Baja is once again being looked upon as a place for real estate investing.  As of the time of this writing, those knowing that the coastal areas are safe are very optimistic about investing in Baja.  Baja as a real estate investment destination is an option for both the professional investor who is looking for growing equity or cash flow, and for investor/user looking to buy and enjoy an ocean front or ocean view property, knowing they are buying at a 10 year low.

The fact is that if you were considering investing in California, Nevada, or Florida, then you will find even more value in Baja, and this true for 2 specific reasons. 

Firstly, the US media, such as CNN and competitors, would have you believe that Tijuana, Acapulco, and Ciudad Juarez makes the whole country of Mexico dangerous, keeping vacation renters, who were apart of the buyer pool, away.  But those who are more informed know that inner-city Tijuana is far from the beaches of Rosarito, and even further away from the some of the Baja beach front communities that some of the USA expatriates are residing at during their golden years.  Many blogs posts by USA expatriates who own and live in Baja show how out of tune the media giants are with the easy-goingness of the coastal communities. 

So less vacation renters translates to less buyers, thus affecting days on the market and prices of Baja real estate.

The second reason as to why investing in Baja has become attractive to investors again is because of the economy as a whole.  The shrinking money supply in the USA, and particularly California’s, does affect Baja.  As real estate prices and the employment rate deflate in the states, real estate prices in Baja also go down.

Some investors who could not get loans state-side for their next investment have found that there are seller financing opportunities here in Baja.  At the time of this writing, about 30% of sellers are willing to offer some sort of financing.  This has played in nicely with those investors who want to buy and use their own Baja property on occasion, but don’t have all the cash to pay in full.

Investors will find that interest rates in Baja offered by sellers are less expensive than what the banks in Mexico are currently offering.  Most savvy sellers though want full disclosure on the buyer’s financials, credit, and income before extending this seller financing.
Investing in Baja real estate is similar to investing in the USA.  There are capital gains to consider, you need to know how you plan to hold title to best accomplish your goals, you would want to know what your appreciation might be on a short and long-term basis, and what your cash flow opportunities