Cost Comparison 2025

MadridvsMexico City

Spain
Mexico

Overall

💰

-30.8%

Madrid is 30.8%cheaper

Rent

🏠

-30.0%

Housing is 30.0% lower

Dining

🍽️

-35.5%

Restaurants 35.5% cheaper

Groceries

🛒

-33.3%

Food shopping 33.3% less

Comparing the cost of living between Madrid, Spain and Mexico City, Mexico reveals significant insights for anyone considering relocation or travel in 2025. Our comprehensive analysis shows that Madrid is more affordable than Mexico City by approximately 30.8%. This comparison covers essential living expenses including housing, food, transportation, and utilities, providing you with a complete picture of what to expect financially in each city.

Key Cost Differences

Housing costs in Madrid are higher than in Mexico City by 43%. A one-bedroom apartment in Madrid's city center costs around €1,200, while the same in Mexico City is approximately MX$15,000.

Dining out in Madrid is notably more expensive compared to Mexico City. An inexpensive restaurant meal costs €12 in Madrid versus MX$100 in Mexico City.

Public transportation in Madrid is more affordable, with monthly passes at €55 compared to MX$500 in Mexico City.

Purchasing power in Madrid is notably stronger, meaning residents can afford more goods and services with their local salaries compared to Mexico City.

Grocery shopping in Madrid is more expensive by approximately 50%. Basic items like milk, bread, and eggs show higher prices across the board.

Monthly Budget Breakdown

When breaking down monthly expenses, a single person in Madrid can expect to spend approximately €419 per month (excluding rent), while in Mexico City, the same lifestyle would cost around MX$5,050. For families, these figures increase significantly, with a family of four requiring about €1,466 monthly in Madrid versus MX$17,675 in Mexico City. These estimates include groceries, dining out, transportation, utilities, and entertainment, providing a realistic picture of day-to-day living costs in each city.

Detailed Cost Comparison

Item
Madrid, Spain
Mexico City, Mexico

🏠 Housing Costs (Monthly Rent)

1BR City Center
€1,200
MX$15,000
1BR Outside Center
€900
MX$8,000
3BR City Center
€2,300
MX$30,000

🍽️ Food & Dining

Meal, Inexpensive Restaurant
€12
MX$100
Meal for 2, Mid-range Restaurant
€60
MX$700
Cappuccino
€3
MX$60
Domestic Beer (0.5L)
€4
MX$40

🛒 Groceries

Milk (1L)
€1
MX$25
Bread (500g)
€1
MX$35
Eggs (12)
€2
MX$35
Cheese (1kg)
€11
MX$120

🚌 Transportation

One-way Ticket
€2
MX$5
Monthly Pass
€55
MX$500
Taxi Start
€4
MX$40
Gasoline (1L)
€2
MX$23

💡 Utilities & Internet

Basic Utilities (85m²)
€120
MX$1,000
Internet (60 Mbps)
€35
MX$500
Mobile Minute
€0
MX$2

Tips for Moving Between Cities

For those considering a move from Mexico City to Madrid, the cost savings can be substantial, particularly in housing and daily expenses. However, it's important to factor in salary differences and job opportunities. Conversely, moving from Madrid to Mexico City requires careful financial planning. Consider negotiating salary adjustments that reflect the higher cost of living, and research neighborhoods outside the city center for more affordable housing options while maintaining reasonable commute times.

Quality of Life Indices

Madrid

Cost of Living Index65
Rent Index50
Purchasing Power Index85

Mexico City

Cost of Living Index45
Rent Index35
Purchasing Power Index45

Frequently Asked Questions

Is Madrid more expensive than Mexico City?

No, Madrid is approximately 30.8% cheaper than Mexico City. You'll find significant savings in housing, food, and transportation costs.

How much salary do I need in Madrid compared to Mexico City?

To maintain the same standard of living, you would need approximately 76% of your Mexico City salary when living in Madrid. For example, if you earn $50,000 in Mexico City, you'd need about $38,235 in Madrid for a comparable lifestyle.

What are the biggest cost differences between Madrid and Mexico City?

The most significant cost difference is in dining out. Restaurant prices vary by about 55%, which can significantly impact your entertainment budget. Transportation and utilities show notable variations between the two cities.

Which city is better for expats and digital nomads?

Madrid offers better purchasing power, making it more attractive for those earning in strong currencies. However, Madrid provides lower living costs, which benefits budget-conscious travelers. Consider Madrid if you prioritize earning potential, or Mexico City for affordability.

What's a reasonable monthly budget for Madrid vs Mexico City?

In Madrid, a single person needs approximately €1,319 per month (including rent), while a family of four requires about €3,166. In Mexico City, these figures are MX$13,050 for singles and MX$35,675 for families. These estimates include housing, food, transportation, and basic entertainment.

The cost of living comparison between Madrid and Mexico City in 2025 shows significant differences across various expense categories. Whether you're planning a relocation for work, considering retirement options, or simply curious about living costs, understanding these differences is crucial for making informed financial decisions.

Need to calculate salary equivalence?

Find out how much you need to earn in Mexico City to maintain your lifestyle from Madrid

Calculate Salary Equivalence

Last updated: 2025-01-15 • Data sourced from multiple providers