When considering an investment in Tulum Real Estate with Colibri Property or anywhere in the Riviera Maya, our priority is to ensure a safe transaction that results in our clients receiving a properly-deeded property as smoothly as possible. Before any transaction happens, we want our clients to receive a solid education of the market, and that is why we promote developments that meet certain quality and pricing standards. Since there are so many new developments to the Tulum market, it is easy to get lost in all of the different options.
What we do very well when researching which developments are best to promote and recommend to prospective investors is ensuring there is the right combination of a few things:
FUNDING OF THE DEVELOPMENT
Because the market is hot and there is very little access to construction loans, it happens too often that developers rely upon sales to fund construction. In fact, that may have been the sales pitch that prompted them to buy land and develop in the first place. However, if the property doesn’t sell as quickly as anticipated, construction will be stalled, delivery will be delayed, and our investors will not see any returns on the capital they have committed to the investment. There are several, well-funded, developers that have great track records, and we do not hesitate to promote their developments from the initial release. However, we look for newer developers to be further along in the construction process, where there is more certainty that delivery will take place on time.
CONSTRUCTION MATERIALS
Construction Materials: If you were not aware, the Caribbean is a very beautiful place, but the climate is not ideal for the long lifespan of most things, including the wood, metals, stone that are utilized for construction. They will all be negatively impacted by the sun, heat, water, and minerals that exist here in the Riviera Maya. The analogy we like to use is that real estate here is like an appreciating boat sitting on the ocean: it is going to go up in value, but if you don’t keep it well-maintained, it is going to fall apart. The key to delaying this process is to use quality materials that are local to the area (especially with stone and wood) and resist these elements. Other technologies, like water softening systems, hurricane-grade glass, and dehumidifying A/C units will help expand the lifespan of construction. We look for developers that utilize these types of features in the properties that we promote.
PRICING
The price of a property, especially of new development in Tulum, can be defined by a few things like its location, the construction finishes being utilized, and the amenities being provided. For example, you can find a two-bedroom, two-bath condo in the exclusive Aldea Zama neighborhood in Tulum in the $250,000 range. If the price goes above, the condo should be big in size, be in a gated area, and feature high-end finishes like solid-wood doors and a private plunge pool. If the price goes below, the property will be smaller, and may not have as nice finishes. A lot of these factors come down to what the developer paid for the land, and how much he will incur in construction costs.
At Colibri Property, we have invested, developed, and sold in the Riviera Maya real estate market for over a decade.
Take a look at our featured properties. We are happy to lend our knowledge and expertise so that you end up with the right, long-lasting property that will fulfill both your financial and vacation goals.
