How anyone can make an absolute KILLING buying and selling cheap ugly Mexico houses
What if i told you that the fastest and easiest way to make ALOT of money with real estate in Mexico is by finding the lowest end, cheapest, ugliest or even abandoned properties? You might think me crazy right? well, talk to those who know me you may have a point, but there is some SERIOUS cash to be made in Mexico if you pay attention and you have a little money to invest. The properties that we would want to focus on are all well BELOW $100,000USD.
Look at the photo over the title–do those homes look like anything your mama would allow you live in? probably not right? Well if you look past all the cosmetics and realize that real estate here even more than everywhere else in the world is about location. Let me say it again it is ALL ABOUT LOCATION PEOPLE. So looking at that photo the houses are very UGLY right? I mean they are so ugly “they dont got no alibi they’re ugly, they’re ugly”. However guess what is right next door within easy walking distance of these homes? Yeah you guessed it the Caribbean ocean. Actually the specific beach we are talking about is a protected turtle sanctuary with NO hotels and no beach clubs called Xcacel. Over the years Xcacel beach (pronounced ISH KA CELL) has been voted one of the top 10 most pristine beaches in the world by more than one website and also an international travel magazine. Those houses just got a bit LESS ugly now didn’t they?
Sidenote: if you like pop music and JLO (Jennifer Lopez) a few years ago she actually filmed part of her video for her song “Im into you” on that same beach. Look it up on youtube or VEVO you will find it.
Now the UGLY photo you see is from late 2007. These homes were offered for sale in from November 2007 to 2009 for only $49,900USD. The people that were forward thinking enough to jump in and buy one of these have seen their property values increase by nearly double or more. The original valuation of these homes way back in 2006 was 130,000 mxn pesos which at that time was about $13,000USD. of course in Mexico if you do your due diligence you find out that the assessed or tax value of your properties tend to be less than half what the actual sales price would be. However i stress this to make a point even the local Mexican government acknowledged the huge shift in value as people bought and improved the neighborhood. If you drove through in 2007 and then did it again now? you would not recognize it as the same place. The last valuation that I checked was 650,000MXN pesos or about $50,000USD or so. This means according to the assesor’s office these homes actually have quadrupled in value. This is a great thing for investors the only negative is your taxes and closing costs are a bit higher as everything is based on the value or sales price of the property at the time of sale. So people back in 2007-2009ish who bought and did minor improvements and cleaned up the property were then able to sell their home for double what they paid and several have already done just that. As a matter of fact some homes have already been sold two times after the original sale. Some of the sellers I am still in touch with and I can verify some have made well over 100% on their original investments.
Below is a more recent photo of what it looks like today in that neighborhood . . .
So just because a particular piece of property may appear UGLY to you on the outside at first glance if you look a bit deeper and make sure you picked a great location with just a tiny bit of vision you can easily make a ton of cash in a short time usually 24-30 months sometimes way less buying and selling lower end properties just like these you see here.
Opportunities such as this one of course are becoming fewer and farther between simply because every year more and more people are figuring out that if you are from the U.S. or Canada it is way easier to make (and KEEP) money that you invest outside of those countries. In addition to this you of course would need to discuss any of this with whoever does your account but im just going to lay it out there you do with it as you please. Currently there is NO reporting mechanism between Mexico and the U.S. or Mexico and Canada that reports whatever business you might transact in Mexico. Again do with that what you will im NOT an accountant and i would not give legal or accounting advice I can only speak to what has worked for me. Something a man much wiser and with way more wealth than i can possibly accumulate in my lifetime told me when it comes to larger investments especially real estate, he said, “the best way to do it is never invest or keep the bulk of your money in the country where you live or the country where you are from.” That advice for the most part has proven to be very valuable.
Whats happening now with Puerto Morelos Homes for sale?
Right now in the little town of Puerto Morelos this is happening again. You can buy a homes for sale in Puerto Morelos for $59,900USD and they are almost exactly like what you see in the photos here. Puerto Morelos real estate is also now being highly sought after the reason is because it is smack in the middle of everrything–15 minutes from the Cancun airport, 25 minutes to playa del carmen and 25 minutes to downtown Cancun or the Cancun hotel zone. These are not quite walking distance to the beach as it is about 3 km but by car about 4 minutes and 10-12 minute bike ride. There is a separate bike path too. Investing in Puerto Morelos real estate is one of the smartest things anyone can do as it is only going to grow.
If you have some money to invest and would like more information on a current project almost exactly like the one we just discussed this is in Puerto Morelos Mexico please visit http://www.gringosmexicanos.com or http://facebook.com/gringosmexicanos