Taiwan, a vibrant and culturally rich island in East Asia, is known for its modern cities, efficient public transportation, and high quality of life. It’s also a relatively affordable place to live compared to many Western countries, particularly in its smaller towns and cities. Whether you're a student, digital nomad, expat, or just someone looking to settle in Taiwan on a budget, this article will explore where you can live cheaply in Taiwan, the factors affecting cost of living, and what to expect from these locations.
1. Factors that influence cost of living in Taiwan
1.1. Location
One of the biggest factors affecting living costs in Taiwan is location. Major cities like Taipei and Kaohsiung have higher living costs due to higher rents, more modern infrastructure, and greater demand for housing. On the other hand, smaller cities and rural areas offer cheaper living, but with fewer amenities.
1.2. Proximity to major cities
Living near a major city but not within the city itself can provide a good balance between affordable rent and accessibility. For example, areas surrounding Taipei, such as New Taipei City or Keelung, are more affordable while still offering easy access to the capital via Taiwan's efficient public transport.
1.3. Local economy and job market
Areas with robust local economies or tourist-driven markets tend to have higher living costs due to the higher wages and increased demand for goods and services. In contrast, smaller cities or less developed areas, where the job market may not be as strong, often have significantly lower living costs.
2. Cheapest cities and towns to live in Taiwan
2.1. Tainan
Located in southern Taiwan, Tainan is the oldest city on the island and known as the cultural heart of Taiwan. Not only does it offer rich history and plenty of temples and museums, but it also offers one of the lowest costs of living in Taiwan.
Rent
On average, rent for a studio or one-bedroom apartment in Tainan ranges between NT$5,000 and NT$12,000 (approximately USD $165 to $400) per month.
Cost of Living
Food and utilities are also cheaper than in Taipei, with street food and traditional eateries providing affordable meals. The city's slower pace of life makes it ideal for those who prefer a relaxed lifestyle while saving money.
2.2. Kaohsiung
Kaohsiung is Taiwan’s second-largest city and a major port city located in the south. Despite being a large city, the cost of living in Kaohsiung is significantly cheaper than in Taipei. The city has a laid-back feel, thanks to its wide roads, parks, and scenic riverside views. The climate is warm year-round, making it attractive for those who enjoy tropical weather.
Rent
A one-bedroom apartment in the city center typically ranges from NT$7,000 to NT$15,000 (USD $230 to $500), with even lower prices in the suburbs.
Cost of Living
Public transport is affordable, and Kaohsiung has a metro system, making it easy to get around without owning a car.
2.3. Chiayi
Chiayi is a small city located in the southwestern part of Taiwan and is a perfect place for those who want to experience authentic Taiwanese culture in a more rural setting. Famous for its proximity to the stunning Alishan mountains, Chiayi is far less urbanized than Taipei or Kaohsiung, offering cheaper accommodation and a slower pace of life.
Rent
Rent in Chiayi can be as low as NT$4,000 to NT$8,000 (USD $130 to $265) per month for a small apartment.
Cost of Living
Everything from groceries to utilities is cheaper in Chiayi. Since it's a more rural area, transportation might be more limited, but the natural beauty surrounding the city more than makes up for it.
2.4. Hualien
Hualien is located on Taiwan’s eastern coast and is a favorite spot for nature lovers, thanks to its proximity to Taroko Gorge, one of Taiwan’s most famous national parks. This city has a relaxed, small-town atmosphere and offers a peaceful lifestyle.
Rent
Prices are incredibly affordable here, with rent for a small apartment ranging between NT$5,000 to NT$10,000 (USD $165 to $330) per month.
Cost of Living
The cost of food, transportation, and daily necessities is lower than in Taiwan's big cities. Hualien is perfect for those who want to enjoy nature while keeping living expenses to a minimum.
2.5. Yilan
Yilan, located just outside Taipei on the northeastern coast, is a small city that has become popular with those looking to escape the capital’s high living costs. It offers proximity to beautiful beaches and mountains while still being just an hour from Taipei via bus or train.
Rent
Renting an apartment in Yilan costs around NT$6,000 to NT$12,000 (USD $200 to $400) per month.
Cost of Living
Living in Yilan is affordable compared to Taipei, with cheaper food, utilities, and transportation. The countryside appeal makes it a great location for those seeking peace while staying close to the capital.
3. Additional Tips for Saving Money on Living Costs
3.1. Live in Shared Housing
If you’re really trying to stretch your budget, shared housing options are available throughout Taiwan, even in major cities. Many students and young professionals share apartments to cut down on rent, utilities, and other living expenses. Platforms like Facebook groups and rental apps can help you find shared accommodations.
3.2. Public Transportation
Taiwan has an excellent public transportation network, including buses, trains, and MRT systems in cities like Taipei and Kaohsiung. To save on transportation costs, choose housing near public transit lines so that you can avoid the need for a personal vehicle.
3.3. Eat Local
Taiwan is famous for its street food, which is not only delicious but also very affordable. Local eateries and night markets are often much cheaper than eating at restaurants, and you can enjoy traditional Taiwanese dishes for a fraction of the cost.
Living affordably in Taiwan
Taiwan offers a range of affordable living options, especially if you're willing to explore areas outside of Taipei. Cities like Tainan, Kaohsiung, and Chiayi are some of the cheapest places to live in Taiwan, with affordable rent, a lower cost of living, and the benefit of living in beautiful, culturally rich environments. By choosing the right location, you can enjoy Taiwan’s unique lifestyle while keeping your living costs low.
If you want to compare the cost of living in Taiwan between the most popular cities like Taipei, Kaohsiung, Taichung, don't hesitate to check our calculator !
