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Chuck Bolotin of Best Mexico Movers – Best Places In The World To Retire User Account
Bambu Restaurant, near Ajijic, in San Juan Cosala, MexicoOne of the main reasons (but hopefully not the only reason) to move to the Ajijic / Chapala area, is the cost of living.  As an expat I met yesterday described it, "Twice the lifestyle at half the cost," and my experience is that he is roughly correct, if not understating the case.
 
Our experience is that our cost of  living here in the Lake Chapala area is about 60% less than when we lived in southern Arizona, but with nicer weather and a great lake view thrown in.  The most significant differences are:
  • Our rent is $1,200 per month for a 3,000 square foot home with an awesome view.  Included in that rent is housekeeping, gardening, water, security, trash pickup, tennis and a pool.
  • In our last month in Arizona, we paid $390 for electricity.  Here it is about $20.  Water in Arizona cost me $190 in our last month, while here, it is included in the rent.  Talking about things that are included in the rent, in Arizona we did not have housekeepers or gardeners, but here, we do, as part of our rent.  Our Internet service is $20 per month here.
  • Our health insurance in the US would be over $1,000 per month by now, while here, for better insurance, it is less than $250.  Doctor visits in the US are so expensive I tried never to go, while here, they're about $25 - $30.
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  • When we first arrived here, we decided to go to a Mexican buffet on the lake at a very nice restaurant, with waiters, white table clothes, on the lake, omelet bar, fresh juice, etc., called Bambu, which is pictured above.  When I asked how much it cost, I was told the equivalent of $12.  When I jokingly asked in Spanish, "For two?" the answer was "Si." (No translation needed.)  In Arizona, the cost for one would be $20.  In LA on the beach, who know?  $40?  $50?
Don't ever move for the cost of living alone.  However, if everything else lines up for you, costs like I outlined above really take the edge off.
 
If you need a mover to move your household goods to Mexico, be sure to check out Best Mexico Movers.
Centeya of Radisson Blu Ajijic – Best Places In The World To Retire User Account
Ajijic, Mexico home and garden – Best Places In The World To Retire – International LivingI’ve been lucky that the cost of living in the Chapala and Ajijic area is low because I’m a local and I’m in real estate. The cost of living in Chapala and Ajijic can vary depending on where you want to live. For example, if you want to live in the village (the central area of Ajijic) and have a Mexican-style home, the cost of living is very low.
 
Living in the villages in Chapala and Ajijic is very safe. I live in a very Mexican neighborhood in Ajijic where everybody’s very friendly. I feel very safe where I live, and my rent and maintenance are very low. You may also live on the higher end and find luxury all throughout the village.
 
For an American who has never been to Ajijic and wanted to find a three-bedroom, two- bathroom house in various places around Ajijic, you can find average rentals of US $600 - $800 a month. This is an extremely low rate compared to living in San Francisco where you might pay $2,600 a month for a 1-bedroom tiny apartment. After living in San Francisco and coming back here to the Ajijic area, I thought, “Wow! I can live in a three-bedroom apartment in Ajijic for $600 a month with a lake view and a maid and a gardener?”
 
It has become a lot more difficult to find rentals in Ajijic than it was when I left five years ago. I was surprised when I came back to Ajijic because I had to wait until the low season, which falls between April and May, to find good rentals.
 
Here in Ajijic, I have a place with two bedrooms, one bath, a little garden, and off-street parking for $600 a month. My place also has a lake view and a terrace, and is located right in the middle of Ajijic. The least expensive rentals in Chapala and Ajijic can be found around Riberas del Pilar and San Antonio. These are very lovely areas.
 
I lived in Riberas del Pilar for a couple of years and I really liked it because of its central location and its close proximity to Lake Chapala. It’s also located in an up and coming neighborhood, although they are working on some issues with drainage. It’s really going to be on the upper scale in the next few years.
 
When I was living in San Francisco and in Florida, I was a very organic type of girl, which made my cost of living a little more pricey  compared to how much it is here in Ajijic. Back in San Francisco and in Florida, we would go to farmers’ markets once a week to buy 100% organic types of food.
 
Here in Ajijic, goods are not labeled as organic, but if you go to the market in Ajijic on Wednesdays, you can easily find inexpensive fruits and vegetables that are just beautiful. If you’re more adamant about being organic, you can go to the Tuesday farmer’s market in West Ajijic, where goods may cost a little bit more, but it’s where you’ll find more exotic fruits and vegetables such as arugula that you wouldn’t find in the tianguis (open-air, farmers’ markets). You can also go to Wal-Mart to find organic food.
 
The cost of food is definitely much lower here in Ajijic than in the United States. In the United States, you can go to the supermarket and easily spend $200. Here in Ajijic, you would only spend about $50-$80 in the supermarket and walk out with double the amount. It still also depends on where you go.
 
For example, Super Lake is a more expensive place to shop in the Lake Chapala area because it is where you can find all the American brands that you’re willing to pay more for because you cannot find them anywhere else. It’s still really nice to have these brands available here in Chapala via Super Lake.
 
The easiest way to find homes and rentals in Chapala and Ajijic is through word of mouth. When you’re driving around in Chapala and Ajijic, you’ll see that the locals put out tiny “For Rent” signs. You have to really keep your eyes open for these signs. The locals will also post rentals available on little bulletin boards around town. Instead of going online, you just really have to go look for it driving around.
 
(Example of a two bedroom home with a maid and gardener in Ajijic, Mexico, pictured.)
Percy Pinklebutt of Percy Pinklebutt Enteprises – Best Places In The World To Retire User Account
Outdoor living under a palapa with furniture from NOMAD furniture, Ajijic, Mexico – Best Places In The World To Retire – International LivingThe cost of living in Chapala and Ajijic, as is the case anywhere, if you buy local it’s less expensive and if you need imported things it will cost you more. Medical expenses may be less both for doctors’ visits and for medicines; however, the climate, the people, and the culture are the biggest pull for those who decide to move here permanently.
 
Fresh local produce is very affordable and that makes better eating choices easier. Living by a huge lake in year-round sunshine and warmth with properties available to suit every budget make this a very attractive place to be.    
 
Karen Herrtwich of S&S Auto – Best Places In The World To Retire User Account
Home built for light and cross breezes, Ajijic, Mexico – Best Places In The World To Retire – International LivingThe cost of living in Chapala and Ajijic is so variable- it depends on the size of your home. For example, for our home of approximately 6,000 square feet, electric bills used to be approximately 3,500 pesos (US $170) every two months.  We now have solar, so the bill is considerably less than that at approximately $65 pesos every two months. We have air conditioning, but we only use it in one area and for only two months in the entire year (May & June, when it’s very hot). Before the solar system, we also brought the electric cost down by rewiring the house, and got rid of that big old flat screen TV that was drawing tons of wattage. 
 
On the flip side, we know people that live in smaller 1,200 square foot, 2-bedroom homes that pay 75 pesos (less than US $4) a month on electric bills.  Cost includes normal home appliances along with water pressure systems, washers & dryers.
 
It’s variable on lifestyle, but you can spend 1,500 pesos (US $75) on groceries for two people a week in Chapala.  Typical lunch for two would cost about 200 - 300 pesos (US $10 – US $15) more or less, depending on where you go. We recently went out for a steak dinner and paid 900 pesos (US $45) for three people (steak dinner with salad & drinks).
 
Housing in Chapala and Ajijic is great. Like most places in the world, price of homes depends on location. A small two-bedroom home/condo can cost around US $150,000 and up, compared to a three-bedroom hillside home with a pool that will cost US $400,000 and up.  Consider all the factors of purchasing property - older homes could need work (electrical and plumbing). 
 
Real estate in Chapala and Ajijic is interesting because there are no two houses alike (not taking into consideration gated communities). With that, there can be a US $100,000 dollar-home next door to a US $400,000-dollar home.  As you head east or west from the central area of Ajijic, home prices will drop … location, location, location. 
 
(1,300 square foot home built for light and cross breezes, Ajijic, Mexico, pictured.)
Jeff Smith of DocTours – Best Places In The World To Retire User Account
Relative to the cost of living in Chapala and the Ajijic area, this is only anecdotal, as budgeting bugs me. Just in general, I've not found anything costing more than half of it what it costs in the States.
 
All the money I take out for a week, I still have bushels full left over to start the next week. Money, even if you were only in the lower middle class in the States, is a non-issue down here. Mexico makes us gringos feel rich.
 
(Buying fruits and vegetables at the tiangus market, Ajijic, Mexico, pictured.)
Flip Nicholson of Fenix Real estate – Best Places In The World To Retire User Account
Fireplace in a cozy kitchen, Ajijic, Mexico – Best Places In The World To Retire – International LivingThe cost of living in Chapala and Ajijic is less than anywhere else that I know of without sacrificing lifestyle. For example, I could live in a remote place in the world and not have a flushing toilet, the kind of groceries or the medical care that I’m used to and be a day and a half donkey ride to the airport, and it would be cheap there- I might be in a jungle in Africa. When people move to Chapala, they don’t want to give up the sitcoms they watch every night, their communication with their grandkids, cell phone service, or the habits they’ve created over several years. 
 
One of the reasons the Lake Chapala area has the perfect cost of living is that we don’t have air conditioners or heaters in our home. That’s one of the savings you can have. Also, the climate in Chapala is perfect. Does it ever get cold in Chapala? It depends on what’s cold to you. Cold to someone from Alberta is not the same cold as it is to a Mexican living here when they’re freezing their tail off and they’ve got a parka on, and it’s only 40 degrees. 
 
The cost of living and the climate in Chapala are so perfect that we don’t have heaters, except for a fireplace to take the chill off in the morning. We don’t have air conditioners here in Chapala, but some people had them installed because they’re so freaked out that it might get hot. But we don’t need air conditioners, and that’s another one of the savings you can have in Chapala. 
 
The biggest savings I see are from medical and dental care in Chapala. Medical and dental procedures in Chapala cost from one tenth to one fifth of what they cost in the US. There are people who come to Chapala just for dental work. They can get it done, stay in a hotel, have a good time, and go back to the US or Canada, and still have more money in their pocket, even after deductibles, if you have insurance policies.. It’s the same with medical care: we can get surgery done and stay in the hospital for about a fifth of what it would cost us in the US. 
 
When you get to be over 55 years old, your health starts to deteriorate, so you will need more medical care. You start thinking,, “Where am I going to get a hip replacement, and what would it cost?” 
 
The last savings you can have in Chapala are from everyday cost of living. You can go to a grocery store here in Chapala and pay for products imported from the US, and you’ll spend more money than you would in the US. On the other hand, if you shop wisely in Chapala and get fresh produce and the things that you could eat daily, and even when you eat out, you’re going to spend about half of what you would spend in the US. Those are savings on cost of living in Chapala. 
 
Gasoline is expensive here in Chapala, but where are you driving? I used to drive 4 - 5 miles for a carton of milk because I lived out in the country. Here in Chapala, people drive from Ajijic, which is 2 kilometers and say, “Oh, I have to go clear to Chapala today.” 
 
The basic cost of living is just more affordable in Ajijic and Chapala, and it’s attractive to a lot of people who can’t retire on their pension in the US. Professional services are all here in Chapala, and they’re all inexpensive. Services like satellite, TV, telephone bill, which costs about 180 pesos (US $9) for basic, are all cheaper in Chapala.
 
(Fireplace in a cozy kitchen, Ajijic, Mexico, pictured.)
Amaranta Santos of Eager & Asociados – Best Places In The World To Retire User Account
Home with solar panels, Ajijic, Mexico – Best Places In The World To Retire – International LivingI decided to live here in Ajijic for the past 8 years because of the standard of living here. You get what you could mostly get in a large city. There are some things that you couldn’t get in this town but those are things that just some people crave for such as high-end shows or very specific food like Vietnamese food or expensive Japanese food. Those are available in Guadalajara, which is only about an hour away from Ajijic. Most of the things that you could get in big cities, you could also get here in Chapala and Ajijic for half the price in a large city in Mexico. Compared to the US, the prices here would be a quarter of what you get there.
 
You could get nice rentals in Chapala and Ajijic that are affordable. Food is crazy affordable. Also, once you get familiar to the area, you would go to the local markets instead of the supermarkets, which are even cheaper. Medical services here, most especially by expat standards, are insanely cheap.
 
When they first move here, many expats can’t believe that they’re being charged in pesos. I had to make this clear with some clients that they are being charged in pesos and not dollars. They say, “Oh, so it’s $200.” And I say, “No, it’s 200 pesos (US $11).” It’s crazy because when you go to a doctor, you pay 200 to 300 pesos ($11 to $17) for the consultation. If, for example, you have a very bad cough and you get lots of medicines like antibiotics, it would cost around 700 pesos ($39).
 
We have all kinds of medications here. You can find almost any medication you want as long as you have a doctor to prescribe it. You don’t have to get it brought into Mexico from somewhere else or smuggle medicines into the country because we do have them here. This is one reason why many people come here. They come either to live here or to get medical attention. Dental care is probably a 10th of what you would pay in the US.
 
As an example, I had a full crown on a molar and it cost me a total of 3,500 pesos ($190) for everything, including a root canal and the crown. The same would have cost me around $1,500 to $2,000 in the US. It’s less than 10% here.
 
If you have a three-bedroom house with a pool and a casita, your electric bill would be around 5,300 pesos ($290) every 2 months. For us Mexicans this is extremely high but every time I talk to people from the United States or Canada, they say, “Well, it’s too high compared to other bills in Mexico, but not for us.” You also have access to solar panels if that’s what you want. If you want to live here and you don’t want to pay 5,300 pesos ($290) for your electric bill every 2 months, you have access to solar panels to reduce your electric bill.
 
If you need a gardener or a maid, you could get a maid for about 50 pesos ($3) an hour and a gardener would be around 70 pesos ($4) an hour. You could have the maid come 4 hours a week and pay 200 pesos ($11) a week for cleaning. Gardeners always cost a little more because the weather is so nice here, the plants grow quickly.  If the plants grow a little crazy, then you need to have your gardener come a little more often. You could pay your gardener 700 pesos ($39) a week then.
 
Propane gas costs 7.86 pesos (less than 50 cents) a liter and it lasts depending on what kind of heater you have. If you have a 200 liter tank and you are a regular user without those big fancy heaters and you take a regular one hot shower a day, it your tank could last you about 2 months. (Total charge for gas for two months in this example: less than $87.) This varies depending on how often you cook and how many people live in the house, how hot you like your water, and how often you take showers.
 
The cost of housing differs depending on the area.  Being that Ajijic is the epicenter, the closer you get to Ajijic, the higher the price. You have to consider how close you want to be to the Ajijic Village. There are many people, who, after living in the village, say, “I want to live 6 or 7 kilometers away from the village. Thank you.” Another significant determinant to price is you want a view or if you want to be closer to the Lake Chapala (which usually don’t have the views, unless you are on the lake, because the land is flatter towards the lake). A view would definitely raise your price.
 
A three-bedroom, two-bathroom, 300 square meter (about 3,200 square feet) house in a nice, safe area in the village with only a partial view would rent for around $1,500 per month on a long term rental and it would be furnished. Utilities are not included.
 
The price also depends on how long you want to rent, but we have all kinds of options. The shorter the period you are renting, the higher the price. If you take the same house and move it out by about 5 kilometers from Ajijic, it would cost about $1,200 per month to rent. If you move it out by about 10 kilometers, which is around San Juan Cosala, which is a more Mexican area, the same house would cost about $800 per month to rent and your landlord would be Mexican. Mexicans usually charge in pesos so it is lower.
 
(Home with solar panels, Ajijic, Mexico, pictured.)
Michael Kavanaugh of Continental Realty – Best Places In The World To Retire User Account
View of Lake Chapala from a living room, Ajijic, Mexico – Best Places In The World To Retire – International LivingThe cost of living in Chapala and Ajijic is a very broad question. Homes are available to purchase anywhere from US $49,000 to $2 million; it comes down to location, location, location. Anywhere that a typical North American expat would like to live and feel comfortable, safe, and have the amenities that they previously had where they lived is going cost around probably $200,000 for a home. 
 
You can rent anywhere from $450 per month for a small apartment to $2,500 for a beautiful home with a view, a pool and all the amenities. The average is about $900 a month.
 
Overall, the housing in Ajijic / Chapala is half the price or less than half the price of the US.
 
Overall, the cost of living in the Ajijic area is much less than, for example, Tuscaloosa, Alabama, which is a fabulous university town where I used to live.  Part of the reason is due to the retreat in the value of the peso because you can buy so many more pesos with your US dollar than before. When we first moved here, the exchange rate was 10 pesos to the dollar. Now it’s been averaging 18.5 pesos to the dollar. As a result, everything for an American is much less expensive.  This is not as true for Canadians because the exchange rate for a Canadian is only about 12.5 to 13 for a Canadian dollar.
 
The Chapala area in general, including Ajijic, is a bargain, with significantly lower medical cost. It’s so affordable you can pay out-of-pocket.  My wife just took our grandson to have a dental x-ray for 80 pesos (about US $4.30). A total annual blood work for myself was around 1,200 pesos (US $65).  Getting a teeth cleaning in the US could cost between $125 to $200. Here, its 150 pesos (US $8) at Dental Express, right down the way from our office, in the heart of Ajijic. They do an excellent job.
 
Property taxes are so much lower here.  For example, I have 13,000 sq. meters (3.25 acres) of land where I live and a house that’s 421 sq. meters (4,531 square feet) of construction and my property tax is about 5,000 pesos (US $272) a year.
 
If you’re cooking in your home, it’s inexpensive to buy the food here compared to what it is in the States. Because of the decline in the value of the peso over the last year and a half to two years, restaurants have gradually been inching up the prices on their menus, just because most of their customers are Americans and they can afford to pay the difference. A $15 meal in Tuscaloosa, Alabama might cost you $9 here.
 
There are a lot of people who service cars and trucks here. By experience you find that right person that you can work with, at a cost that is much, much less than what you would have to pay in the States.  
 
(View of Lake Chapala from a living room, Ajijic, Mexico, pictured.)
Luzma Grande of Ajijic Concierge Services – Best Places In The World To Retire User Account
US Consulate – Best Places In The World To Retire – International LivingThe cost of living in Chapala and Ajijic is low that you could have very nice quality things without spending a lot of money. Chapala is cheaper than Ajijic in everything – housing, restaurants, etc. Ajijic is a little more expensive than Chapala but I see people who live here off of their $1,200 a month pension. They live in a small nice house. They don’t often go out to eat at restaurants but they do go from time to time.
 
They also join groups that do not cost them a lot like the Lake Chapala Society (LCS) where you pay an annual membership fee of 525 pesos ($29), which gives you a bridge groups, a group of other games to play, access to a book library, access to a movie library, different talks during the week, a movie club, and many more.
 
There are free services offered only to members of the LCS. After I paid my annual membership fee at LCS, I went to an optometrist the next day for free. They have people from government offices who give advice who speak once every week. The consulate of the United States from Guadalajara comes once a month and they could help you if you have any problem or if there is anything that their office can help you with. If you need to renew your passport, they take it, bring it to Guadalajara, and bring it back to Ajijic. You could also have legal assistance for free but of course the lawyer will tell you how much you will pay if you pursue anything legally but at least the legal advice is free so you would know whether to proceed. The LCS also holds classes or tutorials on how to use a computer, how to use your iPhone or you iPad, or how to speak Spanish. They also offer cheap trips such as trips to Costco in Guadalajara, which only costs 300 pesos ($16). They’d take you to Costco in a bus, you can then buy what you need and then come home. Nobody does that in other places in Mexico but we have that here in Ajijic.
 
(Graphic posted on the Lake Chapala Society page when the US consulate is in town, pictured.)
Spencer McMullen of Chapala Law – Best Places In The World To Retire User Account
Rental in Guadalajara, Mexico – Best Places In The World To Retire – International LivingRight next to where I am in Chapala, one of my neighbors pays 2,500 pesos (about US $147) a month for a 2-bedroom apartment, right in the heart of town, where she can walk to everything. In the same area, there are other places with smaller houses in the downtown area where you might pay $200 to $500 a month. A lot of people rent in dollars as opposed to pesos.
 
In Ajijic, you might pay an additional $100 to $200 to live in the village within walking distance of everything. A house in one of the subdivisions in the outskirts that’s bigger with a view and a pool would rent for 8,000 to 12,000 pesos (US $470 to $706).
 
A 3-bedroom, 2-bath, 2,500-foot house in a gated subdivision would cost between 10,000 to 15,000 pesos (US $588 to $882) a month or even a little more. There are lots of gated communities between Ajijic and Jocotepec, especially in the newer areas, and these tend to have smaller homes on them. A home in one of these areas that is less than 2,500 square feet could probably rent for as little as 6,000 to 10,000 pesos (US $353 to $588).
 
I don’t do much work regarding rentals, and the prices I’m quoting is from the clients and as such, may not be representative of the market. These are not the same prices that are advertised on the Internet, which tend to be a little bit high.
 
Relative to food prices, I can give you a comparison.  When I would go grocery shopping in Santa Barbara, California, if I wanted to have barbecue with friends, I would probably spend $50 to buy the meat and vegetables to do the grilling and make the salsa. Here, I can usually walk in to the municipal market with 200 pesos (US $12) and probably get the same or more.  The prices for good here are less than half or perhaps even a third of what they would be in Santa Barbara.
 
Eggs are around 20 pesos (about US $1.17) a dozen. Tortillas, which is the main staple here, are perhaps around 14 or 15 pesos for a kilo (about US 40 cents a pound). 
 
Gasoline is a bit more expensive here than in the US.
 
Overall, the cost of living in Santa Barbara and here is like night and day. Rent, for example, is probably 25% of the rental cost here.  I live in 2 houses; one in Guadalajara (a large, cosmopolitan city about an hour north of Chapala) and one in Chapala. In Santa Barbara, I would have to pay $1,500 to rent a 2-bedroom place in a nice neighborhood.  In Guadalajara, for the same amount of money, I could get a four-bedroom penthouse in a guarded high-rise with a skybar, underground parking, pool, etc. 
 
In order to give you a more complete idea, I used to rent a luxury high-rise apartment in Guadalajara in a nice neighborhood for 18,000 pesos (US $1060) a month.  I was on the 10th floor of a 14-story building.  We had high ceilings, marble floors, a wall of glass looking out of the city, there were security guards, there was a pool, a workout room, and three levels of underground parking.  We had a skybar, as well, on the roof of the building.  The common party areas had sofas, a wet bar, and the rooftop has glass barriers. So if you want to have an event with your friends or even a cookout, you can invite them and be on top of the building with 360-degree views.  We also had an event’s room on the ground floor, where we could also invite friends. If I wanted to invite 50 people, I could invite 50 people instead of having to rent an events place.
 
(Rental in Guadalajara, Mexico, pictured.)

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