Hello from san diego...

[Matt Ziglar]

New to BP and just wanted to say hi. It's always great to hear other opinions and collect feedback, so I'm looking forward to this new resource! Currently have fix n holds in southern california, but always interested in other markets with potential. Currently researching VR opportunities across the border in Baja, MX so feel free to hit me with any tidbits of advice, pitfalls, connections etc!

Thanks!

[David Zannoni]

My wife and I live in and do business in Mexico, and have invested in Quintana Roo (Riviera Maya, the Mexican Caribbean), both in luxury and mid-low class residential properties, with great satisfaction.

Unfortunately, the kind of experiences Adrian had are wide-spread all over Mexico. There is a lot of fraud, unprofessionalism, corruption, a dysfunctional legal system, and lack of regulations in the real estate business. For example, only recently there is some development in mandatory licenses for realtors, but the quality and chances on enforcement are questionable and it is to be feared that it will be far from corruption-proof. Mexican law does not recognize escrow so it is legally not possible to - locally - put monies in escrow during the transaction.

On the other hand, people from outside Mexico should be aware of the region they buy in. Always work with reliable referrals in Mexico. Brokers, law firms, accountants, advisors: they should have a proven track record of professionalism, knowledge, experience and network. Don't just go for fancy webpages. And always do transfers through an escrow agent in the US (or Canada or Europe for that matter, depending on where you are based): never ever release any money, unless all documents, title, property clearing is in place. Even if the property is amazing and the price is a bargain, if there is any reason to suspect even the smallest inconsistency, get out of the deal. Make sure you network locally and have dedicated local people who keep an eye out for you and who stay on top of things. Do local market research before purchasing anything. Analyze the local safety, political, and economic circumstances and get a feel of long term general development.

If you do all that, in combination with a natural risk-avoiding approach as an investor, you will see that Mexico is full of opportunities as in the US or Europe (were I am from) pricing, growth, accessibility and affordability are incomparable to Mexico.