Why Invest in Los Cabos?

by steve yip, agent, coldwell banker riveras

The time is “NOW”, more than ever before, for investing in Los Cabos!

Since frequenting the area for many years and now living here for the last three, I have noticed many changes that amount to a very positive outlook for the future of investing and living here in sunny beautiful Los Cabos.  With the addition of many large retailers carrying food and products from around the world bringing choice and variety, more and more, we see convenience becoming the norm. There are many more corner stores and gas stations, as well as, a bevy of great restaurants, bars and all kinds of fantastic food vendors! These are just a few of the things that have changed over the last few years, but there are many that have not changed,  the great weather, white sandy beaches and crystal clear water from the Sea of Cortez to the majestic Pacific Ocean. The local people, whether it be the “native to this area” people or the “not originally from this area “people, have always been generally very helpful, friendly and accommodating.

When investing in Los Cabos, keep in mind there are a few differences that may surprise you and delight you at the same time.

Prices
Real estate has always been an extremely great value here but after the financial crisis of 2008 prices had hit the lowest in many years and have stayed low until now, thus creating a great environment for those wishing to invest. Even after a storm, the likes of which no one has seen here in the past happening almost a year ago, the prices have remained stable and many new improvements have occurred to the infrastructure of the area. If investing here, you can look forward to getting much more for your money than you might expect including more useable space, inside and out, lush green gardening year round as many properties come with large patio area and swimming pools!  

Taxes
Property taxes here in Mexico, known as the ”predial”, are much more affordable than what we have grown accustomed to paying in the USA or Canada.  They are calculated based on a percentage of an assessed value of a property at the time of sale and that assessed value is commonly much less than the actual market value. That being said, the average taxable percentage of the assessed value of residential property in Mexico is 0.01 or 1% of the assessed value. Buying a house or condo at a market value of $100,000 you may find your yearly property tax could very likely be under $100 per year! When considering investing your life savings into a second or vacation home here, you might  also want to consider making it your primary residence or retirement home and liquidate any current property elsewhere that may be costing you thousands of dollars a year to hold  based on taxes alone.

Maintenance
Whether it is your home, your car, or yourself, the cost of fixing or renovating things is much lower here in Baja California Sur. The hourly labour rate and wages are lower here and will allow you the opportunity to get much more done for much less. Things like carpentry, plumbing, electrical, as well as, landscaping will all be offered at a fraction of what you may be used to paying. Being a mechanic myself in the past, I also know from experience that having car problems will be much less painful at about half the cost. As for yourself, the cost of food, alcohol and tobacco products are also much less especially if you shop and eat like a local. So is the health care.

Lifestyle
You may find yourself less dependent on material things to make you happy although Los Cabos has nearly anything and everything to cater to any lifestyle no matter how extravagant, having so many inexpensive things to do in the amazing climate here on any given day will save you money enrich your life at the same time. Aside from the many fitness clubs and yoga studios there is also many other activities like biking, swimming , snorkeling , walking ,running ,and hiking  that require only yourself and your time to enjoy a very healthy lifestyle like many others have chosen to do here. If you are the type that likes to relax by a pool or at the beach with a cold beverage and a book this is also a perfect place to do just that. I have grown to love this place and all it has to offer, the food, the fishing, the weather, the sun the sand and the sea.

I invite anyone considering life here to do the same, what are you waiting for? Come find your reason for being here and welcome to happiness that will cost you much less than you expect.

Contact Steve Yip, Coldwell Banker Riveras,  624 150 5901, syip@cbriveras.com