The best investment deals are often to be found by looking where others do not want to look. Many are put off buying real estate at all at the moment, due to the depressed and uncertain market conditions. Many more would not consider Mexico due to fratting headlines about the so-called drug war.
So, does this mean you should not buy property in Mexico? Should you avoid Cozumel real estate?
The simple truth off the matter is that some parts of Mexico do have serious security problems, most notorious Ciudad Juarez and other areas along the Mexico-USA border. But those in the know realize that this is far from the case in Cozumel, Mexico's largest Caribbean island.
Cozumel is over 1,000 miles from the hot drug war problem areas. It has a reputation for being very safe and welcomes over 2 million cruise ship passengers – mostly Americans – every year.
In fact, Cozumel has been awarded two peace awards in the last 14 months from different United Nations associated organizations: the Island of Peace prize from the International Committee for the Banner of Peace, and the Pax Urbis title from the International Committee for the 100 Cities of Peace.
So, if those that are scared by sensationalized headlines think Cozumel is unsafe, while, in fact, completely the opposite is true, now should be a great time to buy Cozumel real estate.
And this is certainly true if you are looking for a longer term investment. The current Cozumel real estate market is indeed depressed and buyers should be cautious about buying new developments since the constructors may have their own related financial problems. But if you look for the right development, or look to buy an existing property or land, now is a great time to buy.
There are some caveats though.
Since there is no true MLS system in Mexico, it is often hard to tell what price Cozumel real estate is really selling at and what is the 'real' value of property. This means that the asking prices are often higher than the true market value. Of course, this is true in almost any market in the world, but with Cozumel property it's worth negotiating particularly hard to get the lowest possible price. The less you pay, the more you will make as the property price increases of course.
The other essential point to consider is who you should choose to advise you. In most Mexican states there is no legal requirement for real estate agents to be licensed, and this is the case in Cozumel.
This does not mean that you can not trust local agents, on the contrary, there are some excellent Cozumel real estate experts working on the island. However, you should be careful who you pick and preferably go with a personal recommendation. You may want to consider working with an agent who is a member of AMPI too, the Mexican Association of Real Estate Agents, although there are also excellent brokers who do not belong to the association.
A good agent will make the process of finding and buying a home much smoother, safer and more secure. They will be able to recommend good notaries, attorneys and other advisors to work with, making your Cozumel real estate purchase far easier.
Along similar lines of advice it is also well worth buying title insurance, just to cover all your bases should there be any complications with the legal ownership paperwork for your Cozumel real estate.
If you follow these simple tips, there is no reason why you should not pick up an excellent Cozumel property bargain right now. Then, when the crisis clears up and as the Mexican government makes positive process in the drug war and the scary heads reduce in number, you will be in a fine position to sell at a reasonable profit.
In short, if you take care, work with recommended individuals and negotiate a good price, now is a very opportune moment to be buying Cozumel real estate.