History proves, and money managers agree, that investing in real estate offers protection against financial volatility.
The recent failure of two US banks proves that investing excess cash in Real Estate is the best way to safeguard your wealth. While real estate values may go up or down, the physical asset themselves don’t just evaporate. Until last week, many of us didn’t know FDIC’s insurance is capped at $250,000. The need to find better ways to protect our assets is evident.
Mexico could be the answer. A report by Mexico’s Federal Mortgage Society (SHF) shows that housing prices in Baja, California, steadily appreciated from 2015 to 2021. The price index for housing in Baja went from 51 to almost 136 points in seven years. With low yearly ownership prices compared to the US, owning a slice of Baja Real Estate may be the best place to bank your money.
Max Katz, President of Baja Beachside Realty, faced a fivefold increase in inquiries from Americans last week. Most were potential customers, asking about the cost of properties and living in Mexico. Though Americans cannot easily obtain loans in Mexico, property is much more affordable than in the US. Many Americans purchase their homes in Mexico by tapping into their 401 (k)s or the equity from their US homes. Besides the security of owning physical assets, there’s much joy to be had at a beachfront property in Rosarito -starting at the high $200,000s.
PRO TIP: Ask us about inheritance laws in Mexico!
The average yearly cost of ownership in Rosarito is as low as 6000 a year, including:
- HOA Fees
- Property Tax
- Home Insurance
History proves, and money managers agree, investing excess cash in Real Estate is a safer strategy. It is also more fun.
Resources:
https://www.gob.mx/shf/acciones-y-programas/estadisticas-e-investigacion
