I am pretty new to real estate. Bought my first home in 2019, thankfully right before the mayhem that saw home values go to the moon. I am ready to move on from this home for various reasons. I expect to sell it for about $100k over purchase price. After closing costs + fees I am going to pay off some personal debts I incurred while unemployed last year. After all is said and done, I expect to have about $50k leftover. I wanted to look at moving south, somewhere a bit warmer than where I currently live. I was toying with the idea of buying property south of the border, but I don't think that's the best idea for somebody so new to this game! My situation is: I'm single, I work remotely, income $145k and I really dislike the cold and am considering a winter-long trip touring Mexico, something I have wanted to do for a while.
I think the best option for me would be to find a townhome at about ~$500-550k with 3-4 bedrooms, rent the rooms out and live in one. Then, I can decide if I do want to leave for the winter and I can rent my last room out during that period. There aren't a lot of other options that make much sense to me, but if you have any suggestions then please let me know.
The other option is: don't purchase any property, just do some short-term rentals (or heck, buy a camper van!) and put the rest of the money in some other investment, like a REIT or even an index fund.
Real Estate Agent · Portland, CT · Member since 2019 · 761 posts · 849 votes
4y
Hey Austin,
In the end, this decision will be based on your long term goals. Where do you want to be in the next 5-10 years. From there, work your plan backwards until you reach today. Then limit your options to those that would align with your goal.
You mentioned purchasing a townhome and renting the rooms out. Question, if you leave that townhome and go South, do you believe you will be able to manage 3-4 tenants who are sharing rooms? Or will even be able to find a property manager to manage it for you? Going with that option may lock you into a headache if there is a possibility you may be leaving in the near future.
Have you considered buying a multifamily property? It may make more sense and be easier for self management or a PM after you take off.
Also, in terms of your goals, do you want to be an active investor or passive? Nothing wrong with either, but something you must figure out.
I know this is not the best advice, but again, it comes down to what your goals are.
Real Estate Agent · Portland, CT · Member since 2019 · 761 posts · 849 votes
4y
Hey Austin,
In the end, this decision will be based on your long term goals. Where do you want to be in the next 5-10 years. From there, work your plan backwards until you reach today. Then limit your options to those that would align with your goal.
You mentioned purchasing a townhome and renting the rooms out. Question, if you leave that townhome and go South, do you believe you will be able to manage 3-4 tenants who are sharing rooms? Or will even be able to find a property manager to manage it for you? Going with that option may lock you into a headache if there is a possibility you may be leaving in the near future.
Have you considered buying a multifamily property? It may make more sense and be easier for self management or a PM after you take off.
Also, in terms of your goals, do you want to be an active investor or passive? Nothing wrong with either, but something you must figure out.
I know this is not the best advice, but again, it comes down to what your goals are.
Real Estate Agent · Tampa, FL · Member since 2022 · 6 posts · 7 votes
4y
Austin,
I am completely new to this as well. Let me first add that if you are considering buying in Nicaragua or Costa Rica, I can do two things. First, connect you with friends who have real estate companies who can help you find something. Second, after living in Nicaragua (and owning property there personally, since 2004), I would be happy to give you a run through of those countries in terms of political stability, surf, etc. I would be happy to do that. I have been living in, or traveling, Latin America (and the world) for over 20 years. So I am here if you have any questions about those countries. As a PhD candidate in history, my area of expertise is Central America.
I might add that the Airbnb market for short term renters seems to be picking back up in places like Nicaragua and Costa Rica, as COVID restrictions continue to subside. Especially among surfers, since many never stopped traveling to these places, even during COVID. That said, building costs there have also skyrocketed. So that is worth keeping in mind. That is just some food for thought for you as you map out your next steps. Here is a buddy's RE company in Nicaragua. This should help you gauge the prices in one of the more affordable places in Central America. https://www.nicaraguarealestat...
As to what you should do, I will leave that up to people on this platform who are much more well versed in RE and financial planning. After having just moved back from Nicaragua, I am personally looking to stay stateside for a while and learn about RE and investing, and purchase something here. Perhaps a multi-family home or something of that nature. I guess it is worth mentioning that I live in Tampa, Florida and it is warm here all year round (except for a random "cold" snap). So I don't have to worry about the cold. :)
Reach out to me if you have questions about any of these countries you are considering.
New to Real Estate · Member since 2021 · 62 posts · 16 votes
4y
Hi there,
Personally, I'd definitely buy the investment property. However, I'd make sure I have a trustworthy property manager and network in the area for while you're away. You can manage the property yourself as well though. If possible, I'd also look to purchase something such as a quad; you could use your unit as a short-term rental while away. As long as the numbers work and the strategy makes sense, you're good to go.
Costa Rica and Nicaragua are beautiful countries but investing is about numbers and the rule "don't fall in love with a property" can be extended to "don't fall in love with a country" when we talk about investing internationally.
Buying a property in Nicaragua and using it as a surf base is certainly fun if you're into that but that country is sadly one of the worst places you can think of in terms of real estate investment. Think low returns and huge risks, especially given the politics and civil wars. I'd assume that the market for short-term renters its picking back top but are we talking of the kind of people who'll pay a high short-term rent or backpackers who'll pay $20 a night? Also, Nicaragua is actually one of the few countries where the possibility of losing your property by expropriation Venezuela-style is real.
Costa Rica is much less risky and is a great place to buy for lifestyle, depending on your lifestyle of course. As far as an investment is concerned, I know several people who have invested there and their investment returns have been disappointing to say the least and properties are pretty expensive there by Latin/Central American standards. However, if you look for a place that you can use for yourself and you're happy to rent wen you don't use it and cover your costs, and without the expectation of a large capital gain, it might be the right place.
If @Austin B. concluded that investing in Mexico is a bit "wild" for him at this stage, investing in Costa Rica or Nicaragua is even wilder, especially Nicaragua.
Real Estate Agent · Tampa, FL · Member since 2022 · 6 posts · 7 votes
4y
@Mike Lambert After having lived in both, I would be inclined to agree with much of what you've said above. While there are some major risks associated with investing in Nicaragua, there are more than backpacking surfers who are going there. There are some very high-end developments on the Emerald Coast that were built for the more affluent investor (i.e. people who own private planes, etc.). For example, Guacalito de la Isla. That said, I do agree with what you are saying, particularly the political instability and Nicaragua's antagonism towards the US. I really appreciate your input too, and for elaborating on my post to @Austin B. I am new to the re and investing and game, and look forward to interacting and engaging with people such as yourself on this platform. Have an awesome day!
You are right. There are high-end developments there. But presumably the people who buy there buy for lifestyle. They don't need any rent money and, if they lose the property, it won't affect them as it's a small part of their net worth. That's hardly similar to Austin's situation.
Nicaragua has been dubbed the next Costa Rica by many. Investors bought property there decades ago in the hope of reaching massive gains. But, as hope isn't a strategy they have lost money over decades while some smarter investors have made 100 x their money or more by investing in Cancun decades ago. And there is no sign that Nicaragua is going to become investable anytime soon.
Speaking of which, I totally understand the appeal of Nicaragua but you can buy the same kind of property in Mexico in the same kind of place. Mexico is much closer and much easier and quicker to get to. It's a democracy in which the ownership rights of foreigners are respected and where you can expect sizeable rental income and capital gains. Yes, it's gonna be more expensive but not by that much and still much cheaper than in the US for a like-kind property. And your risk/return profile is going to be much more favorable.
And, sure, let me know if I can help with anything.
Investor · Tampa, FL · Member since 2016 · 679 posts · 288 votes
4y
Hello Austin B who does not like the cold and wants to invest in foriegn rentals...I was told by a Commisario in Buenos Aires, 40 years ago, that if I was to buy an apartment etc. and not live there full time, that when I get back there would be a General living in my property. I have 7 Efficiencies, my Beach Home on a hill just back from the surf beach in Macae, Rio de Janeiro called Praia de Pecado or Sin Beach. An hour South of Macae we have, "Saquarema, Temple of Surf in Brazil." Check out the youtube videos. Have you see the waves on the North of Peru? Mancora or Chicama etc. If you like the cold Pacific waters, some of those endless waves really look good. I have a farm 20 minutes outside of town in Carapebus and a mountain property an hours drive out to Conceicao de Macabu. Every single one has been a problem after my longterm girlfriend, housekeeper of 20 years died and her son is a criminal who moved in and its been 14 years to get them back in Court...all the way to the Supreme Court in Brazilia. I did not get here sooner because all my Rentals in Tampa, Fl. were in trouble after the Collapse of our Economy in 2008. Both my lawyers died two years ago. I solved everything in Tampa and I am on my third lawyer to get Repossession Order from the Judge who has dragged this on for an extra two years. Macae is the Oil Field Capital of Brazil. I worked Oil Field off and on for 20 years and built my houses down here on my months off. I think the law in Mexico is that even if you marry a Mexican, you cannot own any property. Tony Beets on Gold Rush has a Condo on the beach in Mazatlan? He spends the winters down there and loves it, but, I bet it's a 100 years Lease. Did you see the news from El Salvador this weekend? 37 killed on Friday. 54 killed on Saturday. State of Emergency? I have had Permanent Residency in Brazil for 40 years and I speak Portugues. They do allow you to own and have your name on the Title with a Brazillian Power of Attorney with an attorney giving you instructions. My plans are to rehabb everything and get it rented with my daughter as manager until the property values move back up to maybe where they were ten years ago. Things have just started to move up after the "Lava Jato," Car Wash, Billions of Dollars Kickback Scandal that put 500 Politicians and the President in Jail. What about VRBO and get a local partner, pro? You have to look at it like, "Smiling faces, smiling faces, sometimes don't tell the truth...
I'm not sure where you get your information about Mexico from from but foreigners can own property in Mexico freehold and a large part of the (most valuable) real estate in Mexico is owned by foreigners. There's no such thing as 100-year leases.
Also, comparing Mexico to Argentina and El Salvador makes absolutely no sense whatsoever. Maybe you should book yourself a holiday there. You'd be pleasantly surprised! :-)
Investor · Tampa, FL · Member since 2016 · 679 posts · 288 votes
4y
Hello Mike Lambert in Montreal, your right. I made about ten trips through Mexico when I was just out of High School 50 years ago. I used to fly down once a year, to a country like Venezuela and catch a bus through the country to Columbia etc. On my way back I would make another bus trip through different areas of Mexico on my way back to California. Been to every country in Central and South America, East and West, North and South and almost all the islands in the Carribean on my 30 foot trimaran. Lived in the Virgin Islands, Puerto Rico, St. Lucia, but, never actually tried to make a home in Mexico. In my time you could only get a 100 year Lease and there are big restrictions around the world on if you can own land near the water and frontiers. In 1993 Mexico changed the strict rules and you can "own" land through a Bank Trust called a Fideicomiso. The Banks are the owners and you have some kind of rights...are you familiar with the old time Gold Accounts in South America? Dollars in at a high interest rate and Dollars out without big Taxes. They were set up like Poker.com and the other offshore betting sites. My friend was a really good poker player. He tried them all before the US made them illegal. He could fund his account with $1000 and work it up to $10,000. Then, he would start taking some of the profits and keep playing until they would all close his accounts and stop answering the phone. Same thing with all the different Gold Accounts back then. One by one they would get fully funded and the Generals would shut them down. The account holders file law Class Action lawsuits and after 40 years they are still waiting to get their money back in Mexico etc. Do your know Bocas del Toro in Panama? That's also one of the sought out surf sites around the world. My older friend started a breakfast and icecream shop on the Island ten years ago when they started selling a lot of Beachfront properties. That went on for a few years and she was invaded by the other shop owners when they saw how she had a money maker and she left. Friends of hers had bought tropical farms on the coast and property on the island and then the government moved in and said it was Queen's Land, owned by the Navy and started to disappropriate the properties. They did it in the mountains on a youtube video I saw a few years ago when a young couple built a house and started a farm with kids and then they were evicted. Parauguay started a program after Brazil ended their Military Repressive years of government and you could buy for cheap, big ranches on the border to raise cattle. Paraguay was trying to stimulate their rotten economy. Went about ten years and then...their Military stepped in and gave all the Brazillian ranchers a month to move out or get shot. Same thing in what was Rhodesia when I was down there. Change of government in S. Africa and the white land owners are still getting killed for their land that no one knows how to farm profitably. It's endless. The situations where something is set up to trap the foreign Money and when the time is right, you lose everything. Just like the World Wide Sanctions on the Dollar Investments with the Russians. Real world example of the fact that once again the Government somewhere can just go in and close your accounts and seize your property. Franklin D. Roosevelt seized all the Gold in 1933. Do you remember Bretton Woods Agreement in 1944 and how they shut that down in 1971 and created Fiat Money. In the Markets it is always a, "Pump and Dump" scenario. Move it up to sell it off. Move it down to buy back up. I scalp trade the 1 Second and 75 Tick charts using simple, WAVE, Overbought/Oversold patterns on my charts to trade the ES Future every morning. Every five minutes or so you get a trade. Do you know at a time of Marshall Law in the US, our Government can seize all the Safe Deposit Boxes in the Banks? Real Safe! Right now, I am sorting out my million dollars worth of paid off properties in Macae, the Oil Field Capital of Brazil, three hours East of Rio de Janeiro. I have been flying down here each year for 40 years. Covid stopped everything in both countries. I have Permanent Residency in Brazil. I speak Portuguese and Spanish. Where are you right now? In the snow? With a JOB?? I made money in Tampa with Rentals for 30 years while I was building small houses in Brazil on my months off from Oil Tankers. I to know how to make Daily Cash Flow with trading on my laptop. Austin B. says that he has $50 or $100,000 Cash. He is maybe going to be a Nomad who is able to, he says, make $145,000 a year remotely. Then, WHY would Austin even THINK of BUYING foriegn Real Estate. Why? You can Rent with Airbnb or VRBO type sites for cheap, cheap, anywhere in the World. Select a different Surf site in season and do the Endless Summer Movie bro! It's like your are young and lucky and healthy and why would you not invest your overflow Daily Cash in Stateside, safe, properties and just Travel to your hearts content. All the big Investors in the US, Saudi Arabia, the Russians etc. are buying US FARM Land. You can target Commercial, Four Corner properties in the Path of Progress and not even have to put up with Tenants. Invest Smarter and not Harder. If you studied Robert Kiyosaki, for the last year he said he has been Selling off his 33,000 Apartments and investing in Gold, Silver and Cryptos. Got the idea? Been there, Done that.
Investor · MI · Member since 2015 · 227 posts · 478 votes
4y
How much could your current place rent for?
Refi, pay off debts, rent your current place, buy a van and travel around down south. Get an STR or a hotel when you like a place enough to stay a while. You have enough income to do this without selling your place.
Don't overbuy on the van and you can sell if for a large percentage of what you paid for it when you get back. Alternatively just go travel around without the van, get an STR for a month in a cool spot and switch towns a few times.
Let me reassure you I don't have a job in the snow. I was going to suggest to you to refrain from doing personal attacks on the forum when I realized that I'm the one who shouldn't have made a joke about you going on holiday in Mexico in the first place (which was totally unnecessary), even though I added a wink at the end. So thank you for making men aware of that. We can always learn to get better.
To get to the substance of things, my only point was to rectify what you wrote about property ownership in Mexico, just because it might mislead readers. As you confirmed, you were referring to the situation pre-1993 but you wrote as if it was the present situation and who anyway wants too know about how it was 30 years ago vs how it is today.
So, in the same vein, I'm going to limit myself to correct what you mentioned about the fideicomiso (no jokes added this time around!):
1. The fideicomiso doesn't apply to most of the country, where foreigners can hold property fee simple / freehold.
2. In the registered/forbidden zone (where most foreigners buy), you can buy through either a fideicomiso or a Mexican corporation. However, it's absolutely incorrect to suggest that the fideicomiso is an inferior mode of property detention and that the bank, who's holding the title in their name, is pulling the strings when they have absolutely nothing to do with the property aside from lending their name. In fact, the fideicomiso is arguably a better way of holding title as it provides asset protection. Think about it. The wealthy pay fortunes to shelter their assets into foreign trusts, which is what a fideicomiso is for all intents and purposes.
Investor · Tampa, FL · Member since 2016 · 679 posts · 288 votes
4y
Hello Mike Lambert in Montreal. OK, it's just a blog and if we have any info that we can give to the Newbies, then, that is what we should do. I have been all over Mexico in the past and it was always creepy. Poor, filthy dirty, looking over your shoulder at night by yourself in the street, but, beautiful country. I set out on my first trip around the world 53 years ago. My interests were Music, Language and Religion and a better place to live. I grew up in Silicon Valley. You know Palo Alto California. Stanford University, where all the genius are? If I wanted to know more about something, I just traveled there and spent some time. I've been to India and lived there twice, at a much better time for visiting that country. Same thing with Mexico, 50 years ago. I would not want to live now with the Cartels in Mexico and limit my ability to travel around freely without danger. I am a hands on Landlord for 40 years. Had 13 properties in South Tampa and I have 6 properties in Brazil. I would not recommend for any Newbie to even think of being an Absentee Owner, much less first time Home Buyer in Mexico or any other country. That's all. One of my small houses that I sold 30 years ago, in Macae, had a problem with the last check. It was without funds. I paid a lawyer at that time who spent ten years in Court to get my house back. At the last Court date he decided to not respond to the Judge so that I would lose the property. Get the idea? You can always try to Buy a property in a foreign country and then you have maintain and manage and pay the Taxes etc. until you want to Sell. The young lady was pregnant and her "husband" was a crook and as soon as she was established in my house, he moved to Rio and never came back. She has lived there and raised her son and taught School for 30 years. Two years ago my neighbor told me that the small market on the corner offered to buy the house on a half lot, for $100,000 US...She went to the City and found out that I still am the Registered Owner with a clean Title. She has not paid the property taxes for many years and the house is in need of repair. My last two lawyers wanted me to wait to solve some other problems I have, before solving the house in town problem. Today, I had to talk with the Accountant I know for 40 years. My girlfriend got a updated Title last year with a list of the years of unpaid property taxes. The Account told me that all I have to do now is to pay the taxes, file for Squater's Right which is called Usa Campeon and then I can start Eviction. In the States we sometimes Pay for the Key, but, Sr. Joao said that would not be necessary as I have all the rights. Now, I have a JOB to do before I fly back to Tampa end of June. I paid $175,000 Cash last year for a 1500 sq. foot, 3/3 Townhome with garage and a small pool in a quiet, gated, Community with low HOA in Valrico, Fl. I am centrally located to have a nice, safe, quiet place convenient to everything, to come back to from my trips. At this time of War and Inflation with a backwards Government, Stress Testing our whole Economy with unnessasary pressure on all Americans, do you want to be a Buyer?
I think, for me, getting some experience in the States before going offshore is likely the best option. It's mostly a confidence thing. If I can "make it" in the USA, then I will feel a bit more self-confident and eventually expand outside the country. However, right now, I am such a newbie that I want to be more conservative than anything.
That being said -- long-term, I would like to own several properties across Latin America. It's a longstanding dream of mine to explore Central & South America.
Investor · Tampa, FL · Member since 2016 · 679 posts · 288 votes
4y
Hello Austin B. You put out a bunch of different scenarios and the last one shows that you know nothing about Investing in the Markets. Right now the only thing that will make you some money in the Stock Market is to select individual Stocks that are moving up or down and Trade them. Sign up for SeekingAlpha.com and do your research. If you take a chart like Barchart.com which is free and learn how to use it to set up a Comparison chart of all the REITs out there, you will see that NONE of them have been producing any PROFIT for a long time. The REITs normally want you to "invest" for five years and you can expect 3% to 6% back on you Money after that holding period. You can park you money with longterm appreciation if they have any in the future or monthly rents or a combination of both. It's better to join the QYLDgang and buy Covered Call ETFs ONLY in a Tax-free Roth IRA. Sit tight, relax and set up a DRIP reinvesting the Dividends account. Same thing with the Inedx Funds...going nowhere fast. Do you know how much it costs to rent a space to park your Camper Van around the States? You could do the State Park tour, but, don't you have to have a daily internet connection in order to work at home? Lots of details to work out. I started out wanting Rentals in Tampa for the Summer and fly down to Rio where I would have Rentals on the beach for the other six months of Summer...North and South Hemespheres have opposite seasons. Do some more research and make a Plan.
@Austin B. has mentioned earlier in this thread that he'd come to the conclusion that buying property in Mexico might not be the right thing to do for him at this stage of his life and I think that makes sense given his personal circumstances.
So my purpose in reacting to your negative comments about Mexico here is to make sure that anybody bumping into this thread doesn't get misled and doesn't get robbed of the opportunity to buy property in Mexico at what is probably the best time ever to do it. I've been investing in Mexican real estate for years and have helped many others to do so, whether BiggerPockets or otherwise so chances are I might know a thing or to about buying, investing in and owning property in Mexico.
What you're missing out here is that, while some people have negative preconceived ideas about Mexico, pretty much anybody and their mother have spent time in Mexico during the pandemic or at least they know someone who has. They've discovered for themselves that most of these negative ideas don't correspond to the reality on the ground. 99.999999% of them have had nothing to do with drug cartels and have been just fine and want to go back at the first occasion or don't even want to leave. They met with foreign property owners who love owning properties there, who have never had any problems with their properties and are making a lot of money with them. I have had many of those people contacting me when back in the US or Canada and asking me for help to buy a property there. These people (myself included) aren't that interested about what happened 30 or 50 years ago. They live in the present moment and they understand that what matters when it comes to investing is the future, not the past.
One of my favorite quote applies here: "You are entitled to your own opinions, not to your own facts". And the facts speak loud and clear here and more eloquently than I ever can.
Investor · Tampa, FL · Member since 2016 · 679 posts · 288 votes
4y
Hello Mike Lambert. So, you are an Agent in Canada who is passionate about making Real Estate investments in Mexico? Everytime a Newbie asks a question about investing in Tampa or Dallas or San Franciso, they get every Agent on site to say, "Hi, I'm here to help you..." I'm not an Agent. I was just saying that I am There and Done That with properties where I am in Brazil right now and it isn't near the same as what you can do in the States. Buyer Beware, especially Austin B. who probably does not speak Mexican.
Real Estate Broker · Coppell, TX · Member since 2011 · 5k+ posts · 4k+ votes
4y
Plenty of great places to buy in Mexico and central or even south America.
One trick there is financing though....often you may need to pay cash, or if you can get financing from a developer it may require more down and shorter amortization.
Traditionally REITs have probably returned way lower returns than housing, especially if you're going to house hack and can use significant leverage. Index funds did well the last 2-3 years, but so far this year have been negative I expect for broad market funds. QQQ for example down about 10% YTD.
Why don't you go visit where you want to live in Mexico or Costa Rica or Panama. Make a nice deal on a hotel room, that might be even better than AirBnB right now.....stay 3-6 months....and see if you like it. If you do then start looking for a place to buy.
I learned a long time ago the hard way to be careful about making assumptions on people and things. Yes, there are clearly real estate agents who are here to make a (quick) buck and will only talk about their markets with rose-tinted glasses. Yet, I'd bet the overall majority of BP members, including agents, are here to help and contribute. I'll let you guess which category I fall into after reading my whole reply.
While I mentioned that I've helped many people buying property in Mexico, I never mentioned that I was paid for it. And so, no I'm not an agent, neither in Canada, nor in Mexico for that matter. For your information, I have spent countless hours and days replying to posts, responding to DMs and talking to members on the phone and I've never made a cent out of it. Actually, there's only one exception when a very nice lady offered me to buy me a $75 Amazon gift card to pick my brain about her project. After mentioning that she didn't have to do that, I gracefully accepted as I figured out that I'd be a jerk if I didn't accept. Michelle, if you read this, feel free to shoot me a DM. I'd love to hear how your project is panning out and let me know if I can help further no gift card needed this time around.
To get to the substance of things, two comments:
1. While it definitely wouldn't hurt if you speak Mexican (aka Spanish) when buying property in Mexico, you don't have to and most foreign buyers don't. You just need to deal with the right Spanish speaking people.
2. Irrespective of the merits of investing in a foreign country like Mexico, the argument is often made that a newbie should start by investing at home. While I totally understand this argument, I wouldn't draw that conclusion too quickly. Newbies or not, people aren't stupid. They can figure out that there are real estate bubbles all around in the US and Canada and they understand it doesn't make sense to overbid for an already overpriced piece of property and get negative cash flow with a higher risk of depreciation than appreciation.
There was an alarmist article about the situation in Canada in Quebec's main newspaper about this topic just a few days ago. Canadian households are mortgaged and indebted to the hilt and can ill-afford the upcoming sharp increases in interest rates from the Bank of Canada.
Contrast that with the situation in Mexico. As @Bruce Lynn mentioned, getting a mortgage there is difficult for many people. The good news is that, as a result of it, capital appreciation is not propped up by cheap debt, making a crash much less likely. Instead, capital appreciation is propped up by the rise of the middle class, continuous increases in the number of tourists and foreign retirees and an explosion in the number of remote workers. Qualitatively, that's a much healthier and less risky type of capital appreciation.
Sadly, many US and Canadian investors, who are used to and even addicted to cheap debt (which is increasingly less cheap), abandon their idea of investing in Mexico when they learn that financing is either hard to get or more expensive. What they don't realize is that you can get a (much) higher return by buying property in Mexico 100% in cash than buying property in the US or Canada with a mortgage. That means that you have a higher return with less risk. Also, sometimes, the price of the property in Mexico would be less than your downpayment in the US or Canada, sometimes for a similar property. And, sometimes, your total costs in Mexico will be lower than just your taxes in the US or Canada.