These are the States with the Most Expensive Homes in Mexico in 2025

Indicator, as of November 2025, the national housing value increased by 4.9% annually, bringing the average price to 31,397 pesos per square meter. However, this average conceals strong territorial contrasts that reflect the profound inequalities of the Mexican real estate market.

Segmented Real Estate Market

The evolution of the housing sector confirms that living in the country’s main urban areas and economic hubs is increasingly expensive. The pressure on prices is not solely due to general inflation but to structural factors such as: -Urban population growth -Inflow of national and foreign investment -Increase in formal employment in strategic sectors -Scarcity of available land for new developments -Increased demand for vertical and mixed-use housing

This scenario has positioned certain states as the most expensive for acquiring housing in Mexico, both for purchase and rent, widening the gap between average income and the cost of living in areas with high appreciation.

The 6 States with the Most Expensive Homes in Mexico

According to the latest data from the Banorte Indicator, these are the states with the highest prices per square meter in 2025: -Mexico City (CDMX): 57,975 pesos per m² -Nuevo León: 53,864 pesos per m² -Jalisco: 46,812 pesos per m² -Sinaloa: 42,355 pesos per m² -Baja California: 39,849 pesos per m² -State of Mexico: 38,449 pesos per m²

Contrast Between Housing Cost and Income in Mexico

The increase in housing prices occurs in parallel with a context where the cost of living also continues to rise, according to data from the National Institute of Statistics and Geography (INEGI). In November 2025, INEGI updated the Poverty Lines, a key indicator for measuring whether individuals’ incomes are sufficient to cover basic needs such as food, transportation, housing, and essential services.

How Much Does It Cost to Cover Basic Needs in Mexico?

The institution distinguishes two fundamental measurements:

1. Extreme Poverty Line by Income (LPEI) This indicator reflects the minimum monthly income required solely for food: -Rural area: $1,844.15 pesos -Urban area: $2,450.01 pesos The difference shows that living in cities is significantly more expensive, even for covering basic needs like food. The increase in this line is mainly explained by the rise in prices of products such as: -Beef steak -Ground beef -Pasteurized milk -Prepared foods consumed outside the home In urban areas, the increase was 4.3%, higher than general inflation.
2. Poverty Line by Income (LPI) This indicator includes food, housing, transportation, education, and other essential expenses: -Rural area: $3,411.88 pesos -Urban area: $4,759.91 pesos This implies that a family of four in a city needs nearly 19,000 pesos monthly just to cover basic needs, without considering emergencies, savings, or recreation.

Inflation and Housing: A Constant Pressure on Households

Although annual inflation stood at 3.6% in October 2025, below the 4.8% of the previous year, the relief is relative. INEGI warns that the prices of essential goods and services continue to rise, especially in categories such as: -Housing -Education -Culture and recreation -Personal care This means that, even as general inflation decelerates, access to housing and basic services continues to be one of the main economic challenges for Mexican families, especially in states with higher housing costs.

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