If you’re dreaming of owning a vacation home in a popular destination but aren’t sure about where to look, consider investing in Mexico real estate to get excellent return on investment that can beat the stock market and provide ongoing income. Here are 10 reasons to invest in a Mexico vacation home right now!
1. Strong U.S. Dollar
Both the U.S. and Canadian dollars have been at historic highs against the Mexican peso, which equals fantastic bargains for investors. From real estate investment to daily expenses and the cost of living, Mexico offers unbeatable value compared to other popular vacation destinations around the world.
2. Cultural Familiarity
Mexico is a close neighbor to the U.S. and Canada, sharing many cultural traditions and other similarities. From the food (and tequila!), to the shopping and activities, there is quite a bit of American influence in Mexico, just as there is plenty of Mexican influence north of the border.
3. 8-14% Return on Investment
In hotspots like the Riviera Maya, which stretches south for 80 miles along the Mexican Caribbean coast and includes popular vacation destinations like Playa del Carmen, Puerto Aventuras and Tulum, turnkey vacation home rentals are offering 8-14% ROI, which beats the stock market and also offers a hedge against inflation.
4. Easy Access
Mexico’s hottest locales also provide easy access to major international airports, which provide plenty of connecting flights to cities around the world. This makes it easy for owners and tourists to travel back and forth, which also makes it possible to reach 80-90 percent annual occupancy rates in places like the Riviera Maya.
5. English-Speaking Locals & Expats
Don’t speak Spanish? No problem! More than 1 million Americans now live in Mexico full or part time, which is easily the largest expat population anywhere in the world, and more than 1.6 million Canadians visit Mexico each year. In addition, there are plenty of English-speaking locals, including professionals like lawyers, doctors and dentists, as well as retail and restaurant workers.
6. Property Values Won’t Depreciate
Vacation homes in places like the Riviera Maya also enjoy exceptional appreciation and the property value won’t depreciate. The real estate market here is among the world’s top 10 fastest-growing property markets and demand is easily outpacing supply.
7. Modern Infrastructure
From high-speed Internet and major highways, to excellent medical facilities, international schools and major brand name retail outlets, Mexico also offers modern infrastructure that makes it easy to enjoy yourself and feel right at home.
8. Better Value
If you were to compare the cost of a vacation home in Tulum that’s close to the Mexican Caribbean Sea to the cost of a similar property in Florida, California, or elsewhere in the region, the difference might surprise you. In addition, Mexico’s top destinations offer a staggering array of different adventures and activities that you simply can’t find anywhere else in the world, which means even the most adventurous investors will never run out of things to do.
9. Conveniences of Home
Another major draw for real estate investing in Mexico is the ability to purchase almost anything you want from back home, from your favorite foods and top appliances, to your automobile of choice. For example, the Riviera Maya has a Home Depot, Walmart and Sam’s Club, as well as several Starbucks locations, to name just a few of the brands you will recognize in the area.
10. Fast Residency & Six-Month Visa-Free Stays
Whether you want to get permanent residency in Mexico or just want to be able to travel back and forth at will, it’s easy for expats to visit, buy property and even become a resident. The process is quick and easy, both for temporary and permanent residents, and you can even use your 401(lk) or IRA balance to quality! If you don’t want to mess with residency paperwork, you can opt for a six-month tourist visa instead, which is also easy to renew.
Do you have questions about buying real estate in Mexico? Let us know in the comments!
Read Getting Smart With: Real Estate Investing Instead of Stocks and learn more about safely investing in real estate that will provide excellent return on investment.