How to Travel Mexico on a Budget: The 2025 Guide

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Forget the $300-a-night resorts and tourist traps. For three months, we explored Mexico's vibrant markets, hidden cenotes, and lively neighborhoods for just $35 a day.

Who We Are

After dreaming of exploring North, Central, and South America together, my girlfriend and I embarked on a multi-month journey across Mexico, focusing on authentic local experiences while keeping costs down.

Our Itinerary

  • Mexico City: 2 months
  • Oaxaca: 1 month
  • Yucatan (Riviera Maya, Valladolid, Merida): 3 weeks

Budget Breakdown

Monthly expenses:

  • Accommodation ($600)
  • Food & Drinks ($300)
  • Transportation ($100)
  • Activities & Experiences ($100)

Total (~$1,100 per person)

Finding Accommodation

What worked for us:

  • Airbnb for longer stays: Weekly/monthly discounts significantly reduced costs.
  • Room vs. Apartment: Private rooms in shared apartments offered better value than tiny loft apartments. You'll have roommates, but common areas are bigger with more amenities.

Tip: Don't be afraid to stay outside the main tourist areas—you'll experience more authentic local life while paying less.

What to look for:

  • Noise insulation: Mexico is LOUD—check reviews for noise complaints. Windows rarely provide adequate sound insulation.
  • Internet reliability: If working remotely, carefully read reviews mentioning "wifi" or "internet" quality.
  • Location: We prioritized walking distance to markets for quick meals and public transport.

Getting Around

Public Transportation

We primarily used public transportation, which is both affordable and efficient:

  • Mexico City: Metro/Metrobus with integrated mobility card
    • Tip: Google Maps isn't always accurate—use the official transport map for better route planning
  • Oaxaca: Walking + collectivos (shared vans)
  • Yucatan: Car rental for coastal travel (we chose Avant after researching to avoid scams)

Apps: Use Uber or DiDi for ridesharing. Avoid traditional taxis when possible.

Safety tip: Schedule travel during daylight hours, especially for longer journeys.

Food & Drink

  • Local markets (mercados): Our favorite for authentic, affordable meals
  • Street food stalls: Look for busy ones with high turnover to minimize food safety risks
  • Menu del día: Set lunch menus (soup, main course, dessert)
  • Budget supermarkets: For self-catering, we shopped at Bodega Aurrera, Tiendas 3B, and Soriana, avoiding pricier smaller stores like Chedraui Selecto and Walmart Express

Mexican cuisine was definitely one of the highlights of our trip. The quality and taste at mercados and street food stalls consistently impressed us.

Staying Fit

Finding healthy food options can be challenging—Mexican supermarkets are dominated by processed products. Look for fresh produce at local markets instead.

Tip: In Mexico City, they close major streets on Sundays for cycling, running, and outdoor fitness classes. It's a fun, free way to exercise and experience the city with fewer cars.

Remote Work & Connectivity

Internet Solutions

  • Accommodation: Prioritize places with positive wifi reviews
  • Backup connection: We used a local SIM and connection-bonding software (Speedify) when accommodation wifi was unstable

Mobile Data

  • Telcel: Best coverage throughout Mexico, though not the cheapest option
  • eSIM: Airalo offers convenient plans for short-term visitors

Workspaces

We typically worked from our accommodation, but alternatives include:

  • Cafés: Always ask before settling in with your laptop
  • Coworking spaces: Available in larger cities

Language

Learning basic Spanish significantly enhances your experience. While English is somewhat common in tourist areas and Mexico City, outside these regions you'll encounter almost exclusively Spanish speakers (plus indigenous languages in some areas).

Tip: The Google Translate app's camera feature is invaluable for menus, signs, and quick translations.

Money Matters

Cash is king! Managing your money effectively:

  • ATMs: Withdraw from bank-attached machines
    • Lowest fees: Inbursa, BanBajio, Banca Mifel, Bancoppel
    • Important: Always decline the conversion rate offered by ATMs
  • European travelers: Use Trade Republic for fee-free withdrawals over €100, avoiding one of the typical fees
  • Tipping: 10-15% is standard at restaurants

Safety & Practicalities

  • Visa: Most tourists receive 180 days on arrival (have proof of onward travel ready)
  • Insurance: Comprehensive travel insurance is essential
  • Medical care: Many pharmacies have attached doctor's offices for minor issues

Regional Highlights

Mexico City

Activities:

  • Parque Mexico in Roma (beautiful park with dog walkers and dance classes)
  • Museo de Chocolate (fascinating cultural history)
  • Free walking tours in the city center
  • Chapultepec Castle with panoramic views

Food:

  • Tlacoyo
  • Barbacoa
  • Street tacos

Drawback: Despite improvements, air pollution remains an issue. Consider limiting stays to a few months.

Oaxaca

Activities:

  • Monte Alban ruins
  • Alebrijes workshops
  • Jalatlaco district's colorful streets
  • Mezcal tasting at Oruga
  • Museo de las Culturas
  • Arbol del Tule (ancient tree)

Food:

  • Garnachas
  • Memelas
  • Tlayudas
  • Tejate (traditional chocolate drink)
  • Paseo De Humo in Mercado 20 de Noviembre

Drawback: Water supply issues and car-centric infrastructure.

Yucatan

Activities:

  • Wildlife watching on Playa Del Carmen beaches
  • Isla Mujeres (especially the picturesque northern part)
  • Cenote SAC-AUA (uncrowded natural swimming hole)
  • Cozumel snorkeling
  • Los Rapidos Bacalar
  • Merida's charming Zocalo plaza

Food:

  • Fresh seafood at Big Fish (Isla Holbox)
  • Yucatecan specialties: Panuchos, Sopa de Lima, Cochinita Pibil

Drawbacks: Tourist scams in Riviera Maya and Merida's extreme heat and humidity.