Is an Investment Property in Mexico a Good Idea? Here’s What the Data Says
Why More Canadians Are Looking at Vacation Condos as Investment Properties in Mexico
With rising real estate prices in Canada and a growing interest in cross-border investment, many Canadians are asking: Is buying a property in Mexico a good investment?
According to the 2025 Real Estate Foresight Demand Study by 4S, the answer is a strong yes, especially for those looking to combine lifestyle and financial returns. The data reveals how buyers from abroad (like Canadians) are increasingly prioritizing vacation-ready properties in Mexico, not just for their own use, but also for rental income and long-term growth.
How Do Foreign Buyers Use Their Properties in Mexico?
The study found that 68% of foreign buyers are purchasing their condo in Mexico as an investment, while 21% buy it for retirement, and only 11% for weekend or short-term vacation use.
This means that even when vacation is a motivation, most Canadians treat their vacation home as an investment property in Mexico, with the intention to either rent it out or watch it appreciate over time.
How Often Do Vacation Buyers Use Their Property?
If the purchase is intended for weekend or vacation use, how often do they actually use it?
- 50% of foreign buyers would use it twice a month
- 50% would use it more than twice a month
- Typical stay per visit: Between 1 and 2 weeks
This shows a pattern of semi-frequent usage, which opens up ample time to rent the property out during unused periods, increasing its ROI.
What Kind of Features Do Foreign Buyers Want in a Vacation Investment Property?
To maximize your investment, it’s important to align your condo’s features with what buyers (and renters) prefer.
The study shows that foreign buyers most often seek:
- 2 or 3 bedrooms (42% and 53% respectively)
- 2 bathrooms (42%)
- A terrace (53%), especially one between 7 and 12 m²
- Higher ceilings, which 16% of foreigners find attractive
- Open kitchens or ones delimited by a breakfast bar (78% combined)
- Home office space (28%), a growing trend post-COVID
These features make your unit more desirable not only for personal use, but also on the rental market, whether short-term (Airbnb) or long-term.
Why Canadians Choose Mexico for Investment Properties
There are many reasons why Canadians see Mexico as an ideal investment destination:
- Lower entry costs compared to Canadian cities
- High ROI potential, especially in tourist-heavy areas like Playa del Carmen or Puerto Morelos
- A growing community of expats and snowbirds
- Favorable financing options for foreigners through partners like Mexico Mortgage Hub
Plus, the 4S study found that 34% of foreign buyers invest to earn rental income, while 33% invest to generate capital gains: a nearly even split that reflects the dual value of vacation condos.
And perhaps most importantly, they’re not paying in cash.
Canadians today have access to solid financing options that make buying in Mexico easier than ever.
Financing Options for Foreign Buyers: Mexico Mortgage Hub
When it comes to securing an investment property in Mexico, financing plays a critical role, especially for Canadians looking to buy abroad. Here’s how Mexico Mortgage Hub, part of Creditaria Financial Group, supports international buyers:
✅ Tailored Mortgage Services
- No Mexican residency required to qualify
- Loan-to-Value (LTV) up to 85% of the property value
- Repayment terms up to 30 years, ideal for low monthly payments
- Interest rates starting at ~9% in MXN pesos, with competitive options
- Guaranteed mortgages available regardless of credit score or income documentation
- USD-denominated mortgages: fixed interest, no FX risk, fully amortizing, ideal for US/Canadian buyers
Beyond competitive mortgage terms, the process with Mexico Mortgage Hub is simple and transparent. There are no hidden fees or balloon payments, especially for loans in USD.
From pre-approval to closing, every step is coordinated online by bilingual mortgage specialists, making it easy to manage from Canada. Most approvals close in just 3 to 4 weeks.
This ease of access is one reason so many Canadians choose Mexico Mortgage Hub. There’s no need for Mexican residency to qualify, and you can buy in restricted coastal zones through a secure bank trust.
Plus, the service is commission-free for buyers: the banks cover the broker’s fee, meaning more value and less hassle for you.
In short, Mexico Mortgage Hub offers tailor-made, low-hassle financing for those seeking an investment property in Mexico.
With up to 85% LTV, terms of up to 30 years, USD-denominated loan options, and full support in English or French, it’s one of the most accessible and reliable ways for Canadians to finance property abroad.
Conclusion: Is a Vacation Condo in Mexico a Good Investment?
Absolutely, if you choose the right location and unit type.
Vacation condos in Mexico offer Canadians an affordable entry point into international real estate, with strong potential for rental income and lifestyle benefits. When you follow the data (2-3 bedrooms, terrace, good layout, and amenities) you increase your chances of long-term success.
📈 Learn more: 5 Key Lessons on Mexico Real Estate Investment for Canadians
Ready to Explore Investment Properties in Mexico?
Let us help you find the right vacation condo that works as an investment property in Mexico.
👉 Download our free guide with everything you need to know about your property purchase in Mexico!
Source: Estudio de Demanda, 4S Real Estate Foresight (2025). Data obtained from local, foreign, and international buyers in high-growth tourist areas.
