Visited it last summer. Do not go there without a gun or a bodyguard. Very dangerous place for Americans with the Islamic terrorism and poverty.
BINGO! We have a winnah; give that man a Cupie Doll!
That is complete BULLSHIT
Islam in the Philippines is a very small minority, sub-5%, and nearly entirely confined to their own regions in the far south of the country. They make a lot of noise but are irrelevant in general. They are vastly outnumbered by the Christians and have been losing ground for the last couple of centuries. There are a very few Muslims in Manila proper, but they don’t make trouble. Places to avoid, if it’s Muslims you are concerned with - much of Mindanao, though Davao and Cagayan de Oro are overwhelmingly Christian and very safe. Zamboanga is on the “bloody border” and should be avoided. Under no circumstances consider Muslim islands like Jolo, Basilan, or the Muslim provinces on Mindanao.
As for the rest, you can indeed live cheaply and well nearly anywhere, if you are a bit tolerant of third world things like poverty and often troubles with infrastructure, roads, bridges, water and electricity. Every island has its expat/foreign retiree community, even obscure places like Romblon. Avoid Manila as it is surprisingly expensive and the traffic is paralyzing. Filipinos are extremely friendly anywhere
Most certainly visit before you do anything irrevocable, see if you can adapt to life among strangers, see if the local US community are the sorts you can live with, etc.
I understand the Muslim problems are very localized and not as prevalent as reported. The Filipino authorities are cracking down on the terrorists and giving them no quarter - as in no court dates...just deaded on site.
The Philippine nation consists of hundreds of islands. Do your homework and sure you'll find many places where Americans can live in peace. There are still many expat Americans living in Subic Bay (former US Naval Station) area that includes Olongapo and Baguio that are enjoying the low-cost of living. Haven't heard of any being killed or captured by the small Muslim faction that occurs mostly around the capital of Manila on another island.
Plus, read recently that because of China's military buildup, the Philippines want us back. Think negotiations are under way for ports and air bases as I write this.
In my Navy days when visiting the Philippines (70's-80's), I found them to be totally westernized and a friendly people - the "adult disneyland" of Olongapo has changed into a regular town without the Masaysay strip of bar after bar and hookers and pick-pocket children. Plus, most Filipinos speak English. Wonder if they ever cleaned up "shit river" as called during my day. You may also want to look at the town of Cebu on a different island.
Costa Rico is probably the #1 country for expat Americans. Lots of benefits there, but mostly being in close proximity to the USA if you need to visit. However, it is about the same latitude as the Philippines so the heat and humidity is similar. Takes a while to adjust, but everyone does.
Personally, I would consider Costa Rico first. Google is your friend, or maybe not, but informative.