Everyone has heard stories of the boom and the super turn-arounds from “flipping” properties in Playa del Carmen during the last decade. Most people also realize that Playa del Carmen has grown to be an excellent choice for retirement or vacation properties, now offering more services and options. However, what fewer buyers realize is that Playa del Carmen continues to be an excellent investment market as well; a handful of investors are continuing to buy, primarily finding new opportunities in a growing and adapting market.
The following is an overview of some of the reasons why Playa del Carmen real estate continues to be an excellent investment.
Playa del Carmen continues to grow rapidly
During the first decade of the 2000s, Playa del Carmen had positioned itself as the fastest growing community in Latin America for several years; while such a feat is difficult to maintain, Playa del Carmen continues to grow at an astounding rate with new developments and communities opening up both for expat buyers and for local Mexican buyers. While prices for some kinds of properties and in some locations have risen drastically, there are new communities with lots of promise for growing demand that offer real estate investors ongoing opportunities to take advantage of a growing market. It’s a question of knowing where to look.
Business is growing
In addition to residential real estate, business is also growing rapidly, including a wide range of items from international stores like Walmart to local restaurants; all have proven to have high potential for success. This points to opportunities for commercial investment as well. Some investors have successfully moved into the combined commercial-residential market. While most buyers are interested in properties that offer lifestyle combined with investment, there is a variety of real estate investment opportunities available for those interested.
Development to the south gives Playa del Carmen more central positioning
When Playa del Carmen first boomed, it was the alternative to Cancun; Cancun was the “main event” and from there everyone looked southward to new opportunities in Playa del Carmen. Now with growth in places like Tulum, and growth expected even further south in the Costa Maya area, Playa del Carmen will be more centrally located within the larger region. New developments, businesses, services and activities will have more motivation to invest in Playa del Carmen in particular, gaining a central location with close access to all main areas of growth, tourism and real estate in the region.
Tourism promises to keep growing
It is important to note here the interaction between real estate and the area’s tourism, which has provided much of the investment that makes the area attractive as a real estate market, as well as the majority of the buyers interested in the area. The Mexican Caribbean, or Cancun and the Riviera Maya, has emerged as Latin America’s most important tourist region. Mexico has recently implemented a plan to make the country one of the top 5 worldwide tourist destinations within about 15 years; established tourist regions like this one, centered on Playa del Carmen, are bound to benefit from this plan. More tourism means more investment and more exposure to the international market.
Playa del Carmen is to emerge as the main access point to the Riviera Maya
With this growth, and with an expansion of this tourism region to include much of the Yucatan Peninsula, Playa del Carmen is expected to emerge as the main access point to the Riviera Maya. New highways are in the plans providing more direct connection to the large colonial city of Merida. New Peninsular fast trains will have Playa del Carmen as their hub. This kind of emerging role is likely to increase demand and values in the area.
A unique style draws tourists and real estate buyers
Playa del Carmen, although seen as an alternative to Cancun, has developed a distinct lifestyle from Cancun – a point in favor of both locations in its own way. While Cancun is focused on a comfortable modern lifestyle with wide access roads, high-rise condos, shopping malls and large stores, Playa del Carmen’s narrow downtown streets, small city blocks, low-rise buildings, small cafes and upscale boutiques give a more “European flavor” even as more modern conveniences continue to appear. This distinct flavor continues to be a lure for buyers.
Growing variety in real estate broadens the appeal of the city
As Playa del Carmen has grown, it has also come to offer an increasingly varied number of styles and real estate types. While low-rise beachfront and downtown condos are the classic, buyers can now choose other options; the most notable of these are villas in gated communities and upscale golf course homes.
All indications suggest that Playa del Carmen’s investment appeal will not drop off any time soon. Buyers interested in pure investment will find excellent choices here and those interested in combining lifestyle with investment will most certainly not be disappointed.
TOPMexicoRealEstate.com; Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely
Thomas Lloyd, founder and president of TOPMexicoRealestate.com, is originally from Indiana, and a is a graduate of Purdue University in the Krannert School of Management. He holds a degree in management with a speciality in finances. Lloyd has several diplomas and certifications in Mexico Real Estate topics and is one of only a few professionals to hold Mexico's new degree in real estate. This degree is accompanied by a Professional Identification Number, "cedula profesional," which is issued for trained professionals such as those in the medical field, or in law. He has over 15 years of direct experience in Mexico's business culture. He can be reached at email@example.com.