Mexico Real Estate Options for Retirement ? Land Investment

Many soon-to-be retirees consider buying in Mexico in order to save on funds in both property prices and in the cost of living; buying Mexico real estate, however, can actually be an investment to help increase funds for retirement.

 

One example is Mexico land. It is common enough for upcoming retirees to buy a piece of land in order to build their dream home in the mean time before they actually retire in Mexico. Due to the money saved through better property prices in Mexico, through building on land instead of buying a completed home, and through the lower cost of living available, this is already a significant investment in itself.

 

However, some buyers in this situation may wish to consider this land purchase as an investment in itself, not only saving money, but actually generating an return in order to build further savings for retirement itself.

 

There are two possible routes to take. The buyers may wish to consider the possibility of building a home that could both serve as a vacation property, and hold appeal to vacation renters. This way, the home would generate income in the years between, still being used for an occasional vacation, and when retirement comes, the property could be dedicated entirely to personal use. For retirees spending only part of the year in Mexico, a smaller income could still be generated from rentals in the rest of the year.

 

In all cases, size, location and the rental market should be carefully analyzed. Vacation renters tend to prefer larger units for small groups. Will this be suitable for the buyer’s retirement? Another question is, when do vacation rentals have their peak demand? Is this the same time of year the owner will be using the property, either for vacations, or retirement? If so, they will have to count on a significantly lower income from the rental, since the bulk of rental income comes during peak periods.

 

The other option is to build a property for resale, using the return on this resale to upgrade, or to return to retirement savings. Depending on how much time a buyer has until retirement, this process could be repeated to generate further return and income. When retirement is near, the buyer can decide whether to build another home geared specifically to retirement, or to buy a completed property.

 

Mexico real estate offers many investment opportunities; those planning retirement can take advantage of this to help them turn the expense of buying a retirement property into an income.

 

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


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