Romania, Albania, or Serbia: Which Balkan Country is Right for You?

The Balkans are emerging as a new hotspot for Americans thanks to the region’s affordability, appealing lifestyle, and some of Europe’s most breathtaking scenery. This region is a treasure trove of stunning attractions, blending natural beauty, historical sites, and vibrant cultures. Romania, Albania, and Serbia offer a lower cost of living compared to Western Europe and the United States, making them increasingly popular among those looking to relocate. Let’s look at these three countries and what they offer for people who are considering living or retiring abroad.

Discovering Romania: Affordable Living in the Heart of Europe

Experience affordable living and charm in Romania's scenic cities.|©iStock/Adrian Catalin Lazar

Romania offers a relatively low cost of living compared to Western Europe and the United States. Rent, groceries, and utilities are affordable, especially in smaller cities like Brașov, Sibiu, or Timișoara. Bucharest, the capital, is more expensive but still cheaper than many Western cities.

We enjoyed our slow travel through Brașov, Romania. Brașov is a picturesque city surrounded by the Carpathian Mountains in the Transylvania region. It has a blend of medieval charm and natural beauty. The city’s cobblestone streets wind through a historic center, while the surrounding hills and forests offer stunning vistas and outdoor adventures. With its vibrant squares and lush green hills, Brașov exudes an enchanting atmosphere.

The nearby Poiana Brașov ski resort is a charming Transylvanian gem, making it a year-round destination for history enthusiasts and nature lovers alike. The price for a full day of skiing is remarkably lower than in most European countries, at €32 or approximately $35.

Cost of Living in Romania: Budget-Friendly with Hidden Gems

Public transportation is easy and inexpensive in these cities, making it possible to live without a vehicle. Romania has a good train system, though a bit archaic, with a great network. The bus system is also easy to use and much cheaper compared to many Western countries.

The country still has affordable housing, allowing people to consider purchasing a home in its beautiful cities. A house just 6 kilometers from the center of Brașov can be found for €1,500/m², and apartments can be even cheaper. In the city center, expect to pay about 20% more for real estate.

Long-term rentals are very affordable. A one-bedroom apartment costs around $600 per month in the city center, and $400 outside the center.

Groceries in Brașov are quite affordable. The city is home to major chain supermarkets like Kaufland and the German discount store Lidl, which provide a wide range of products, including an impressive selection of fruits and vegetables, all at great prices. For instance, a pound of chicken breast costs about $3.00 in Brașov compared to $5.50 in many U.S. cities. On average, grocery prices here are about 45-50% lower than what we were paying in the United States.

Dining out in Brașov is very budget-friendly. For around $40, you can enjoy a dinner for two at La Ceaun Restaurant in the old city, which includes a generous portion of chicken, sautéed vegetables, homemade polenta, and a salad, along with a glass of wine. Sandwiches are available for even less. Brașov also offers a wide variety of Italian restaurants, providing plenty of dining options. Eating outside the old city is notably cheaper, as prices tend to rise where tourists gather. We particularly enjoy the city’s café culture, where a cappuccino typically costs about $3.

Brașov: A picturesque city surrounded by the stunning Carpathian Mountains.|©iStock/SCStock

Quality of Life in Romania: A Blend of City Charm and Scenic Beauty

Romania has a mix of vibrant cities and scenic countryside, with diverse cultural offerings and a growing expat community. The country offers affordable housing, food, and transportation, making it attractive for those on a fixed income, though the cost of living in urban centers is rising.

Healthcare and education systems are improving but can vary in quality. Romania has a relatively large and growing expat community. English is commonly spoken in urban areas. There are plenty of international events and communities.

While we were in Sibiu, Romania, we enjoyed meeting up with many expats on two separate occasions. The group consisted of over 20 people from all over the world, including Canada, Israel, Switzerland, France, the United States, and Australia.

Legal Residency and Bureaucracy

As an EU member, Romania has well-defined residency procedures, although the process can be bureaucratic and demands significant documentation. Americans can stay visa-free for up to 90 days within a 180-day period but will need a visa for longer stays. There are clear paths to long-term residency and benefits of EU citizenship. Obtaining temporary residency is relatively straightforward. While there isn’t a specific pensioner program for retirees, options exist for opening a corporation, which involves some accounting and minimal tax obligations.

We recommend consulting an expert for guidance. However, keep in mind that paperwork can be time-consuming, and regulations may change, so it’s important to stay updated on legal requirements to avoid frustration. Additionally, Romania is now part of the Schengen Zone, allowing for visa-free travel across 29 countries, which is a significant advantage of having Romanian residency.

Albania: Mediterranean Lifestyle on a Modest Budget

Albania offers a budget-friendly Mediterranean lifestyle.|©iStock/master2

Albania is known for its very low cost of living. Accommodation, food, and public transportation are inexpensive, even in the capital, Tirana. The extremely low costs, even by Eastern European standards, allow for a comfortable lifestyle on a modest budget.

During our visit to the city of Saranda, we were astonished at how far the dollar stretched. Our one-bedroom sea-view apartment, within a short walk to the main promenade, cost us $550 through a short-term rental company in the winter. For a full-time rental, the cost could be slightly reduced for this location. The summer season is considerably more expensive because Saranda transforms into a summer paradise for tourists from all over the world.

Cost of Living in Albania

One of our favorite dining spots in Saranda is Marini’s Seafood Restaurant, a delightful restaurant with an enchanting outdoor terrace. This charming space offers a picturesque view of the bustling street life, all while sitting next to the stunning historic church of Saint Haralambos. Although Albania is predominantly Muslim, it embraces a welcoming and tolerant attitude toward diverse faiths, reflecting the country’s rich cultural harmony.

At Marini’s, we enjoyed a gourmet salad with fresh beets, mixed greens, and other vegetables for $6. Adding a generous serving of grilled chicken breast for an extra $4, we decided to order two salads with chicken on one. This made for a fantastic meal for two at $16, plus drinks.

Public transportation in Albania is primarily provided by buses, which are very affordable. Unlike Romania, there is no train network, so buses and taxis are the main options. Traveling from the seaside town of Saranda to Tirana takes about 5 hours by bus, while a high-speed ferry can get you to the island of Corfu in just 30 minutes. We took a day trip to Corfu by ferry, with each round-trip ticket costing $39. During our visit to Corfu, we noticed that Albania was significantly less expensive than Greece.

Saranda: A coastal gem offering breathtaking sea views and affordable living.|©iStock/Thomas Faull

Expat Community

The expat communities in both Tirana and Saranda are excellent. In both cities, they get together for hiking, dinner, drinks, and even overnight excursions. During our time in Saranda, we frequently visited Dick and Devils Pub, now renamed The Buzz. Expats from all over the globe meet up at this establishment and converse about world happenings, sports, and more. There are often American potlucks, where each person brings a dish to share with others, and other celebrations, such as St. Patrick’s Day or the traditional American Thanksgiving. The community of expats makes being overseas feel like being at home.

Legal Residency and One-Year Visa

Albania has an excellent visa for Americans. It does not require anything more than a passport stamp and allows a 360-day stay without any further documentation. After the initial 360-day stay, you must leave the country for 90 days, and then you are allowed to return for an additional 360-day stay.

The juxtaposition between Albania and Italy as well as Greece makes it a perfect Schengen Shuffle location. We took an overnight ferry from Vlore, Albania, to Brindisi, Italy, and back. The ease of this visa makes Albania a great option for Americans, and it does not force you to become a tax resident in the country. This is a big savings for a retiree. There are options for residency, and the easiest one is through a corporation, which requires minimal taxes and accounting as well, just like Romania does. Most American expats opt for the 12-month visa-free stay, leave for 90 days, and return.

Serbia: Vibrant Culture and Low Cost of Living

Serbia's rich culture and low costs make it a hidden gem for expats.|©iStock/Vladographer

Serbia offers a lower cost of living, particularly outside of Belgrade, with a good balance between cost and quality of life. In this article, we’ll focus on Novi Sad, Serbia’s second-largest city.

Novi Sad is often described as a fairytale city, captivating visitors with its blend of old-world charm and vibrant modern life. The picturesque streets and historic architecture give the city a storybook feel.

As you stroll through the cobblestone pathways, you’ll discover a thriving café culture, where quaint bistros and cafés invite you to relax and soak in the lively atmosphere. Novi Sad is also known for its fantastic restaurants, offering a delectable array of culinary delights that reflect the city’s rich heritage and contemporary flair.

Getting Around

Public transportation is extremely easy and inexpensive. There is now a high-speed train that will take you from Novi Sad to the capital of Belgrade for under $20. You may also get to Belgrade by bus, but it is a longer journey. The city is well-connected, and there are reasonably priced monthly passes available for long-term stays. There is also a train that can be taken from Belgrade, Serbia, to Bar, Montenegro. The journey takes you through some of the most stunning scenery both of these countries have to offer.

Novi Sad: A fairytale city blending old-world charm with vibrant modern life.|©iStock/xbrchx

Dining Out and Markets

One of our favorite dining spots located within the old city center is the Lanterna Café. There, we enjoyed a sumptuous, generously portioned grilled salmon salad, bread, and drinks for the equivalent of $12 per person. This is not the least expensive offering in the city, but it is quite delectable. There are many additional lower-cost places, but we have found Lanterna offers a wonderful atmosphere and delectable food and is positioned in the center of it all.

A short stroll away is a fantastic restaurant hidden down a side street, Café Kafanica. It is also a favorite of ours and is much less expensive. In this restaurant, we dined on the most delicious fresh pumpkin potage. It was served to us piping hot inside the actual pumpkin. Just a 15–20-minute stroll from the city center, across the bridge over the Danube, and within the Petrovaradin Fortress, Restoran Terasa offers a fantastic array of different options. We enjoyed sitting on their outdoor terrace overlooking the city, enjoying a magnificent bowl of warm soup and fresh bread.

Choosing Your Balkan Destination

Compare Romania, Albania, and Serbia to find your perfect Balkan retreat.|©iStock/boerescul

Romania is ideal for those looking for affordable living, EU residency benefits, and a mix of urban and natural environments, though it may come with bureaucratic challenges.

Albania appeals to those looking for the lowest cost of living and a laid-back Mediterranean lifestyle, though with trade-offs in infrastructure and public services.

Serbia offers a vibrant cultural life, especially in Belgrade and Novi Sad, with a good balance between cost and quality of life; however, outside of urban areas, there are fewer English speakers, though the cost of living is considerably lower.

Each country has its unique set of advantages and challenges, and the best choice depends on personal preferences, lifestyle priorities, and tolerance for navigating local bureaucracies.