How to Move to Mexico From the US
With 1.5 million Americans calling Mexico home, the country has the distinction of hosting the largest American expat community in the world. Moving from the US to Mexico has always been popular with retirees. They easily fall in love with the terrific climate, rich culture, and low cost of living. However, seniors aren’t the only ones relocating south of the border. The country is increasingly popular with students, digital nomads, and families. If you hope to join them, this information will help you get on your way.
Can Americans Legally Live in Mexico?
By law, American tourists can stay in Mexico for up to six months. For many snowbirds and retirees, six months is more than enough. They head south for the chilly winter months and come back to enjoy spring and summer stateside. Some also do “visa runs” to other countries and extend their stay. This is a good strategy if you are not sure whether or not you are staying in Mexico permanently and want a bit of extra time to sort out your plans. As with most destinations, you cannot work while you are in the country as a tourist.
If you are confident of your plans, you can pursue temporary residency or permanent residency, often in combination with a retirement visa. The visa application begins at the nearest Mexican embassy or consulate in your home country. You can expect to fill out an application, provide proof that you can support yourself financially, and have an interview with the staff.
To qualify for the temporary visa, you must show a monthly income of 300 times the minimum daily wage in Mexico (which was 80.04 pesos a day using 2017 figures). To qualify for the permanent visa you must show a monthly income of 500 times the minimum wage. In both cases, your income must be documented with six months of bank statements.
Learning the Language
If you’re visiting Mexico as a tourist, it’s entirely possible to get by without speaking Spanish. Most people who work in Mexico’s tourism industry speak English – or a nearby colleague surely will. However, life as an expat is different. Your life will be exponentially easier if you learn Spanish. Even taking some lessons for beginners will help you communicate much more easily in your everyday life.
Understanding the Mexican Healthcare System
Mexico’s healthcare system is a mix of public, private, and employer-funded programs. Each system has its own doctors, pharmacies, and healthcare protocols and operates as an independent network. People are usually only allowed to use the services in their own network.
The IMSS is Mexico’s employer-funded healthcare program. Expats who are employed in Mexico are eligible for coverage through IMSS. Those who are self-employed can voluntarily enroll if they wish and make their program contributions directly. However, most foreigners living in Mexico opt to participate in the private healthcare system. It tends to offer the highest standard of care, the shortest wait times, and the most comfortable facilities.
No matter which option you choose, you can be sure of one thing. You won’t be covered for healthcare in the United States. If you plan on frequently returning to the United States to see friends and family – or even if you just want the option of being transported to the US should you need serious medical care – you should investigate your options for international healthcare coverage.
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Finding Familiar Brands
Those moving from the US to Mexico will be happy to know that the country is home to many American chains. Walmart, Costco, and Home Depot are plentiful. You can easily find American and international brand names. If there’s something you’re craving from home, ordering from Amazon (US) is often preferable to using Amazon (Mexico). Even though a small customs fee usually applies, the lower price of goods usually makes up for it.
A taste of home is also available when it comes to entertainment. Using a VPN (virtual private network,) you can access entertainment sites like Hulu, Amazon Prime, Netflix, SkyTV, and more.
Finding a Job When You Move to Mexico
If you want to work in Mexico, finding a job before you move is imperative. Many areas of Mexico struggle with high unemployment. Breaking into a new career is tough if you don’t already have a new position lined up before you leave.
There are a number of jobs available in the tourism industry. Some expats find casual work in bars, clubs, and restaurants that cater to foreigners. However, for optimal career success, speaking Spanish is imperative.
Understanding the Cost of Living in Mexico
In many regards, the cost of living in Mexico is much lower than it is in the United States. In some cases, it’s dramatically lower. The cost of fresh produce, restaurant meals, or a weekend at a beach house is a fraction of what you would pay in most parts of the United States. However, lower costs tempt many expats to change their lifestyles. Hiring gardeners, housekeepers, and pool cleaners are affordable. Going out to eat isn’t an occasional treat but something you can afford to do several times a week. As a result, many expats find their average monthly expenditure isn’t much different than it is in the United States. However, they’re getting a much higher quality of life as a result.
If you are tempted to move to Mexico from the US to have a frugal, minimalist life, it’s absolutely possible. However, you’d have to choose a locally focused lifestyle, away from the pricey expat enclaves. You’d also need to forgo many of the cheap luxuries that most foreigners indulge in.
Finding a Place to Live
Mexico is a huge, diverse country and its housing market reflects that. You could have a tiny apartment and fulfill dreams of living a low-cost, low-stress life. Alternatively, you could have a charming beachside house, a massive villa with a pool, or even your own plot of land with a custom-built home. You can, that is, if you’re willing to go all-in with your budget.
A small to medium furnished apartment in Mexico City might cost about $500 US a month. Something comparable in Cancun could ring in at about $100 less. Meanwhile, in Guadalajara, you might get away with spending $300 or so. Then again, you could easily save 20% off those prices – or spend three times as much.
Read: Safest Places to Live in Mexico and 5 Best Places to Live in Mexico
(Video) 8 Best Countries to Move to from the USA
How Renting in Mexico Works
If you’re going to be renting a place to live, note that many landlords prefer cash payments. However, this doesn’t mean that the process is sketchy. Six-month contracts are standard. Additionally, there are short-term leases available (commonly used by expats who are just settling in) and longer terms of a year or more for those who are confident of what they want. In all cases, you should have a lawyer review the terms of your lease. Note that if there is ever a contract dispute, the Spanish version of your documents takes precedence over the English version.
In Mexico, landlords commonly require someone to co-sign your lease. This is known as a fiador. This puts anyone moving from the US to Mexico in a quandary. The fiador needs to live and own property in Mexico. Sometimes your employer can come in and sign on your behalf. Alternatively, your landlord might be satisfied with a higher deposit.
Setting Up Banking and Finances
Setting up a bank account as a foreigner in Mexico is relatively straightforward but it does require a bit of organization. If your Spanish isn’t excellent, it would be prudent to recruit a bilingual friend to help with translation. That way, you know exactly what you’re getting.
For most traditional bank accounts, you’ll be required to visit a bank branch in person. Few take online appointments, which means you must take a paper ticket from a machine when you arrive in order to secure your spot in the line.
In general, you’ll need to provide a form of photo identification (such as your passport), proof of residency (like a recent utility bill), and proof of legal entry into Mexico (such as a residency card or visa). BBVA Bancomer is the largest bank in Mexico. It has the largest number of branches and ATMs in the country. Following closely behind is Banorte, which has a similarly large network of branches and ATMs. If you want full-service banking or if you’ll be traveling frequently, these two banks will offer a lot of service and convenience.
If your needs are more minimal in nature, an online-only bank might be more convenient (and more affordable, with low or no fees). Hey Banco and SuperDigital both issue combined credit-debit cards.
Establishing Credit History in Mexico
If you’re planning any transactions that require you to have a strong credit score, you should know that your credit history outside of Mexico will have little to no relevance. It’s essential that you establish a Mexican credit history. An easy way to do so is with a Mexican credit card. However, you should know that most have an outrageously high-interest rate – up to 50%. As such, it pays to be strategic and use it for carefully planned purchases that you pay off right away in order to build your credit score. You don’t want to forget about any random impulse purchases you might make!
Related:
- Best Places to Retire in Mexico
- Best Hospitals in Mexico for Expatriates
- Moving to Canada From the US
FAQs
Can I move to Mexico as a US citizen? ›
As with most destinations, you cannot work while you are in the country as a tourist. If you are confident of your plans, you can pursue temporary residency or permanent residency, often in combination with a retirement visa. The visa application begins at the nearest Mexican embassy or consulate in your home country.
Is moving to Mexico a good idea? ›Mexico is a popular choice for expats, digital nomads, and retirees. The country offers a low cost of living, beautiful scenery, world-class food, excellent weather, and high quality of life.
How much money do you need to move to Mexico from US? ›Visa Requirements
In order to obtain a temporary visa, you'll need to show proof of a monthly income of $2,100 or a minimum total of $36,000 sitting in a bank account. A temporary residence visa allows you to stay in Mexico for up to four years at a time.
Everyone who intends to move to Mexico for a period longer than six months must have a Resident Visa and a Resident Card, depending on the duration and purpose of their stay. Foreigners who want to settle in Mexico permanently must have a Mexican Permanent Resident Card.
Can you live in Mexico on $1000 a month? ›One can live in Mexico on $1,000 a month or even less quite easily. In fact, locals live on much tighter budgets. As a foreigner, you will see that pretty much everything costs less than in your home country. Rent, food, transportation and healthcare in Mexico are much cheaper than in the US, Canada or Western Europe.
What is the safest place in Mexico to live? ›- Merida. Widely acknowledged as the safest city in Mexico (and even Latin America), your biggest safety concern in Mérida will probably be the busy traffic. ...
- Playa del Carmen. ...
- Mexico City. ...
- Puerto Vallarta. ...
- San Miguel de Allende. ...
- Sayulita. ...
- Huatulco.
- But, It's Not All Paradise!
- Basic Utilities Aren't Always Reliable.
- Internet Speed Isn't As Fast.
- Uneven Sidewalks Or NO Sidewalks.
- Lack of Saftey Building Codes and Inspections.
- You Can't Flush Toilet Paper.
- Public Bathrooms Are NOT Free.
- Topes Can Hurt Your Car.
Yes, you can absolutely live in Mexico for $1500/month. Many people already do it. The trick is having and sticking to a budget. You'll have to set a realistic budget for a rental, health insurance, groceries, eating out, transportation, and entertainment.
Where do most Americans live in Mexico? ›Lake Chapala: Mexico's Largest Expat Hotspot
Lake Chapala is Mexico's largest lake, and the surrounding area is also home to the largest concentration of U.S. expats in the world.
Resident individuals are subject to Mexican income tax on their worldwide income, regardless of their nationality. Non-residents, including Mexican citizens who can prove residence for tax purposes in a foreign country, are taxed only on their Mexican-source income.
Can I collect Social Security and live in Mexico? ›
If you are a U.S. citizen, you may receive your Social Security payments outside the U.S. as long as you are eligible for them.
What is Mexico's minimum wage? ›On top of the MIR, the CONASAMI approved a 10 percent increase from the 2022 rate to the daily minimum wage applicable to the ZLFN and the rest of the country, resulting in MXN $312.41 (approximately USD $16.11) for the ZLFN and MXN $207.44 (approximately USD $10.69) for the rest of the country.
Can a U.S. citizen live in Mexico permanently? ›Yes, you can go all in and decide to make your move to Mexico permanent but there are also lots of other options.
Where is the cheapest and safest place to live in Mexico? ›Puebla is one of the cheapest places to live in Mexico. The monthly cost of living in Puebla starts from around $1,150 USD depending on your lifestyle choices. This includes rent, groceries, eating out, activities, coffee, and more. If you're a couple, it's more like $1,900 USD.
How much is rent in Mexico? ›| Expense | U.S. $ |
|---|---|
| Rent (furnished, two-bedroom home) | $750 |
| Electricity | $30 |
| Water | $15 |
| Gas | $30 |
...
Average housing price in Mexico in 1st quarter 2022, by state (in 1,000 Mexican pesos)
This is where Mérida's middle-class families have summered for generations. Expats have joined them, but many towns and villages, dotted along the Gulf coast, still have a family-oriented feel. Mérida is considered the safest city in Mexico—so safe that there are no bad parts of town.
How much does it cost to rent an apartment in Mexico? ›| Renting in Mexico City | Average monthly cost |
|---|---|
| large apartment | Mex$21,000 |
| medium apartment | Mex$12,800 |
| small apartment | Mex$10,000 |
| student dorm room | Mex$8,500 |
Monterrey is Mexico's wealthiest city in terms of per capita income. It is also considered to be the most “Americanized” city in the country.
What is the quality of life in Mexico? ›Mexico ranks worst — but still above average — in the Quality of Life Index (24th). Expats find the Leisure Options (2nd) outstanding, including the culinary variety and dining options (92% happy vs. 77% globally), the culture and nightlife (84% happy vs.
Can you own beachfront property in Mexico? ›
Can you own beachfront property in Mexico? Yes! Foreigners interested in properties within 50 km of the coast or 100 km from a border will have to purchase the beach property through a trust with a Mexican bank known as a fideicomiso. It is a fairly straightforward process, and nothing to be scared of.
How realistic is moving to Mexico? ›Mexico is one of the easiest countries to get a residency visa. The process is very straightforward and inexpensive. You simply have to prove you have enough funds to cover your cost of living and pass a simple immigration interview done at the Mexican Consulate nearest you.
Where do most Americans buy homes in Mexico? ›You may have heard of the Mayan Riviera or Riviera Maya, but not everyone knows that this is one of the most popular destinations for American expats in Mexico. The bulk of the country's expat community can be found in Puerta Vallarta, Cancun, Riviera Maya and Cabo San Lucas.
What is the best place to live in Mexico? ›- Mexico City – The Place That Has It All.
- Mérida – Quiet Warmth and Beauty. ...
- Guadalajara – Affordable City and Retiree Living. ...
- Monterrey – Mexico's Hardest Working City. ...
- San Miguel de Allende – Loved by Expats and Visitors. The town of San Miguel de Allende is in Mexico's central heart. ...
Yes. Mexico tax residents are subject to Mexican income tax on their worldwide income, regardless of their nationality.
Where in Mexico do most Americans retire? ›"Most Americans who choose to retire in Mexico opt for San Miguel Allende," said John Hubbard, the founder and CEO of Urban Dare. "That's because it offers a temperate climate all year round. Low-cost and high-quality healthcare is also available.
Can you live on $2000 a month in Mexico? ›You can live comfortably on a budget of $1500-$2000 per month in large cities like Mexico City, Guadalajara, Monterrey, and Tijuana. This budget is also suitable for some expat destinations such as San Miguel de Allende, Ajijic and the Lake Chapala area, Merida, Sayulita, Ensenada, etc.
Where do most wealthy Mexicans live? ›Polanco is a neighborhood in the Miguel Hidalgo borough of Mexico City. Polanco is an affluent colonia, noted for its luxury shopping along Presidente Masaryk Avenue, the most expensive street in Mexico, as well as for the numerous prominent cultural institutions located within the neighborhood.
What country are most Americans moving to? ›Mexico is the top destination for Americans moving abroad, followed by the U.K., Canada and Australia. So far in 2022, ~75% more Americans have moved to Mexico than Canada. Portugal has seen the biggest percentage increase in Americans moving in (+122% from 2019-2021)
Does Mexico have free healthcare? ›
Every Mexican citizen is guaranteed no cost access to healthcare and medicine according to the Mexican constitution and made a reality with the “Institute of Health for Well-being”, or INSABI.
Do Mexican banks report to IRS? ›Your Mexican bank will have to report the interest on that account to the IRS. It is important to report that interest on your tax return on Schedule B. If your highest balance is under US$10,000 on any day of the year, it is strictly a check-the-box.
Do dual citizens pay taxes in both countries Mexico and USA? ›The most common question dual citizens ask is whether they have to pay taxes to both countries if they don't live in the U.S. The answer is, it's possible. As it turns out, as long as you are a citizen or resident alien of the United States, you must file U.S. taxes if you meet the filing thresholds.
How much money do you need to retire comfortably in Mexico? ›A retired couple can expect to retire comfortably in Mexico with an average income of about $2,500 a month, or $30,000 a year, according to InternationalLiving.com. These figures include the cost of a house, a maid service, utilities, groceries, entertainment, health insurance and more.
Is it cheaper to live in Mexico or US? ›United States is 113% more expensive than Mexico.
Dec 2022 Cost of Living.
If you leave the U.S., we will stop your benefits the month after the sixth calendar month in a row that you are outside the country. You can make visits to the United States for specific periods of time, depending on how long you've been outside, to continue receiving your benefits.
Are groceries cheaper in Mexico? ›You can expect your grocery bill to be from 35%-50% less in Mexico. Part of the reason for lower costs in Mexico is cheaper labor and distribution costs. Mexico controls the price on some staple foods such as beans, eggs, tortillas, and milk as well as items like aspirin.
How long is a work day in Mexico? ›Mexico's workday is divided into three (3) shifts. Here's how they break down: The Day shift: The work day for the Mexican worker is eight hours and that eight-hour shift fits into a flexible 14-hour work day beginning at 6:00 am and ending at 8:00 pm.
How many pesos do you need a month to live in Mexico? ›...
Average Cost of Living Across Mexico: $600 – $2,000.
Foreigners can own property in Mexico. It's perfectly legal. Outside the restricted zones—50 kilometers (about 31 miles) from shorelines and 100 kilometers (about 62 miles) from international borders—foreigners can hold direct deed to property with the same rights and responsibilities as Mexican nationals.
Can foreigners buy a house in Mexico? ›
Foreigners may lease and own real estate and other properties in Mexico.
Why are Americans moving to Mexico? ›Lower Cost Of Living
What is this? With skyrocketing inflation and living costs in the United States, many Americans are finding that their dollars go much further in Mexico. Housing, healthcare, food, and transportation are just a few of the things that are significantly cheaper in Mexico than in the United States.
General Information. A visitor visa allows you to stay in Mexico for a period of up to 180 days, provided that you are not carrying out any paid activities.
How many Americans have moved to Mexico? ›The number of Americans moving to Mexico over recent years is estimated to be between 800,000 and 1.5 million.
Where can I live for $500 a month in USA? ›...
Mission Impossible: Where in the U.S. Can You Rent for $500?
- Greenville, OH. Listing: Wayne Crossing. ...
- Wichita, KS. ...
- Lawton, OK. ...
- Amarillo, TX. ...
- Indianapolis, IN. ...
- Searcy, AR. ...
- Shreveport, LA. ...
- Jackson, MS.
Lower cost of living
US expats in Mexico can expect to live comfortably with a monthly income of $1500 – $2500, sometimes less depending on their location.
...
Mexico Gasoline prices, 06-Mar-2023.
| Mexico Gasoline prices | Litre | Gallon |
|---|---|---|
| MXN | 24.020 | 90.926 |
| USD | 1.327 | 5.023 |
| EUR | 1.257 | 4.758 |
Mexico has an immigration system that is straightforward and easy to navigate, offering options for short-term tourists, along with temporary and permanent options for foreigners who want to stay long-term. Even Mexican citizenship is relatively easy to obtain.
How easy is it for an American to live in Mexico? ›Mexico is one of the easiest countries to get a residency visa. The process is very straightforward and inexpensive. You simply have to prove you have enough funds to cover your cost of living and pass a simple immigration interview done at the Mexican Consulate nearest you.
How long can I stay in Mexico if I'm a US citizen? ›Mexico's visitor visa allows entry into the country for leisure or business visits lasting maximum 180 days. The immigration official at the port of entry will grant a specific number of days (not exceeding 180) when you arrive in Mexico.
What are the pros and cons of living in Mexico? ›
- + PRO: Warm and welcoming people. ...
- + PRO: Rich in cultural celebrations and cuisine. ...
- + PRO: Fascinating history. ...
- - CON: Language barriers complicate many aspects of life. ...
- - CON: Patience is fundamental. ...
- + PRO: Relaxed visa policy. ...
- - CON: Bureaucracy and paperwork can get overwhelming.
Expat tax rules state that if you're a U.S. citizen or Green Card holder, you have to file a U.S. tax return each year, even if you live and work in Mexico.
How much money do you need to live a good life in Mexico? ›...
Average Cost of Living Across Mexico: $600 – $2,000.
- Mexico City – The Place That Has It All.
- Mérida – Quiet Warmth and Beauty. ...
- Guadalajara – Affordable City and Retiree Living. ...
- Monterrey – Mexico's Hardest Working City. ...
- San Miguel de Allende – Loved by Expats and Visitors. The town of San Miguel de Allende is in Mexico's central heart. ...
A retired couple can expect to retire comfortably in Mexico with an average income of about $2,500 a month, or $30,000 a year, according to InternationalLiving.com. These figures include the cost of a house, a maid service, utilities, groceries, entertainment, health insurance and more.