Mexico City
A global megacity with world-class culture at developing-world prices
Overview
Mexico City defies easy categorization—and that's precisely its appeal. This sprawling metropolis of 22 million people isn't the sleepy retirement haven that Lake Chapala offers or the colonial charm of San Miguel de Allende. It's a global megacity with world-class museums, a food scene rivaling any on earth, and living costs that can range from genuinely affordable to surprisingly expensive. At 7,350 feet elevation in a valley surrounded by volcanic peaks, it offers spring-like temperatures year-round but comes with real considerations: air quality concerns, earthquake risk, and an increasingly complicated conversation about foreign residents driving up housing costs. The city rewards those who embrace urban complexity, want genuine cultural immersion beyond gringo enclaves, and can navigate a city where basic Spanish transforms everything.
Highlights
Living in Mexico City
Housing & Rent
The Roma-Condesa corridor has become expat ground zero with prices reflecting it. One-bedroom apartments in Roma Norte now run 15,000-22,000 pesos ($880-$1,295) furnished, with Condesa averaging slightly higher at 16,000-24,000 pesos ($940-$1,410). These neighborhoods have seen 20-30% rent increases since 2020, driven by the remote worker influx. Premium streets like Amsterdam in Condesa command 52% premiums. Polanco represents the luxury tier—embassy territory with 25,000-40,000 pesos ($1,470-$2,350) for one-bedrooms, scaling to 100,000+ pesos for larger luxury apartments. Smarter money often lands in middle-class Mexican neighborhoods: Narvarte and Del Valle in Benito Juárez borough average 14,500-16,500 pesos ($855-$970)—safe, well-connected by metro, and refreshingly authentic. Coyoacán offers bohemian charm near the Frida Kahlo museum for 12,000-18,000 pesos ($705-$1,060). For the genuinely budget-conscious, emerging neighborhoods like Santa María la Ribera and San Rafael deliver habitable spaces from 7,000-12,000 pesos ($410-$705). The "gringo premium" is real but manageable: listings on English-language platforms run 10-30% higher than Spanish listings on Inmuebles24 or Segundamano.
Property Purchase
Mexico City is NOT in the restricted zone, meaning foreigners can own property directly without the fideicomiso (bank trust) required for coastal properties. You'll need a permit from the Ministry of Foreign Affairs costing around $1,600 USD. Current prices per square meter: Polanco runs 68,000-93,500 pesos ($4,000-$5,500), Roma and Condesa hover at 51,000-68,000 pesos ($3,000-$4,000), Del Valle at 42,500-59,500 pesos ($2,500-$3,500), and Coyoacán at 34,000-51,000 pesos ($2,000-$3,000). Budget 6-10% of purchase price for closing costs. Annual property taxes (predial) remain remarkably low at 0.05-1.2% of cadastral value, which typically runs 60-70% below market value. Market appreciation was 8.1% year-over-year in 2024 following a 21.7% surge in 2023.
Food & Dining
The city's legendary food scene spans every budget. Street tacos in working-class neighborhoods cost 10-15 pesos ($0.60-$0.90) each, though the Roma-Condesa markup pushes them to 40-70 pesos. Tortas run 35-65 pesos ($2-$4), tamales 18-22 pesos, and tlacoyos (blue corn masa stuffed with beans) 25-30 pesos. Local markets dramatically reduce grocery costs—La Merced (the city's largest) offers produce at 30-50% below supermarket prices. Mercado San Juan specializes in gourmet foods, while Mercado Medellín stocks Latin American products. The working person's secret is the comida corrida—three-course set meals at fondas costing 50-80 pesos ($3-$5) outside trendy areas, rising to 80-150 pesos in Roma-Condesa. Mid-range restaurant meals run 150-350 pesos ($9-$20), while fine dining at Pujol or Quintonil costs 2,500-5,000+ pesos ($150-$300+) per person. Monthly food budgets: 3,000-5,000 pesos ($175-$295) budget-conscious, 5,000-8,000 pesos ($295-$470) mixed cooking and restaurants, 8,000-12,000 pesos ($470-$705) comfortable dining out.
Utilities & Connectivity
The temperate climate means minimal heating or cooling costs. Basic electricity runs 150-400 pesos ($9-$24) monthly—but exceeding 4,800 kWh annually triggers DAC (Domestic Alto Consumo) status, losing subsidies and seeing rates jump to 4.39 pesos/kWh. Keep bi-monthly usage under 800 kWh. Water averages around 500 pesos ($29) monthly. Gas runs 300-800 pesos ($18-$47). Drinking water via garrafón (20-liter jugs) costs 35-50 pesos each—budget 1-2 weekly. Internet: Totalplay leads reliability with fiber up to 500+ Mbps for 629-1,709 pesos ($37-$100) monthly. Telmex/Infinitum offers widest coverage at 499-700 pesos ($29-$41). Cell plans through Telcel start at 200 pesos ($12) monthly for 3GB data. Complete utility bundle: 1,500-3,500 pesos ($88-$206) monthly.
Healthcare
Mexico City contains some of Latin America's finest hospitals at costs that shock Americans. Médica Sur, ranked #1 in Mexico by Newsweek and the first Mayo Clinic Care Network member outside the US, offers world-class care. Hospital ABC holds JCI accreditation and Houston Methodist affiliation with extensive English-speaking staff. Routine care is remarkably affordable: GP visits run 350-500 pesos ($18-$25) at private clinics. Pharmacy clinic consultations at Farmacias Similares cost just 60 pesos (~$3), while Farmacias del Ahorro offers FREE medical guidance. Specialist consultations range 500-1,500 pesos ($25-$75). Dental work represents exceptional value: cleanings $35-60, composite fillings $40-80, root canals $120-350, single dental implants $750-1,800 versus $3,000-5,500 in the US. Medications commonly cost 25-75% less than in the United States.
Insurance Options
IMSS (public healthcare) provides comprehensive coverage for legal residents at remarkably low cost. 2025 annual fees by age: 8,900 pesos (~$445) for under-20, scaling to 21,300 pesos (~$1,065) for 80+. Coverage includes consultations, hospitalization, surgery, medications, and maternity—but pre-existing conditions are excluded and everything operates in Spanish only. No age limit for enrollment. Private Mexican insurance offers faster access: GNP Seguros starts around $120/month, AXA recently launched plans at 2,799 pesos (~$137) annually for unlimited consultations. Most providers cap new enrollment at age 65, with Plan Seguro being the notable exception. International insurance (Cigna Global, Bupa Global) starts around $150/month for basic plans and provides medical evacuation coverage plus multi-country portability.
Transportation
Mexico City's metro is among the world's great transportation bargains: 5 pesos ($0.29) for unlimited distance rides across 12 lines and 195+ stations. Metrobús adds express bus routes for 6 pesos ($0.35). Both use the Tarjeta de Movilidad Integrada card (15 pesos to purchase). Metro runs 5am-midnight weekdays. Uber and DiDi transformed transportation safety—rides within popular neighborhoods typically cost 50-100 pesos ($3-$6), while airport trips run 150-200 pesos ($9-$12). Street taxis present higher risk; ride-hailing apps are strongly recommended. The Ecobici bike share covers 650+ stations with 9,000+ bikes for just 521 pesos ($31) annually. Car ownership makes little sense for most—legendary traffic congestion, expensive parking, and Hoy No Circula restrictions ban driving one weekday based on your license plate. Two airports: AICM (Benito Juárez) sits 6 miles east with convenient Uber and metro access; Felipe Ángeles (AIFA) is 45km north requiring 600-1,200 pesos ($35-$70) for taxi/Uber.
Visa & Residency
Temporary residency requires monthly income of approximately $4,100-$4,185 (300x daily minimum wage) or savings of $69,750-$70,000 (5,000x MDW over 12 months). First-year card fees total 5,570 pesos (~$278), with renewals available for 1-3 years. CRITICAL: All residency fees double effective January 1, 2026—first-year temporary residency jumps from 5,570 to 11,140 pesos. Permanent residency through direct application requires roughly $7,100-$7,300 monthly income or $280,000+ in savings plus retirement status. Alternatively, convert after four consecutive years as temporary resident for 8,569 pesos (~$428). The 180-day tourist visa (FMM) no longer guarantees 180 days—officers frequently grant 30-90 days. Essential documents: CURP (population ID, automatically generated with residency), RFC (tax ID, required for property purchases and bank accounts).
Domestic Help
Weekly cleaning help costs 200-400 pesos ($12-$24) for a few hours or 300-500 pesos ($18-$30) for a full day. Full-time live-in help runs 8,000-12,000 pesos ($470-$705) monthly plus room and board. Legal obligations are now enforced: the 2022 domestic worker law requires IMSS registration for all household employees—even part-time. Employers must also provide aguinaldo (Christmas bonus) of 15 days' wages by December 20, minimum 12 vacation days after one year, and severance pay if terminated. Non-compliance risks significant fines.
Safety
Mexico City's reputation for danger is significantly outdated. The murder rate of approximately 8.4 per 100,000 is lower than Atlanta's and comparable to many U.S. cities. Under former Mayor Claudia Sheinbaum (2018-2023), crime rates reportedly decreased by roughly half. The city maintains one of the world's highest police-to-resident ratios at 1 officer per 100 citizens. The U.S. State Department rates Mexico City at Level 2 ("Exercise Increased Caution")—the same as many popular destinations and far better than six Mexican states at Level 4. For expats, realistic concerns are petty theft (particularly phone snatching on the metro), credit card skimming, and unlicensed taxis—largely mitigated by using Uber or DiDi. Neighborhoods like Roma, Condesa, Polanco, and Coyoacán are genuinely safe.
Culture & Entertainment
Mexico City holds more museums than any city in the world—over 150—anchored by the magnificent Museo Nacional de Antropología (100 pesos, Sundays free for residents). The Museo Frida Kahlo requires advance tickets purchased weeks ahead (250-320 pesos). Museo Soumaya is completely free with remarkable collections including Rodin, Dalí, and Rivera. The Cineteca Nacional offers independent and art cinema for 70 pesos ($4). Live music thrives across genres from salsa to indie rock. The Ballet Folklórico de México at Palacio de Bellas Artes provides accessible cultural immersion. Día de Muertos (October 31-November 2) transforms the city with elaborate altars, the massive parade down Paseo de la Reforma, and the mega ofrenda at the Zócalo—the 2024 celebration drew an estimated 7 million participants.
Environmental Realities
Air quality represents Mexico City's most persistent challenge. Typical AQI readings run 40-80 (moderate range), but late dry season (March-May) brings ozone peaks, while winter thermal inversions trap pollution in the valley. Those with respiratory conditions should research current conditions and consider southern neighborhoods with more green space. Tap water is NOT drinkable—the supply is treated at source but contaminated by aging pipes. Use garrafones for drinking water; showering and brushing teeth with tap water is safe. Earthquake preparedness is essential: the 1985 magnitude 8.1 quake killed 9,000+ people; the 2017 quake killed 370. Mexico City's SASMEX early warning system provides 20-120 seconds advance notice through 14,000+ public loudspeakers and phone apps (download SASSLA). Post-1985 construction meets significantly strengthened codes.
The Gentrification Conversation
This is where Mexico City's expat experience gets complicated. Rents in Roma and Condesa have increased 33% since early 2020, and Airbnb listings in these neighborhoods jumped from 2,898 in 2019 to 5,033 in 2023—a 74% increase. Some longtime residents have been displaced. Local sentiment has turned notably cooler toward foreign residents. July 2025 protests saw hundreds marching in Roma-Condesa with signs reading "Gringos, go home." The core complaint: foreigners earning dollars, not paying Mexican taxes, not speaking Spanish, and driving up housing costs for peso-earning locals. The responsible expat recognizes their purchasing power creates real impacts. Learn Spanish—it shows respect and transforms your experience. Support local businesses over chains. Consider long-term rentals over Airbnbs. Engage with Mexican neighbors rather than creating English-speaking bubbles.
Day Trips from Mexico City
Teotihuacán
Iconic Pyramids of the Sun and Moon—one of the largest archaeological sites in the Americas
Xochimilco
UNESCO floating gardens with colorful trajinera boats and mariachi bands
Puebla
UNESCO colonial city famous for mole poblano, chiles en nogada, and Talavera tiles
Tepoztlán
Mystical Pueblo Mágico with Aztec pyramid hike and weekend artisan markets
Taxco
Silver capital of Mexico with dramatic hillside colonial architecture
Grutas Tolantongo
Mexico's hidden thermal paradise—turquoise waters flowing through a 500-meter limestone canyon owned by the indigenous Otomí community
Frequently Asked Questions
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Cost of Living in Mexico City
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