. The high end reflects the aggregator's Asunción figure, which assumes central rent and a fuller lifestyle. Where you land depends almost entirely on the rent line above.
In US dollars, and why the guaraní matters
People ask for these numbers in dollars for a reason. They want to know what their salary, pension, or rental income will actually buy. Good news on that front: the guaraní was one of the region's strongest currencies through 2025. A stable currency means your dollar budget doesn't get eaten by wild swings the way it can in some neighboring markets.
There's a tax layer worth understanding too, because it changes your real take-home. Paraguay runs a flat 10% income tax and a territorial system, which means 0% tax on foreign-source income. If your money comes from outside the country, a pension, a remote job, dividends, it generally isn't taxed locally. For someone comparing net cost of living across countries, that's often bigger than any grocery difference.
The macro backdrop is calm and growing. GDP rose 6.6% in 2025 per the World Bank. Growth plus a strong currency plus low taxes is an unusual combination, and it's a big part of why more foreign buyers are paying attention.
Cost of living in Paraguay vs. the USA
This is the comparison most readers really want, so let's be honest about it. Paraguay costs a fraction of typical US living, somewhere in the range of half to a third depending on the city you're leaving and the life you keep. We are not going to invent US price tags to dress that up, because the honest version is strong enough on its own.
Think about it category by category. A one-bedroom in central Asunción near $781 would be a bargain in most mid-sized American cities and a fantasy in the big ones. Utilities at $65 a month for a decent-sized apartment is the part that genuinely surprises people. Groceries at $273 per person are cheaper than most US carts, especially if you shop local markets instead of import shelves.
The categories that don't shrink as much are imported goods, international brands, and anything premium. A US-brand car, imported electronics, or a bottle of your favorite Napa wine will cost close to what it does back home, sometimes more. The savings live in the local economy: rent, food, services, help around the house. Lean into those and the gap gets dramatic. Try to replicate an American consumption pattern exactly and you'll erase a chunk of it.
An honest caveat before you budget
Two things to keep in mind. First, aggregator data lags reality. These figures get compiled from crowd-sourced entries that trickle in over months, so a fast-moving rental market can be under- or over-stated by the time you read a number. Always verify current prices with a local agent or a few listings before you commit.
Second, Asunción's premium districts cost more than these averages suggest. Neighborhoods like Villa Morra and Las Mercedes carry a premium for a reason, better amenities, newer buildings, walkability, and demand from exactly the international crowd reading articles like this one. If you want the nice part of town, budget above the center-city figures, not at them.
None of that breaks the thesis. It just means the average hides a spread, and you want to know which side of it you're shopping on.
What cheap living means if you're a landlord
Here's the part investors care about, and it flips the whole article on its head. Every rent number above is what a tenant actually pays. That's not a cost from the landlord's chair. It's the demand side of the yield.
When living costs are low and salaries are rising in a 6.6% growth economy, rent stays affordable relative to income. Affordable rent is sticky rent. Tenants can pay it, stay in it, and renew it, which is exactly the foundation you want under a rental. Those tenant payments are what support the 7% to 12% gross yields showing up in Asunción's investor districts. The cheap cost of living isn't a threat to returns. It's the engine.
And the entry point is lower than most foreign buyers expect. Entry-level units in these districts start from $62,900. Pair that with 0% tax on foreign-source income and a strong local currency, and the math starts to look very different from a rental in a saturated Western market. The tenant's cheap month is the landlord's reliable check.
Frequently asked questions
How much do you need per month to live in Paraguay? Plan for roughly $1,000 to $1,500 a month as a single person for a comfortable expat lifestyle, based on what residents report. Aggregator averages put Asunción closer to $1,600 and the national figure near $935. Your rent choice moves the number more than anything else.
Is Paraguay cheaper than the USA? Yes, and by a lot. Overall living costs run roughly half to a third of typical US expenses, with the biggest savings in rent, utilities, groceries, and local services. Imported goods and premium brands are the exception and can cost close to US prices.
Do foreigners pay income tax in Paraguay? Paraguay uses a territorial tax system, so foreign-source income is generally taxed at 0%. Local income is taxed at a flat 10%. Confirm your specific situation with a qualified local advisor, since your residency status and income type matter.
Want the full picture before you buy? Our free Paraguay Investment Guide breaks down the districts, the yields, and the buying process step by step. Grab it at www.guaravia.com and see where these numbers point.