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: $3,012 in Keflavik versus $1,668 in Mexico City.

Estimated couple costs with rent: $4,626 in Keflavik versus $2,613 in Mexico City.

Monthly costs for a family of three with rent: $6,240 in Keflavik versus $3,557 in Mexico City.

Living in Keflavik is roughly 81% more expensive than in Mexico City, driven mainly by Groceries & Markets.

Both cities are pricier than the global median: Keflavik 123% above, Mexico City 24% above.

Meal at Budget Restaurant

$24.69 ISK 2,989

$12.03 MX$213

105.24%

Three-Course Dinner for Two, Mid-Range

$134 ISK 16.2K

$52.8 MX$934

153.92%

Fast Food Meal (McDonalds, etc)

$20.31 ISK 2,459

$11.69 MX$207

73.74%

Cappuccino

$4.00 ISK 485

$3.87 MX$68.4

3.36%

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

$3.37 ISK 408

$1.75 MX$30.94

92.57%

Water (0.33 liter bottle)

$3.27 ISK 397

$1.39 MX$24.65

135.25%

Local Beer (0.5 liter draught)

$8.22 ISK 995

$3.36 MX$59.4

144.64%

Imported Beer (0.33 liter bottle)

$8.39 ISK 1,015

$5.77 MX$102

45.41%

Milk (1 liter)

$2.05 ISK 249

$1.81 MX$31.92

13.26%

White Bread (500g)

$4.42 ISK 536

$3.08 MX$54.5

43.51%

Rice (white) (1kg)

$2.41 ISK 292

$2.13 MX$37.65

13.15%

Eggs

$6.28 ISK 760

$2.98 MX$52.6

110.74%

Local Cheese (1kg)

$19.22 ISK 2,327

$12.53 MX$221

53.39%

Chicken Fillets (1kg)

$24.61 ISK 2,980

$10.24 MX$181

140.33%

Beef Round Steak (1kg)

$42.48 ISK 5,144

$15.92 MX$281

166.83%

Apples (1kg)

$2.45 ISK 296

$3.39 MX$59.8

-27.73%

Banana (1kg)

$2.49 ISK 302

$2.11 MX$37.24

18.01%

Oranges (1kg)

$2.40 ISK 291

$2.13 MX$37.59

12.68%

Tomato (1kg)

$4.02 ISK 487

$2.47 MX$43.61

62.75%

Potato (1kg)

$3.14 ISK 380

$2.04 MX$36.03

53.92%

Onion (1kg)

$1.67 ISK 202

$2.01 MX$35.59

-16.92%

Lettuce (1 head)

$3.74 ISK 453

$1.59 MX$28.15

135.22%

Water (1.5 liter bottle)

$1.78 ISK 216

$1.33 MX$23.50

33.83%

Cigarettes 20 Pack (Marlboro, Camel)

$13.93 ISK 1,687

$5.49 MX$97.0

153.73%

Wine (Bottle)

$16.34 ISK 1,978

$17.52 MX$310

-6.74%

Local Beer (0.5 liter bottle)

$3.68 ISK 446

$2.01 MX$35.61

83.08%

Imported Beer (0.33 liter bottle)

$2.95 ISK 357

$4.74 MX$83.8

-37.76%

One-way Ticket (Public Transport)

$3.64 ISK 441

$0.34 MX$5.94

970.59%

Public Transport Monthly Pass (Regular Price)

$78.2 ISK 9,474

$21.07 MX$373

271.33%

Taxi Start (Normal Tariff)

$6.53 ISK 791

$2.05 MX$36.28

218.54%

Taxi (Normal Tariff) (1km)

$2.61 ISK 316

$0.61 MX$10.75

327.87%

Taxi 1hour Waiting (Normal Tariff)

$75.5 ISK 9,136

$5.70 MX$101

1223.68%

Gasoline (1 liter)

$2.00 ISK 242

$1.59 MX$28.09

25.79%

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

$50.1K ISK 6.1M

$22.9K MX$404.6K

118.92%

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

$54.0K ISK 6.5M

$26.4K MX$466.2K

104.85%

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

$88.9 ISK 10.8K

$64.2 MX$1,135

38.42%

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

$32.33 ISK 3,915

$29.42 MX$520

9.89%

Internet (50+ Mbps, Unlimited Data)

$82.9 ISK 10.0K

$36.83 MX$651

125.03%

Gym Membership (Monthly)

$81.0 ISK 9,813

$58.7 MX$1,038

37.99%

Tennis Court (1 Hour on Weekend)

$26.54 MX$469

Cinema Ticket

$19.50 ISK 2,361

$6.95 MX$123

180.58%

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

$406 ISK 49.2K

$463 MX$8,180

-12.28%

International Primary School, 1 Child (Yearly)

$30.5K ISK 3.7M

$13.4K MX$236.2K

128.43%

Jeans (Levis 501 Or Similar)

$160 ISK 19.4K

$75.4 MX$1,333

112.01%

Summer Dress (H&M, Zara, etc)

$66.5 ISK 8,047

$54.2 MX$958

22.60%

Sport Shoes (Adidas, Nike)

$180 ISK 21.8K

$111 MX$1,965

61.74%

Men's Leather Business Shoes

$196 ISK 23.7K

$122 MX$2,160

60.07%

1-bedroom Apartment, City Center (Monthly)

$1,900 ISK 230.0K

$1,133 MX$20.0K

67.72%

1-bedroom Apartment, Outside City Center (Monthly)

$1,361 ISK 164.8K

$698 MX$12.3K

94.91%

3-bedroom Apartment, City Center (Monthly)

$2,547 ISK 308.5K

$2,442 MX$43.2K

4.33%

3-bedroom Apartment, Outside City Center (Monthly)

$2,097 ISK 253.9K

$1,303 MX$23.0K

60.95%

Buy Apartment in City Center (m2)

$3,910 MX$69.1K

Buy Apartment Outside City Center (m2)

$2,069 MX$36.6K

Average Monthly Net Salary (After Tax)

$3,760 ISK 455.3K

$1,052 MX$18.6K

257.37%

20-Year Fixed Mortgage Interest Rate (Annual %)

8.88

11.3

-21.42%

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

Last update for Keflavik: September 20, 2026

Last update for Mexico City: September 21, 2026

Cost Breakdown

A one-bedroom apartment in the center runs $1,900 in Keflavik and $1,133 in Mexico City. Housing cost is often the main lever when comparing two cities.

Keflavik pays 257% 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: $134 in Keflavik vs $53.0 in Mexico City for a mid-range dinner for two. Groceries echo the gap at $571 vs $343 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 81% 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.

Average pay runs 257% higher in Keflavik, 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: $1,900 in Keflavik versus $1,133 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 271% less than in Keflavik. Both cities have functional networks, but the price difference matters if you're watching your budget.

Childcare runs $406 in Keflavik versus $463 in Mexico City. Over years of preschool, even a modest monthly gap compounds into a major financial factor for families.

At $1,668 in Mexico City versus $3,012 in Keflavik, a $3,000 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 $1,668 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 81% less than in Keflavik. Beyond cost, consider language, visa policies, and how big the international community is in each city.