Interest Rate Reductions Spark Mexican Investor Appetite for US Real Estate
The recent interest rate cuts by the Federal Reserve (Fed) and the Bank of Mexico have reignited investor interest in the US real estate market, particularly among Mexican investors.
Iván Chomer of Dividenz Sees Opportunities
Iván Chomer, CEO of investment platform Dividenz, explains that lower interest rates are encouraging investors to seek higher returns:
“The interest rate cuts are creating a kind of push for investors to seek higher returns,” Chomer said in an interview.
Fed’s Decision to Lower Rates
The Fed has reduced interest rates by 0.25 percentage points, bringing them to a range of 3.75% to 4%. This is the second consecutive reduction aimed at stimulating economic activity following months of slowdown.
Chomer notes that Mexican investors are increasingly interested in seeking returns in the US due to factors like peso devaluation, economic uncertainty, and lower interest rates.
Dividenz Targets Mexican Capital for US Real Estate
With the trend of interest rate reductions, Dividenz anticipates attracting $60 to $100 million in Mexican capital by 2026 through its platform for US real estate investment.
The firm focuses on acquiring and managing built properties—residential, commercial, and industrial—that generate 10-15% returns through rental income and appreciation for its investors.
Chomer highlights that in a turbulent global economic environment, the US stands out as an attractive destination for Latin American investors due to its legal security, institutional stability, and potential for returns.
Real Estate as a Safe Haven
For many Latin American investors, investing in US real estate presents a dual opportunity: safeguarding their assets against currency volatility and generating long-term passive income.
“What Latin investors are looking for in the US is first to protect their assets and second, to generate long-term passive income,” Chomer explained.
However, he acknowledges barriers to entry for Latin American investors, such as lack of market knowledge or complex processes. Digital platforms like Dividenz aim to remove these obstacles and democratize access to international real estate opportunities.
“There’s strong demand for investing in US real estate, with investor appetite. It’s crucial to communicate that it’s not just about buying an apartment in Miami, but a genuine business opportunity,” Chomer emphasized.
Key Questions and Answers
- What triggered the renewed interest in US real estate among Mexican investors? The recent interest rate cuts by the Federal Reserve and the Bank of Mexico have made US real estate more attractive.
- How much capital does Dividenz aim to attract from Mexican investors by 2026? Dividenz projects capturing between $60 million and $100 million in Mexican capital for US real estate investment by 2026.
- What types of properties does Dividenz focus on? The firm concentrates on acquiring and managing residential, commercial, and industrial built properties that generate 10-15% returns.
- Why is the US real estate market appealing to Latin American investors? The US offers legal security, institutional stability, and strong potential for returns, making it an attractive destination during global economic turbulence.
- What are the benefits of investing in US real estate for Latin American investors? It allows them to protect their assets from currency volatility and generate long-term passive income.
