Line A — Analytics Household economicsPersonal finance

The housing gap in Mexico

The average home costs 6 years of income. The price-to-income gap widens every year.

Disclaimer: Analysis with public data: SHF Q4 2025, ENIGH 2024 INEGI, Banxico/ABM. Home price values are national averages of the SHF index; local markets vary significantly. The calculator uses the French amortization formula with configurable parameters.
$1.86M
Average home price (MXN)
6.0x
PTI price / annual income
65%
Monthly income for mortgage
8.7%
Average annual appreciation

The Challenge

The average household in Mexico earns ~$25,900 MXN/month (ENIGH 2024). With an 11.5% mortgage rate (ABM 2025 average), a 15% down payment, and an average home at $1,863,965 MXN (SHF Q4 2025), the monthly payment consumes 65% of income — more than double the healthy limit of 33%. The PTI (price-to-income ratio) is 6.0x: the home costs 6 full years of gross income.

The Approach

We built an affordability index using PTI calculated with SHF + ENIGH 2018-2025 data. We applied French amortization (11.5% rate, 15% down payment, 20 years) to derive the maximum affordable price from the average household income. We compared the "affordable" home ($945,000 MXN) with the actual market price ($1,863,965 MXN) and measured the evolution of the gap since 2018.

Result

The average household can sustain a mortgage of ~$945,000 MXN adhering to the 33% rule of income allocated to housing. The average market home costs $1,863,965: 97% more. Annual home appreciation (8.7% national average) outpaces income growth (~3.8%/year according to ENIGH), widening the gap structurally since 2018.

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Data analysis

Visualizations programmatically generated from verified public data.

Home price index vs household income

Base 100 = Q4 2018 — SHF (prices) + INEGI ENIGH (incomes)

View data as table
Period Home price (SHF)Household income (ENIGH)
2018 100100
2019 108.7104.2
2020 118.1100.8
2021 128.5104.7
2022 139.7109.3
2023 151.9114.7
2024 165.1120
2025e 179.5129.6

Source: SHF Price Index Q4 2025 / INEGI ENIGH 2024

Affordable home vs market price

MXN — average household, 33% income rule, ABM 11.5% rate, 20-year term

View data as table
Period Value (MXN)
Maximum affordable (33%) 945000
Average SHF price 1863965

Source: SHF Q4 2025 / ENIGH 2024 / ABM

Home appreciation by metropolitan area

% annual variation — SHF Price Index Q4 2025

View data as table
Category Value
Guadalajara 11.3
CDMX 9.8
Monterrey 9.2
National 8.7
Querétaro 7.6
Mérida 7.1
Puebla 6.8
Toluca 4.6

Source: SHF — SHF House Price Index

Mortgage affordability calculator

Adjust your income and loan terms to view your affordable home

$25,888
$8K$120K MXN/month
15%
10%40%
11.5%
8%18%
20 years
5 years30 years

Affordable home (33% rule)

$945,000

Average market price (SHF)

$1,863,965

Max payment 33%/mo

$8,543

Real market payment/mo

$16,900

% of income

65.3%

Gap

+97%

French amortization. Fixed SHF price.

How this analysis was built

The home price index uses data from the SHF House Price Index as its base (Q4 of each year, deflated to base 100 in 2018Q4). Household income is taken from the ENIGH (biennial cycle: 2018, 2020, 2022, 2024) with linear interpolation for non-surveyed years; the 2025e value is an estimate using the variation of the CPI of services and the growth of the average IMSS salary. The PTI (Price-to-Income ratio) is nominal price / (monthly income × 12). The "affordable" home is calculated by applying the French amortization formula: installment = P × r(1+r)^n / ((1+r)^n-1), limiting the installment to 33% of monthly income. P = financed capital (price - down payment), r = monthly rate = annual rate/12, n = term months. Appreciation data by metropolitan area is from the SHF House Price Index, Q4 2025 annualized quarterly variation. Income data belongs to households and does not equate to individual personal income.

Published: · Sources: SHF 4T2025, INEGI ENIGH 2024, Banxico/ABM

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