1) The prices of San Pancho properties are often favorable in comparison with other destinations. And, with more and more people discovering Mexico, many experts believe the long-term investment prospects remain attractive.
2) San Pancho’s culture and services are increasingly welcoming of foreigners. While Spanish remains the primary language in San Pancho, it is also true that more and more people speak English, enabling Americans and Canadians to have a more comfortable experience. All in all, San Pancho feels more accessible (just 45 minutes from the Puerto Vallarta international airport) and comfortable than in the past.
3) Over 70 million people in the United States are now over 50 years old. This segment of the population is prone to seek vacation homes, retirement locations and real estate investments. There is also more wealth worldwide than ever before and much of that wealth will be invested in real estate. As more and more people invest in San Pancho, additional services and infrastructure are coming up to support this trend. As this occurs, it will make San Pancho even more appealing to new investors, and therefore the values should increase.
4) The long-term future of San Pancho looks promising. The village itself is becoming stronger economically and the opportunity for long-term real estate appreciation in San Pancho continues to be favorable.
5) San Pancho’s warmer climate is attractive to many from the United States, Canada and other foreign locations. For decades many people have enjoyed vacationing in San Pancho. “Purchasing” property is the natural next step.
6) Over 1 million Americans now live full time in Mexico. Along with residents who have moved from other countries, this large population has proved the safety and viability of life in Mexico.
7) San Pancho offers an array of interesting and fun things to do. From horseback riding, polo matches, weekend soccer games, and a pristine beach, there is something for everybody. In addition, San Pancho is ideally located to provide easy access to local golf courses and other tour activities such as zip lines, bay cruises, snorkeling, swimming with the dolfins and cultural events in nearby Puerto Vallarta.
8) There is an inventory of condos, villas, homes and land plus a growing selection of resorts and developments with extensive amenities. This provides a steady supply of inventory for interested buyers and investors in the San Pancho area.
As you can see it is no surprise that San Pancho Mexico provides an increasingly attractive location for Americans, Canadians and other foreigners. Most local experts believe that San Pancho Mexico real estate will provide an attractive opportunity for both investment and enjoyment for decades to come.
When it comes to purchasing real estate in San Pancho, Mexico, the process of making an offer is very similar to how one makes an offer in the United States or Canada. However, the escrow and title process is different. Mexico’s standards and requirements for entering the real estate profession are easier than in the states and Canada. Therefore, before you buy, do a little research and background checking to ensure you are working with a qualified professional.
It is worth noting that there is no nationwide MLS service in San Pancho at this time. All in all, you should only work with the highest quality professionals in all categories of the purchasing process, including brokers/agents, mortgage, legal, financing and title. Although it is quite common these days for foreigners to purchase San Pancho Mexico real estate, it never hurts to do a little background checking to ensure you are working with highly qualified professionals.
Mexico’s economy is currently undergoing significant growth and improvement. In 1982, following it’s inability to support its escalating foreign debt, Mexico made changes in its infrastructure in order to encourage more foreign investment. Most notable of these changes was Mexico’s stance on foreign ownership.
Allowances of foreign ownership of Mexican companies, formerly limited to 49 percent, were raised to 100 percent in many enterprises. This includes development companies, hotel companies, etc. This is important because most companies no longer need prior consent from the Foreign Investment Commission or Mexican investment partners.
Mexican Federal Corporate Income Tax ranges from 25 to 38 percent, and allows provisions to offset the detrimental effects of inflation on monetary assets and liabilities, inventories and depreciable assets.
Mexico’s economy is great for foreign investors. It offers a solid communications infrastructure, ample energy supplies, low labor costs, and skilled trainable labor resources all in close proximity to the world’s largest market. In addition, the Mexican government has dedicated time and money to developing new tourist destinations with modern facilities and infrastructure in order to promote the tourism industry.
Many rumors are constantly floating around about foreign investors being scammed out of all their money on Mexican real estate.
Owning land in Mexico is no longer sketchy like it was back in the old days. Due to established and well defined rules regarding non-Mexicans owning land, owning property in Mexico is easier and safer than ever. The rules protect foreign ownership rights, and promote foreign investment.
Over the last decade property in Mexico has become a practical investment strategy. Long gone are “promises and handshakes.” Investors are now protected by U.S. title insurance, bonded escrow accounts, extensive title searches, and “Fideicomisos.”
Fedeicomisos are the number one way foreign investors are protected. A Fideicomiso is a safe, almost forever renewable Mexican property trust, which was established especially to protect foreign investors.
Normally, there are three to four players involved in any real estate transaction in the restricted zone:
All four are helpful in their respective areas in assisting with real estate transactions. Transactions outside of the restricted zone do not involve a bank since it is not necessary to establish a real estate trust in those areas. Otherwise the transactions are much the same.