Cost of Living Comparison Between Keflavik and Mexico City Cost of Living Comparison Between Keflavik and Mexico City

Monthly Cost of Living

Monthly costs for one person with rent: $2,873 in Keflavik versus $1,484 in Mexico City.

Estimated couple costs with rent: $4,433 in Keflavik versus $2,381 in Mexico City.

Monthly costs for a family of three with rent: $5,992 in Keflavik versus $3,278 in Mexico City.

Living in Keflavik is roughly 94% more expensive than Mexico City, driven mainly by Groceries & Markets.

Both cities are pricier than the global median: Keflavik 115% above, Mexico City 11% above.

Meal at Budget Restaurant

$23.97 ISK 2,935

$12.98 MX$227

84.67%

Three-Course Dinner for Two, Mid-Range

$147 ISK 18.0K

$53.1 MX$929

177.14%

Fast Food Meal (McDonalds, etc)

$19.75 ISK 2,418

$9.72 MX$170

103.19%

Cappuccino

$4.11 ISK 503

$3.75 MX$65.6

9.60%

Coke/Pepsi/Fanta/Sprite (0.33 liter bottle)

$3.12 ISK 382

$1.57 MX$27.46

98.73%

Water (0.33 liter bottle)

$2.50 ISK 307

$1.13 MX$19.76

121.24%

Local Beer (0.5 liter draught)

$8.16 ISK 999

$3.18 MX$55.7

156.60%

Imported Beer (0.33 liter bottle)

$8.16 ISK 999

$4.66 MX$81.6

75.11%

Milk (1 liter)

$1.96 ISK 240

$1.62 MX$28.37

20.99%

White Bread (500g)

$4.14 ISK 507

$2.71 MX$47.36

52.77%

Rice (white) (1kg)

$2.48 ISK 303

$1.88 MX$32.89

31.91%

Eggs

$6.35 ISK 777

$2.51 MX$43.90

152.99%

Local Cheese (1kg)

$18.44 ISK 2,258

$10.08 MX$176

82.94%

Chicken Fillets (1kg)

$23.91 ISK 2,928

$8.29 MX$145

188.42%

Beef Round Steak (1kg)

$42.20 ISK 5,166

$11.94 MX$209

253.43%

Apples (1kg)

$2.35 ISK 287

$2.86 MX$50.1

-17.83%

Banana (1kg)

$2.48 ISK 304

$1.75 MX$30.62

41.71%

Oranges (1kg)

$2.43 ISK 298

$2.08 MX$36.48

16.83%

Tomato (1kg)

$3.95 ISK 483

$1.97 MX$34.46

100.51%

Potato (1kg)

$3.21 ISK 393

$2.16 MX$37.79

48.61%

Onion (1kg)

$2.03 ISK 248

$2.18 MX$38.16

-6.88%

Lettuce (1 head)

$3.08 ISK 377

$1.39 MX$24.34

121.58%

Water (1.5 liter bottle)

$1.94 ISK 238

$1.12 MX$19.69

73.21%

Cigarettes 20 Pack (Marlboro, Camel)

$13.45 ISK 1,646

$4.20 MX$73.5

220.24%

Wine (Bottle)

$16.12 ISK 1,974

$14.25 MX$249

13.12%

Local Beer (0.5 liter bottle)

$3.71 ISK 454

$1.76 MX$30.85

110.80%

Imported Beer (0.33 liter bottle)

$2.80 ISK 343

$3.68 MX$64.5

-23.91%

One-way Ticket (Public Transport)

$3.52 ISK 432

$0.39 MX$6.74

802.56%

Public Transport Monthly Pass (Regular Price)

$74.8 ISK 9,164

$18.66 MX$327

301.07%

Taxi Start (Normal Tariff)

$6.24 ISK 765

$1.39 MX$24.26

348.92%

Taxi (Normal Tariff) (1km)

$2.30 ISK 281

$0.30 MX$5.32

666.67%

Taxi 1hour Waiting (Normal Tariff)

$85.2 ISK 10.4K

$5.42 MX$94.9

1472.14%

Gasoline (1 liter)

$2.56 ISK 313

$1.35 MX$23.63

89.63%

Midsize Hatchback 1.4l (Volkswagen Golf, Toyota Prius, Honda Civic, etc)

$47.2K ISK 5.8M

$18.9K MX$330.5K

149.96%

Compact Sedan 1.6l (Toyota Corolla, Mazda3, Kia K4, Hyundai Elantra, etc)

$52.6K ISK 6.4M

$23.2K MX$405.2K

127.01%

Utilities for 2 People in 2-bedroom Apartment (Heating, Electricity, Gas, Water, Garbage) (85m2)

$87.5 ISK 10.7K

$40.82 MX$714

114.45%

SIM Card Monthly Plan (Calls and 10GB+ Data)

$27.94 ISK 3,421

$27.50 MX$481

1.60%

Internet (50+ Mbps, Unlimited Data)

$86.2 ISK 10.6K

$30.38 MX$532

183.64%

Gym Membership (Monthly)

$53.4 MX$935

Tennis Court (1 Hour on Weekend)

$26.30 MX$460

Cinema Ticket

$17.88 ISK 2,190

$6.27 MX$110

185.17%

Preschool or Kindergarten, Full Day, Private, 1 Child (Monthly)

$319 ISK 39.1K

$436 MX$7,632

-26.79%

International Primary School, 1 Child (Yearly)

$30.3K ISK 3.7M

$10.5K MX$183.2K

189.26%

Jeans (Levis 501 Or Similar)

$137 ISK 16.7K

$56.8 MX$993

140.49%

Summer Dress (H&M, Zara, etc)

$61.4 ISK 7,513

$44.79 MX$784

36.99%

Sport Shoes (Adidas, Nike)

$179 ISK 21.9K

$103 MX$1,799

73.64%

Men's Leather Business Shoes

$187 ISK 22.9K

$108 MX$1,888

73.03%

1-bedroom Apartment, City Center (Monthly)

$1,826 ISK 223.6K

$1,000 MX$17.5K

82.67%

1-bedroom Apartment, Outside City Center (Monthly)

$1,331 ISK 163.0K

$620 MX$10.9K

114.60%

3-bedroom Apartment, City Center (Monthly)

$2,481 ISK 303.8K

$2,137 MX$37.4K

16.12%

3-bedroom Apartment, Outside City Center (Monthly)

$2,009 ISK 246.0K

$1,235 MX$21.6K

62.67%

Buy Apartment in City Center (m2)

$3,865 MX$67.6K

Buy Apartment Outside City Center (m2)

$2,332 MX$40.8K

Average Monthly Net Salary (After Tax)

$3,701 ISK 453.2K

$1,067 MX$18.7K

246.81%

20-Year Fixed Mortgage Interest Rate (Annual %)

9.63

11.34

-15.08%

CityCost data is based on AI and user input – minor inaccuracies may occur.

Last update for Keflavik: April 26, 2026

Last update for Mexico City: April 27, 2026

Cost Breakdown

A one-bedroom apartment in the center runs $1,826 in Keflavik and $1,000 in Mexico City. Housing cost is often the main lever when comparing two cities.

Keflavik pays 247% more on average. The extra income cushions the higher costs, though housing choices and lifestyle decide how much of the gap is truly closed.

Dining out: $147 in Keflavik vs $53.0 in Mexico City for a mid-range dinner for two. Groceries echo the gap at $560 vs $286 per month, with Mexico City cheaper across the board.

City Median Internet Speeds Comparison (Updated April 2026)

The chart highlights the Precision Threshold for mobile and fixed broadband internet speeds, updated quarterly.

Digital Nomad Cost of Living Index

Keflavik vs Mexico City: Cost of Living - Frequently Asked Questions

Mexico City wins on cost – living expenses run 94% lower than in Keflavik. Housing and daily spending are where you'll feel the difference most, making Mexico City the obvious pick if budget is a priority.

Keflavik pays 247% more on average, which matters when comparing affordability. Whether that higher income actually nets you more depends on your spending habits and housing choices.

Rent for a central apartment: $1,826 in Keflavik versus $1,000 in Mexico City. Housing is usually the single largest factor when comparing overall living costs between the two.

A monthly transit pass in Mexico City runs roughly 301% less than in Keflavik. Both cities have functional networks, but the price difference matters if you're watching your budget.

Childcare runs $319 in Keflavik versus $436 in Mexico City. Over years of preschool, even a modest monthly gap compounds into a major financial factor for families.

At $1,484 in Mexico City versus $2,873 in Keflavik, a $2,000 budget is realistic in Mexico City but tight or insufficient in Keflavik. The gap between the two cities makes Mexico City the clear choice for anyone on this budget.

Both work as nomad bases, but Mexico City delivers better value – similar infrastructure at $1,484 monthly. If stretching your runway or maximizing savings is the goal, the price difference makes Mexico City hard to pass up.

Safety-wise, Keflavik and Mexico City are on par. Petty crime is typical for cities this size, and most residents feel comfortable going about their daily routines in either place.

Expats usually find Mexico City gentler on the wallet – expenses run 94% less than in Keflavik. Beyond cost, consider language, visa policies, and how big the international community is in each city.