Is Owning Mexico Property Financially Feasible for Retirement? Vacations?

OK, so a brief glimpse at prices has convinced you that Mexico real estate costs less.  But still – aren’t you just adding more expenses to your lifestyle; even if a condo on the beach in Mexico is a quarter of the price of one in Hawaii, you’re still spending $200,000 USD, adding another property to maintain, more travel expenses, right?

While it’s always good to balance every opinion with another, a closer look will show that this is, in fact, NOT the truth the situation.

Briefly, let’s consider the main reasons people buy in Mexico:

1. Mexico retirement  – part time in Mexico
2. Retirement – full time, permanent in Mexico
3. Vacationing

If you are buying for any of these reasons (as well as others not listed here) buying a property in Mexico will NOT pose any additional expenses.  Essentially it would replace a property you would own elsewhere.  If make the leap 100% and make Mexico your full-time residence, then you would sell your property back home and the savings would be obvious; if you are vacationing or living part time in Mexico, than the property would simply replace a second property in your home country.

In either case, it would offer considerable savings for the following reasons:

The home would be less expensive. Whether you’re replacing your permanent home or second property, you’re replacing a property worth $300,000 USD, for example, with a Mexico home for sale that might cost $200,000 USD. Of course, the difference could be more or less or on a larger or smaller scale depending on your situation, but in any case, you’re adding a very large lump sum to your savings.  How can you go wrong with that?

The cost of living is significantly lower. Many expats feel that on average living costs about half that in the U.S. or Canada.  A handful of items are more expensive, but by and large day to day expenses, bills, traveling, groceries, furniture, dining out, etc. are significantly less costly.  Some people will choose to spend their extra savings on living more comfortably, traveling more, etc.  But either way, you win in the end.

But what about travel expenses? But won’t you be spending all of this back in travel?  If you make the move permanently, this isn’t even a concern.  However, even if you make frequent trips home or if you are only living in Mexico part time, the travel expenses are probably lower than you would think.  Good prices on return flights from Canada to Cancun or Puerto Vallarta range between $400 and $600.  That’s about as expensive as it gets, unless you’re looking at a less popular location that requires various flights.  However, in that case, the savings on properties and cost of living would be that much greater.

Now let’s compare.  For most North Americans, the flights are only slightly more than most flights to warm weather locations in the U.S.  In some situation there is no difference.  But let’s be generous and assume that the difference is $200 per return flight.  Let’s say you’re back and forth often – 4 times a year.  That’s an added expense of $800 USD per year.  It would be rare that you’d actually arrive to the point of spending this much more, but, just for comparison …

If you consider a cost of living that’s about half of that back home, for some people that would mean saving up to $2000 per month.  Let’s just say $1000 to avoid going overboard.  With 12 months in a year, that makes for $12,000 USD savings per year.  If you’re spending only part of the year in Mexico, then we could say half of that – $6000 USD. And don’t forget about that huge chunk you saved on the property in Mexico – $50,000 maybe even $100,000?  So, how does $800 USD more in travel expenses, which you may not even spend, compare to that?

The savings are most certainly a HUGE point in favor of owning a property in Mexico.  Of course, probably the bigger point is getting used to living in another country.  That’s probably easier than you think too, but that’s a different topic.

Also visit TOP Mexico Real Estate; Mexico’s Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely

Mexico Real Estate – What Are The Neighbors Like? Part 1 – Expats

When it comes right down to it, all of us will ask this question when we are looking for a new home, anywhere.  Yet, when buying Mexico real estate and jumping into a new culture, we just don’t know what to expect; what will the neighbors be like?  What kind of people will they be?  Are they easy to get along with?  Are they tasteful?

As anywhere, it’s never possible to predict with 100% certainty if you’ll like the neighbors or not, but in very general terms, it’s possible to give a short overview of what you can expect in Mexico.  On the whole, both expats and Mexicans are very welcoming and friendly.

 Expat Neighbors

Although it’s virtually impossible to count accurately, some estimates say there are about 1 million Americans living in Mexico, and about 300,000 Canadians.  Many of these are here for Mexico retirement, but there are also families, businessmen, investors and young adventurers. (“Young” adventurers will include those who have been young at heart for well over half a century.)  Many of these are concentrated in main tourist areas, so chances are, you will be living next door to some people from back home.  Like you, for some reason or another, they’ve decided to make the leap and move to Mexico – lower cost of living, richer culture, more relaxation, better weather, etc.  If nothing else, you’ll have that in common with them.  It’s also nice to talk to people who know where you’re coming from.  You’ll find that many expats have come to Mexico to get away from the hustle and bustle of life, so they will probably have picked up a bit more of Mexico’s relaxed lifestyle.

Expat neighbors will help you as you adapt to living in a new country and the adventures and misadventures you’ll encounter; they’ve been through most of that, too, and most are very willing to give a hand or a tip!

 You will also find expats from Europe and South America.

Also visit TOP Mexico Real Estate; Mexico’s Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely

Traveling by RV through Campeche

Driving RVs into Mexico has been a common way of vacationing for a long time, but until recently most R.V.ers have focused in the Baja California area; now, as Bob McCain points out in this video, more and more RVs from the U.S. and even from Canada are arriving as far south as Campeche, virtually Mexico's furthest point by land travel, on the Yucatan Peninsula.

The Canadian accompanying Bob McCain in this video, driving the vehicle, points out the coincidence of finding another Canadian couple in a cafe near a lot that he owns, who had traveled from Vancouver, Canada to Campeche for their second year in a row. Bob points out that there is already an RV park owned by an American.

The lots to which the driver refers are a development of 154 lots, with 66 ft of virgin beachfront, available for only $64,900 U.S. In April 2010, only 25 were still available for sale. Like Campeche tourism, Campeche Real Estate is quickly gaining popularity with Americans and Canadians, many of whom chose to Live in Mexico as a more affordable lifestyle in a warmer climate, and are looking for less expensive beachfront properties in a place that also offers excellent services.

Bacalar Quintana Roo

Bacalar – a name of Mayan origin, probably from the original b'ak halal, "surrounded by reeds" - is a place where history, nature and comfortable relaxation come together. Within Mexico Real Estate, Bacalar presents an excellent option for retirement, or a quiet place to live, and really "get away from it all."

While the town dates back to the Mayan civilization before the Spanish conquest, it is currently still only a village of less than 10,000 people. The quaint village, which has been officially named a "Pueblo Magico" – "Magic Town," a distinction given to only the most picturesque and historic towns in various parts of Mexico – also provides close contact to the areas surrounding nature. The town is ideal for a Mexico Retirement.

Those who enjoy sailing will fall in love with Bacalar Lagoon, the lake on which the town is located. Many residents enjoy life on this lake in anything from comfortable little cottages to luxury homes. As this video shows, the town is surrounded by jungle; this area of Mexico contains some of the most diverse wildlife. The town itself, and the homes people have here integrate the area's native trees and plants into beautiful landscape designs.

The area is teeming with places to visit, including many Mayan ruins, and the Fortress of San Felipe, which completed in 1729, to fend off pirates raiding from the Caribbean, and the city of Chetumal. Chetumal, only a short drive away, includes an international airport, several new malls, with large screen movie theaters, and a couple of large grocery stores.

TOPMexicoRealEstate.com; Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely.

Mexico Real Estate

Choosing a Place for Mexico Retirement & Services Available

One of the main motivations for choosing one location over another for Mexico retirement is the number of services located nearby.  On the other hand, retirees have no need to choose a place close to services they don’t need or want.

The following is a list of some of the most important services Mexico offers retirees.  Some real estate markets, like Cancun or Puerto Vallarta real estate, offer just about all of them, with numerous options nearby.  Others, like Playa del Carmen real estate, offer most of them in a small-town setting, but are less than an hour away from a larger city (in this case Cancun), where all the rest can easily be found.  Others only offer a handful of basic services, but the retirees who choose those places don’t feel they need more.

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How to Save Money through Mexico Retirement; The Cost of Living

From the very onset of choosing a Mexico retirement, you  are choosing amongst thousands of other Americans and Canadians who have discovered that living in Mexico is not only warm with access to an excellent quality of life, as well as rich culture and history, but also much less expensive than retirement back home.

The first way in which you will find very significant savings is through your Mexico real estate purchase.  In addition to a wide variety of properties which offers something for every budget, all property choices will be significantly less than similar choice back home.  Items such as maintenance, improvement (renovation, expansion or adaptation for retirement living), taxes and utilities will also be considerably less on your Mexican retirement property.

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How to Save Money through Mexico Retirement; Choosing Your Property

Whichever way you look at it, Mexico retirement properties offer you as a retiree savings; even if you are looking at a home worth five hundred thousand dollars here, a similar home on a warm beachfront back in the U.S. would be selling for millions.

On the other hand, for those really buying on a budget, Mexico real estate offers a high level of comfort for very accessible prices.  The following are a few options to consider to save money when buying your Mexico retirement property:

Land Purchases

Those with a couple of years before retirement could, for example, consider investing in a cheap Mexico beachfront lot.  Lots in up-and-coming tourist areas can be found for as low as $50,000 USD, and sometimes less; these are lots that are directly on the beachfront, with connections, good road access and all necessary services nearby.  The state of Campeche is a good example of where good quality, inexpensive lots have been available.

A comfortable, high-quality home can usually be built for around $100,000 USD, for a total cost of under $175,000 (lot, building and miscellaneous expenses); owning a single lot, custom home on the beach for anywhere near this price is simply unheard back home!

Lots a little back from the beach can be found in places like Tulum, where land for sale is currently a significant factor in the market.  Developments range from very modern with wide roads and underground fiber-optic communications, to off-the-grid eco-focused communities.  In all cases, you  can save significant funds to enjoy during retirement by buying land early and having their own home built.  What’s more, you get to have your own personal dream home designed!...

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