Nearshoring Boom and Post-Pandemic Changes Drive Foreign Investment
According to Gerardo Gómez Mendizábal, the Commercial Director at HIR CASA and Vice President of hipoTK, Mexico has become an increasingly attractive destination for foreign real estate investors due to the nearshoring boom and labor changes following the pandemic. This has led to a surge in property acquisitions by American, Canadian, European, and Asian citizens in major cities and beach destinations across the country.
Key Players and Their Interest
Mexico’s popularity among foreign investors is driven by global geopolitical shifts, remote work dynamics, and the pursuit of improved quality of life. Unlike the US, where over 80% of real estate purchases are financed through mortgages, Mexican property transactions primarily rely on personal funds. This presents a lucrative business opportunity for the real estate sector.
Gómez Mendizábal highlighted that the US remains the most crucial nationality for Mexican real estate investment, accounting for a significant portion of tourism. However, there’s also growing interest from Canadians, Europeans, Colombians, and Indians, particularly for tech-related reasons.
Investment Trends and Market Overview
Foreign investors typically purchase apartments and houses priced between 8 to 12 million Mexican pesos on average. A high-end market exists, with properties in Los Cabos valued at millions of dollars. However, the national average remains within the mentioned price range.
HIR CASA has experienced a 27% annual growth rate in the first half of 2025, with placements. The company anticipates even greater growth in the second half of 2025, following stronger credit numbers. In 2024, they closed with a 42% increase compared to 2023, making 2025 a promising year.
Emerging Markets and Development
Popular destinations like Puerto Peñasco, Los Cabos, Puerto Vallarta, and the Riviera Maya have long attracted foreign investors. Now, cities such as Ajijic (Jalisco), San Miguel de Allende (Mexico City), Guadalajara, and Monterrey are also gaining traction.
To cater to this burgeoning market, HIR CASA is developing real estate projects with specific preferences for foreign investors and preparing to launch a tailored product for this segment.
Expert Advice for Real Estate Advisors
Gómez Mendizábal advised real estate advisors to prioritize bilingual staff with a deep understanding of local laws to provide clear guidance to foreign investors. He emphasized the importance of consistent support rather than relying solely on technology.
Key Questions and Answers
- What is driving the surge in foreign investment in Mexico’s real estate market? The nearshoring boom and post-pandemic labor changes have made Mexico an attractive destination for American, Canadian, European, and Asian investors.
- What makes Mexico’s real estate market unique compared to the US? Unlike the US, where mortgages are common for real estate purchases, Mexican transactions primarily rely on personal funds.
- Which nationalities are most interested in Mexico’s real estate market? The US remains the primary nationality, but there is also growing interest from Canadians, Europeans, Colombians, and Indians.
- What are the typical investment ranges for foreign buyers in Mexico? Foreign investors usually purchase properties priced between 8 to 12 million Mexican pesos.
- How is HIR CASA capitalizing on this investment opportunity? By developing projects with foreign investor preferences and preparing a tailored product for this segment, HIR CASA aims to capture a significant portion of the $10 billion market.
- What advice does Gerardo Gómez Mendizábal offer to real estate advisors? He recommends prioritizing bilingual staff with a strong understanding of local laws to provide clear guidance to foreign investors.
