Cabo on a Budget: 15 Ways to Save Money

Cabo has a reputation for $1,000-a-night resorts, fancy restaurants and private yacht charters.

And, well, that reputation isn’t entirely undeserved!

The truth is, Cabo is expensive.

But you don’t need an unlimited budget to vacation in Los Cabos.

We’ve been coming here for years, and while we certainly love Cabo’s splurgy side, we’ve also learned where you can cut costs without turning your trip into a bare-bones getaway.

Here are our favorite ways to do it.

Note: Dollar prices below are in USD.

1) Visit Cabo in the shoulder season

Timing can make a huge difference to what you pay.

Winter – roughly mid-December through April – is Cabo’s high season, when sunshine-seekers flee colder climates. Not surprisingly, hotel rates are typically highest then too.

But the best time to vacation in Cabo isn’t necessarily high season.

For better prices, look at the shoulder months:

• October and November – We particularly like October and November for swimming, snorkeling and other water activities. After heating up all summer, the Sea of Cortez is almost bath-like at 80 to 84 F degrees (27 to 29 C).
• May and June – These are good bets too. The weather is warm, the winter crowds have thinned out and hotel deals start popping up.

You’ll find the lowest hotel prices in summer, particularly August and September. The trade-off? It’s hot and humid, and it’s also hurricane season.

So for us, shoulder season hits the sweet spot.

2) Don’t assume you need a beachfront resort

This is probably the single biggest way to slash the cost of a Cabo trip.

Cabo’s gorgeous beachfront resorts easily cost $500 to $1,000+ a night. Stay a few blocks back from the sand, however, and prices tumble.

Plenty of smaller hotels in downtown Cabo San Lucas and San Jose del Cabo cost way less:

• Cabo San Lucas – We’ve found some downright inexpensive hotels in Cabo San Lucas for around $100 a night (like the 3-star Siesta Suites). Spend $200 to $300, and you can get you into some appealing boutique digs, like The Bungalows Hotel.
• San Jose del Cabo – There are some lovely boutique hotels in San Jose del Cabo too, including the edgy Six Two Four Urban Beach Hotel and the charming Casa Natalia.

Some have pools. Some include breakfast. And if you’re staying downtown, you may actually have more restaurants and bars within walking distance.

Sure, you give up some resort services and the beach right outside your door.

But when that saves you hundreds of dollars a night, it’s a trade-off worth considering.

3) Consider a condo with a kitchen

We love eating out in Cabo. But breakfast, lunch and dinner at restaurants every day gets pricey.

A condo with a kitchen lets you have breakfast at home, keep cold drinks and snacks in the fridge and throw together the occasional lunch or easy dinner. It works particularly well for families and longer stays.

Even replacing one restaurant meal a day can make a noticeable dent in your food bill.

We use Vrbo (Vacation Rentals by Owner) for renting vacation cottages, villas and condos. It’s like Airbnb – except Vrbo only offers fully private accommodations (no rooms in a house, for example).

The best news? You’ll find a host of fabulous Vrbo vacation rentals in Los Cabos.

4) Check all-inclusive prices – then do the math

An all-inclusive isn’t automatically the cheapest way to visit Cabo.

But sometimes it can be.

If you find a good package deal and you know you’ll spend most of your time at the resort, then having your meals, drinks and some activities (like yoga and pool aerobics) bundled into the price can work out well.

It’s also nice to order another margarita without thinking about the bill.

Three of the most affordable all-inclusive resorts in Los Cabos we’ve sussed out are:

• Riu Sante Fe – This huge Medano Beach resort has 1,000+ rooms and multiple pools, restaurants and bars (from under $300 a night for two in high season).
• Royal Solaris Los Cabos – Near San Jose del Cabo, this 390-room family resort has three pools (including an adults-only pool), a mini water park, kids’ club and teens’ club (from about $330 a night per couple in high season).
• Marina Fiesta Resort & Spa – Its Cabo San Lucas Marina location is a big plus, and guests love the pool with its swim-up bar (about $400 a night for two for the all-inclusive option).

The key is to compare the all-in cost with what you’d realistically spend at a regular hotel plus restaurants and drinks.

Bottom line: If you fancy eating out at local restaurants every night, paying for an all-inclusive probably doesn’t make much sense.

You can spend $100+ a person on dinner in Cabo without trying very hard.

Or you can sit down to a plate of excellent tacos for a handful of dollars.

Mix your splurge dinners with casual Mexican restaurants, taco joints and family-run eateries. You’ll also tuck into some terrific authentic Mexican food.

In Cabo San Lucas, we’re fans of these inexpensive restaurants:

• Gardenias – Cheap but delish tacos (the shrimp with flour tortillas are our faves!)
• Las Guacamayas – Tasty tacos al pastor
• The Crazy Lobster – Steak and lobster for less than $20
• Mariscos La Palmita – Local seafood
• La Dolce – If you go for the wood-fired pizza
• Los Tres Gallos – High-end Mexican food (not really cheap, just less expensive than many other restos)

And don’t overlook lunch. If there’s a restaurant you’re dying to try, see if it offers a better-value lunch menu.

Save the candlelight and wine for a couple of special dinners.

6) Stock up at the supermarket

Water. Beer. Wine. Sunscreen. Snacks. Breakfast fixings…

Buy them at your resort, and you’ll pay resort prices. Buy them at a supermarket, and your wallet will be much happier.

Even if your hotel room only has a mini-fridge, it’s useful for keeping yogurt, fruit, drinks and other snacks cold.

And having a cold beer or glass of Chardonnay waiting in your room after the beach isn’t exactly roughing it, right?

This is one of Cabo’s best bargains.

The Ruta del Desierto buses travel between Cabo San Lucas and San Jose del Cabo, with stops along the Tourist Corridor. They also serve the Los Cabos International Airport (SJD).

We’ve used the bus ourselves several times.

It’s not glamorous. But it’s inexpensive and useful, particularly if your hotel is close to the highway.

The buses run frequently during the day, and fares are 45 MXN (about $2.62). Compare that with the $40 or more for an Uber between the two Los Cabos towns – and $60+ for a taxi.

Good to know: You can see exactly how the buses fit into your other transportation options in our guide to getting around Cabo.

8) Use Uber instead of taxis

When we don’t have a rental car, we prefer Uber to taxis.

You see the price before you book, there’s no need to negotiate a fare, the ride is more pleasant (vehicles are often new and super clean) – and, best of all, Uber is often less expensive.

9) Pre-book your airport transfer

If you just land at the airport in Cabo without making any advance arrangements – you could take the local bus (see #7 above). But we’d give it a miss if you’re lugging two enormous suitcases.

Or you could hop in a taxi. But that will set you back more than $90 for a ride to Cabo San Lucas. (And Uber isn’t allowed to operate from the airport.)

We recommend pre-booking one of Cabo’s airport transportation services we’ve researched and used. That’s what we always do.

Here are some of the best options we’ve found:

• One-way shared shuttle – $18 p.p. from the airport to your Cabo San Lucas accommodation (with Grayline Los Cabos)
• Round-trip shared shuttle – $43.08 p.p. for a return airport shuttle to Cabo San Lucas and back to the airport (with Epic Los Cabos)
• Private round-trip transfer (up to 5 passengers) – $180 for a return luxury SUV airport transfer to Cabo San Lucas and back (with Cabo Airport Shuttle)
• Private round-trip transfer (up to 9 passengers) – $185 for airport transfers to Cabo San Lucas and back in a clean new vehicle (with Spanky’s Scooters Rentals)

For a large group, that last option above is a steal. With nine people, it works out to just over $20 p.p. round trip – less than half the price of the shared shuttle.

Not every vacation day needs a tour attached to it. Some of the best things to do here cost absolutely nothing:

• Spend the day swimming and lazing on a gorgeous swimmable beach.
• Walk around the bustling Cabo San Lucas Marina.
• Enjoy Cabo’s spectacular sunsets.
• Wander the historic streets of San Jose del Cabo.
• Join the Mt. Solmar dog hike (but please leave a tip to help care for the dogs).

If you’re visiting between November and June, don’t miss the Thursday evening Art Walk in San Jose del Cabo either. Galleries stay open late, the streets fill with people and you can browse the art without spending a peso.

Get a massage for less

Treatments at the top resort spas in Cabo can easily cost several hundred dollars. At independent spas in town, prices are much friendlier.

For example, a 60-minute deep-tissue massage at Eden’s Spa in Cabo San Lucas can cost as little as 800 MXN ($47) in the shoulder season. Even the regular rate of 1,200 MXN ($70) is still very reasonable by Cabo standards.

Tip: You can pay even less for a massage on Medano Beach.

Cabo is very accustomed to U.S. dollars, and you’ll see plenty of prices quoted in USD.

But that doesn’t mean dollars are always the best way to pay.

Choose Mexican pesos instead.

At the time of writing, $1 USD is approximately 17 pesos. But exchange rates fluctuate, so check the latest rate before your trip.

Paying cash

If you pay cash in U.S. dollars, the restaurant, shop or other business sets the exchange rate – and it may not be favorable.

For example, they may only give you 15 pesos to the dollar. On a 1,700-peso bill, you’d end up paying about $113 USD instead of $100.

Paying by credit card

The same rule applies when paying by credit card.

If the machine or payment terminal offers to convert the bill into your home currency (say USD or CAD), decline – and pay in MXN instead.

If you let the machine convert it to your home currency (USD or CAD), you’ll likely be hit with “dynamic currency conversion” (DCC). It’ll give you a worse exchange rate, because the conversion includes a mark-up. Visa says this mark-up is often 3 to 5%.

Paying in pesos, on the other hand, means your credit card issuer does the conversion, which is usually a better deal.

Also, use a credit card with no foreign transaction fees so you don’t get dinged with another fee on top.

Good to know: Mexican pesos use the same $ symbol as U.S. dollars, which can be confusing. If there’s any doubt about a price, check whether it’s quoted in MXN or USD.

Beer and tequila are the least expensive alcoholic drinks in Cabo.

You can buy domestic beer brands, like Corona and Pacifica, for under $3 USD a bottle at many casual bars and local eateries.

And as tequila is made in Mexico, it typically costs less than imported spirits – and less than you might pay for the same brand back home. You might want to do a tequila tasting while you’re here to see which type you prefer (blanco or anejo, for example).

Mind you, Cabo knows you probably love margaritas too. So these cocktails average $10 (usually a little cheaper than other cocktails).

As for wine? We’ve found a glass of wine (even Mexican wine, which can be very good) is typically more expensive at a restaurant than a margarita.

15) Decide where you want to splurge

Our final tip? Don’t try to make everything cheap. After all, you are on vacation.

Set aside money for something you really want to do!

That could mean a fabulous farm-to-table dinner at El Huerto in Cabo San Lucas or Flora Farms in San Jose del Cabo. A sunset sailing trip. Or even a beachfront hotel for the last couple of nights.

Pick your splurges and economize elsewhere. You’ll keep your Cabo vacation costs under control – and still have money for the things that make you say “Yep, this is why we came to Cabo!”

More tips for traveling to Cabo