Location, location, location. We’ve all heard that numerous times. And we can tell you that the saying is true to its word. Those who wish to run far from the cold winters of the north are thinking of the warm and sunny places where they can invest for a getaway home. And what better place than the Riviera Maya? Investors, first, and second-time home buyers want to invest in a place where they can capitalize on their ROI. The property has to appeal to their visitors and renters alike. With that said, when looking to purchase a stand-alone home, condo or piece of land to develop, you need to become a projectionist. You need to make sure that the location you have chosen has or will someday have the amenities people want to be around. Places such as Playa del Carmen, Tulum or Merida offer great real estate opportunities with amazing locations that will appeal to future guests.
Bare land for development
Purchasing bare land for development potentially offers a large return on investment. There are three basic locations to consider: outside the city, downtown and right by the beach. Buying just outside a city such as Playa del Carmen or Tulum allows an investor to see the newer trends happening in today’s construction. Some renters are seeking higher-end new homes or condos in new developments. Building from scratch to suit wants and needs is a huge advantage. Your earnings will increase and, in some cases, even double your return. Offering pre-construction sales usually creates an immediate cash flow. This lessens the developer’s initial capital outlay and can actually regain it back much quicker than anticipated. Many buyers who plan to rent out their new home or condo will also see a great return on investment when the development reaches full occupancy as the demand increases. This creates a win-win opportunity for all parties involved.
Homes can be trickier – but are a great investment
You should pay attention to location when investing in a single-dwelling home. Investors have to look at the surrounding community and what amenities are nearby. Stand-alone homes usually don’t come with amenities one would find at buildings (gyms, pools, security), so looking to invest within a community or in a location where amenities are nearby is the best bet for a good rental opportunity. You want to make sure your home is near a variety of shopping, restaurants and other comforts. Likewise, you want to be within walking distance of the beach to attract guests. Buying the least attractive home on the block and refurbishing it can also help bring a greater return when flipping or requesting higher rent. When an investor decides to spend a little more money, it is because they have found a great location in a desirable area. Places such as Playacar in Playa del Carmen or Aldea Zama in Tulum are perfect for these types of homes. Again, ideal location is everything to an investor.
Condos can generate great returns on your investment
Buying a condo is usually a safe investment for several reasons. One being that they are easy to maintain and manage. Playa del Carmen, Tulum and Merida all offer plenty of options to purchase new, pre-construction condos in multiple developments. This doesn’t mean that previously-owned and move-in-ready condos make for a bad investment. In fact, turnkey is perhaps the best type of investment. But again, it all comes down to location, location, location. If you are considering a condo within a budget, think about looking at re-sale beachfront condos that may need some improvement. It’s amazing what updated ceiling fans, fixtures and stainless-steel appliances can do. Renters will pay higher nightly rates for being close to the beach, downtown and nearby amenities. Condos usually offer the lowest cost of investment and still bring in a consistent stream of revenue. All these reasons make for a great investment.
Location in the Riviera Maya is easy to find
There are so many places in the Riviera Maya that offer excellent investment opportunities. Real estate in this triangle of paradise continues to be on sale. It offers unspoiled, lush jungles, world-class beaches and an improving infrastructure that mirrors many first-world countries. The inviting culture, variety of authentic cuisines and near-perfect year-round weather will keep vacationers coming back year after year.
Take a moment to look through the thousands of properties we have available on our website to find the perfect investment – and location – for your home! Contact our Buyer’s Representatives who will help you narrow down your choices and make the smartest investment possible.
And remember, at Top Mexico Real Estate…we make it happen!