The cost-of-living varies greatly throughout the country, but living cheap is easy here and is one of the primary reasons that retirees come to Thailand.  Living in Bangkok (population 10 million) can rival the costs in many major U.S. cities, but once one is off the beaten track (also known as going "up country"), prices plummet.   In larger cities such as Chiang Mai, Korat, Haadyai and Udorn, the cost-of-living is roughly at 60% of Bangkok's cost-of-living, and in the smaller cities and villages, it can dip as low as 30% to 50%. Even in the internationally-known resorts the cost is roughly 80% of Bangkok's cost-of-living, although this does not apply to beach properties.

Expats can also engage a Thai nominee to purchase property (a house with land) using an expat's money and have a lease registered on the property.   The lease is a legally binding document registered at the land office and has an initial term of 30 years, with two more 30-year terms declared as paid-in-advance.   Incorporated into the agreement is an option allowing one to purchase the land outright, should the law change and permit foreigners to own land in Thailand.  

A third way to own a piece of real estate and land is through a limited liability company, in which a Thai company owns the property and the foreigner owns 39% of the company shares.  This begins to get complicated, though, and requires the help of a reputable Thai attorney.

Housing ranges from expensive to downright cheap, depending on where one chooses to retire.  Rentals up country are usually in the $100 per month range.  In Bangkok, a small but comfortable home in a nice neighborhood can go for $675 per month and up.  A larger home with 4 bedrooms averages $1,500-$2,800 per month.   When purchasing in Bangkok, buyers will pay anywhere from $100,000 to $400,000 for a comfortable, 1,500 square foot home.   Luxury houses are more expensive.   

Living in the resort areas, including Phuket, Krabi and Pattaya (which tends to cater to the male visitor and has many bars and brothels) can be expensive, but deals can still be found.   Small (350 square feet) studio condos can run anywhere from $20,000 to $125,000 depending on the resort and where the condo is located within it.     

Free-standing homes on a quarter acre of land up-country can be built for less than $25,000.

Western retirees need to keep in mind, too, that much of Thai housing, particularly the less expensive real estate in out-of-the-way areas, is not "senior-friendly" and may have narrow hallways, steep stairs, less-than-adequate lighting and in general be designed for people under 5'6".    Another thing to keep in mind is that a lot of real estate speculation is taking place  as Thailand is attracting not only expat retirees but vacationers and real estate investors who see an up-and-coming tourist destination with a stable economy.