10 Best Mexican Cities To Retire on a Budget of $2,500 a Month
Mexico is blessed with sunshine, culture and food loved the world over. But best of all for retirees, perhaps, is its affordability. Because of a combination of these reasons — and its proximity to the United States — Mexico has by far the greatest number of American expats in the world. With nearly three times as many expats as second-place Canada, Mexico is clearly the country of choice for American retirees looking to spend their golden years abroad. Many Mexican cities are cheap enough that American expats can live on $2,500 or less per month. This means that in many cases you can retire in Mexico on your Social Security check alone. To determine the top 10 options, GOBankingRates analyzed data from Numbeo Cost of Living regarding the price of various expenditures across Mexican cities and calculated their relative ranking. Here are the results, presented in reverse order.
10. Mazatlan
- Single Person Average Monthly Expenditures Cost (With Rent): $1,292.38
- Single Person Average Monthly Expenditures Cost (Without Rent): $675.50
Mazatlan has long been one of the most popular resort destinations in Mexico. In addition to having a stunning beachfront boardwalk and a historic district, the city is also very affordable for expats. The average one-bedroom rent in the city center, for example, is just $616.88.
9. La Paz
- Single Person Average Monthly Expenditures Cost (With Rent): $1,397.29
- Single Person Average Monthly Expenditures Cost (Without Rent): $690.80
Active retirees will love the beachfront location of La Paz, which offers everything from sea kayaking and snorkeling with sea lions to whale watching and swimming with whale sharks. Back on shore, life is quite affordable, with a three-bedroom apartment outside the city center running just $541.56 on average.
8. Playa del Carmen
- Single Person Average Monthly Expenditures Cost (With Rent): $1,614.33
- Single Person Average Monthly Expenditures Cost (Without Rent): $638.00
Playa del Carmen is a resort area, and its three-bedroom rents in the city center are actually quite pricey, averaging $ $1,929.77. But overall, this idyllic location is still quite affordable for expats.
7. Tijuana
- Single Person Average Monthly Expenditures Cost (With Rent): $1,493.81
- Single Person Average Monthly Expenditures Cost (Without Rent): $740.10
Tijuana is one of the most accessible Mexican cities, and it remains quite popular with American expats. A one-bedroom apartment outside the city center can be had for just $397.40 on average.
6. Querétaro (Santiago de Querétaro)
- Single Person Average Monthly Expenditures Cost (With Rent): $1,217.92
- Single Person Average Monthly Expenditures Cost (Without Rent): $671.70
Querétaro may not have the resort cachet of places like Mazatlan or Playa del Carmen but it is rich in cultural heritage, with a historic center that’s a UNESCO World Heritage site. Its relative anonymity compared with some of its beachfront sister cities helps it keep a very low cost of living. A three-bedroom apartment outside of the city center, for example, may cost just $700.61.
5. Saltillo
- Single Person Average Monthly Expenditures Cost (With Rent): $884.74
- Single Person Average Monthly Expenditures Cost (Without Rent): $619.80
Saltillo has the lowest rental cost for a one-bedroom apartment in the city center of any Mexican city in the review, at just $264.94. The old colonial city in northern Mexico has an outstanding architectural heritage.
4. Puebla
- Single Person Average Monthly Expenditures Cost (With Rent): $1,067.49
- Single Person Average Monthly Expenditures Cost (Without Rent): $620.60
Puebla boasts UNESCO World Heritage Site status and has been called the food capital of Mexico by some. The high-altitude city surrounded by volcanoes is quite affordable for retirees, with $271.96 covering the average cost of a one-bedroom apartment outside the city center.
3. Veracruz
- Single Person Average Monthly Expenditures Cost (With Rent): $1,000.31
- Single Person Average Monthly Expenditures Cost (Without Rent): $676.50
Veracruz has the lowest three-bedroom rents outside the city center of any surveyed Mexican city, at just $367.97 on average. In addition to the colonial-era buildings and great cuisine much of Mexico is known for, Veracruz is also an important sportfishing port.
2. Ensenada
- Single Person Average Monthly Expenditures Cost (With Rent): $1,195.85
- Single Person Average Monthly Expenditures Cost (Without Rent): $621.40
Ensenada has a reputation as a party town known for great cantinas and fish tacos. And for some retirees, this sounds like paradise. But Ensenada is also a stone’s throw away from the wine country of Valle de Guadalupe, and it boasts endless beaches and sunsets. Overall, it’s one of the most affordable Mexican cities, with a one-bedroom apartment outside of the city center averaging just $338.53 per month.
1. Aguascalientes
- Single Person Average Monthly Expenditures Cost (With Rent): $861.59
- Single Person Average Monthly Expenditures Cost (Without Rent): $583.00
Aguascalientes has low costs across the board, but it particularly shines in terms of one-bedroom rent outside the city center and three-bedroom rent inside the city center. At just $169.81 and $384.31 per month respectively, Aguascalientes has the lowest costs of any city surveyed in those categories.
Methodology: To find the best cities in Mexico to retire on a budget of $2,500 a month, GOBankingRates analyzed the cost of living of different Mexican cities across a variety of expenditure categories sourced from Numbeo Cost of Living. To qualify for our list each city had to have every data point available for accurate calculations. An additional cost was added to cover healthcare, sourced from InternationalLiving’s ‘Healthcare in Mexico’. GOBankingRates calculated scores for every expenditure category and combined them within each expenditure category then totaled the score to show the best Mexican cities to retire on a budget of $2,500 a month. 15 cities met all the qualifications and are ranked from best to worst. Rent averages for 1 bedroom within the city center and out of the city center, and 3 bedrooms within the city center and out of the city center were also included as supplemental information sourced from Numbeo Cost of Living. All data was collected and is up-to-date as-of September 1st, 2023.
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