South America offers some of the world’s best travel value, where $50 daily can cover accommodation, meals, transportation, and activities in cities that rival European capitals for culture and attractions. The continent’s favorable exchange rates, combined with its diverse landscapes and rich cultural heritage, create opportunities for extended travel that would be impossible in more expensive destinations.
Smart budget travelers discover that careful planning and local knowledge can stretch dollars even further, making it possible to experience everything from world-class museums to gourmet cuisine without breaking the bank. The key to successful budget travel in South America lies in understanding which cities offer the best combination of affordability and experiences, along with practical tips for maximizing purchasing power.
Here is a list of 17 cities where savvy travelers can experience the best of South America for under $50 per day.
La Paz, Bolivia
Bolivia’s administrative capital sits at 12,000 feet above sea level, creating a unique urban experience where cable cars serve as public transportation and indigenous markets overflow with handmade textiles and traditional foods. Budget travelers can find clean hostel accommodation for $8–12 per night, while local restaurants serve hearty meals featuring quinoa, potatoes, and meat for under $3.
The city’s Witch Market, colonial architecture, and nearby Valley of the Moon offer full days of exploration for minimal cost. Transportation within the city costs less than $1, while day trips to ancient ruins and salt flats can be arranged through budget tour operators.
Cusco, Peru
The gateway to Machu Picchu offers incredible value for travelers willing to explore beyond the famous archaeological site, with hostel accommodation available for $10–15 per night and excellent local cuisine for $2–5 per meal. The city’s colonial architecture, indigenous markets, and nearby Sacred Valley create multiple days of affordable exploration.
Free walking tours provide excellent introductions to local history and culture, while budget-friendly day trips to surrounding ruins and villages showcase traditional Andean life. The city’s high altitude requires acclimatization time, which actually saves money by encouraging slower travel and longer stays.
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Quito, Ecuador
Ecuador’s capital combines colonial charm with modern amenities in a setting where the U.S. dollar serves as the official currency, eliminating exchange rate confusion for American travelers. Budget accommodation ranges from $8–15 per night, while the city’s incredible street food scene provides meals for $1–3 that rival expensive restaurants in quality and authenticity.
The historic city center offers free attractions, including churches, plazas, and viewpoints, while nearby attractions like the Equator monument and cloud forests provide affordable day trip opportunities. The city’s location makes it an ideal base for exploring diverse ecosystems from the Amazon rainforest to the Pacific coast.
Mendoza, Argentina
Argentina’s wine capital offers exceptional value for travelers interested in vineyards, outdoor recreation, and authentic gaucho culture, with hostel accommodation available for $12–18 per night. The city’s numerous wineries offer tastings and tours for $5–10, while local restaurants serve world-class steaks and regional specialties for $8–15 per meal.
Free bicycle rentals from many hostels make winery hopping affordable and enjoyable, while the nearby Andes provide hiking and climbing opportunities at minimal cost. The city’s location near the Chilean border makes it a convenient stop for travelers exploring multiple countries.
Santa Cruz, Bolivia
Bolivia’s largest city offers urban sophistication at budget prices, with accommodation available for $10–15 per night and excellent local cuisine for $3–6 per meal in a tropical setting that contrasts sharply with La Paz’s highland environment. The city serves as a gateway to diverse ecosystems, including wetlands, forests, and savannas, that can be explored through affordable tour operators.
Local markets showcase everything from fresh tropical fruits to handmade crafts, while the city’s modern amenities provide comfortable bases for exploring eastern Bolivia’s natural attractions. The warm climate and relaxed pace create pleasant environments for budget travelers seeking variety from typical Andean destinations.
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Medellín, Colombia
Colombia’s second-largest city has transformed from its troubled past into a modern metropolis where innovation and culture thrive alongside budget-friendly prices for international visitors. Hostel accommodation ranges from $10–18 per night, while the city’s incredible food scene provides everything from street vendors selling arepas for $1 to upscale restaurants serving gourmet cuisine for $10–15.
The city’s metro system and cable cars provide affordable transportation while offering spectacular views of the surrounding mountains. Free walking tours, public art installations, and cultural events create multiple days of entertainment without significant expense.
Arequipa, Peru
Peru’s second-largest city combines colonial architecture with stunning mountain scenery, including views of snow-capped volcanoes that create dramatic backdrops for daily exploration. Budget accommodation is available for $8–12 per night, while local restaurants serve regional specialties like rocoto relleno and adobo for $3–6 per meal.
The city’s historic center offers free attractions, including churches, monasteries, and plazas built from white volcanic stone that gives Arequipa its nickname as the White City. Nearby attractions include Colca Canyon, traditional villages, and hot springs that can be visited through budget tour operators.
Sucre, Bolivia
Bolivia’s constitutional capital maintains its colonial charm in a setting where white-washed buildings and red tile roofs create picture-perfect scenes that rival any European city. Budget travelers can find accommodation for $8–12 per night, while local restaurants serve traditional Bolivian cuisine for $2–4 per meal in atmospheric settings.
The city’s museums, churches, and markets provide multiple days of exploration at minimal cost, while nearby attractions include dinosaur footprints and traditional weaving villages. The city’s elevation of 9,000 feet provides comfortable temperatures year-round while serving as ideal acclimatization for travelers heading to higher altitudes.
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Córdoba, Argentina
Argentina’s second-largest city combines university energy with colonial architecture in a setting where tango shows, museums and cultural events provide entertainment at budget-friendly prices. Hostel accommodation ranges from $10–15 per night, while local restaurants serve excellent Argentine cuisine for $6–12 per meal.
The city’s numerous universities create vibrant nightlife and cultural scenes that cater to budget-conscious students and backpackers. Nearby attractions include Jesuit ruins, mountain towns, and outdoor recreation areas that can be explored through affordable public transportation or budget tour operators.
Valparaíso, Chile
Chile’s bohemian port city offers artistic neighborhoods, colorful street art, and Pacific Ocean views at prices significantly lower than Santiago or other major Chilean destinations. Budget accommodation is available for $12–20 per night, while local restaurants and markets provide excellent seafood and Chilean specialties for $5–10 per meal.
The city’s funicular railways, historic neighborhoods, and harbor areas provide free or low-cost exploration opportunities. The city’s reputation as a cultural center means frequent free concerts, art exhibitions, and festivals that enhance the travel experience without additional cost.
Cochabamba, Bolivia
Bolivia’s fourth-largest city offers authentic Bolivian culture and cuisine at budget prices in a valley setting with year-round spring-like weather. Accommodation costs $8–12 per night, while local restaurants serve regional specialties for $2–4 per meal in a city known throughout Bolivia for its exceptional food.
The city’s markets, parks, and nearby archaeological sites provide multiple days of exploration at minimal cost. The temperate climate and relaxed pace make it an ideal destination for travelers seeking to experience authentic Bolivian culture away from tourist crowds.
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Salta, Argentina
Argentina’s northwestern city combines colonial architecture with proximity to some of South America’s most spectacular landscapes, including colorful mountain formations and traditional villages. Budget accommodation ranges from $10–16 per night, while local restaurants serve regional specialties like empanadas and locro for $5–10 per meal.
The city serves as a base for exploring the nearby Quebrada de Humahuaca and Cafayate wine region through affordable tour operators or public transportation. The city’s colonial center, museums, and cultural attractions provide multiple days of exploration without significant expense.
Trujillo, Peru
Peru’s third-largest city offers access to ancient Moche and Chimú archaeological sites alongside colonial architecture and Pacific coast beaches. Budget travelers can find accommodation for $8–12 per night, while local restaurants serve fresh seafood and traditional Peruvian dishes for $3–6 per meal.
The city’s location provides easy access to Chan Chan, the world’s largest adobe city, along with other pre-Columbian sites that can be explored for minimal entrance fees. The nearby beaches and traditional fishing villages create additional exploration opportunities without significant transportation costs.
Potosí, Bolivia
The world’s highest city sits at 13,400 feet above sea level, where colonial architecture and mining history create unique cultural experiences at rock-bottom prices. Accommodation costs $6–10 per night, while local restaurants serve hearty mountain cuisine for $2–3 per meal. The city’s historic center includes churches, museums, and the famous Cerro Rico silver mine that can be toured for under $15.
The extreme altitude requires careful acclimatization but creates unforgettable experiences for travelers seeking destinations off the typical tourist path.
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Huacachina, Peru
This desert oasis near Ica provides unique experiences, including sandboarding and dune buggy rides in a setting where accommodation and meals cost significantly less than similar destinations elsewhere. Budget hostels around the lagoon charge $8–15 per night, while local restaurants serve simple meals for $3–5 in atmospheric settings.
The sandboarding and sunset tours cost $10–15 per person, while the nearby Ballestas Islands can be visited through affordable day trips. The small size and unique setting create memorable experiences that feel exotic without expensive price tags.
Tarija, Bolivia
Bolivia’s wine-producing region offers tastings, vineyard tours, and regional cuisine at prices that make extended stays affordable for budget travelers. Accommodation ranges from $8–12 per night, while local restaurants serve excellent wine country cuisine for $4–8 per meal.
The city’s pleasant climate, colonial architecture, and surrounding vineyards create multiple days of exploration at minimal cost. Wine tastings and vineyard tours typically cost $5–10 per person, while the city’s markets and cultural attractions provide additional exploration opportunities.
Baños, Ecuador
This adventure sports destination offers activities like bungee jumping, white-water rafting, and volcano hiking at prices significantly lower than similar destinations worldwide. Budget accommodation costs $8–15 per night, while local restaurants serve hearty meals for $2–4 that fuel active days.
The city’s location provides access to thermal baths, waterfalls, and jungle excursions through budget tour operators. The combination of adventure activities and affordable prices makes it possible to experience multiple extreme sports without breaking travel budgets.
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Maximizing Your South American Adventure
These cities prove that extraordinary travel experiences don’t require extraordinary budgets, though success depends on embracing local customs, eating where locals eat, and choosing experiences over luxury accommodations. The key lies in understanding that South America’s greatest treasures—its landscapes, cultures, and people—are often accessible for minimal cost to travelers willing to explore beyond expensive tourist enclaves.
Smart budget travelers use these affordable destinations as bases for extended exploration, creating rich experiences that would cost thousands more in other parts of the world.
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