Los Cabos City Guide

Los Cabos, the Baja California Sur destination spanning Cabo San Lucas, San José del Cabo and the resort Tourist Corridor between them, is Mexico's premier luxury beachfront and branded-residence market. Where the Sea of Cortez meets the Pacific, El Médano and marina-adjacent condos in Cabo San Lucas fetch MXN 60,000-110,000/m², roughly triple inland Baja, while the Corridor's gated golf-and-beach communities anchor the top of the market. Prices rose about 9% nominally over the past year (around 5% in real terms), and the short-term seasonal rental segment delivers gross yields of 8-10%, well above comparable US markets, on the strength of US fly-in demand and a long high season. Branded and beachfront residences are the most resilient segment, expected to appreciate 3-5%, while standard condos face a degree of oversupply risk. As a coastal market inside the restricted zone, foreign buyers acquire through a fideicomiso bank trust (setup ~USD 2,500-4,000 plus annual fees), with total transaction costs of roughly 5-7%. The case is dollarised resort income and global-brand scarcity; the trade-offs are restricted-zone friction, condo oversupply at the lower end, and a price-sensitive, negotiation-driven buyer pool.