One of the best mechanisms to protect the wealth of investors around the world has been the acquisition of real estate. That’s why, with an ever-evolving economy and a wealth of real estate projects available, investing in Mexico real estate is a wise decision for those looking to expand their portfolio and generate reliable passive income. This is why Mexico, according to FDI 2023, has positioned itself among the most attractive countries for foreign investment; discover below some of the key factors for investors interested in migrating to new destinations.
What is FDI and which countries make up the list?
The Foreign Direct Investment (FDI) Confidence Index 2023, prepared by the consulting firm Kearney, is a study conducted to help the world’s investors discover new opportunities in emerging markets. In order to establish or acquire a significant interest in a local company or to acquire real estate and other assets.
The Emerging Economies FDI Confidence Index list includes the 25 countries considered most attractive for foreign investment. In addition to Mexico, the list includes other countries such as China, India, Brazil, Qatar, Saudi Arabia, Turkey, among others.
Why is Mexico an opportunity for foreign investment in real estate?
Continued economic development of the country
According to data collected by the National Institute of Statistics and Geography (INEGI), the country’s economy grew 3.1% in 2022 compared to last year, a figure that exceeded the 3% growth expected by the same institute. This is due, in part, to political stability and the implementation of structural reforms in key sectors such as energy and finance. This has generated confidence in investors and has increased the flow of foreign direct investment in the country, factors that have a direct impact on the real estate sector.
Competitive costs and better opportunities
Foreign investment sees a golden opportunity in Mexico thanks to the current economic, political and social situation. According to Santander Trade’s perspective, Mexico is the country that attracts the most foreign investment in Latin America and the Caribbean, this is due to the fact that the country is very well integrated in the world economic order: it is a member of NAFTA, the OECD, the G20 and the Pacific Alliance. In addition, the country’s natural resources allow prices to be very competitive compared to other neighboring countries.
According to the latest studies conducted by the United Nations World Tourism Organization (UNWTO), Mexico remains in a constant top 10 countries that foreign tourists prefer to visit.
High quality of life and unique real estate projects
Mexico has a privileged geographical position. Here most American and European investors have found a natural paradise thanks to the sun, sea and sand that the beaches offer practically all year round. And if, on the other hand, the investor is looking for a much more private destination where he can connect with nature, Mexico offers some of the most beautiful best forests, mountains and protected nature reserves. In this scenario we find residential real estate projects that integrate the best of nature and vacation destinations, all without leaving aside a resort lifestyle.
Proptech industry success in North America
The Proptech industry has been one of the most dynamic and innovative sectors in recent years in North America. Through the use of new technologies such as artificial intelligence, big data and virtual reality, Proptech companies have transformed the way real estate is invested, built and sold in the region.
The success of proptechs is mainly due to their ability to offer efficient and disruptive solutions to the challenges faced by the real estate sector, such as the lack of transparency, the complexity of the buying and selling processes and the limited access to information.
The latest edition of the PropTech Latam Summit 2022 brought together leaders and experts in the Mexican real estate industry to share knowledge and experiences. During the event, relevant topics such as the adoption of emerging technologies, the impact of the pandemic on the real estate industry and the importance of collaboration between Proptech companies and traditional players in the sector were discussed. According to the latest research conducted by MIT, the traditional real estate industry is expected to use machine learning and artificial intelligence to analyze data. Currently only 130 companies have been shown to integrate these new technologies, however, this is about to change.
Nolab: the proptech that is changing the rules of the game
Nolab is a proptech that has stood out for its innovation in the real estate market and its ability to revolutionize the way properties are bought, sold and managed in a global context. Nolab’s specialization focuses on the property buyer and investor market. cross-borderThis has allowed them to take advantage of a market niche that had not been explored until now.
Although Nolab did not initially consider targeting cross-border buyers and investors, an unexpected phone call from Spanish developers in Madrid gave them the opportunity to explore this market. In just two months, Nolab closed three sales totaling €4.3 million to Mexican buyers, which led them to consider expanding their operations to other countries.
Since then, the company has established strong relationships with real estate developers and brokers in different parts of the world, They have also developed a platform that allows clients to explore properties, get personalized advice, tour spaces with augmented reality, manage credit and documentation, and make international offers directly from the ecosystem.
Experience, international presence and innovative methodology support Nolab’s results.
Nolab has extensive experience in comprehensive advisory services for cross-border property buyers, including handling relevant documents in each country and assisting in the procedures for obtaining investment visas, such as the Golden Visa.
With all this, Nolab has become a leader in the proptech market and is transforming the way people buy and sell properties around the world. Their innovative and technological approach has enabled them to overcome the challenges of cross-border transactions and provide a more informed, secure and transparent experience for their customers.
In conclusion, Mexico’s internal and external factors have positioned the country as a great opportunity for foreign investment, specifically in the real estate sector, thanks to the advances that the proptech industry has made in recent years. Innovation and the use of new technologies in the country have enabled efficient and disruptive solutions in the processes of buying and selling and access to information, which guarantees a secure and profitable investment over time.
