The Los Cabos Real Estate market growth in Baja California Sur continues to soar!
In 2023 and into 2024, we have seen the Los Cabos market stabilize after experiencing an increase in sales of 30%-40% and more over the last couple of years, depending on community and available amenities. This Market growth offers investors the reassurance to continue building a greater community for full-time residents as well as those who love to vacation in Los Cabos. What Real Estate Investors love about Cabo besides its close proximity and access to U.S.airports, weather, and safety, is that it is primarily a cash market. A market with many great opportunities.
See the Experts 2024 Real Estate Summary here
We are seeing strong and consistent growth in the local market, with more and more people wanting to enjoy the Cabo lifestyle. The luxury market has stabilized, and those who want to sell are looking to move up and invest into bigger properties, or a new community with more amenities. Hence, we continue to see more interest in Cabo Real Estate than ever before! And that momentum is building with a currently limited inventory and more people discovering Los Cabos for the first time.
People are asking why is the market getting stronger? What kind of growth are we seeing? What is selling the most? One of the best ways to gain an understanding of what’s happening with the Real Estate market in Los Cabos is to take a close look at the statistics provided here, and then contact us for more detailed information.
HOW CAN YOU OWN PROPERTY IN LOS CABOS AS A FOREIGNER?
Owning a Vacation home in Los Cabos is like a dream come true and easier than ever before. At Oceanside Real Estate Group, we are happy to explain how the process works so you can feel comfortable taking next steps as you choose where you want to spend your time.
We can help determine which secure communities and developments meet your specific needs. But first, it’s important to know this vital information:
THERE IS NO 99-YEAR LEASE IN MEXICO-OWN THROUGH A BANK TRUST
- Foreigners can purchase property in Los Cabos with a Fideicomiso…
- What is a Fideicomiso? It is a Mexican Bank Trust which allows foreign citizens to purchase coastal property within designated regions of Mexico. The bank holds the Title as Fiduciary, allowing the Buyer and any designated future Beneficiaries full access to modify, maintain, and sell the property just as any Mexican National would do under the Mexican Escritura.
SO, WHAT WILL YOU PAY FOR A HOUSE IN LOS CABOS?
For a good number of years now, most home or condo purchases have come from the nations two northern borders, the United States and Canada. Now that there are several flights that fly directly to Los Cabos airport from many major US cities, traveling here is simple and uncomplicated whether you reside in New York or Chicago on the east coast, Atlanta in the south, Los Angeles on the west coast, or from Europe now that new flights from all these areas have brought a record 4million visitors to Baja Sur in 2023.
Those visitors have found there are a large variety of Los Cabos properties available. There is something for everyone in Los Cabos real estate.
Nearly all single-family homes have pool access and are found in gated/secured communities. Occasionally buyers can also find the perfect condo or house near or even on a golf course.
All that being addressed, to answer the question “What is the average price of a condo or home in Cabo San Lucas?“ , you need to know from 2022 to the beginning of 2024 has been a Sellers Market in many ways, and a Buyers Market in many ways. Currently, a two-bedroom, two-bathroom home or condo starts at about $275,000+ (depending on sq ft and amenities). Single-family homes near the ocean, will, of course, cost more. That same builder/architect might ask $500,000+ for the same sq ft /amenities beach front or 2 rows back from the beach.
Luxury models in gated communities may cost several million dollars if they simply have stunning views. Short driving distance to that beach increases that price. You must always remember; there’s only SO MUCH beachfront available, and most of the time, once bought, it’s held onto. This makes that ‘available’ beach access property nearly non-existent in any market.
Naturally, there will always be a need for upscale housing
The average price for that luxury residence with a view in Los Cabos is $3 million. While a private beachfront villa has been sold in Cabo for as much as $16 million.
From first-time homebuyers to retirees, there are plenty of fantastic houses and condos ideal for every taste. This is also a Buyer’s Market now that financing has become available locally.
Real estate in Cabo San Lucas is still reasonably priced. And you don’t have to be wealthy to live here. You might be amazed to find that the majority of the inventory sold is below $1,000,000. In actuality, an overall average sale in Los Cabos is approximately $450,000 USD. This is still far less than the average home purchase in the USA. Those homes, of course, are primary residences for the most part. Purchases here on the peninsula are vacation, legacy, or quite literally, Investment Properties.
Another issue to keep in mind. In order to accommodate current needs, those reselling their properties in Cabo San Lucas are being compelled to remodel their property. Buyers are not willing to address the issues of repairs, upgrades, or renovations. They desire to buy brand-new homes, live in gated communities, and have access to a variety of amenities.
For older homes and condominiums, Cabo real estate is now a buyer’s market. This is likely to remain so for some time. At least until there is a price shift that would make it worthwhile for Buyers to take the risk of repair costs in future.
To find a reliable real estate agent in Cabo San Lucas
- Ask your personal friends, colleagues, and business associates who they recommend in Los Cabos
- NEVER rely solely on the agent selling the property that piques your interest. Yes, s/he might help get the price reduced for a quick sale. HOWEVER: that person is under legal contract as sole representative FOR that seller. The Selling Agent’s first concern will be the seller.
- Visit the local MLSBCS and search the agent directory for someone of the right age and time in sales to suit your preference.
- If you’re reading this blog; GIVE US A CALL, or send an email. Clients refer to us as ‘Two for the Price of One’. But in actuality, you’re getting the help of a 17 member Team of successful experts in local sales!