3. Lisbon, Portugal
Monthly budget: $2,800
Lisbon is a coastal city that is situated at the point where the River Tagus empties into the Atlantic Ocean, with a swimmable beach at Linha de Cascais. This historic city has world-class museums, galleries, concerts, theater and dining, all with the backdrop of centuries of classic architecture. Living here, you are a short flight from Europe’s major cities, and many places are served by the region’s low-cost airline industry. Portugal’s health care and education systems are world-class. People from Lisbon are a friendly, welcoming bunch, with a flair for revelry that shows in their love of music and dancing. Plus, thanks to the long alliance with Britain, many of the Portuguese people you encounter will speak English.