As a real estate agent in Cabo San Lucas, Mexico, I meet a lot of Canadians looking for investment property in Los Cabos. Their number one concern is always the exchange rate between the Canadian dollar and the US dollar. As you may have noticed, most property here in Los Cabos is priced in US dollars. We have a solution.
The investment opportunity in Los Cabos has improved significantly this year with current construction adding 3,800 hotel rooms to the 14,000 rooms already available. Hotel renters bring more traffic to the area which over time leads them to invest in the area.
We have contacts with Canadian institutions that can structure US dollar loans using Canadian assets or cash as collateral. The US dollars are then used to purchase your investment property. You then can take advantage of the appreciation in the value of your property as prices continue to increase, earn a return on your investment through rentals all while enjoying the property for your personal use at any time of the year. And best yet, the rental income is in US dollars which you can exchange for Canadian dollars at a very positive return.
Additionally, we will show you how to get the US dollar loan at “ZERO INTEREST” cost to you.
Because the Canadian dollar will again reach parity or at least a more positive exchange rate with the American dollar at some point in the future, you, the investor, decide when to pay off the US dollar loan using your Canadian dollars. You then take no loss on the exchange rate while at the same time you are earning a return on your investment in Los Cabos and having use of the property for your own personal enjoyment
This is a win win for Canadian investors because the appreciation earned on a Los Cabos property can be achieved now instead of waiting for parity with the US dollar and earn investment income as well.
Forbes Magazine now lists Cabo San Lucas as the fourth leading vacation destination in the world, moving Cabo ahead of Paris. http://www.forbes.com/sites/forbestravelguide/2016/01/22/forbes-travel-guides-16-top-destinations-for-2016/#11aad3bd3e48
If you recently drove from San Jose del Cabo or the Los Cabos airport to Cabo San Lucas and look at the development underway in the Cabo Corridor you would have to agree that this is the beginning of a major booming market and a great long term investment. It is comparable to the investment boom in Vancouver 10 to 15 years ago.
There are now direct flights from China to Los Cabos coming on the market. Does that ring a familiar bell?
For more details or any real estate needs, please email me: bob@bircabo.com.
*based on average bookings of our properties
Bob Van Patten, Real Estate Agent
Baja International Realty