Santa Teresa, Brazil

At just under 41,000 residents, Santa Teresa is a quaint, artsy enclave in Rio de Janeiro, but living there comes with some serious trade-offs. The neighborhood's beloved tram system was shut down for years after a deadly accident, and the city's revitalization efforts have led to higher taxes and attempts to push out poorer residents. While Santa Teresa's historic charm, cultural life, and stunning views draw tourists and artists, the bureaucratic hassles and safety concerns make it a dubious choice for the average expat. Those seeking an authentic, bohemian Brazilian experience may find Santa Teresa an ideal fit, but others would be wise to look elsewhere.