A Buyer’s Market Post COVID-19

In Cabo, San Jose and East Cape

New research confirms that half of all property buyers and sellers (50 percent) believe Cabo San Lucas, San Jose del Cabo and the East Cape (incl. Los Barriles) will be a buyer’s market post-COVID-19.

The Keller Williams Cabo Luxury Team polled qualified buyers and sellers over a four-week period during the height of the pandemic.

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The findings show that the pandemic has not affected 51 percent of buyers’ and sellers’ decisions to buy or sell. But, 38 percent believe there will be more properties coming onto the market in 2020 and 2021. Surprisingly, just 28 percent say that the pandemic has affected their plans to sell or buy.

Additionally, 46 percent of buyers believe prices will fall which is also echoed by sellers; 24 percent of sellers say that they expect to have to lower the price of their house to sell. As a result, 29 percent of buyers believe they will be able to get more for their money as sellers reduce their prices.

The research results echo the economic situation in the U.S. and Canada with 22 percent believing this is an excellent time to buy in Cabo, San Jose, the East Cape while interest rates in the U.S. and Canada at an all-time low. 21 percent say that they would like to buy an investment property in the region to rent out via platforms such as Airbnb and VRBO.

Emma Nicholson from Keller Williams in Los Barriles comments, “While the pandemic has had a huge impact on our region’s businesses and wider society, we are thankful that the research confirms people are still interested in making our beautiful part of the world their home. This is a vital indicator suggesting the economy is set to rebound across Cabo, San Jose, Los Barriles and the East Cape after the pandemic, and importantly, that it could support the essential job market for our region’s citizens after some very tough months in 2020.”

As expected, the research reveals that a small number of respondents (16 percent) are having to reassess their financial situation in 2020 before buying, while 21 percent of sellers state that they would refuse to lower the price of their property – even if there is more inventory on the market.

Harry Schikora, Keller Williams Cabo Luxury Team comments:

“The property market across our region is somewhat resilient because of the demographic of our buyers who come from the U.S., Canada and overseas largely to retire or acquire vacation and property rentals. As a result, we hope to see the market bounce-back as restrictions lift both sides of the border, and life slowly gets back to the new normal.”

The Keller Williams Cabo Luxury Team is based in San Jose del Cabo and Los Barriles and includes:

Harry Schikora, ABR®, CLHMS®, Licensed REALTOR®, Associate Broker and Luxury Team Leader. Harry is the first KW luxury international agent in Mexico with the CLHMS Guild designation.

Scott Purcell, Licensed REALTOR® and Conocer Certified, Scott’s focus is Los Barriles and the East Cape. Scott specializes in all types of properties across the Los Cabos region.

Emma Nicholson, Licensed REALTOR® and Conocer Certified, Emma’s focus is Los Barriles and the East Cape. The team is a safe, knowledgeable pair of hands with extensive experience in finding and selling properties of all price points across the region. To find out more about the property sector in Cabo San Lucas, San Jose del Cabo and the East Cape – including Los Barriles – please email emma.nicholson@kwmexico.mx.

For further information or for an interview with one of the Keller Wlliams Cabo Luxury Team, please contact Emma Nicholson emma.nicholson@kwmexico.mx or at +1 206-68-4956.

The research was conducted through Typeform from May 15 to June 15  amongst qualified buyers and sellers across the U.S., Canada and Baja.