So, you’re planning your Mexico retirement in Tulum, and everyone is telling you how great the prices are for Mexico condos for sale down there. But aren’t Tulum vacation rentals also very well priced, especially if you’re not going to be there all year? This is a good point, and it’s worth considering which option is really best for you. The following points will help you evaluate the situation.
Year Round vs. Part Time – While this is by no means the deciding factor in itself, it is an important consideration. Often, those who are staying full-time (or close to it) and permanently feel they only want to go through the search process once, and then simply relax and enjoy retirement. Those who visit only a short time every year may favor rental to avoid having to maintain a property while they are not using it. But …
Paying Rent vs. Collecting Rent – If a retiree who isn’t in Tulum all year owns their property, they can be the one collecting rent instead of paying it. Tulum is really picking up in tourism and there are a variety of opportunities to rent out properties. If you are interested in this option, consult with an experienced agent who can comment on the feasibility.
Control vs. Hands Off – Do you prefer driving standard, choosing your acceleration and fuel consumption, or driving automatic with cruise control when you can? While there are options to make owning more “hands off,” generally it appeals more to those who like to personalize their property and take control of rental income, maintenance and most aspects with it. Rental is, of course, the most “hands off” option best for those who simply don’t want to think about the property while their not using.
Buy Now vs. Buy When You’re There – If you prefer to buy when you’re already living in Tulum so you can explore the communities a little more closely, you might want to ask your agent to help you find a suitable rental to use while you search.
Monthly Rent vs. Monthly Financing – Instead of paying monthly rent, you could pay this into ownership through financing options. Mortgages are available at Mexican banks and some developers in Tulum are offering financing as well.
So, to answer that question – is owning really better? That depends on your situation. Consult with a broker who can comment on both to help you explore both options.