The basic living expenses in Mexico are cheaper than in the United States, Canada or even some parts in Europe. Especially when it comes to housing costs.
The cost of living in Mexico, or any country in the world, kind of depends where you want to live and how much you can afford to spend (read: how much money or what lifestyle you need to be happy).
In Mexico the following things are cheaper compared to average daily life in The US, Canada or Western Europe:
fruit and vegetables
bread and pastries
soap products like detergent, shampoo, dish washing liquid
beer and strong alcohol
public city transport, taxi, intercity busses and domestic airplane tickets
renting or buying a house outside popular areas
small motorcycles (150CC-250CC)
The following items are expensive in Mexico:
Electronics like laptops, cell phones, cameras, smart watches, tablets, computers and other electronic gadgets
renting or buying a house in popular locations
insurance for your car or motorcycle
The following items are about the same prices:
meat and other groceries
piped water to your house
taxes on housing and land
electricity, although you might find it cheaper if you stay below a certain level which van vary per State
internet, TV and telephone costs
Overall you can say Mexico is not a cheap place to live, it is a more affordable place to live.
You have to take in account when calculating your budget that you always have to exchange money and pay fees for that, and that markets can influence your budget.
Om average I would say with 1,000 – 1,500 US$/Euro you can live comfortably in Mexico. Not extremely luxurious, but just comfortabel. Like: Ride a car or motorcycle, have a local health-insurance, rent a normal size house on a private lot, go out every day for lunch or diner in a local restaurant and sometimes more upscale restaurant, buy clothes if you need them and eat well and healthy, cover annual legal fees and even have some money to put aside.
Maybe you’d like to talk to someone who lives in Mexico about your plans? Check out this page to see what I offer and make a reservation.