5 Reasons to Invest in a Beach Property​

• Limited Supply: One distinguishing feature of beachfront property from other real estate is the fact that the amount of land facing the sea is highly limited: less than 1% of the country’s total land area is along the coast. For example, in Cancun, areas for the construction of new residential developments have already been exhausted, and the same is happening in the Riviera Maya and Puerto Vallarta, which gave rise to Riviera Nayarit. This phenomenon, following the supply and demand dynamics, has allowed these assets to rapidly gain value because with less supply, prices increase. Even in these times, the prices of Mexican properties facing or near the sea are extremely affordable compared to places like Florida (Miami) or California, but they may be comparable in a few years.

• Strategic Location: Mexico has a privileged geographical location. Virtually all beach destinations have 12 months of good weather per year. Additionally, Mexico is between 2 and 5 hours away from major cities in the United States and even Canada, whose airports offer direct flights to the country’s main tourist destinations.

• Appreciation: The types of developments that have had the most growth and
represent the highest profitability are luxury properties in exclusive areas, which are at the same level as any world-class development. A beach residence or apartment as an investment not only offers the opportunity to enjoy a few months of sunshine but also to enjoy good returns and optimal appreciation due to high demand, climate, views, location, ambiance, and services. Additionally, many owners rent out their property for certain periods of the year, allowing them to generate income from these assets.

• Dollarized Market: The profitability of properties of all kinds in tourist destinations is excellent because the Mexican real estate market is one of the most “dollarized” markets in the country, which ensures that investors’ properties will not lose value with fluctuations in the exchange rate and results in a much shorter return on investment compared to other types of investments.

• First-Class Amenities: Mexico has a vast array of amenities: wonderful attractions such as Mayan, Aztec, and Olmec ruins; tourist infrastructure offering modern airports, commercial areas, gastronomic centers, and world-class entertainment; hundreds of highly competitive golf courses with stunning views; great natural beauty such as beautiful beaches and crystal-clear blue waters, and water activities of all kinds.