Calculating Cap rate for a real estate property abroad

[Jasmin Garcia]

Hello,

I am considering buying a real estate property in Cancun, Mexico and renting it as an airbnb. I tried calculating the cap rate but because the house price is so low (being bought in pesos) it's throwing off the cap rate. I converted it to the equivalent in USD but the cap rate is insanely high. Does this not work for properties bought with foreign currency?

https://www.biggerpockets.com/...