The Digital Nomad’s Guide: Top Cities for Remote Work in 2025

The allure of the digital nomad lifestyle is stronger than ever. Imagine working from a sun-drenched beach in Costa Rica one month and exploring the historical streets of Budapest the next. Thanks to the increasing acceptance of remote work, this dream is becoming a reality for more and more people. A 2024 study by MBO Partners revealed that a staggering one in ten U.S. workers now identify as digital nomads, embracing the freedom and flexibility of location-independent work.

However, the digital nomad path isn’t just about wanderlust; it requires careful planning and consideration. As Suzanne Morrow, CEO of InsureMyTrip, points out, "The freedom of digital nomadism comes with unique challenges." From securing reliable Wi-Fi to navigating visa requirements and ensuring personal safety, remote workers have a lot to consider.

Recognizing the growing need for guidance, InsureMyTrip has compiled a ranking of the best cities for digital nomads in 2025. Their research, conducted in September, took into account factors such as a country’s happiness score, average cost of living, U.S. State Department travel advisories, safety index, and available activities. Crucially, each city on their list offers a digital nomad visa, streamlining the legalities of living and working abroad.

So, where should you set up your remote office in 2025? Here are the top 10 cities for digital nomads, according to InsureMyTrip:

1. Brasília, Brazil:

Taking the crown as the number one city for digital nomads is Brasília. Since January 2022, Brazil has offered a digital nomad visa, making it easier for remote workers to call this vibrant city home. Brasília stands out for its affordability compared to the U.S. and its reputation for relative safety. Imagine soaking up year-round sunshine, enjoying warm weather, and working amidst abundant green spaces. Brasília offers a unique blend of urban living and natural beauty, making it an appealing choice for those seeking a balanced lifestyle.

2. Budapest, Hungary:

Budapest earns the title of the second-best city for digital nomads, and for good reason. This underrated European gem boasts a wide range of attractions, from stunning natural landscapes to rejuvenating thermal baths and magnificent historical churches. Its high safety ranking and low cost of living add to its appeal. Exploring Budapest’s rich history, vibrant culture, and delicious cuisine won’t break the bank, allowing you to make the most of your digital nomad journey.

3. Montevideo, Uruguay:

For digital nomads seeking a laid-back yet modern atmosphere, Montevideo is an ideal choice. As Uruguay’s largest city, it offers a perfect balance between a relaxed pace of life and a thriving urban scene. With a low crime rate and affordable cost of living, Montevideo provides a safe and budget-friendly environment for remote workers. The city’s thriving arts and culture scene, coupled with its close proximity to gorgeous beaches, ensures there’s always something to do.

4. Lisbon, Portugal:

Portugal has quickly become a favorite destination for expats, and Lisbon is at the heart of this trend. The country’s welcoming culture, slow-paced lifestyle, and affordable cost of living make it an enticing option for digital nomads. In 2022, Portugal launched its digital nomad visa, simplifying the process for remote workers to enjoy the country’s beautiful beaches, lush parks, and charming pastel-colored streets. Lisbon’s vibrant atmosphere, delicious food, and rich history add to its allure.

5. Kuala Lumpur, Malaysia:

Kuala Lumpur is an emerging destination for remote workers, offering a compelling combination of affordability and modern infrastructure. The cost of food and accommodations is significantly lower than in many Western countries, while the city boasts a reliable metro system and dependable Wi-Fi. Kuala Lumpur’s warm tropical climate and proximity to beaches and rainforest hiking trails make it an ideal destination for those who love spending time outdoors.

6. Madrid, Spain:

Madrid, a perennial favorite among tourists and expats, is a city brimming with culture and excitement. Its vibrant nightlife, world-class restaurants, and numerous museums offer endless opportunities for exploration. From the historic neighborhoods of La Latina to the colorful murals of Coyoacan, Madrid is a feast for the senses. However, potential digital nomads should be aware of growing concerns over overtourism, which can impact the local community and overall experience.

7. Nicosia, Cyprus:

As the capital of Cyprus, Nicosia boasts a high score for happiness, making it an attractive destination for those seeking a positive and fulfilling lifestyle. The city’s relatively low cost of living, the widespread use of English, and its temperate Mediterranean climate further enhance its appeal. Nicosia offers a unique blend of ancient history and modern amenities, making it a fascinating place to live and work.

8. Buenos Aires, Argentina:

Buenos Aires has become a top destination for digital nomads, drawn to its vibrant culture, lively nightlife, warm climate, and affordable cost of living. There’s always something to do in the city’s diverse neighborhoods, from tango dancing to exploring the various markets and museums. A quick day trip to a nearby beach or national park provides a welcome escape to nature. Buenos Aires offers a unique blend of South American charm and European elegance.

9. Podgorica, Montenegro:

Montenegro, an often-overlooked Baltic destination, is a hidden gem with a rich history and breathtaking natural beauty. Its capital, Podgorica, is a highly walkable city that seamlessly blends the old with the new. Modern cafes sit alongside Ottoman-era mosques in its historic old town. The country’s diverse landscape, encompassing mountain ranges and pristine lakes, offers endless opportunities for outdoor adventures.

10. San José, Costa Rica:

For digital nomads seeking the "pura vida" – the country’s feel-good slogan – San José makes an ideal home base. The city is filled with cafes and co-working spaces, providing ample opportunities to connect with other remote workers. Weekend getaways to the coast offer the chance to surf and relax on the beach. San José provides a gateway to Costa Rica’s stunning natural beauty and laid-back lifestyle.

Don’t Forget the Essentials:

Choosing the right city is just the first step. Digital nomads must also prioritize practical considerations such as reliable Wi-Fi, healthcare access, and travel insurance. As Suzanne Morrow emphasizes, "Having the right travel insurance acts as a safety net, protecting against unexpected medical emergencies, theft, trip disruptions, and more."

The digital nomad lifestyle offers incredible freedom and flexibility, but it requires careful planning and preparation. By considering the factors outlined above and researching destinations thoroughly, you can create a rewarding and fulfilling remote work experience. The world is your office – choose wisely and embrace the adventure!