diff --git a/registry/coder/modules/digitalocean-region/README.md b/registry/coder/modules/digitalocean-region/README.md
new file mode 100644
index 00000000..57a66d73
--- /dev/null
+++ b/registry/coder/modules/digitalocean-region/README.md
@@ -0,0 +1,155 @@
+---
+display_name: DigitalOcean Region
+description: Provides a region selection parameter for DigitalOcean resources
+icon: ../../../../.icons/digitalocean.svg
+maintainer_github: coder
+verified: true
+tags: [helper, digitalocean, region]
+---
+
+# DigitalOcean Region
+
+This module provides a standardized region selection parameter for DigitalOcean resources. It includes all volume-supporting regions with user-friendly names and country flag icons.
+
+## Features
+
+- **Volume Support**: Only includes regions that support DigitalOcean volumes
+- **User-Friendly**: Display names with country/city information
+- **Visual Icons**: Country flag emojis for each region
+- **Configurable**: Customizable default region and parameter details
+- **Consistent**: Standardized region selection across templates
+
+## Usage
+
+### Basic Usage
+
+```tf
+module "region" {
+  source  = "registry.coder.com/coder/digitalocean-region/coder"
+  version = "1.0.0"
+}
+
+resource "digitalocean_volume" "home_volume" {
+  region = module.region.value
+  # ... other configuration
+}
+
+resource "digitalocean_droplet" "workspace" {
+  region = module.region.value
+  # ... other configuration
+}
+```
+
+### Customized Configuration
+
+```tf
+module "region" {
+  source  = "registry.coder.com/coder/digitalocean-region/coder"
+  version = "1.0.0"
+
+  default      = "sfo3"
+  mutable      = true
+  display_name = "Datacenter Location"
+  description  = "Select the datacenter region for your development environment"
+}
+
+resource "digitalocean_droplet" "workspace" {
+  region = module.region.value
+  # ... other configuration
+}
+```
+
+## Available Regions
+
+The module includes the following DigitalOcean regions:
+
+| Region Code | Location                       | Notes        |
+| ----------- | ------------------------------ | ------------ |
+| `tor1`      | Canada (Toronto)               | 🇨🇦           |
+| `fra1`      | Germany (Frankfurt)            | 🇩🇪           |
+| `blr1`      | India (Bangalore)              | 🇮🇳           |
+| `ams3`      | Netherlands (Amsterdam)        | 🇳🇱 (Default) |
+| `sgp1`      | Singapore                      | 🇸🇬           |
+| `lon1`      | United Kingdom (London)        | 🇬🇧           |
+| `sfo2`      | United States (California - 2) | 🇺🇸           |
+| `sfo3`      | United States (California - 3) | 🇺🇸           |
+| `nyc1`      | United States (New York - 1)   | 🇺🇸           |
+| `nyc3`      | United States (New York - 3)   | 🇺🇸           |
+
+> **Note**: Some regions (nyc1, sfo1, ams2) are excluded because they do not support volumes, which are commonly used for persistent data storage.
+
+## Variables
+
+| Variable       | Type     | Default                                                      | Description                                                |
+| -------------- | -------- | ------------------------------------------------------------ | ---------------------------------------------------------- |
+| `default`      | `string` | `"ams3"`                                                     | The default region to select                               |
+| `mutable`      | `bool`   | `false`                                                      | Whether the region can be changed after workspace creation |
+| `name`         | `string` | `"region"`                                                   | The name of the parameter                                  |
+| `display_name` | `string` | `"Region"`                                                   | The display name of the parameter                          |
+| `description`  | `string` | `"This is the region where your workspace will be created."` | The description of the parameter                           |
+| `icon`         | `string` | `"/emojis/1f30e.png"`                                        | The icon to display for the parameter                      |
+
+## Outputs
+
+| Output         | Type     | Description                              |
+| -------------- | -------- | ---------------------------------------- |
+| `value`        | `string` | The selected region value (e.g., "ams3") |
+| `name`         | `string` | The parameter name                       |
+| `display_name` | `string` | The parameter display name               |
+
+## Examples
+
+### With Custom Default Region
+
+```tf
+module "region" {
+  source  = "registry.coder.com/coder/digitalocean-region/coder"
+  version = "1.0.0"
+
+  default = "sfo3" # Default to San Francisco
+}
+```
+
+### With Mutable Region Selection
+
+```tf
+module "region" {
+  source  = "registry.coder.com/coder/digitalocean-region/coder"
+  version = "1.0.0"
+
+  mutable = true # Allow changing region after workspace creation
+}
+```
+
+### Integration with DigitalOcean Resources
+
+```tf
+module "region" {
+  source  = "registry.coder.com/coder/digitalocean-region/coder"
+  version = "1.0.0"
+}
+
+resource "digitalocean_volume" "home_volume" {
+  region                  = module.region.value
+  name                    = "coder-${data.coder_workspace.me.id}-home"
+  size                    = 20
+  initial_filesystem_type = "ext4"
+}
+
+resource "digitalocean_droplet" "workspace" {
+  region = module.region.value
+  name   = "coder-${data.coder_workspace.me.owner}-${data.coder_workspace.me.name}"
+  image  = "ubuntu-22-04-x64"
+  size   = "s-2vcpu-4gb"
+
+  volume_ids = [digitalocean_volume.home_volume.id]
+}
+```
+
+## Benefits
+
+1. **Standardization**: Consistent region selection across all DigitalOcean templates
+2. **Maintenance**: Single place to update region options
+3. **User Experience**: Better UX with descriptive names and icons
+4. **Reliability**: Only includes regions that support required features
+5. **Flexibility**: Customizable for different use cases
diff --git a/registry/coder/modules/digitalocean-region/main.test.ts b/registry/coder/modules/digitalocean-region/main.test.ts
new file mode 100644
index 00000000..85f1f7f8
--- /dev/null
+++ b/registry/coder/modules/digitalocean-region/main.test.ts
@@ -0,0 +1,97 @@
+import { describe, expect, it } from "bun:test";
+import {
+  findResourceInstance,
+  runTerraformInit,
+  runTerraformApply,
+  testRequiredVariables,
+} from "~test";
+
+describe("digitalocean-region", async () => {
+  type TestVariables = {
+    default?: string;
+    mutable?: boolean;
+    name?: string;
+    display_name?: string;
+    description?: string;
+    icon?: string;
+  };
+
+  await runTerraformInit(import.meta.dir);
+
+  it("can run apply with no variables", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {});
+    const parameter = findResourceInstance(state, "coder_parameter");
+    expect(parameter.name).toBe("region");
+    expect(parameter.display_name).toBe("Region");
+    expect(parameter.default).toBe("ams3");
+    expect(parameter.mutable).toBe(false);
+    expect(parameter.type).toBe("string");
+    expect(parameter.icon).toBe("/emojis/1f30e.png");
+  });
+
+  it("can customize default region", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {
+      default: "sfo3",
+    });
+    const parameter = findResourceInstance(state, "coder_parameter");
+    expect(parameter.default).toBe("sfo3");
+  });
+
+  it("can make region mutable", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {
+      mutable: true,
+    });
+    const parameter = findResourceInstance(state, "coder_parameter");
+    expect(parameter.mutable).toBe(true);
+  });
+
+  it("can customize parameter details", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {
+      name: "datacenter",
+      display_name: "Datacenter Location",
+      description: "Select your preferred datacenter",
+      icon: "/emojis/1f4cd.png",
+    });
+    const parameter = findResourceInstance(state, "coder_parameter", "region");
+    expect(parameter.name).toBe("datacenter");
+    expect(parameter.display_name).toBe("Datacenter Location");
+    expect(parameter.description).toBe("Select your preferred datacenter");
+    expect(parameter.icon).toBe("/emojis/1f4cd.png");
+  });
+
+  it("includes all expected region options", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {});
+    const parameter = findResourceInstance(state, "coder_parameter");
+    
+    const expectedRegions = [
+      { value: "tor1", name: "Canada (Toronto)", icon: "/emojis/1f1e8-1f1e6.png", description: "" },
+      { value: "fra1", name: "Germany (Frankfurt)", icon: "/emojis/1f1e9-1f1ea.png", description: "" },
+      { value: "blr1", name: "India (Bangalore)", icon: "/emojis/1f1ee-1f1f3.png", description: "" },
+      { value: "ams3", name: "Netherlands (Amsterdam)", icon: "/emojis/1f1f3-1f1f1.png", description: "" },
+      { value: "sgp1", name: "Singapore", icon: "/emojis/1f1f8-1f1ec.png", description: "" },
+      { value: "lon1", name: "United Kingdom (London)", icon: "/emojis/1f1ec-1f1e7.png", description: "" },
+      { value: "sfo2", name: "United States (California - 2)", icon: "/emojis/1f1fa-1f1f8.png", description: "" },
+      { value: "sfo3", name: "United States (California - 3)", icon: "/emojis/1f1fa-1f1f8.png", description: "" },
+      { value: "nyc1", name: "United States (New York - 1)", icon: "/emojis/1f1fa-1f1f8.png", description: "" },
+      { value: "nyc3", name: "United States (New York - 3)", icon: "/emojis/1f1fa-1f1f8.png", description: "" },
+    ];
+
+    expect(parameter.option).toHaveLength(expectedRegions.length);
+    
+    expectedRegions.forEach((expectedRegion, index) => {
+      expect(parameter.option[index]).toEqual(expectedRegion);
+    });
+  });
+
+  it("outputs the correct values", async () => {
+    const state = await runTerraformApply<TestVariables>(import.meta.dir, {
+      default: "sfo3",
+      name: "test_region",
+      display_name: "Test Region",
+    });
+    
+    expect(state.outputs.value.value).toBe("sfo3");
+    expect(state.outputs.name.value).toBe("test_region");
+    expect(state.outputs.display_name.value).toBe("Test Region");
+  });
+});
\ No newline at end of file
diff --git a/registry/coder/modules/digitalocean-region/main.tf b/registry/coder/modules/digitalocean-region/main.tf
new file mode 100644
index 00000000..e6b671f9
--- /dev/null
+++ b/registry/coder/modules/digitalocean-region/main.tf
@@ -0,0 +1,122 @@
+terraform {
+  required_version = ">= 1.0"
+
+  required_providers {
+    coder = {
+      source  = "coder/coder"
+      version = ">= 0.23"
+    }
+  }
+}
+
+variable "default" {
+  type        = string
+  description = "The default region to select"
+  default     = "ams3"
+}
+
+variable "mutable" {
+  type        = bool
+  description = "Whether the region can be changed after workspace creation"
+  default     = false
+}
+
+variable "name" {
+  type        = string
+  description = "The name of the parameter"
+  default     = "region"
+}
+
+variable "display_name" {
+  type        = string
+  description = "The display name of the parameter"
+  default     = "Region"
+}
+
+variable "description" {
+  type        = string
+  description = "The description of the parameter"
+  default     = "This is the region where your workspace will be created."
+}
+
+variable "icon" {
+  type        = string
+  description = "The icon to display for the parameter"
+  default     = "/emojis/1f30e.png"
+}
+
+data "coder_parameter" "region" {
+  name         = var.name
+  display_name = var.display_name
+  description  = var.description
+  icon         = var.icon
+  type         = "string"
+  default      = var.default
+  mutable      = var.mutable
+  # nyc1, sfo1, and ams2 regions were excluded because they do not support volumes, which are used to persist data while decreasing cost
+  option {
+    name  = "Canada (Toronto)"
+    value = "tor1"
+    icon  = "/emojis/1f1e8-1f1e6.png"
+  }
+  option {
+    name  = "Germany (Frankfurt)"
+    value = "fra1"
+    icon  = "/emojis/1f1e9-1f1ea.png"
+  }
+  option {
+    name  = "India (Bangalore)"
+    value = "blr1"
+    icon  = "/emojis/1f1ee-1f1f3.png"
+  }
+  option {
+    name  = "Netherlands (Amsterdam)"
+    value = "ams3"
+    icon  = "/emojis/1f1f3-1f1f1.png"
+  }
+  option {
+    name  = "Singapore"
+    value = "sgp1"
+    icon  = "/emojis/1f1f8-1f1ec.png"
+  }
+  option {
+    name  = "United Kingdom (London)"
+    value = "lon1"
+    icon  = "/emojis/1f1ec-1f1e7.png"
+  }
+  option {
+    name  = "United States (California - 2)"
+    value = "sfo2"
+    icon  = "/emojis/1f1fa-1f1f8.png"
+  }
+  option {
+    name  = "United States (California - 3)"
+    value = "sfo3"
+    icon  = "/emojis/1f1fa-1f1f8.png"
+  }
+  option {
+    name  = "United States (New York - 1)"
+    value = "nyc1"
+    icon  = "/emojis/1f1fa-1f1f8.png"
+  }
+  option {
+    name  = "United States (New York - 3)"
+    value = "nyc3"
+    icon  = "/emojis/1f1fa-1f1f8.png"
+  }
+}
+
+output "value" {
+  description = "The selected region value"
+  value       = data.coder_parameter.region.value
+}
+
+output "name" {
+  description = "The selected region name"
+  value       = data.coder_parameter.region.name
+}
+
+output "display_name" {
+  description = "The selected region display name"
+  value       = data.coder_parameter.region.display_name
+}
\ No newline at end of file
diff --git a/registry/coder/templates/digitalocean-linux/main.tf b/registry/coder/templates/digitalocean-linux/main.tf
index 4daf4b8b..92ab107b 100644
--- a/registry/coder/templates/digitalocean-linux/main.tf
+++ b/registry/coder/templates/digitalocean-linux/main.tf
@@ -167,65 +167,8 @@ data "coder_parameter" "home_volume_size" {
   }
 }
 
-data "coder_parameter" "region" {
-  name         = "region"
-  display_name = "Region"
-  description  = "This is the region where your workspace will be created."
-  icon         = "/emojis/1f30e.png"
-  type         = "string"
-  default      = "ams3"
-  mutable      = false
-  # nyc1, sfo1, and ams2 regions were excluded because they do not support volumes, which are used to persist data while decreasing cost
-  option {
-    name  = "Canada (Toronto)"
-    value = "tor1"
-    icon  = "/emojis/1f1e8-1f1e6.png"
-  }
-  option {
-    name  = "Germany (Frankfurt)"
-    value = "fra1"
-    icon  = "/emojis/1f1e9-1f1ea.png"
-  }
-  option {
-    name  = "India (Bangalore)"
-    value = "blr1"
-    icon  = "/emojis/1f1ee-1f1f3.png"
-  }
-  option {
-    name  = "Netherlands (Amsterdam)"
-    value = "ams3"
-    icon  = "/emojis/1f1f3-1f1f1.png"
-  }
-  option {
-    name  = "Singapore"
-    value = "sgp1"
-    icon  = "/emojis/1f1f8-1f1ec.png"
-  }
-  option {
-    name  = "United Kingdom (London)"
-    value = "lon1"
-    icon  = "/emojis/1f1ec-1f1e7.png"
-  }
-  option {
-    name  = "United States (California - 2)"
-    value = "sfo2"
-    icon  = "/emojis/1f1fa-1f1f8.png"
-  }
-  option {
-    name  = "United States (California - 3)"
-    value = "sfo3"
-    icon  = "/emojis/1f1fa-1f1f8.png"
-  }
-  option {
-    name  = "United States (New York - 1)"
-    value = "nyc1"
-    icon  = "/emojis/1f1fa-1f1f8.png"
-  }
-  option {
-    name  = "United States (New York - 3)"
-    value = "nyc3"
-    icon  = "/emojis/1f1fa-1f1f8.png"
-  }
+module "region" {
+  source = "../../modules/digitalocean-region"
 }
 
 # Configure the DigitalOcean Provider
@@ -297,7 +240,7 @@ module "jetbrains_gateway" {
 }
 
 resource "digitalocean_volume" "home_volume" {
-  region                   = data.coder_parameter.region.value
+  region                   = module.region.value
   name                     = "coder-${data.coder_workspace.me.id}-home"
   size                     = data.coder_parameter.home_volume_size.value
   initial_filesystem_type  = "ext4"
@@ -309,7 +252,7 @@ resource "digitalocean_volume" "home_volume" {
 }
 
 resource "digitalocean_droplet" "workspace" {
-  region = data.coder_parameter.region.value
+  region = module.region.value
   count  = data.coder_workspace.me.start_count
   name   = "coder-${lower(data.coder_workspace_owner.me.name)}-${lower(data.coder_workspace.me.name)}"
   image  = data.coder_parameter.droplet_image.value