CATCHY headline, I know. However, it’s not intended to be sensationalist, simply a matter of fact, and something worth discussing. So, you might ask, how can we be so sure that now is the time to buy property in Mexico?

With 35 years of experience in Baja California Sur (BCS) real estate, I could say we’ve seen it all. After the years of double digit % rise of home values in BCS, 2009 was the first year ever that brought down the prices of Baja California Sur real estate, with reductions ranging between 10 to 40%. We could say that we are back to the level of the prices of real estate as they were around year 2006 or 2007.

Today’s Value. As with any investment, the value of your property or housing investment is varying as well, largely depending on the alternatives which are driven by combinations of local/regional capital markets, and added value (such as location, amenities, proximity to school, hospitals, downtown, beaches i.e.). In case of BCS real estate, we have seen a historic trend over the past 35 years which assures any owner that their investment will increase in value in the mid and long term. There is no other location in the world that could offer you such an amazing combination of location, weather, nature and stable economic conditions of the country (Mexico has no deficit!).

And even though some buyers who bought their secondary, vacation or investment properties in 2007 are now experiencing a temporary halt in their value rise, they are certain that as capital markets get back on their feet they will again see price growth, in the mean time: it’s the best investment they have and one they can come to enjoy with friends and family! Some of them are even taking advantage of lower prices and are buying additional properties, as they are savvy to the strength of the market in the area.

Don’t get left behind. Just as in the US, where great deals on troubled assets are drying up as buyer confidence scoops them up, the ‘deals’ down here will soon be gone. Even in what has been a very challenging market in the past 12-18 months Coldwell Banker Riveras has been the best performing brokerage in each of its markets helping sellers maximize their value and buyers find the best insider deals in BCS. The value you will probably not find again in Baja Sur in the future.

No one knows it better! The principals of Coldwell Banker Riveras are the local experts with over 35 years of experience in real estate sales and development in southern Baja. Our wide inventory includes second home residences, vacation homes, investment properties, homesites, development sites, ranches, haciendas, and many more located all around BCS, with offices and local experts in Cabo San Lucas, San Jose del Cabo, La Ribera, Los Barriles, Todos Santos and La Paz.

For more information on real estate opportunities in Baja California Sur, visit www.cbriveras.com, contact us at info@cbriveras.com, or call at +52 624 143 1342 or US Vonage 1.866.805.49.38.

Photography of a home with a red wall and agave plants by LA76 Strategic Design.

Market insight by Leticia Diaz Rivera

Feedback: escapes@pedregal.com

Almost two years have passed since we first started hearing about ‘recession’, which turned out to be a global economic crisis. What can we say about it today? As we have learned by now, it is impossible to predict the future. Yes, there are signs that things are slowly, but slowly, starting to return to what we could say balance… Finally! We all want to leave this challenging chapter behind us and go on with our lives. Life goes on, right?

One thing is for sure though. It does seem there will be no going back to the pre-crisis world. Easy to reach prosperity, overall feeling of security and safety we have learned to enjoy before the crash of the global financial system will be hard to reach again in a short term. With this experience, we all have become more cautious of our next steps. We intend to put some income aside for rainy days, and before making a purchase we think twice, sleep it over and rethink again. Business landscape has altered significantly. Car industry gives incentives like never before; real estate prices have come down by 20-40%, giving great opportunities to those who can take their advantage; and even high end fashion industry adapted by giving cautious customers designers’ creative best for a better price.

We are all starting to look again to the future, and with it choosing selectively where to spend our dollar. Where do you do grocery, buy clothes, and have a dinner? Probably there, where they treat you as a valued customer, know their business, show desire to help you solve your need promptly, and give you good value for your money.

Grupo Riveras and our companies – Pedregal in Cabo San Lucas and La Paz, Coldwell Banker Riveras, Pacific Closing Company, Pedregal Escapes Vacation Rentals & Property Management company among others – carry on 35 years old legacy in real estate, started by my father in 1970-ies. We share the same values, passion and belief set out back then, trying to give you the best in real estate, taking care of family – yours and ours, and giving back to society in which we live in. As a group of companies one of our added values is to be able to give our customers more, in every aspect. We have recently opened ESCAPES Club for our valued clients, business partners and readers of ESCAPES, through which we will be presenting you special offers, by the group and our valued partners, enabling you to receive more, in every way. Because it matters, because You matter to us.

For more information about ESCAPES Club write us to escapes@pedregal.com or visit www.escapesmagazine.com.mx

Sometimes it’s not just about the market, it’s also about the state of mind. For several months already we are reading, listening and participating in so called global economic crisis. It is true, challenging times have come; we all have a friend who has lost his job, we have all heard stories about downturn in stock market, car industry, real estate industry and so on. On the other hand, we eagerly read experts opinions and their predictions for better times, we read analyses of previous crises and try to imply the lessons learned to today’s conditions.

Due to its location, friendly weather throughout the year and abundance of treasures the land has to offer, Los Cabos and Baja in general have become a major tourist destination and one of the most desired places to retire to. And although we were able to avoid the crisis bubble for a long period of time, we now also feel the effects of the happenings in the world. But, as the saying goes “good fortunes have been made in bad times”; these times give us an opportunity to invest in ourselves, in our education, and build firm bases of our business and future.

When trying to navigate this downturn, we find some real estate companies closing the doors of some of their offices (or the whole business), less closed deals, and our client’s properties longer time on the market. But, buyers are still out there, searching to get the very best deal, and developers on the other hand are eager to sell. I see developers become more flexible, offering their own financing, with fixed interest rates, and other solutions to serve best a cautious client.

In Grupo Riveras, formed by a group of real estate companies like high-end residential communities Pedregal in Cabo and La Paz, brokerage Coldwell Banker Riveras, Pacific Closing Company and Pedregal Escapes property management and vacation rentals company, we look at current times with even bigger expectations for the future. Being founders and leaders of Baja Sur real estate market for more than 30 years now, I could say we’ve seen it all. There have been bad times and good times. And although we might not see market boom as in years 2005 and 2006 to repeat very soon, we are positive that times have already started to change for the better. As the only brokerage with 11 offices spread all over Baja and with a wide palette of more than 360 listings we are able to help our prospect buyers find the place they are searching for. Be it a home, condo, home site or commercial property; an ocean view, beachfront or ranch; an investment for the future or a home to retire. Through all these years and experiences learned, we’ve come to realize that strategic investments are even more important in bad times than in good.

Therefore, it is no wonder, I could say, that our brokerage Coldwell Banker Riveras has been awarded as #1 Coldwell Banker franchise throughout whole Mexico for already 5^th year in a row, and that our top producers have earned recognition not only in Baja and nationwide, but also – and most importantly – with our clients. And that is what really matters at the end. So, good times or bad times, mastering what you do and setting your mind to success is what makes the difference.

By Leticia Diaz Rivera

For many years, the South of Baja (particularly the Los Cabos area) has been the hot spot for real estate investors. With a perfect climate for indoor and outdoor activities, miles of white sandy beaches and the convenience of short flights into La Paz and Los Cabos, the south of Baja offers the perfect getaway for Mexican and American second home buyers. Demand for properties has grown and, with the US credit situation and its potential impact on the real estate market, no one can help but ponder what the next smartest real estate investment is.

Besides Los Cabos and La Paz there new areas emerging with attractive developments on the East Cape Corridor and on the New Pacific Corridor between Cabo San Lucas and Todos Santos, where you can enjoy the beauty of the coast line and the mountains. Mountainside of Pacific Corridor offers a completely different Baja as you know now, with organic ranches and true spring.

With an average increase in values of up to 17% per year over the past 6 years in Pedregal de Cabo San Lucas, and up to 25 % in Pedregal de La Paz over the last two years, developers and investors are reaping the rewards. Steadily the South of Baja continues to move ‘up market’ with developers and investors pushing the bar ever higher in terms of luxury and service. Ultra luxurious specialty resorts are developing exclusive retreats to include Golf, Yachts, Marinas and full service hotels providing every convenience in terms of service to the ever discerning buyers. The growth and diversity of the residential communities and added amenities offer a choice of lifestyle.

Although the ripple effects are undeniable, development of phenomenal properties persists and sales continue to occur in the high end. Sellers need to leave their comfort zone to be aware that the competition is not as it used to be. Buyers have an ever increasing range of options ranging from private golf projects competing head to head to the full-service environment, to projects that look to pamper their clients with all the conveniences of an ultra luxury hotel. Opportunities exist in select niches. Land sales are still an area where buyers can capture substantial value and intelligent investors are recognizing it and are buying residential lots and larger tracts of land.

With an average of 7.25 properties sold per month throughout all the offices in the South of Baja from January to August 2008, Coldwell Banker Riveras maintains its vision of being the #1 real estate company in BCS, which offers a full range of real estate services, and bases its value on more than 30 years of real estate experience and expertise, proven track record and quality service. Weather you are buying or selling, Coldwell Banker Riveras offers our clients consultation, with the most accurate information available, to devise the most critical options on buying, selling, rental and financing options in the market. For more information, send us an email at info@cbriveras.com.