In today’s digital world, it’s easy to get lost in a sea of real estate advice, especially when buying or selling property in a destination market like Cabo San Lucas. With so many moving parts, it’s no wonder the internet is flooded with searches from people trying to make sense of it all. To cut through the noise, we’ve answered six of the most googled real estate questions of 2025, giving you clear, local insight you can actually use.
1. Is Now a Good Time to Buy Real Estate?
This remains one of the most googled real estate questions year after year, and for good reason. Timing your purchase is a personal decision, but it should also be informed by the current state of the market.
In Cabo San Lucas, the real estate market in 2025 has remained competitive, especially in areas like Pedregal, Palmilla, and El Tezal. Inventory for well-located properties remains tight, which supports long-term appreciation potential. For buyers paying cash or seeking a vacation or investment home, this is still a strong window to enter the market, especially if you're focused on long-term value rather than short-term speculation.
In Cabo San Lucas, the real estate market in 2025 has remained competitive, especially in areas like Pedregal, Palmilla, and El Tezal. Inventory for well-located properties remains tight, which supports long-term appreciation potential. For buyers paying cash or seeking a vacation or investment home, this is still a strong window to enter the market, especially if you're focused on long-term value rather than short-term speculation.
2. Can Foreign Buyers Purchase Property in Mexico?
This question consistently ranks among the most googled real estate questions, especially from Americans and Canadians interested in owning a piece of Cabo. Yes, foreigners can legally buy property in Mexico, including along the coast.
In Cabo, most foreign buyers use a fideicomiso, a bank trust that allows non-Mexican nationals to own residential property within the restricted zone (50 km from the coast). This is a well-established and secure method of ownership, renewed annually and handled through a Mexican bank. Alternatively, buyers purchasing for commercial or income purposes may use a Mexican corporation. Both structures are legal and common, and an experienced agent like Joe Taylor will help you determine which is right for your needs.
In Cabo, most foreign buyers use a fideicomiso, a bank trust that allows non-Mexican nationals to own residential property within the restricted zone (50 km from the coast). This is a well-established and secure method of ownership, renewed annually and handled through a Mexican bank. Alternatively, buyers purchasing for commercial or income purposes may use a Mexican corporation. Both structures are legal and common, and an experienced agent like Joe Taylor will help you determine which is right for your needs.
3. What Are the Costs Involved in Buying a Home in Cabo?
Understanding transaction costs is essential when budgeting for a home in Mexico. Buyers are often surprised that closing costs in Cabo San Lucas typically range between 5% and 8% of the purchase price, more than what’s customary in the U.S. or Canada.
These costs may include:
These costs may include:
-
Acquisition tax (approx. 2% of property value)
-
Notary fees
-
Bank trust setup and registration fees (for foreign buyers)
-
Legal and administrative expenses
-
Title verification and due diligence fees
These costs are typically paid by the buyer, while the seller covers agent commissions and capital gains tax. Joe can provide a detailed cost breakdown early in the process to help avoid surprises.
4. How Do I Know If a Property in Cabo Is a Good Investment?
Investment potential is one of the biggest motivators for buyers in Cabo, and one of the most googled real estate questions this year. While beachfront and marina-adjacent homes often attract high demand, true investment value depends on more than just location.
When evaluating a property, consider:
When evaluating a property, consider:
-
Short- and long-term rental potential
-
HOA policies (some communities restrict short-term rentals)
-
On-site amenities (pools, security, concierge, etc.)
-
Maintenance and management services
-
Market history and resale value in the neighborhood
For buyers looking to generate rental income, condos in resort-style developments or walkable neighborhoods close to restaurants and nightlife often see the highest occupancy rates.
5. What’s Involved in Selling a Property in Cabo San Lucas?
Many homeowners who purchased in the last 5–10 years are now exploring resale options and searching for a clear breakdown of the process. While similar to selling in other countries, there are some key differences when selling property in Mexico.
To list and sell a property in Cabo, you’ll need:
To list and sell a property in Cabo, you’ll need:
-
Proof of legal ownership and recent tax receipts
-
A current appraisal
-
HOA documentation (if applicable)
-
Capital gains tax calculation (ISR)
-
An experienced notary and legal advisor
Marketing is essential, especially with many buyers shopping from abroad. High-quality photography, digital marketing, and exposure through luxury real estate platforms can help attract interest and streamline the sale. Working with Joe Taylor ensures all documents and marketing materials are presented properly from the beginning.
6. How Long Does the Closing Process Take in Cabo?
Buyers and sellers alike want to know what to expect after an offer is accepted. On average, the closing process in Cabo San Lucas takes 45 to 60 days, although this can vary depending on the transaction’s complexity and the readiness of documentation.
Key steps during this time include:
Key steps during this time include:
-
Title search and due diligence
-
Review and finalization of fideicomiso (or corporation setup)
-
Notary document preparation
-
Wire transfers and escrow processing
-
Signing and recording of property transfer
Unlike in the U.S., where escrow and title are separate, in Mexico, the notary serves as a legal authority and oversees the transaction. Having a knowledgeable real estate advisor helps keep timelines on track and ensures smooth coordination between all parties.
Real Estate in Cabo San Lucas Comes with Questions, And Opportunity
From ownership structure to closing costs, the most googled real estate questions reveal what buyers and sellers are truly thinking about. Cabo San Lucas continues to be one of the most desirable markets in Mexico for lifestyle buyers, investors, and second-home seekers, but navigating the process takes clarity and local expertise.
Understanding the basics (and working with someone who can guide you through the rest) sets you up for a confident, successful experience in 2025 and beyond.
Understanding the basics (and working with someone who can guide you through the rest) sets you up for a confident, successful experience in 2025 and beyond.
Have Questions Not Covered Here?
If you're ready to make a move and want expert answers tailored to your specific situation, Joe Taylor is here to help. With years of experience guiding international clients through buying and selling property in Cabo, Joe offers honest insight, innovative strategy, and seamless service at every step. Reach out today to get the clarity and results you’re looking for.
