Moving to Mexico: A Guide for Expats and Digital Nomads

Mexico is quickly becoming a popular destination for skilled professionals and remote workers from around the world. With its rich culture, warm climate, and relatively low cost of living, Mexico offers a unique combination of modern amenities and traditional charm that appeals to expatriates and digital nomads alike.

The country has seen a significant rise in its expatriate community, thanks to its diverse opportunities and attractive lifestyle options. Mexico’s economy is diversified, with key sectors including manufacturing, tourism, and services, creating various opportunities for foreign entrepreneurs and remote workers.

Moving to Mexico, however, requires careful planning. Understanding visa requirements, local customs, and the cost of living will help ensure a smooth transition. With proper preparation, Mexico can be an ideal base for expats and digital nomads seeking to enjoy the country’s rich culture and opportunities.

Step 1: Before moving to Mexico: Prepare your documents

Before you relocate to Mexico, it’s crucial to ensure you meet all the requirements for living and working in the country by securing the appropriate visa.

Visa requirements for expats and digital nomads in Mexico

There are a number of different visas and residence permits that can enable people with different backgrounds and needs to legally enter, and reside in Mexico. The three most common visa types are:

Tourist card
If you are visiting Mexico for less than 180 days, you can enter the country with a tourist visa (FMM) upon arrival. This visa is typically issued at the border and does not require prior application. However, it does not allow you to work or engage in activities beyond tourism.

Temporary resident visa
For stays longer than 180 days or if you plan to work remotely, a Temporary Resident Visa is required. This visa is suitable for individuals who plan to live in Mexico for up to four years. To qualify, you must meet certain financial or professional requirements and prove your intention to stay long-term.

Permanent resident visa
If you intend to reside in Mexico indefinitely, you can apply for a Permanent Resident Visa. This is generally available to individuals who have lived in Mexico under a Temporary Resident Visa for four years, or who can demonstrate sufficient ties to the country.

Application process

The application process for a visa usually involves submitting various documents, including a valid passport, proof of income or employment, and a completed application form. Depending on the visa type, you may need to provide additional documentation such as a criminal background check.

Duration and renewal

Temporary Resident Visas are typically issued for one year and can be renewed annually for up to four years. Permanent Resident Visas are issued indefinitely but may require periodic updates to ensure continued residency status.

It’s crucial to start your visa application process as soon as possible, preferably before your arrival in Mexico. During your stay, you may need to complete additional requirements such as medical examinations or biometric data collection.

Securing the right visa is essential for expats and digital nomads planning to establish themselves in Mexico, providing legal residency, work authorization, and access to local services.

Moving to Mexico: Essential document checklist

Gathering all required documents early is crucial to prevent delays or issues with your visa application. Depending on your visa type, you may need the following:

Importance of document authentication and translation in Mexico

Documents required for visa applications should be translated into Spanish and authenticated as necessary. Some documents may also need to be attested by your home country’s authorities and the Mexican consulate.

Step 2: Manage your finances in Mexico

Mexico can offer a high-quality lifestyle with a lower cost of living compared to many Western countries, but it's essential to manage your finances effectively to enjoy a smooth transition. Here’s a guide on how to handle your finances in Mexico:

Cost of living in Mexico

Here’s a breakdown of what you can expect in terms of living costs in Mexico:

Renting: In Mexico City, a one-bedroom apartment in the city center typically costs around MXN 15,000 ($850) per month. In less central areas, prices may drop to approximately MXN 8,000 ($450). Prices vary significantly depending on the city, with places like Cancún and Playa del Carmen having different rates. Buying property: The real estate market in Mexico is diverse, with prices varying widely by location. In popular areas, such as Mexico City, Cancún, and Puerto Vallarta, property prices can be high. Additional costs such as notary fees, property registration fees, and agent commissions can amount to about 4-6% of the purchase price. Food and drink: Grocery costs in Mexico are generally lower than in many countries, especially if you shop at local markets. Dining out at a mid-range restaurant might cost around MXN 600 ($33) for two people. Street food and local eateries offer cheaper and flavorful options. Transport: Public transportation in Mexico is affordable, with a metro pass in Mexico City costing around MXN 200 ($11) per month. Car ownership is common, but consider costs for fuel, insurance, and maintenance. Fuel prices are relatively low compared to many other countries. Utilities: Monthly utilities, including electricity, water, and gas, can range from MXN 800-1,500 ($45-$85), depending on your accommodation size and usage. Internet and TV packages generally cost around MXN 400-800 ($22-$45) per month.

Taxation

One of the advantages of living in Mexico is the relatively low tax burden on personal income. However, Mexico does have income tax, and the rates depend on your earnings. It’s essential to understand your tax obligations both in Mexico and in your home country. Some expatriates may need to file taxes in both locations unless double taxation agreements or other international tax treaties are in place.

Banking and currency exchange

To open a bank account in Mexico, you’ll generally need your residency visa, passport, and proof of address. Many banks in Mexico offer services in English, and you can find several international banks with branches in major cities. Mexico’s currency is the Mexican Peso (MXN). Currency exchange services are widely available, but for the best rates, consider using ATMs or bank services that accept international cards, as these often offer more favorable exchange rates.

Managing your finances wisely in Mexico will allow you to enjoy the country’s affordable living while making the most of its unique opportunities.

Step 3: Arrange housing and accommodation in Mexico

Securing suitable accommodation is a vital step in your relocation to Mexico, impacting both your comfort and legal residency matters.

Renting vs. buying

Both renting and buying property are viable options in Mexico, though there are considerations for each:

Renting: Renting is the most common choice for expatriates in Mexico. The rental market offers a variety of options, from modern apartments in city centers to spacious houses in quieter neighborhoods. When renting, you’ll usually need to provide proof of income, a copy of your residency visa, and a security deposit, which is often equivalent to one or two months' rent. Lease agreements typically last for one year, and rent is generally paid in advance on a monthly or quarterly basis.

Buying property: Foreigners can purchase property in Mexico, though there are restrictions on owning land within 50 kilometers of the coast and 100 kilometers of the borders. Properties in areas such as Mexico City, Cancún, and Tulum are popular among expatriates. Be aware of additional costs such as notary fees, registration fees, and maintenance costs when budgeting for a property purchase. Foreigners can also gain residency status through property ownership under certain conditions.

Finding suitable housing

Mexico offers a wide range of housing options, from high-rise apartments in urban areas to charming houses in suburban communities. Websites like Inmuebles24 and Segunda Mano are excellent resources for finding available properties. When choosing a location, consider proximity to work, international schools, shopping centers, and public transportation. Popular areas for expatriates include neighborhoods like Polanco and Condesa in Mexico City, and beach towns such as Playa del Carmen and Puerto Vallarta.

Once you’ve selected a property, carefully review the lease or purchase agreement, which should include:

• Property description: Detailed information about the property’s features.
• Rental amount and payment details: Terms regarding how and when rent is to be paid.
• Security deposit: Typically one or two months' rent.
• Lease duration: Usually fixed for one year or longer.
• Maintenance responsibilities: Clarify who is responsible for repairs and upkeep.
• Policies on pets and subletting: Some properties may have restrictions on pets or subletting.

Understanding these details will help you find the best possible living arrangement in Mexico, ensuring a smooth transition and a comfortable living experience.

Step 4: Job market and working arrangements in Mexico

Mexico’s job market is diverse, offering opportunities across various sectors including technology, manufacturing, finance, healthcare, and education. With ongoing economic growth and development, new opportunities are emerging, particularly in areas like tourism, renewable energy, and digital services.

The average monthly income in Mexico can vary widely based on the industry and level of expertise. Salaries are generally lower than in many Western countries, but many expatriates receive benefits such as housing allowances and transportation stipends.

Remote work: Remote work is increasingly popular in Mexico, especially in major cities like Mexico City, Guadalajara, and Monterrey. Many international companies offer remote positions, and job seekers can explore opportunities through platforms like LinkedIn, Computrabajo, and OCCMundial.

Work culture: Mexico’s work culture values personal relationships, respect, and punctuality. Building strong relationships and networking is crucial for career advancement. While Spanish is the primary language used in most workplaces, English is commonly spoken in multinational companies and certain sectors. Proficiency in Spanish is highly beneficial and often necessary for navigating local business environments effectively.

Step 5: Accessing healthcare and education in Mexico

Healthcare system

Mexico provides a range of healthcare options, including both public and private services. Expatriates are encouraged to obtain private health insurance, as this offers broader coverage and access to high-quality care.

Public healthcare: The public healthcare system, known as IMSS (Instituto Mexicano del Seguro Social), provides subsidized medical services to those enrolled. While it offers essential care, waiting times can be long, and it may not cover all services.

Private healthcare: Private healthcare in Mexico is well-developed, with numerous hospitals and clinics offering high standards of care. Expatriates often opt for private health insurance, which provides access to faster and more comprehensive medical services.

Education options

Mexico offers a variety of educational options for expatriate families, ranging from local schools to international institutions.

Primary and secondary education: Public schools are available but are generally attended by Mexican nationals. Expats typically enroll their children in private or international schools. Many of these schools offer curricula in English and follow international standards, such as British, American, and IB programs.

Higher education: Mexico hosts a number of higher education institutions, including UNAM, one of Latin America's largest universities, and Tecnológico de Monterrey, a prestigious private university with a strong international reputation. These institutions offer a wide range of undergraduate and postgraduate programs and often have partnerships with renowned universities worldwide.

Education standards in Mexico are high, and the multicultural environment provides students with a globally oriented education.

Step 6: Ensuring your safety in Mexico

Safety overview

Mexico is a diverse country with varying safety conditions depending on the region. While some areas experience higher crime rates, many cities and towns are quite safe, especially in tourist areas and expatriate communities. Cities like Mérida, Querétaro, and parts of Mexico City are known for their safety and welcoming atmosphere for expatriates.

General safety: Petty crime, such as pickpocketing and purse-snatching, can occur, particularly in crowded areas or tourist hotspots. However, violent crime rates are generally lower in many parts of Mexico compared to other countries in the region. Always take standard safety precautions, such as avoiding poorly lit areas at night and securing your belongings.

Emergency services: Mexico’s emergency services are accessible and efficient. The national emergency number is 911, which connects you to police, medical, and fire services. Operators typically speak Spanish, so learning a few basic phrases can be helpful. Familiarize yourself with local emergency contacts and the locations of nearby hospitals or clinics for quick access in case of an emergency.

Step 7: Embracing Mexican culture

Mexican customs: Greetings in Mexico are generally warm and friendly. A handshake is common, and it’s polite to address people with titles and formalities until invited to use their first names. In social settings, physical gestures like hugs and cheek-kissing are common among acquaintances and friends.

Dress codes: Mexico has a varied dress code depending on the region and occasion. In business settings, formal attire is standard. For everyday wear, dress codes are generally casual but should be respectful of cultural norms. In some areas, especially religious or rural communities, more conservative clothing may be appropriate.

Social norms: Punctuality is valued in business contexts, though social gatherings might have a more relaxed approach to time. Respect for personal space and privacy is important, and while Mexicans are generally warm and open, direct communication should be balanced with politeness. Public displays of affection are common but should be approached with discretion in more conservative areas.

Leisure culture: Mexico boasts a vibrant leisure culture with a blend of modern and traditional elements. Cities like Mexico City and Guadalajara offer a rich array of cultural activities, from museums and theaters to bustling markets and festivals. Local traditions, such as the Day of the Dead and various regional festivals, provide unique cultural experiences. Engaging in local customs, like enjoying street food or attending community events, can enhance your cultural immersion.

Embark on your new adventure in Mexico

Mexico offers expatriates a unique and rewarding experience. Whether you’re attracted to its vibrant cities, picturesque beaches, or historical sites, thorough research and careful planning will make your relocation smoother and more enjoyable.

For additional support in navigating the complexities of moving to Mexico, Deel can assist with visa applications and help find suitable insurance plans. Discover how Deel can help you secure a work visa or explore the Deel blog for more insights on relocating to Mexico and other global destinations.