Thinking of selling your home in Cabo? Whether you’re relocating, downsizing, or cashing in on a strong market, selling property in Mexico—especially in a destination like Cabo San Lucas—requires a smart, strategic approach. With international buyers, legal nuances, and a growing demand for luxury living, understanding the local selling process can help you position your home for success.
Why Selling in Cabo San Lucas Is Unique
The Cabo San Lucas real estate market is unlike most in North America. Here, you're not just selling a home—you're selling a lifestyle. Buyers are often coming from the U.S., Canada, or Europe and are looking for turnkey properties that offer both vacation value and long-term investment potential. While the market is strong, sellers need to be prepared for specific processes, pricing strategies, and legal requirements that come with listing in Mexico’s restricted zone.
1. Understand the Local Market Conditions
Before you list your home, get a clear picture of what’s happening in the Cabo San Lucas real estate market. Are prices trending up? Is inventory limited in your neighborhood? What types of homes are selling quickly, and which ones are sitting on the market?
A knowledgeable local agent can provide a comparative market analysis (CMA) that looks at recent sales, current listings, and neighborhood trends. For example, if you're selling a villa in Pedregal or a condo near Medano Beach, buyer expectations and price points will differ.
Local market knowledge also includes seasonality. Cabo sees peak buyer interest from November to April, when international traffic is highest, so timing your listing for maximum exposure can make a difference.
2. Prepare Your Property for the Market
In a high-visibility market like Cabo, first impressions matter. Buyers here often purchase remotely or make decisions during brief visits, so your home needs to shine.
Tips for preparing your home:
-
Declutter and depersonalize: Remove excess items, family photos, and anything that makes the home feel "lived in."
-
Deep clean and repair: Address scuffed walls, leaky faucets, and worn-out furniture. A fresh coat of neutral paint can go a long way.
-
Stage with purpose: Showcase outdoor spaces, views, and open layouts. Cabo buyers are often drawn to indoor-outdoor living areas and scenic patios.
-
Professional photos and video: High-quality listing photography is essential, especially for remote buyers who rely on visuals. Drone footage can also be effective in showing off ocean views or proximity to town.
3. Price Your Home Strategically
One of the biggest mistakes sellers make is pricing too high out of the gate. While it’s tempting to aim for top dollar, overpricing can deter serious buyers and cause your listing to sit on the market longer than necessary.
Work with your agent to evaluate recent sales of similar properties in your area. Consider unique selling points—like upgraded finishes, rental potential, or ocean views—and factor in how your home compares to others currently on the market.
In Cabo, pricing needs to strike a balance between buyer expectations and market trends. International buyers are savvy, and many are comparing properties in Cabo with similar options in other resort markets. Strategic pricing helps your listing gain traction early and encourages competitive offers.
4. Know the Legal Requirements
Selling property in Mexico involves more documentation and government processes than many foreign sellers expect, but it's entirely manageable with the proper guidance.
Key documents and considerations include:
-
Fideicomiso (bank trust): If your property is in the restricted zone, the bank trust must be reviewed and updated as part of the sale.
-
Capital gains tax: Mexico imposes capital gains taxes on real estate sales. However, exemptions or deductions may apply depending on your residency status, property use, and holding period.
-
CURP and RFC numbers: Foreigners will need to register for Mexican tax identification numbers to complete the transaction.
-
Notary and closing costs: A notario público handles the official transfer of property. Sellers are typically responsible for a portion of closing costs, which vary based on the sale price and terms.
It’s highly recommended that you work with a real estate attorney and a qualified notary who is familiar with foreign transactions in Cabo San Lucas real estate.
5. Market Your Property Effectively
Effective marketing is essential, especially in a destination market like Cabo San Lucas, where many buyers shop remotely. Without a centralized MLS in Mexico, visibility depends heavily on your agent’s reach, relationships, and digital strategy. A well-marketed property not only attracts more eyes but also helps buyers envision themselves living the lifestyle your home represents.
Online Exposure and Agent Networks
Because real estate in Cabo is listed across multiple platforms, your agent’s connections and marketing plan are critical. Listings should be published on the top international property websites as well as key regional portals and agency-specific platforms. A strong local agent will also share your listing within their trusted agent network, which is often where serious buyers are first sourced.
Targeted Digital Advertising
our property should be backed by a strategic online ad campaign. Well-crafted Google and Facebook ads can zero in on high-net-worth individuals and investors actively searching for properties in Cabo. These ads often direct traffic to a custom property page or video tour, making a strong, lasting impression.
Email Marketing and Buyer Databases
Established agents maintain lists of past clients, international investors, and buyer leads who are actively watching the Cabo market. Your listing should be professionally featured in email campaigns, highlighting high-quality images, key property features, and lifestyle benefits specific to your neighborhood or development.
Virtual Tours and Professional Video
With many buyers purchasing from abroad, virtual experiences matter. High-resolution video walkthroughs, narrated property tours, and even drone footage of the surrounding area help tell the full story, especially when a buyer can’t see it in person. These tools are no longer optional—they’re essential for reaching serious buyers around the world.
Marketing your home is about storytelling. The right strategy combines compelling visuals, targeted outreach, and local expertise to present your property as a complete lifestyle package. That’s what turns views into showings, and showings into offers.
6. Be Prepared for the Negotiation and Closing Process
Once offers start coming in, your agent will help you review them—not just the price, but the terms, contingencies, timelines, and currency (USD vs. pesos). Negotiating in Cabo often involves a little back-and-forth, particularly with buyers unfamiliar with the area or legal process.
Once an agreement is reached, the transaction typically proceeds as follows:
-
Promissory Agreement (Contrato de Promesa de Compraventa): This document secures the sale terms and triggers the deposit.
-
Due diligence and document review: The buyer’s attorney verifies the title, trust, and zoning regulations.
-
Closing: Conducted through a notary, where the final deed is signed, taxes are paid, and ownership is transferred.
The entire closing process can take anywhere from 30 to 90 days, depending on the complexity of the sale and how quickly paperwork is prepared.
Ready to List Your Home in Cabo San Lucas?
If you’re preparing to sell and want expert support every step of the way,
Joe Taylor is here to help. With years of experience in Cabo San Lucas real estate, Joe brings market expertise, global reach, and a client-first approach to every transaction. Contact him today to schedule a listing consultation and take the first step toward a successful sale.