Cabo Real Estate Building Costs on the Rise

For those looking to build custom homes in Los Cabos, the sooner you start the better. Cabo real estate building costs are going up like everywhere here in Mexico. Baja California is no exception.

• Concrete went up 10% on December 17, 2007
• Steel went up 20% on December 17, 2007
• Steel slated to go up an additional 10% in January 2008

We are seeing a net impact on building costs that raises the price to build approximately 5%.


Real estate in Cabo is still strong. Even though there are markets in the United States that have slumped, the demographics of buyers here do not seem to be affected. Most of them are not yet utilizing the available mortgage financing to purchase their Cabo real estate.

One way to offset the cost of construction is to consider what you want to do with the property once it is built.

• Sell as spec home?
• Use it as your personal Cabo real estate retreat.
• Rent it as a vacation rental.
• Rent it as a long term rental.

Contact us to get your project started.