Talk about good timing. You won’t see a better example of it than what’s happening right now in Mexico. Property ownership laws have been changed, and those changes mean that foreign investors now have a way to own property safely in Mexico. Buying real estate in Mexico right now is as safe as buying real estate in the US, and it’s becoming part of many real estate investment plans.

The changes to property ownership laws have encouraged banks in both the US and Mexico to start offering mortgages. Just a few years ago, mortgages were practically unheard of, and when mortgages were first introduced, the interest rate was alarmingly high – nearly 50%. It’s no wonder that all property transactions were cash-only sales!

In the past decade, however, the mortgage industry has blossomed and mortgages are now available in both US dollars and Mexican pesos, and the interest rate is very competitive – about 7%.

The third leg in this triangle is the value of property here in Mexico. Land values in certain areas – like Puerto Vallarta – have been increasing at double-digit rates for about ten years. The Puerto Vallarta real estate market is one of Mexico’s five best markets, too.

So, when you bring together desirable properties that are increasing in value, security in land ownership for foreign investors, and appropriate financing vehicles, you have something that many people are interested in.

Investors are streaming into Puerto Vallarta looking to acquire land and build luxury homes, either for their own enjoyment or as an investment. Not all coastal property in Puerto Vallarta is available for sale, so those parcels that can be sold are in demand. In a few years, it won’t be so easy to acquire the most desirable properties here. Individual investors will either be paying the market rate, or they’ll be closed out of this opportunity altogether.

If buying in Puerto Vallarta is part of your real estate investment plan, or if it isn’t and you think it should be, contact Coaching Services today. We can help you make sense of the market conditions here and determine whether buying Puerto Vallarta real estate is the right move for you.