Integra Realty Resources, in their 2008 analysis of the North American real estate market, has this to say about the real estate tourism sector in Mexico:
“Along the Baja Peninsula and the west coast of Mexico, the hospitality and tourist oriented market, as well as the second- home projects market, remains very strong. This has kept IRR de Mexico very busy with a variety of assignments. Sales in the residential tourist sector reached $5 billion in 2006, consisting for the most part (over 70%) of U.S. and Canadian citizens. Sales for 2007 are expected to surpass $6 billion. The Los Cabos area still maintains the strongest position in these markets, with the most new projects under development and the highest number of record-breaking sales prices. Sales prices per square foot have reached nearly $2,000 in the north Cabo area overlooking the Pacific Ocean. In these areas, developments like Capella, Sunset Beach and Diamante will take Los Cabos to the next generation of super-resorts and tourist/residential communities.”
Los Cabos may be strong with regards to number of new projects coming on line and the top-dollar reached for individual sales, but the Vallarta region still leads the nation in total number of sales and volume.