Finding the best country in Europe to live means analyzing the economy, safety, healthcare, education, weather, and many other factors that will contribute to your quality of life. But let’s be real, for most people who are considering a move abroad, the decision ultimately comes down to the cost. Yet, when you see what countries usually top the “best places” lists that are published every year, it’s always the same pricey countries — Switzerland, Norway, or Austria.
Many of us are looking to move abroad in search of a more affordable way of life. Sure, we all want the highest quality of life possible, but we also have to be budget-conscious.
So, if you’re looking for a great and affordable place to live, what European countries should you put at the top of your list?
My Dolce Casa’s research team analyzed the recently published quality of life and cost of living data, applying a formula that identifies the countries that strike the best quality-price balance. In 2025 Spain is the no. 1 country to live in Europe, pushing last year’s leader Luxembourg to fourth place. A new entry in the top is the Czech Republic, who claims the second spot this year, while the Netherlands comes in third.
The countries are ranked using a methodology that accounts for the lowest cost of living and the highest quality of life, using the latest quality of life index from Numbeo.
These are 2025’s best countries in Europe to live in:
1 Spain
2 Czech Republic
3 Netherlands
4 Luxembourg
5 Croatia
6 Slovenia
7 Estonia
8 Portugal
9 Finland
10 Lithuania
1. Spain
Spain takes the first place and the title of best country to live in Europe in 2025, having achieved the ideal mix of quality and affordability, with a low cost of living score of 44 and a great quality of life score of 184.
Spain is the obvious top choice for moving to Europe for a variety of reasons. It stands out as a country with a unique cultural character, a comfortable and fun lifestyle, and relative affordability. With a cost of living that is often lower than other Western European countries, it offers accessible housing and a well-regarded healthcare system, factors that are important for everyone.
In Madrid, the capital, residents enjoy a mix of business opportunities, cultural activities, and notable landmarks like The Royal Palace. On top of this, it is a popular among celebrities, business professionals and expats from other countries.
2. The Czech Republic
The Czech Republic earned the coveted title of second best country to live in Europe in 2025, a spectacular climb from ninth in last year’s rankings, with a cost of living score of 43 and a quality of life score of 175. The Czech Republic combines the allure of old-world Europe with the conveniences of modern living, offering an affordable and enriching experience. Famous for its stunning castles, exceptional beer culture, and well-preserved historical towns, it’s a country that balances rich traditions with contemporary amenities.
The capital, Prague, often referred to as “The City of a Hundred Spires,” is celebrated for its breathtaking medieval architecture and vibrant cultural scene. Beyond its beauty, Prague is also a hub for education and innovation, boasting a strong academic reputation and a growing tech industry. With a well-connected public transportation system and a relatively low cost of living, the Czech Republic is an appealing destination for both residents and visitors seeking a high quality of life in the heart of Europe.
3. The Netherlands
The Netherlands is 2025’s third best country to live in Europe, with a cost of living score of 61 and a high quality of life score of 211. Known for its commitment to sustainability, the country offers high-quality public healthcare, a robust social welfare system, and a well-connected transportation network. It is a leader in renewable energy initiatives, with widespread cycling infrastructure and innovative urban planning that prioritize green living.
While living expenses can be relatively high, especially in major cities such as Amsterdam, these urban centers offer world-class museums, vibrant cultural events, and a thriving international business environment. The country’s education system is highly regarded, with many programs offered in English, making it an attractive destination for students and professionals alike. Beyond its cities, the Netherlands features picturesque countryside, iconic windmills, and a network of canals that highlight its harmonious blend of tradition and modernity.
4. Luxembourg
Luxembourg is fourth in the rankings this year with a cost of living score of 65 and an impressive quality of life score of 220. This small nation is known for its strong economy, exceptional living standards, and a cultural mix influenced by French and German traditions. Residents benefit from a well-developed healthcare system and scenic surroundings, though living costs are notably higher than in many other European countries.
Luxembourg City, the capital, combines historic charm with modern amenities. As a UNESCO World Heritage site, it features a picturesque old town with cobblestone streets and historic landmarks alongside contemporary luxuries.
5. Croatia
Croatia moves up to fifth place this year, improving from seventh, with strong scores for cost of living (43) and quality of life (175). The country is known for its picturesque coastline, abundant natural parks, and historic architecture. It offers an affordable lifestyle paired with a Mediterranean way of life, supported by a reliable healthcare system and a steadily growing economy.
The capital, Zagreb, stands out for its Austro-Hungarian architecture, diverse museums, and a vibrant calendar of festivals and events. Meanwhile, Croatia’s coastal towns attract significant attention during the summer months, making them a favorite for both residents and visitors.
6. Slovenia
Slovenia is the sixth best country to live in Europe in 2025, sliding one spot since last year, with a cost of living score of 46 and a quality of life score of 179. Slovenia is one of the lesser known European destinations for expats, but nonetheless a beautiful country with stunning mountains and lakes and welcoming people.
It’s an affordable European gem with a high quality of life, boasting excellent healthcare, great infrastructure and a plenty of entertainment in its capital city, Ljubljana.
7. Estonia
Estonia takes seventh place in 2025, down 3 spots since last year, with a cost of living score of 49 and an impressive quality of life score of 186. Known for its forward-thinking digital infrastructure, the country combines modern amenities with an emphasis on sustainability. In the capital, Tallinn, residents benefit from free public transportation, while Estonia as a whole is celebrated as one of the greenest countries globally, offering a harmonious balance of innovation and natural beauty.
8. Portugal
Portugal ranks eighth this year, slipping from sixth place, with a cost of living score of 41 and a quality of life score of 168. Known for its mild climate, stunning coastal towns, and welcoming communities, Portugal offers a relatively affordable lifestyle without compromising on quality. Residents benefit from reliable healthcare and a laid-back pace of life.
In cities like the capital Lisbon, old-world charm mixed with a cosmopolitan atmosphere provide an appealing option for expats. The city delivers a moderate to high standard of living while remaining more budget-friendly than many comparable European cities.
9. Finland
Finland ranks as the ninth best country to live in Europe in 2025, with a cost of living score of 59 and an excellent quality of life score of 204. Finland is often recognized for its exceptional education system, robust social security, and breathtaking natural landscapes, offering a lifestyle that is both serene and efficient. While the cost of living is on the higher side, this is offset by the country’s outstanding public services, high safety standards, and overall quality of life.
Helsinki, the seaside capital, stands out for its vibrant design scene and architectural diversity, seamlessly blending classical and modern styles. The city reflects Finland’s forward-thinking spirit, with a focus on innovation, sustainability, and livability. Beyond Helsinki, Finland’s vast forests, thousands of lakes, and access to the Northern Lights make it an ideal location for those who appreciate both modern comforts and a close connection to nature.
10. Lithuania
Lithuania wraps up the top ten best countries in Europe with a cost of living score as low as 44 and a quality of life score of 173. This Baltic nation is celebrated for its dynamic cities, deep historical roots, and expansive forests, offering a unique lifestyle for those who seek something different.
The capital, Vilnius, is a hub of creativity and innovation, known for its baroque architecture, thriving arts scene, and rapidly growing tech sector. Despite its budget-friendly living costs, Lithuania provides modern amenities, reliable healthcare, and a strong focus on sustainability, making it an attractive option for expats.