What makes some of the top 5 cheapest destinations in South America a viable place for retirement is because the same can be said about its average cost of living. In terms of quality of life, Latin American nations do have a bad reputation because of poverty, corruption, and prevalence of violent petty crimes.

In fact, according to an online reference page called Insight Crime, Latin America and the Caribbean are hot spots for homicide in the Western hemisphere since 2015. Despite the presented data, it is always important to remember that some of these dangerous countries do not represent the entire international region. Fortunately, many of the countries identified as retirement hot spots by Investopedia and Bank Rate only have a very marginal crime rate by comparison with Insight Crime's top 5 homicide nations.


Contrary to the label perpetrated by many American crime films, Mexico is not a dangerous civil society. However, it is always important to take note that in 13 out of 100,000 inhabitants have fallen victim to homicide in 2015. Nonetheless, it tops other countries in Latin America in terms of quality geriatric health care. There are more than a million American citizens now living in Mexico.


This country was considered 'The Numero Uno' in the list of low-cost retirement in South America in 2016. Technically, it still is considering that Mexico is not of South America. This nation is known for bringing the best of benefits and discounts for senior citizens. Most American citizens retiring in Panama spend at least $500 a month.


According to Investopedia, senior citizens can already retire lavishly in Ecuador with only $200,000 life savings. Among the biggest perks enjoyed by expatriates is that, compared to other countries of low-cost retirement in South America, Ecuador has a stable weather all-year-round.


In the capital city of Buenos Aires, one can spend around $600 to $700 a month renting a posh and decent single bed apartment with an internet access and cable TV connection. Not bad for a city known as 'The Paris of South America!'  


Last of the top 6 retirement countries identified by Bank Rate, the rural Lake Atitlan in Guatemala has become an ideal chosen home for Western senior citizens. An up-market studio flat that offers a scenic view of the iconic lake only costs $300.