This week, I’ve been telling you about the Riviera Maya, the 80-mile stretch of Caribbean coastline that runs from the world-famous resort destination of Cancun to the booming seaside city of Playa del Carmen to the chic beach destination of Tulum.

I’ve been telling you about this coastline’s stunning sugar-white beaches and turquoise waters…

Its incredible fine-dining and high-end resorts…

And how it’s become a magnet for remote workers, digital nomads, retirees, and part- and full-time expats looking for sun, freedom, and a high-quality lifestyle…

Today, I’d like to share the story of one American couple who were drawn here and were so blown away by the lifestyle and the investment opportunities, that they ended up buying not one, but three homes along this coast.

Recently, this couple spoke to a past member of my RETA scouting team, Jason Holland, about their experiences.

Their story below…

Wishing you good real estate investing,

P.S. Very soon, I’ll be bringing members of my Real Estate Trend Alert group an incredible deal in the beach city that’s the beating heart of the Riviera Maya—Playa del Carmen. This deal is a chance to lock in gains of what I believe will be $201,600 five years after delivery and own a condo that has the potential to rent virtually year round and make gross yields in excess of 13%. More on this deal below…

“We Bought 3 Homes on the Riviera Maya”

By Jason Holland

If not for a chance meeting, Deborah and Wayne Vanderpool might have never moved to Mexico.

The couple was on vacation on Mexico’s Riviera Maya, looking for an ATM before visiting one of the many of popular cenotes (freshwater swimming holes) that dot the region. While getting cash in the small seaside town of Puerto Morelos, they bumped into an American couple.

“We start chatting, and they told us they were moving to the area in a month or so,” recounts Deborah. “I said to myself, ‘I never thought about moving to Mexico…’

“We got home and did a ton of research. We read blogs of people who had moved. We looked at our current living costs in Virginia…and the potential costs in Mexico. It was a fraction. We said to ourselves, ‘Why don’t we do it?’”

The little fishing village of Puerto Morelos is about midway between Cancun and Playa del Carmen on Mexico’s Caribbean coast.

Although increasingly on the radar of travelers and expats, especially a large contingent who visit in winter, it’s still a relatively quiet, low-key spot.

Puerto Morelos retains a small-town feel, complete with a town square lined with little shops, restaurants, and cafés. The square is adjacent to a seaside malecon, or pedestrian promenade. Small fishing boats still go out from the dock, and you can buy fresh catch daily at the fish market nearby.

It’s a small, local place. Bigger shopping trips to places like Home Depot, Costco or Walmart require a visit to Cancun to the north or thriving, cosmopolitan Playa del Carmen to the south.

“My husband likes to kiteboard, so he goes pretty often,” says Deborah. “We go to the beach clubs every once in a while. Sometimes people will have parties. Or we’ll go for happy hour. Sometimes we go for a walk on the beach in the morning before work.”

Puerto Morelos may not have the high-end eateries of Playa del Carmen or Cancun but has several well-regarded restaurants offering local and international cuisine.

“We love dining out in the numerous restaurants on the colonia side (the traditional village inland) and port side (by the water) are great. One of our favorites is a small place on the colonia side with great burritos,” says Deborah, who also recommends La Sirena, an expat-owned restaurant across the street from the beach on the main square. “We also enjoy a monthly dinner out with a group of friends. We pick a new restaurant in Playa or Cancun.”

Living in this region puts you on the doorstep of Cancun international airport, which in turn means travel across Mexico and around the world is also easy for the couple.

“We went to Guadalajara for $150 round trip. We’ve been to Puerto Vallarta for about the same price. We’ve also been to Cabo…we traveled to Campeche for a race. We both do triathlons. We’ve also done the Cozumel Ironman,” says Deborah.

The Vanderpools bought their first home in Puerto Morelos in 2019, before moving down in September 2020. Although they had planned to retire when they got to Mexico, they had the opportunity to keep working online, which Deborah says keeps them busy during the day and gives them extra cash. He is an engineer; she is a dietician and diabetes educator.

Although they remodeled the kitchen of their first home, they were not able to make further modifications that they wanted. So, they sold that place and bought a lot in order to build a home to their specifications.

This one is in a gated community set amidst the jungle, complete with a community pool and garden area. Spider monkeys native to the region are frequent visitors, often interacting with the couple’s Cavalier King Charles Spaniels on opposite sides of sliding glass doors.

“We love looking out into the jungle, seeing the ocean from the top floor, and listening to all the birds and wildlife around,” says Vanderpool.

Although they are somewhat inland, they can see the Caribbean from the rooftop terrace of their three-bedroom, contemporary-style home, which has three floors, with the roof featuring sunbeds and a sitting area, as well as solar panels. There are four additional balconies on other floors. The home also features a full basement, where they have placed their exercise equipment and Wayne’s office. A deck off the basement overlooks the jungle.

On the front side of the house is a waterfall that drops down into a small pool, from either the first or third floor, depending on the setting. It’s one of their favorite features.

When building the home, the Vanderpools included several key items: granite kitchen countertops with a huge island and modern appliances, walk-in closets in the master and guest bedrooms, solid wood doors, and custom cabinetry.

The couple paid $50,000 for the lot and have put around five times that into building and outfitting the house. Already-built homes in the community list can be had for under $400,000, says Deborah.

“We felt like we got a good deal. I certainly feel like our money goes pretty far here. Building a house always seems to cost more than you anticipate, but we expected that, so it was OK,” Deborah says. “We met with a few builders and decided on one that is an architect also. He speaks perfect English and was very transparent about everything, which was important to us.”

The couple have since bought two other homes, both with three bedrooms and in gated communities.

“We did some remodeling and were going to flip the first one. But a friend of ours is renting from us. The other home we are currently remodeling, and we’re not sure if we’re going to flip it because we have been approached to rent that one out as well. The housing market is exploding here, so it can’t hurt to hold on to these places for a while,” explains Deborah, who said they had a good experience buying their properties.

“We found great people to work with. Many think that you can’t own land as a foreigner, but the key is the fideicomiso.”

Under Mexican law, foreigners buying property within 50 kilometers (31 miles) of the shore, or within 100 kilometers (62 miles) of an international border must buy it through a bank trust, called a fideicomiso. The trust gives you all the same rights you’d have if you bought that property freehold: you can buy it, rent it out, renovate or add to it, bequeath it, and sell it.

“It’s about a $500 fee per year for the trust,” explains Deborah. “It’s a drop in the bucket compared to our property taxes in the U.S. Speaking of property tax, our annual property tax bill for our first house in Mexico was $125.”

The lower cost of living, the warm weather year-round, the restaurant scene, the beach…it all adds up to an incredible lifestyle.

“It’s like living in paradise, honestly. It’s absolutely beautiful,” says Deborah. “People think there are obstacles to moving here. But there is a huge expat community here, and there is always somebody ready to help out if you need it.”

Ronan says: The Riviera Maya is one of those places that’s magnetic. It draws people in from around the world with its natural beauty and incredible lifestyle. It’s also rich with real estate opportunity.

That’s why the Vanderpools’ experience here is not unusual. When people come to this coast, and they see the opportunities and the demand for rentals, often they buy one home, then another, then another. The opportunity is too great to pass up.

And nowhere is the opportunity greater right now on the Riviera Maya than in Playa del Carmen.

This booming city just south of the small town where Deborah and Wayne live is at the heart of the Riviera Maya. Playa is one of the most vibrant and cosmopolitan cities on the entire Caribbean.

Here you can grab an espresso at a co-working café in the morning…enjoy a lunch of fresh seafood on the beach with your toes in the sand…shop for high-end fashions and artisan creations or kick back with a relaxing spa treatment. (You can read more about Playa del Carmen and the incredible transformation happening on the Riviera Maya today in my newest Riviera Maya scouting report…access it here.)

I’ve been scouting Playa and the Riviera Maya for two decades. It’s been the site of some of the best deals I’ve brought to my RETA group. (Details in the scouting report here.) Soon I’ll be bringing a new off-market deal right in the heart of the Riviera Maya to RETA members. Some details…

• It’s an exclusive deal to own stunning condos in a community called The Landmark right in the heart of Playa del Carmen, a short walk to the beach, the dining, the shows, gyms, stores…
• This community will be next-level, with a half acre rooftop amenity area called The Sky Club. This will be unique in Playa del Carmen. A half-acre of lushly landscaped luxury, with a sauna, infinity pool, gym, restaurant and Caribbean views. Resort-level amenities like this in Playa are a major premium, but nowhere has a rooftop amenities area as expansive and devoted to quiet luxury as Landmark.
• I expect gains of $201,600 five years after delivery and red-hot rental income—I’d say an annual gross yield of 13%.
• Prices to own in similar high-end communities in downtown Playa run in the mid-$400,000s and even $500,000s. For instance, some people will pay $485,000 for a 731-square-foot two-bed condo three blocks from Playa del Carmen’s famed 5th Avenue and farther again from the ocean.
• Yet the exclusive, RETA-only price is from just $318,400 for a luxury two-bed condo in The Landmark, in the heart of everything with that huge rooftop of resort-level luxury.

This deal is exclusive to members of my Real Estate Trend Alert group. (Not yet a RETA member? Learn how you can join here.) I’ll be sharing the full details with you this Saturday.

In the meantime, take a short tour of the Landmark using the developer’s renders. While renders shouldn’t be considered final they give you a great idea.

Take a tour of The Landmark where we have our upcoming RETA-only deal. Our half-acre of resort-level amenities will be a huge draw for renters. Playa is a red-hot rental market where occupancy in premium buildings can get near 100%. With The Landmark. I figure on a gross rental income of over 13%.