At first, deciding to invest in real estate in Mexico can look scary, but knowledge is power in everything. This article is going to show you precisely why buying real estate in Mexico now is safer. Below are five reasons it’s safe to venture in Mexico real estate fast, along with few tips on location and the best types of investment properties to attain a high return on investment.
1. Unbeatable Investment Property Rental Income: Mexico’s Riviera Maya district boasts inconceivable occupancy rates, which is convertible to great opportunities for real estate investors, particularly in vacation homes that double as income producing asset when not in use. Combine this with the fact that the Tulum real estate costs are still very low compared to other peak beach vacation destinations and it’s easy to see why people are making steady returns in Mexico.
2. Traveling within Mexico is Safer than several U.S. Cities: Mexico is one of the world’s apex tourism destinations and is the top retirement destination for Americans who may want to spend all or part of the year in a warmer climate. In spite of media portrayals of violence, it’s essential to keep in mind that it remains isolated along the country’s northern border and that vast number of people from around the world visit Mexico unharmed yearly. Also, there are no safety advisories in effect for trendy tourist destinations like Tulum in the Riviera Maya, Cancun, or Playa del Carmen, Puerto Aventuras and Cozumel. Lastly, the assault rate in the U.S. is, in fact, five times higher than assault rate in Mexico base on the U.N. report, and even hugely populated Mexico City is four times safer than Washington D.C.
3. Portfolio Diversification and Capital Protection: Acquiring land in Mexico gives investors more than just access to substantial rental income and speedily appreciating real estate, however, It also provides a hedge against inflation over time and much-needed diversification for your investment portfolio. Also, since real estate is a “hard asset,” it gives an added level of capital protection because property and land retain a value that is independent of the nominal value of paper currencies and changing markets.
4. Foreigners are allowed to Own Property in Mexico: Some interested buyers are discouraged from deciding to venture in real estate in Mexico because they are not sure of the rules for buying property, but in reality, the steps are straightforward. The law says foreigners who purchase property within 50 kilometers of the coast must set up a fideicomiso, which is merely a three-party fiduciary trust that allows a financial institution to hold the property title in your name. As the lawful owner of the property and as the only recipient of the trust, you are free to do whatsoever you want with the land, given that it falls within the local building laws.
5. The World’s biggest Untapped Real Estate Market: Real estate market as with Mexico and anywhere else, it’s all about location. Here in Mexico, the real growth is happening in Tulum, which is just south of Playa del Carmen and the Cancun International Airport in Riviera Maya. Identified with the best beaches in the world, the Tulum real estate market is experiencing a significant expansion, and it’s been on fire for years now. Get in touch with your real estate agent today to know more.