I’m an independent and licensed real estate broker in Tulum, and after analyzing the performance of numerous properties, I can confirm what Mike is saying.

@Nicholas Dillon If you sell a property and perform a 1031 exchange but do not reinvest all the proceeds, the leftover portion (called "boot") is subject to taxation.

Start by leveraging your skills to identify undervalued properties, perform cost-efficient renovations, and build sweat equity.

Moving forward scaling with hard money loans may be the best bet and would avoid the headaches of living in a construction project. 

If you could furnish the rooms, I'd say that is best bet for cash flow.

You're best bet is to call a few brokers local to the area and see what they can come up with.It's definitely going to be a surplus or excess carrier that will do it and the premiums will be high. 

Owners mistakenly ASSUME all PMCs offer the exact SAME SERVICES and PERFORM those services EXACTLY THE SAME WAY, so price is the only differentiator – so, they often select the first PMC they call or that calls them back!

My client bought a 22 unit building and used this strategy and walked out of closing with a check for $800k to perform the rest of the renovations, paid himself back his already expended rehab costs and his entire down payment.  

It’s about staying compliant, keeping tenants happy, and ensuring your investment performs at its best.

It forces me to get real familiar with my business and how my properties are performing.