Spain is often considered one of Western Europe’s most affordable countries, but costs vary dramatically depending on region. Inland provincial capitals and mid‑sized towns away from the Mediterranean coast, islands, and major metros tend to offer the best value. By combining housing price data, rental costs, and cost‑of‑living indices, we can highlight the cities where residents enjoy a lower cost of living while still accessing essential services. This list of 50 affordable cities and towns provides a roadmap for exploring Spain beyond its tourist hotspots.
Top 50 Cheapest Cities In Spain
Extremadura
1. Badajoz
Badajoz, Extremadura’s largest city, combines affordability with vibrant culture. Housing prices are among the lowest in Spain, while the city offers full amenities, including hospitals, universities, and shopping. Its historic Alcazaba fortress and proximity to Portugal add unique charm. Though summers are hot and job opportunities limited, Badajoz provides excellent value for families, retirees, and remote workers seeking a lively yet budget‑friendly lifestyle in a city that balances tradition, modern services, and cross‑border connections.
2. Cáceres
Cáceres, a UNESCO World Heritage city, is famous for its medieval old town, yet remains highly affordable. Housing costs are low compared to Spain’s coastal regions, and daily expenses are manageable. The city offers cultural richness, festivals, and essential services, making it attractive for students and retirees. While employment opportunities are modest, Cáceres provides a unique blend of history and affordability, ideal for those seeking a slower pace of life in a stunningly preserved historic environment.
3. Mérida
Mérida, the capital of Extremadura, is renowned for its Roman ruins, including an amphitheater and aqueduct. Despite its cultural significance, housing and living costs remain low. The city offers full amenities, museums, and a relaxed lifestyle. Summers are hot, but affordability and rich heritage make Mérida appealing to retirees, students, and remote workers. Its combination of history, accessibility, and budget‑friendly living ensures residents enjoy both cultural depth and practical value in one of Spain’s most historic towns.
4. Don Benito
Don Benito, paired with neighboring Villanueva de la Serena, forms a dynamic hub in Extremadura’s fertile Las Vegas Altas region. Housing prices are low, and the area benefits from agriculture and small industry. Residents enjoy essential services, schools, and a growing commercial sector. While job opportunities are limited compared to larger cities, Don Benito offers affordability and community spirit. Its location provides access to cultural events and rural landscapes, making it attractive for families seeking budget‑friendly living.
5. Villanueva de la Serena
Villanueva de la Serena, twinned with Don Benito, is a thriving town in Extremadura’s agricultural heartland. Housing costs are affordable, and the community offers schools, healthcare, and shopping. Known for its festivals and cultural life, Villanueva provides a lively atmosphere at a low cost. While employment is tied to agriculture and local commerce, affordability and amenities make it appealing for families and retirees. Its combination of rural charm and urban services ensures a balanced, budget‑friendly lifestyle.
6. Plasencia
Plasencia, a historic walled city in northern Extremadura, offers affordable housing and a rich cultural heritage. Its medieval walls, cathedral, and proximity to natural parks make it attractive for history lovers and outdoor enthusiasts. Living costs are low, and the city provides essential services, schools, and healthcare. While job opportunities are limited, Plasencia’s affordability and scenic surroundings appeal to retirees, students, and families seeking a slower pace of life in a beautiful, budget‑friendly environment.
7. Almendralejo
Almendralejo, located in the Ribera del Guadiana wine region, is known for its vineyards and cultural traditions. Housing prices are low, and the town offers essential amenities, schools, and healthcare. Its affordability, combined with a strong community spirit, makes it appealing for families and retirees. While employment is tied to agriculture and wine production, Almendralejo provides a relaxed lifestyle at manageable costs. Its blend of affordability, cultural heritage, and rural charm makes it a practical choice in Extremadura.
8. Zafra
Zafra, nicknamed “Sevilla la Chica,” is a charming town with Andalusian flair at affordable prices. Housing costs are low, and the town offers historic architecture, festivals, and essential services. Its affordability and cultural richness make it attractive for retirees, families, and students. While job opportunities are modest, Zafra’s lively atmosphere and scenic surroundings provide a high quality of life at manageable costs. The town balances tradition and affordability, offering a vibrant yet budget‑friendly lifestyle in Extremadura.
Castilla-La Mancha
9. Albacete
Albacete, the largest city in Castilla‑La Mancha, is known for its cutlery industry and open spaces. Housing prices are affordable compared to Spain’s coastal cities, and daily living costs remain low. The city offers full amenities, including hospitals, universities, and shopping. Its affordability, combined with cultural festivals and proximity to rural landscapes, makes it appealing for families and students. While summers are hot, Albacete provides a practical, budget‑friendly lifestyle with urban conveniences and regional charm.
10. Ciudad Real
Ciudad Real, located in central Castilla‑La Mancha, offers affordable housing and a lively atmosphere. The city has a well‑preserved old quarter, cultural festivals, and essential services. Housing and rental costs are low compared to Madrid, making it attractive for commuters, families, and retirees. While job opportunities are modest, affordability and community spirit make Ciudad Real appealing for budget‑conscious households. Its blend of history, accessibility, and manageable living costs ensures a balanced lifestyle in the heart of La Mancha.
50 Most Affordable Cities & Large Towns in Spain (Numbered Table)
| # | City / Town | Region |
|---|---|---|
| 1 | Badajoz | Extremadura |
| 2 | Cáceres | Extremadura |
| 3 | Mérida | Extremadura |
| 4 | Don Benito | Extremadura |
| 5 | Villanueva de la Serena | Extremadura |
| 6 | Plasencia | Extremadura |
| 7 | Almendralejo | Extremadura |
| 8 | Zafra | Extremadura |
| 9 | Albacete | Castilla-La Mancha |
| 10 | Ciudad Real | Castilla-La Mancha |
| 11 | Talavera de la Reina | Castilla-La Mancha |
| 12 | Toledo (outer areas) | Castilla-La Mancha |
| 13 | Guadalajara | Castilla-La Mancha |
| 14 | Cuenca | Castilla-La Mancha |
| 15 | Puertollano | Castilla-La Mancha |
| 16 | Tomelloso | Castilla-La Mancha |
| 17 | Alcázar de San Juan | Castilla-La Mancha |
| 18 | Valdepeñas | Castilla-La Mancha |
| 19 | León | Castilla y León |
| 20 | Palencia | Castilla y León |
| 21 | Burgos | Castilla y León |
| 22 | Ponferrada | Castilla y León |
| 23 | Soria | Castilla y León |
| 24 | Ávila | Castilla y León |
| 25 | Zamora | Castilla y León |
| 26 | Salamanca (outside historic core) | Castilla y León |
| 27 | Valladolid (outer / older areas) | Castilla y León |
| 28 | Miranda de Ebro | Castilla y León |
| 29 | Aranda de Duero | Castilla y León |
| 30 | Jaén | Andalusia |
| 31 | Linares | Andalusia |
| 32 | Úbeda | Andalusia |
| 33 | Baeza | Andalusia |
| 34 | Córdoba (outside Judería) | Andalusia |
| 35 | Granada (outside Albayzín) | Andalusia |
| 36 | Seville (outer neighborhoods) | Andalusia |
| 37 | Huelva | Andalusia |
| 38 | Almería | Andalusia |
| 39 | Antequera | Andalusia |
| 40 | Teruel | Aragón |
| 41 | Zaragoza (select areas) | Aragón |
| 42 | Huesca | Aragón |
| 43 | Calatayud | Aragón |
| 44 | Ourense | Galicia |
| 45 | Lugo | Galicia |
| 46 | Pontevedra | Galicia |
| 47 | Ferrol | Galicia |
| 48 | Gijón (older neighborhoods) | Asturias |
| 49 | Oviedo | Asturias |
| 50 | Santander (non-waterfront areas) | Cantabria |
| 51 | Logroño | La Rioja |
Closing
Affordability in Spain is always relative: while Extremadura and Castilla‑La Mancha offer rock‑bottom housing costs, they also face hotter summers and fewer job opportunities. Northern regions like Galicia or Asturias balance lower costs with cooler, rainier climates. For many, the sweet spot lies in smaller regional capitals such as León, Burgos, Cáceres, or Albacete, which combine cultural richness, full amenities, and manageable living expenses. Use this guide as a starting point—research local housing, visit communities, and weigh lifestyle priorities to find the Spanish city that best fits your budget and vision for life.