Puerto Vallarta (PVDN) – Puerto Vallarta ranks among the top five most expensive cities in Mexico for expats from the United States and Canada to retire, yet the cost of living is still well below that of the United States.
Far Homes, an international real estate platform, partnered with Expats in Mexico magazine to conduct a survey about the cost of living in Mexico. The survey was carried out in February 2023 and focused on retirees over 55 years old who had relocated from the United States or Canada to live full-time in Mexico.
Far Homes obtained data for the survey from the online database Numbeo and found that Mexico’s cities fall into the mid-range of popular expat cities worldwide. The majority of respondents stated that they spend less than US $2,200 per month on living expenses, which is significantly less than the average retiree household spending in the United States according to 2021 data from the U.S. Bureau of Labor Statistics.
Mexico City has the highest cost of living index (COL) of 44.62 among Mexican cities with a sizable population of U.S. and Canadian residents. The COL index is calculated based on consumer goods prices, such as groceries, restaurants, transportation, and utilities, and does not include housing expenses. The survey found that Puerto Vallarta has a slightly lower COL index than Mexico City, but still reveals that Puerto Vallarta is among the top three most expensive retirement destinations in Mexico. Querétaro and Puebla City have the lowest COL index. Monterrey is Mexico’s most expensive city, with a Cost of Living Index of 45.43.
Despite food costs for expats being comparable to the U.S., the survey found that expats in Mexico enjoy savings on rent and healthcare, leading to lower overall living expenses. The majority of respondents pay between US $550 and US $1,100 per month on rent, and 62% say they spend up to US $110 per month on healthcare, including medications.
The survey revealed that the cost of living was the primary reason for moving to Mexico for 26.5% of those surveyed, followed by lifestyle and climate at 32.2% and 24.2%, respectively.
It should be noted that the results of this survey relied heavily on data from Numbeo, which obtains its data through crowd-sourcing and not a collection of data from any official data source, so there is skepticism of any survey that sources information from Numbeo.
