First, let’s look at the time of year. It is Spring and the Snowbirds have headed home. Many were depending on investments to afford summers at home and winters in Mexico. The direct hit they took in the stock market places them in the position of not being able to return to Mexico, perhaps for years. Some need to liquidate their homes in Mexico in a hurry if they are going to maintain their standard of living back home. Their emergency is an opportunity for investors with cash because the Snowbirds are having to drop the asking price on their homes in order to avoid the traditionally slow sales curve in Mexico.

For those who have mortgages on homes in Mexico, the emergency is even more severe. Chances are, they have a mortgage back home as well. Some were working in Mexico and lost their jobs when their American companies downsized. Some lost big in the stock market. Others knew better than to saddle themselves with two mortgages all along but did it anyway. Now, they have to unload those houses and get out from under their mortgages. In these cases, the owners cannot even take a chance on renting their Mexican property because they are so strapped for cash that they cannot afford the upkeep. Once again, new investors, who are real estate investment savvy and have a little cash, will come out as the clear winners.

The so-called “drug war” and the H1N1 influenza “pandemic” have both worked to add to real estate woes in Mexico. Both are phenomena that, in large part, were created by the media and never did exist to the degree that people were led to believe. However, combined with global fears of recession, the drug war and H1N1 have frightened away a significant number of potential investors, leaving Mexican property owners in competition for the investors who are smart enough to stay in the game and buy now.

In recent weeks, we have seen huge, beautiful beach houses going for right at $100,000 USD. A year ago, they couldn’t have been touched for more than twice – and sometimes three times – that amount. The little house in the picture at the top of this article is within 40 minutes of Merida, Yucatan and world class health care. It is a vacation rental that rents for approximately $270 USD per week, and it is for sale for $56,000 USD.  No matter where you live, or what currency your money is in, that is a bargain in anybody’s book!

So – when is the right time to buy investment real estate in Mexico? There is absolutely no doubt about it. Now is the time and Mexico is the place because none of these crises are going to last forever and, soon, the market will rebound. Those who wait until things get better will have the privilege of paying twice or three times as much for property in Mexico. For those who invest now, life will be better than ever.

(photo submitted to craigslist by owner)