As Mexico's economy bounces back from recession it looks like growth in
Mexico mortgage loans is set to ignite
the real estate market.
Last month,the federal government-backed
mortgage agency,Infonavit,sold almost $200 million of mortgage-based
securities through financial markets. The sale attracted foreign buyers: a sign
that confidence in Mexico real estate is high.
Following on from that
news,Enrique Zorrilla,a top Citigroup banker,told the Wall Street Journal
yesterday that Mexican bank loans will grow at a faster rate than the economy,
with Mexico mortgage and commercial lending being the main
The extra liquidity and positive psychological effects of
the increased Mexico mortgage lending are expected to give the already buoyant
Mexican property market a significant extra boost.
As an abundance of
foreign investors and businesses line up to invest in Mexico -- from Marriott hotels,to IBM computers,to Electrolux household appliances -- it
stands to reason that more multinational cash will find its way into real estate
Add to this the boom in Mexico mortgage loans and it's clear
conditions are right to spark an explosion in property buying.
will start to overwhelm supply,say Mexico real estate professionals,and sharp
growth in property prices can be expected over the coming years.
is predicted to affect the commerical markets to begin with but this will
quickly overflow into the residential and vacation home markets too.
the savvy investor looking for a secure haven with high returns,the
opportunities in Mexico are now many.
Take a look at our Mexico finance pages for more
about investment properties and Mexico mortgages.