Mexico

Cost of Living in Cabo San Lucas

Cabo San Lucas operates on two pricing tracks: tourist-facing Airbnb rates average $9,448/month, while Spanish-language listings and Facebook groups reveal the same units for $1,000-1,500 with 6-12 month leases—a 75% discount for those willing to do the legwork. The water crisis is real: some neighborhoods go 15-20 days without municipal supply, requiring cisterna storage and pipa (water truck) deliveries at $15-750 per fill. Summer electricity can shock newcomers—heavy AC usage triggers DAC (high consumption) tier rates that essentially double your bill. The geographic isolation of Baja means groceries cost 30-50% more than mainland Mexico. Healthcare is excellent (Hospital H+ rated 'up to American standards') but Saint Luke's Hospital has US State Department warnings for predatory billing.

Monthly Total

$2,137

$37,398

Housing (1BR Mid-range)

$1,150

Daily Spend (ex. rent)

$33

Based on a typical expat lifestyle: 1BR furnished apartment, mix of cooking/eating out, rideshare transportation, moderate entertainment. Last updated: 12/2/2025.

Monthly Cost Breakdown

Housing (Rent)

1BR furnished apartment in mid-range neighborhood

$1,150

$20,125

Utilities

Electric, water, gas, and internet

$178

$3,115

Groceries

Groceries from supermarkets

$280

$4,900

Dining Out

Mix of casual restaurants, ~12 meals/month

$60

$1,050

Transportation

Rideshare (Uber/Didi), ~30 rides/month

$120

$2,100

Lifestyle & Entertainment

Entertainment, occasional cleaning service

$204

$3,570

Healthcare

Basic private health insurance

$100

$1,750

Phone & Subscriptions

Phone plan and streaming subscriptions

$45

$788

Monthly Total

$2,137

$37,398

Living in Cabo San Lucas

Los Cabos isn't San Miguel de Allende, and pretending otherwise will cost you money and heartache. This desert peninsula at the tip of Baja California offers world-class beaches, year-round sunshine, and easy US access—but at Mexico's highest prices and with infrastructure challenges no spreadsheet will warn you about. A couple can live comfortably for $3,000-4,000 monthly, but that's significantly more than Puerto Vallarta and twice what you'd spend in Mérida.

Housing Reality

Food & Groceries

Utilities Warning

Healthcare

Transportation

Budget Tiers

Who Thrives Here

Destination Guide

Complete Guide to Living in Cabo San Lucas

Desert-meets-sea playground with upscale resort living—but at Mexico's highest prices

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Frequently Asked Questions

How much does it cost to live in Cabo San Lucas?▼
A couple can live comfortably for $3,000-4,000 monthly—significantly more than Puerto Vallarta and twice what you'd spend in Mérida. Budget breakdown: 2BR condo $1,200-1,500, groceries $550, utilities with moderate AC $150, transportation $300 (car/taxis needed in most areas), dining out $400, healthcare $200. Lean budget possible at $1,800-2,200 for singles willing to live like locals—but that means neighborhoods away from beaches, minimal AC, and home cooking. Luxury tier runs $6,000+ with Marina/Pedregal housing, golf, and upscale dining.
Is Cabo too touristy to actually live there?▼
The marina area and El Medano beach are intensely touristic—spring break crowds, cruise ship passengers, and aggressive timeshare pitches. San José del Cabo offers a notably quieter, more residential feel with its Thursday Art Walk and gallery scene. The Tourist Corridor is beautiful but requires a car and feels like living in a resort zone. Downtown Cabo San Lucas and areas like El Tezal offer more local-feeling options. Many long-term residents split time between both towns depending on their needs.
What about the water crisis in Cabo?▼
The water crisis is real and worsening. Baja California Sur is Mexico's driest state with its second-fastest population growth. The Cabo San Lucas desalination plant operates at only 36-40% capacity. Some neighborhoods go 15-20 days without municipal water, forcing residents to call 'pipas' (water trucks) at $15-750 per delivery. Most homes have 'cisternas' (storage tanks). Budget $500+ annually for emergency water deliveries. Follow 'Potable Agua Los Cabos' on Facebook for neighborhood supply schedules. Tourist hotels receive priority supply.
What about hurricanes?▼
Hurricane season runs June-November with September peak risk. Hurricane Odile (2014) caused $1.22 billion in damage, leaving 92% of residents without power for two weeks. Hurricane Norma (2023) caused week-long power outages. Travel insurance with medical evacuation coverage is essential during these months. Know your evacuation routes. Major resorts have generators; budget accommodations may not. Many long-term residents simply leave during September-October.
Can I live without a car in Cabo?▼
It depends entirely on where you live. Downtown Cabo San Lucas and downtown San José del Cabo are highly walkable. Public buses connect the two towns for just $2 every 8-15 minutes. However, the Tourist Corridor is car-dependent—taxi fares run $30+ one-way to either town. Uber works in both downtowns at $2-5 per trip but cannot pick up at the airport. Car rental runs $600-1,000 monthly for long-term arrangements.
How does healthcare work in Cabo?▼
Los Cabos has excellent medical infrastructure. Hospital H+ Los Cabos is rated 'up to American standards' by expat hospital administrators. BlueNet Hospital served as official G20 Summit healthcare provider. Medical costs run 40-80% below US prices: doctor visits $28-55, specialists $35-58, hospital days $120 vs $1,514 in US. Avoid Saint Luke's Hospital—US State Department issued warnings about predatory billing. IMSS voluntary enrollment costs $350-1,185 annually depending on age. Medicare does NOT cover care in Mexico.
What are the summer months really like in Cabo?▼
Marketing claims that September is the only uncomfortable month are misleading. It's hot and muggy from mid-July through the first half of October, with highs reaching 89-95°F and humidity climbing to 78% in September. AC becomes non-negotiable, and heavy usage can push you into the DAC (high consumption) tier where electricity rates essentially double—expect $300-600 bimonthly summer bills. September also carries both hurricane risk and the year's least pleasant weather. Many long-term residents plan extended trips during this period.
Is Cabo San Lucas safe?▼
The US State Department rates Baja California Sur at Level 2: 'Exercise Increased Caution'—the same level as France, Italy, and Germany. Numbeo Crime Index rates Cabo San Lucas at 44.50 (lower is safer), compared to Cancún (56.16) and Mexico City (67.95). Tourist-targeted violent crime remains rare. Practical concerns include pickpocketing around Lázaro Cárdenas Boulevard at night, aggressive timeshare pitches, and taxi drivers quoting pesos then demanding dollars. Avoid ATM skimmers by using bank ATMs only.

Compare Cabo San Lucas to Other Cities

See how Cabo San Lucas stacks up against other popular expat destinations in Mexico.

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