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What to Look For in Mexico Beach Vacation Rentals
Posted: Dec 20, 2013
It just could be the coffee!
NuWire Investor promotes Mexico beach vacation rentals as a dream investment and lifestyle. But, why would you consider Puerto Escondido? Well, the coffee alone is worth it. Long before there was an accessible airport or Mexican Highway 290, this was a large lovely bay where ships would pick up the coffee beans farmed in the hills above the sea.
Pluma Hidalgo is a coffee with a rare enticing aroma, grown in Oaxaca’s mountains along Mexico's western Emerald Coast. Plantations established in the late 19th-century thrive in the soil and climate, and so can you and your family.
There is so much more!
Long, pristine, white beaches stretch north and south from the town center of Puerto Escondido. You will find arts and crafts, local music, coastal cuisine and endless festivals. The beachfront and laid-back surfer vibe is attraction enough for most expats, tourists, and vacationers. So, if you are thinking of renting or investing in Mexico beach vacation rentals, consider some tips.
1. Don't invest sight unseen
Schedule one or more trips to the area. Spend time in and with the culture. Eat the food, swim the beaches, take the eco-tours and drink the coffee. Watch what the tourists frequent and spend. Critique the airport arrival and ground transportation. Simply try to determine if this is a place you would rent for a vacation stay.
2. Spend time in the property
Measure the space, count the rooms and baths, and look for construction pros and cons. Spend time at the pool talking to other owners/renters, taste the food and drinks and estimate your proximity to needed services. Inspect the appliances and plumbing for performance, and consider whether the existing furnishings and decor work for you. Basically ask yourself if this is a place you would rent for a vacation stay.
3. Seek specialized advice
Buying Mexico beach vacation rentals needs some specific legal advice. Purchase is not impossible or difficult, but there is a difference in terms and procedures. For example, there are restrictions on foreign ownership of coastal property, but a fideicomiso is a trust device enabling your mortgage.
4. Research the return on investment
Researching Mexican tourism and occupancy statistics may help you estimate potential revenue. Then, adjust that revenue for estimated expenses, such as utilities, maintenance, cleaning, and rental management. (The fixed and variable expenses are quite low in Mexico - with the exception of electricity.)
5. Contract with a rental management company
Management fees reduce your rental income, but this cost is covered by a greater occupancy rate. They offer better exposure, client screening, financial management, and maintenance services. It also takes the investment off your hands, so you can look forward to indulging in the local lifestyle.
Mexico beach vacation rentals are a profitable investment - as well as a great lifestyle investment. Consider a Stay & Play trip hosted by VIVO Resorts in Puerto Escondido. Listen well, study the return on investment and take pictures of you enjoying yourself!
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