Missed the Mexico Real Estate bus in the year 2009? Year 2010 is approaching fast. After a rollercoaster ride in 2009, what does the year 2010 holds for Mexico Real Estate? One thing is for sure, recession is nearing its end worldwide and the coming year promises to be a lot better year for Mexico Real Estate.
1) Emerging Markets leading the fight against recession: Developing countries with great growth outlook like China , India and Brazil have taken the lead in fighting recession and have seen registered growth in economy even as the developed countries were trying to get out of recession.
Mexico due to it's proximity to United States and low manpower cost is poised to be the next success story.
2) Secure and Stable Economic Environment: If you scratch the surface beneath those exaggerated news reports on crime and H1N1 flu, you will find that a large part of Mexico is peaceful and stable. Mexico is very popular with tourists, retirees, expats and real estate investors and this is a proof that Mexico is a safe & secure investment destination. This makes it very conducive to future economic growth.
3) Upward trend in Mortgage Loans: Mexico mortgage lending is slated to boom next year which means increased liquidity in market leading to increased buying. With market flush with money, the demand will rise and hence, prices will go up. Investors buying early in 2010 stand to gain more due to prospect of increase in Mexico Real estate prices later.
4) Improvement in Infrastructure: Mexico is witnessing government spending in the area of infrastructure development. New airport in Riviera Maya, sea port on the Pacific coast and improvement in highway and road network, all will bring good news in the year 2010.
5) High Quality healthcare: Mexico offers high standards of healthcare services. For this reason, for decades, retirees have been living in Mexico without any concern regarding the quality and price of healthcare.
6) Tropical Climate: The warm, sunny climate in Mexico makes it irresistible to people seeking relief from cold weather in their native counties like Canada.
7) Dollar vs. Peso: The US dollar continues to get stronger and hence living costs in Mexico are cheaper then they were a year back and quality of life in Mexico is just as in US or Canada.
8) Favored destination for celebrities: Mexico is a favorite destination for Hollywood and other celebrities with many owning Real Estate in Mexico . There is a good chance that you may get to see a Hollywood actor/actress in Mexico.
9) World class Real Estate developments: Mexico offers world class and a wide range of real estate projects. From beachfront villas to condos to traditional houses, Mexico has a lot to offer for everyone.
10) Culture and Natural beauty: Mexico is a country blessed with ecological beauty, friendly people and rich culture. Foreigners are welcomed here with a big smile and open arms.
By Tom Budniak
Saturday, December 26, 2009
Thursday, December 17, 2009
Private Investment in Mexico’s Tourism Sector Booming
Exceeding US$11.6 billion, private investment in Mexico’s tourism sector has already surpassed federal goals for the 2001 to 2006 period by 29 percent, reports Sectur in its latest comprehensive study on the subject. Domestic and foreign private investment reached the original US$9 billion goal in June 2005, after increasing at least 12 percent annually since 2002.
The report also shows that interest in Mexico’s famous beaches remains high, with the sun and beach segment outpacing all other tourism products by garnering 48 percent of private investment. Three coastal states also ranked in the top three in amount of private investment received: Guerrero State (US$2.63 billion), Quintana Roo State (US$2.47 billion) and Nayarit State (US$92.5 million) captured almost 52 percent of the total amount invested between 2001 and 2006.
Approximately 89 percent of private investment in Guerrero went to tried-and-true beach resort Acapulco on the Pacific Ocean, whereas 82 percent of the private investment Quintana Roo received was channeled to the Mexican Caribbean hot spots Cancun and Riviera Maya. More than 60 percent of Nayarit’s private investment went to the Pacific resort town of Nuevo Vallarta.
Rounding out the top Mexican five states receiving the highest amount of public investment are border states of Baja California (US$86.3 million) and Sonora (US$78.4 million). Together, the states on the U.S./Mexico border, which also include Chihuahua, Coahuila, Nuevo Leon and Tamaulipas, received 19 percent of private investment in Mexico, ranking the region second overall.
Among the northern region’s major tourism attractions are Copper Canyon in Chihuahua; the La Quemada archaeological sites in Zacatecas; the bustling city of Monterrey in Nuevo Leon and 200,000-acre Cuatro Cienegas Valley in Coahuila. International sources account for 25 percent of all private investment, with the United States as the top foreign investor in Mexico’s tourism infrastructure.
Mexico has long been taking strategic steps to stimulate tourism and attract private investors through its National Trust Fund for Tourism Development, Fonatur. This government agency is responsible for conceiving, planning and building five sea-side tourism destinations – Cancun, Los Cabos, Ixtapa, Loreto and the Bays of Huatulco – since its 1974 inception.
These resorts areas generate 54 percent of foreign revenue entering the country from tourism and benefit from a master plan, urban-resort planning mechanisms, and annual construction programs and enforcement.
Because fomenting international tourism is a national priority for Mexico, the country’s regulatory framework legally protects foreign investors. Mexico allows foreign investors to have ownership in the majority of economic fields and activities, including real estate, allowing 100 percent participation in shared capital. Investors are also offered a profitability guarantee and investment security through Fonatur.
In addition to the ease of investing in Mexico, investors are also attracted by the security of investing in a proven destination: Mexico is the world’s seventh most-visited country and ranks 12th in terms of foreign revenue earnings from tourism; in both categories, it is the leader in Latin America.
Fonatur’s efforts have been recognized by industry organizations such as the Live in Spain association, which honored the agency with its development and promotion of residential tourism award during the 2006 edition of the Madrid Real Estate Exhibition.
About Fonatur
Created in 1974, Mexico’s National Trust Fund for Tourism Development (Fonatur) is the premier developer of integrally-planned tourism destinations in Mexico and has created such world-class resort areas as Cancun, Ixtapa, Loreto, Los Cabos and more recently, Huatulco. To diversify the nation’s tourism industry and give it a more competitive edge, Fonatur builds and promotes new tourist resorts that meet market demand and at the same time spur social change in different parts of the country. Fonatur often serves a joint venture partner for private investors who want to benefit from participation in Mexico’s high-quality tourism development programs. For more information on Fonatur, visit www.fonatur.gob.mx.
About the Mexico Tourism Board
The Mexico Tourism Board (MTB) brings together the resources of federal and state governments, municipalities and private companies to promote Mexico’s tourism attractions and destinations internationally. Created in 1999, the MTB is Mexico’s tourism promotion agency, and its participants include members of both the private and public sectors. The MTB has offices throughout North America, Europe, Asia and Latin America.
Erick Laseca
Mexico Tourism Board
312-228-0517 x14
erick.laseca@bm.com
The report also shows that interest in Mexico’s famous beaches remains high, with the sun and beach segment outpacing all other tourism products by garnering 48 percent of private investment. Three coastal states also ranked in the top three in amount of private investment received: Guerrero State (US$2.63 billion), Quintana Roo State (US$2.47 billion) and Nayarit State (US$92.5 million) captured almost 52 percent of the total amount invested between 2001 and 2006.
Approximately 89 percent of private investment in Guerrero went to tried-and-true beach resort Acapulco on the Pacific Ocean, whereas 82 percent of the private investment Quintana Roo received was channeled to the Mexican Caribbean hot spots Cancun and Riviera Maya. More than 60 percent of Nayarit’s private investment went to the Pacific resort town of Nuevo Vallarta.
Rounding out the top Mexican five states receiving the highest amount of public investment are border states of Baja California (US$86.3 million) and Sonora (US$78.4 million). Together, the states on the U.S./Mexico border, which also include Chihuahua, Coahuila, Nuevo Leon and Tamaulipas, received 19 percent of private investment in Mexico, ranking the region second overall.
Among the northern region’s major tourism attractions are Copper Canyon in Chihuahua; the La Quemada archaeological sites in Zacatecas; the bustling city of Monterrey in Nuevo Leon and 200,000-acre Cuatro Cienegas Valley in Coahuila. International sources account for 25 percent of all private investment, with the United States as the top foreign investor in Mexico’s tourism infrastructure.
Mexico has long been taking strategic steps to stimulate tourism and attract private investors through its National Trust Fund for Tourism Development, Fonatur. This government agency is responsible for conceiving, planning and building five sea-side tourism destinations – Cancun, Los Cabos, Ixtapa, Loreto and the Bays of Huatulco – since its 1974 inception.
These resorts areas generate 54 percent of foreign revenue entering the country from tourism and benefit from a master plan, urban-resort planning mechanisms, and annual construction programs and enforcement.
Because fomenting international tourism is a national priority for Mexico, the country’s regulatory framework legally protects foreign investors. Mexico allows foreign investors to have ownership in the majority of economic fields and activities, including real estate, allowing 100 percent participation in shared capital. Investors are also offered a profitability guarantee and investment security through Fonatur.
In addition to the ease of investing in Mexico, investors are also attracted by the security of investing in a proven destination: Mexico is the world’s seventh most-visited country and ranks 12th in terms of foreign revenue earnings from tourism; in both categories, it is the leader in Latin America.
Fonatur’s efforts have been recognized by industry organizations such as the Live in Spain association, which honored the agency with its development and promotion of residential tourism award during the 2006 edition of the Madrid Real Estate Exhibition.
About Fonatur
Created in 1974, Mexico’s National Trust Fund for Tourism Development (Fonatur) is the premier developer of integrally-planned tourism destinations in Mexico and has created such world-class resort areas as Cancun, Ixtapa, Loreto, Los Cabos and more recently, Huatulco. To diversify the nation’s tourism industry and give it a more competitive edge, Fonatur builds and promotes new tourist resorts that meet market demand and at the same time spur social change in different parts of the country. Fonatur often serves a joint venture partner for private investors who want to benefit from participation in Mexico’s high-quality tourism development programs. For more information on Fonatur, visit www.fonatur.gob.mx.
About the Mexico Tourism Board
The Mexico Tourism Board (MTB) brings together the resources of federal and state governments, municipalities and private companies to promote Mexico’s tourism attractions and destinations internationally. Created in 1999, the MTB is Mexico’s tourism promotion agency, and its participants include members of both the private and public sectors. The MTB has offices throughout North America, Europe, Asia and Latin America.
Erick Laseca
Mexico Tourism Board
312-228-0517 x14
erick.laseca@bm.com
Wednesday, December 9, 2009
Mexico Real Estate – Excellent Retirement Option for Strong Canadian Dollar
by Thomas Lloyd
Canadians who are thinking of retiring anytime in the near future have a unique option in the Mexico Real Estate market. While recent studies have shown that a good retirement can be planned within a very wide range of budgets, the facts that Mexico Real Estate available for excellent prices and that the cost of living in Mexico is relatively low make this point even more true for soon-to-be retired Canadians planning to make their retirement savings go as far as possible. These benefits have also been considerably strengthened recently by the considerable strength the Canadian dollar has gained recently, both against the American dollar and the Mexican peso, and also by a very high point in competition and sales prices in the real estate market in Canada.
Research in Canada has shown that Canadians can afford to retire on a very wide variety of budgets. One story tells how a woman complained that she only had $2 million saved, and it wasn't enough for her retirement; the woman beside her said she already had $200,000 and it was more than enough. The point is that each woman was able to live according her own needs. Whatever budget you're looking at for your retirement, property in Mexico offers a way to make this budget go further.
One of the main reasons why a budget will go further in Mexico now is the strength of the Canadian dollar. First of all, let's consider how the Canadian dollar has behaved recently. Only earlier this decade the dollar was down at a low of about 65 cents US. Little by little this began to rise, with a few ups and downs, and by December 2008, the Canadian dollar was hovering around 80 cents US. Starting around April this year, Canada's dollar jumped to above 90 cents in about to month, and then over the rest of the year it has risen to about 95 cents, as the chart below shows.
What does this mean for Canadians hoping to buy a Mexico property for their retirement? In most of the beachfront destinations, and other attractive retirement locations, properties are sold in American dollars, since they are geared towards the international market. A search in the Mexico MLS listings will show that retirement-friendly properties in international communities near the beachfront, or on a beautiful lake location, can be found for as low as $75,000 US, heading up to about $2,000,000 US.
Let's take a lower-middle price of about $400,000. If your budget 1 year ago allowed you to buy a beautiful, beachfront condo for $400,000 US with a pool, and many other luxuries, the strong Canadian dollar would now allow you close to $500,000, opening up many more options, or stepping up the luxury one notch. Or, on the other hand, you could buy that same property, which last year would have cost you $500,000 Canadian (with an 80 cent exchange rate), for about $416,000 Canadian, leaving you almost $85,000 more in savings for your retirement.
Also, let's consider what you'll get for that $400,000. Currently, in Toronto, which is seeing a condo boom, the large number of young buyers – who are still willing to put up with Canadian winters for a while – have pushed the prices up, and average unit runs just under $425,000. We must remember, these are just average prices; while a unit for about this price is definitely pleasant, in a Mexico beachfront location, a condo a this price can get you not only the same or higher level of style and comfort, but also many benefits such as pool, warm weather all year round, and, most importantly, a condo building with a beautiful ocean view, only steps away from soft, white beaches, that stretch out for miles on end, spotted with palm trees. And if you imagine a house for your retirement, large, beautiful homes of a variety of styles are available in key retirement destinations such La Paz, Playa del Carmen, Lake Chapala and many other for this price and less. Again, who can argue with warm weather, an ocean view, and a short walk to the beach? Of course, this $400,000 was an example, and these savings and benefits are true for any budget or lifestyle choice, whether lower or higher.
Remember those $85,000 you saved by buying a Mexico property with the strong Canadian dollar? They will go a long way in a Mexico Retirement. While the Canadian dollar has gained considerable strength on the American dollar, the Mexican peso has hovered just around 13 pesos per US dollar. This means that the Canadian dollar will also go a lot further here to cover day to day expenses and purchases. Large Mexican chains, and international stores such as Walmart offer many of the same products as we can find back home, but at Mexican prices. In general, groceries and many other products are already available at relatively lower prices in Mexico, the current strength of Canada's dollar will make this even more significant; lower cost of living can help to make your retirement budget more realistic.
Canadians who are thinking of retiring anytime in the near future have a unique option in the Mexico Real Estate market. While recent studies have shown that a good retirement can be planned within a very wide range of budgets, the facts that Mexico Real Estate available for excellent prices and that the cost of living in Mexico is relatively low make this point even more true for soon-to-be retired Canadians planning to make their retirement savings go as far as possible. These benefits have also been considerably strengthened recently by the considerable strength the Canadian dollar has gained recently, both against the American dollar and the Mexican peso, and also by a very high point in competition and sales prices in the real estate market in Canada.
Research in Canada has shown that Canadians can afford to retire on a very wide variety of budgets. One story tells how a woman complained that she only had $2 million saved, and it wasn't enough for her retirement; the woman beside her said she already had $200,000 and it was more than enough. The point is that each woman was able to live according her own needs. Whatever budget you're looking at for your retirement, property in Mexico offers a way to make this budget go further.
One of the main reasons why a budget will go further in Mexico now is the strength of the Canadian dollar. First of all, let's consider how the Canadian dollar has behaved recently. Only earlier this decade the dollar was down at a low of about 65 cents US. Little by little this began to rise, with a few ups and downs, and by December 2008, the Canadian dollar was hovering around 80 cents US. Starting around April this year, Canada's dollar jumped to above 90 cents in about to month, and then over the rest of the year it has risen to about 95 cents, as the chart below shows.
What does this mean for Canadians hoping to buy a Mexico property for their retirement? In most of the beachfront destinations, and other attractive retirement locations, properties are sold in American dollars, since they are geared towards the international market. A search in the Mexico MLS listings will show that retirement-friendly properties in international communities near the beachfront, or on a beautiful lake location, can be found for as low as $75,000 US, heading up to about $2,000,000 US.
Let's take a lower-middle price of about $400,000. If your budget 1 year ago allowed you to buy a beautiful, beachfront condo for $400,000 US with a pool, and many other luxuries, the strong Canadian dollar would now allow you close to $500,000, opening up many more options, or stepping up the luxury one notch. Or, on the other hand, you could buy that same property, which last year would have cost you $500,000 Canadian (with an 80 cent exchange rate), for about $416,000 Canadian, leaving you almost $85,000 more in savings for your retirement.
Also, let's consider what you'll get for that $400,000. Currently, in Toronto, which is seeing a condo boom, the large number of young buyers – who are still willing to put up with Canadian winters for a while – have pushed the prices up, and average unit runs just under $425,000. We must remember, these are just average prices; while a unit for about this price is definitely pleasant, in a Mexico beachfront location, a condo a this price can get you not only the same or higher level of style and comfort, but also many benefits such as pool, warm weather all year round, and, most importantly, a condo building with a beautiful ocean view, only steps away from soft, white beaches, that stretch out for miles on end, spotted with palm trees. And if you imagine a house for your retirement, large, beautiful homes of a variety of styles are available in key retirement destinations such La Paz, Playa del Carmen, Lake Chapala and many other for this price and less. Again, who can argue with warm weather, an ocean view, and a short walk to the beach? Of course, this $400,000 was an example, and these savings and benefits are true for any budget or lifestyle choice, whether lower or higher.
Remember those $85,000 you saved by buying a Mexico property with the strong Canadian dollar? They will go a long way in a Mexico Retirement. While the Canadian dollar has gained considerable strength on the American dollar, the Mexican peso has hovered just around 13 pesos per US dollar. This means that the Canadian dollar will also go a lot further here to cover day to day expenses and purchases. Large Mexican chains, and international stores such as Walmart offer many of the same products as we can find back home, but at Mexican prices. In general, groceries and many other products are already available at relatively lower prices in Mexico, the current strength of Canada's dollar will make this even more significant; lower cost of living can help to make your retirement budget more realistic.
U.S. Starts Pulling out of Recession – Ideal Time for Mexico Real Estate Buyers to Make Their Move
by Thomas Lloyd
Estate you will already know that in the third quarter of this year, the U.S. economy appears to be pulling out of the recession, with an annualized growth of 3.5%, and a Gross Domestic Product (GDP) exceeding the expectations of most analysts and showing a growth of 3%. While this is big news in many ways, it is also an important consideration for your Mexico Real Estate purchase.
If you are buying a Mexico property these days, one of the factors you are most certainly considering are the attractive reduction available on that beautiful beachfront condo, perfect for your retirement or as a second home the winter months. These kind of special deals are being offered in many key Mexico Real Estate destinations for many property types. Also, there is large selection created by a lack of buyers over the past two years. Right now many locations offer a true buyer's market. These are certainly attractive motivations to buy.
Now let's consider the current economic situation. The U.S. economy grew at an annualized rate of 3.5% in the third quarter of this year, which is the first positive result in one year, and the biggest growth in two years, as reported by the Commerce Department in the last week of October.
Between June 2008 and June 2009, the economy had contracted 3.8%, the worst performance in seven decades. The long-awaited shift ended four consecutive quarters of economic contraction, the first time this has happened since 1947, when records of these statistics were first made.
The numbers show that the recession has quite probably ended, and the economic situation for buyers is starting to improve. Of course, we have to consider the fact that, as President Obama has pointed out, the economy has pulled out of reverse, but there is still a long way to go for recovery, which has just begun.
As this happens, of course there will still great property options, but just not as many, and without the great price reductions we are seeing now.
As a buyer, where would you rather be – buying your second home now with all the options you could want, and at great prices and with attractive buying incentives, or later when you demand and competition from other buyers begins to remove the advantages you as a buyer have now? If you are thinking about buying your second home on the beachfront, or if you are ready to start planning for your retirement in Mexico, start your property search now so you can take your time in the search, and find that property perfect for you as the buyer, while you still have the many advantages the market offers now. Contact TOPMexicoRealEstate.com, "Your Expert Property-Finders," to find the information and guidance you need.
TOPMexicoRealEstate NETWORK; Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely
About the Author:
Mexico Real Estate NETWORK; "Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely!" Region: Playa del Carmen Real Estate by Thomas Lloyd graduated from Purdue University Krannert School of Management with a degree in Management/Financial Option Investments. You can contact him at (512) 879-6546.
Estate you will already know that in the third quarter of this year, the U.S. economy appears to be pulling out of the recession, with an annualized growth of 3.5%, and a Gross Domestic Product (GDP) exceeding the expectations of most analysts and showing a growth of 3%. While this is big news in many ways, it is also an important consideration for your Mexico Real Estate purchase.
If you are buying a Mexico property these days, one of the factors you are most certainly considering are the attractive reduction available on that beautiful beachfront condo, perfect for your retirement or as a second home the winter months. These kind of special deals are being offered in many key Mexico Real Estate destinations for many property types. Also, there is large selection created by a lack of buyers over the past two years. Right now many locations offer a true buyer's market. These are certainly attractive motivations to buy.
Now let's consider the current economic situation. The U.S. economy grew at an annualized rate of 3.5% in the third quarter of this year, which is the first positive result in one year, and the biggest growth in two years, as reported by the Commerce Department in the last week of October.
Between June 2008 and June 2009, the economy had contracted 3.8%, the worst performance in seven decades. The long-awaited shift ended four consecutive quarters of economic contraction, the first time this has happened since 1947, when records of these statistics were first made.
The numbers show that the recession has quite probably ended, and the economic situation for buyers is starting to improve. Of course, we have to consider the fact that, as President Obama has pointed out, the economy has pulled out of reverse, but there is still a long way to go for recovery, which has just begun.
As this happens, of course there will still great property options, but just not as many, and without the great price reductions we are seeing now.
As a buyer, where would you rather be – buying your second home now with all the options you could want, and at great prices and with attractive buying incentives, or later when you demand and competition from other buyers begins to remove the advantages you as a buyer have now? If you are thinking about buying your second home on the beachfront, or if you are ready to start planning for your retirement in Mexico, start your property search now so you can take your time in the search, and find that property perfect for you as the buyer, while you still have the many advantages the market offers now. Contact TOPMexicoRealEstate.com, "Your Expert Property-Finders," to find the information and guidance you need.
TOPMexicoRealEstate NETWORK; Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely
About the Author:
Mexico Real Estate NETWORK; "Mexico's Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely!" Region: Playa del Carmen Real Estate by Thomas Lloyd graduated from Purdue University Krannert School of Management with a degree in Management/Financial Option Investments. You can contact him at (512) 879-6546.
Monday, November 30, 2009
$501 Million Investment In Mexican Real Estate
By: Investment Properties Mexico In a move that will be seen as massive vote of confidence in the Mexico investment and property markets, international financial services giant, Prudential Financial Inc, plans to raise around $501 million to invest in Mexico real estate.
The brokerage division of Mexico’s top bank, BBVA Bancomer, said last week that it was working for Prudential’s real estate investment arm to list an infrastructure trust on the Mexican stock exchange to raise the funds.
The Mexico investment bank said, “Mexico’s industrial [property] market is well positioned to benefit from the coming economic recovery in the medium term.”
The Prumex Industrial III real estate fund will use the money raised from the placing to buy and develop industrial Mexico investment properties.
Paulo Gomez, spokesman for Prudential Real Estate Investors (PREI) Latin America, told Dow Jones newswire that the fund will go to market in the next four months and should be completely invested over a period of five years.
According to a press release from BBVA Bancomer the target internal rate of return is 16% to 22% with a yield of 8% to 12%.
PREI has been investing in Latin America and Mexico real estate since 2000. They manage funds in the industrial, residential, and retail real estate sectors in Mexico and Brazil with gross assets under management in Latin America of over $2.6 billion.
The announcement follows comments from international investors and credit rating agencies that the Mexican government’s new fiscal package will ensure funds continue to flow into Mexico investments.
Article from Investment Properties Mexico, experts in investment real estate in Mexico. For information email info [at] investmentpropertiesmexico.com, call Mexico (984) 802-8336 or USA (561) 459-5448, or visit their website for more on Mexico investment
The brokerage division of Mexico’s top bank, BBVA Bancomer, said last week that it was working for Prudential’s real estate investment arm to list an infrastructure trust on the Mexican stock exchange to raise the funds.
The Mexico investment bank said, “Mexico’s industrial [property] market is well positioned to benefit from the coming economic recovery in the medium term.”
The Prumex Industrial III real estate fund will use the money raised from the placing to buy and develop industrial Mexico investment properties.
Paulo Gomez, spokesman for Prudential Real Estate Investors (PREI) Latin America, told Dow Jones newswire that the fund will go to market in the next four months and should be completely invested over a period of five years.
According to a press release from BBVA Bancomer the target internal rate of return is 16% to 22% with a yield of 8% to 12%.
PREI has been investing in Latin America and Mexico real estate since 2000. They manage funds in the industrial, residential, and retail real estate sectors in Mexico and Brazil with gross assets under management in Latin America of over $2.6 billion.
The announcement follows comments from international investors and credit rating agencies that the Mexican government’s new fiscal package will ensure funds continue to flow into Mexico investments.
Article from Investment Properties Mexico, experts in investment real estate in Mexico. For information email info [at] investmentpropertiesmexico.com, call Mexico (984) 802-8336 or USA (561) 459-5448, or visit their website for more on Mexico investment
Tuesday, October 27, 2009
Medical Tourism And JCI Accreditation
By: Khaki Scott
Joint Commission International is a non-governmental organization whose mission it is to “continuously improve health care for the public, in collaboration with other stakeholders, by evaluating health care organizations and inspiring them to excel in providing safe and effective care of the highest quality and value.” Their efforts stem from a long history of professional health care providers who saw the need for standardization and improvement of care as early as 1910. As the world has grown smaller, Joint Commission International has broadened its reach to include every health care specialty, as well as to include hospitals and health care facilities around the world.
When Mexico Real Estate Investment ran our first story on Joint Commission International accredited medical facilities in Mexico, there were only two and they were both in Monterrey, Nuevo Leon. Today, in September 2009, there are a total of eight JCI accredited medical facilities in Mexico and more on the way. These internationally accredited medical facilities include:
In Mexico City: Both of the ABC Hospitals are accredited by Joint Commission and are a part of the Methodist International Hospital Network.
American British Cowdray Medical Center IAP – Observatorio Campus, The
Mexico City, Mexico
Program: Hospital
First Accredited: Dec. 6, 2008
American British Cowdray Medical Center IAP – Santa Fe Campus, The
Mexico City, Mexico
Program: Hospital
First Accredited: Dec. 12, 2008
The CHRISTUS hospitals are a chain that is owned and operated by the CHRISTUS Foundation, a Catholic non-profit organization. They now have 7 hospitals, 27 Clinics, a very modern ambulance service, 2 Rehabilitation and Physical Therapy Centers, and 7 Social Assistance Clinics in Mexico, as well as hospitals throughout Texas, Louisiana, Arkansas, and Mississippi.
Christus Muguerza Alta Especialidad
Monterrey, Mexico
Program: Hospital
First Accredited: July 22, 2007
Hospital CIMA Monterrey
San Pedro Garza Garza, Nuevo Leon
Program: Hospital
First Accredited: Dec. 19, 2008
Hospital CIMA Hermosillo
Hermosillo, Sonora
Program: Hospital
First Accredited: Dec. 11, 2008
Hospital San Jose Tec de Monterrey
Monterrey, Nuevo Leon
Program: Hospital
First Accredited: Dec. 25, 2007
Hospital Y Clinica OCA, S.A. de C.V.
Monterrey, Nuevo Leon
Program: Hospital
First Accredited: Sept. 27, 2008
Clinica Cumbres Chihuahua
Chihuahua, Mexico
Program: Ambulatory Care
First Accredited: April 23, 2008
These are, by no means, the only good hospitals in Mexico. There are thousands of excellent hospitals throughout the nation, as well as internationally recognized university teaching hospitals. As one would do in one’s home country, before choosing a hospital in Mexico, please do as much of an investigation of their reputation within the hospital and expat communities as possible. With that one caution, there is no reason not to choose Mexico for elective medical services and certainly no reason to fear them in case of emergency.
(source: Joint Commission International)
Joint Commission International is a non-governmental organization whose mission it is to “continuously improve health care for the public, in collaboration with other stakeholders, by evaluating health care organizations and inspiring them to excel in providing safe and effective care of the highest quality and value.” Their efforts stem from a long history of professional health care providers who saw the need for standardization and improvement of care as early as 1910. As the world has grown smaller, Joint Commission International has broadened its reach to include every health care specialty, as well as to include hospitals and health care facilities around the world.
When Mexico Real Estate Investment ran our first story on Joint Commission International accredited medical facilities in Mexico, there were only two and they were both in Monterrey, Nuevo Leon. Today, in September 2009, there are a total of eight JCI accredited medical facilities in Mexico and more on the way. These internationally accredited medical facilities include:
In Mexico City: Both of the ABC Hospitals are accredited by Joint Commission and are a part of the Methodist International Hospital Network.
American British Cowdray Medical Center IAP – Observatorio Campus, The
Mexico City, Mexico
Program: Hospital
First Accredited: Dec. 6, 2008
American British Cowdray Medical Center IAP – Santa Fe Campus, The
Mexico City, Mexico
Program: Hospital
First Accredited: Dec. 12, 2008
The CHRISTUS hospitals are a chain that is owned and operated by the CHRISTUS Foundation, a Catholic non-profit organization. They now have 7 hospitals, 27 Clinics, a very modern ambulance service, 2 Rehabilitation and Physical Therapy Centers, and 7 Social Assistance Clinics in Mexico, as well as hospitals throughout Texas, Louisiana, Arkansas, and Mississippi.
Christus Muguerza Alta Especialidad
Monterrey, Mexico
Program: Hospital
First Accredited: July 22, 2007
Hospital CIMA Monterrey
San Pedro Garza Garza, Nuevo Leon
Program: Hospital
First Accredited: Dec. 19, 2008
Hospital CIMA Hermosillo
Hermosillo, Sonora
Program: Hospital
First Accredited: Dec. 11, 2008
Hospital San Jose Tec de Monterrey
Monterrey, Nuevo Leon
Program: Hospital
First Accredited: Dec. 25, 2007
Hospital Y Clinica OCA, S.A. de C.V.
Monterrey, Nuevo Leon
Program: Hospital
First Accredited: Sept. 27, 2008
Clinica Cumbres Chihuahua
Chihuahua, Mexico
Program: Ambulatory Care
First Accredited: April 23, 2008
These are, by no means, the only good hospitals in Mexico. There are thousands of excellent hospitals throughout the nation, as well as internationally recognized university teaching hospitals. As one would do in one’s home country, before choosing a hospital in Mexico, please do as much of an investigation of their reputation within the hospital and expat communities as possible. With that one caution, there is no reason not to choose Mexico for elective medical services and certainly no reason to fear them in case of emergency.
(source: Joint Commission International)
Saturday, October 24, 2009
Medicare Savings: Is the Answer in Mexico?
The words Medicare savings are a red flag to some and a carrot to others; depending on where you stand on the issue of health-care reform, the label is code for cuts or a promise to root out fraud and save billions. But far away from the debates in Washington, a group of expatriate baby boomers point to one place they believe real Medicare savings could be realized: Mexico.
Police Reform Part of Mexico’s Drug War
Calls to Shut U.S.-Mexico Border Grow in Flu Scare
On Obama’s Mexico Agenda: Stopping the Guns from El Norte
Paul Crist, the owner of a Puerto Vallarta resort who once worked as an aide to former U.S. Senator Paul Sarbanes, says that paying for medical treatment in Mexico could save Medicare almost a quarter of the average cost for most procedures. "My research, as well as the research of others, shows that health care in Mexico costs less than a third of that in the U.S.," Crist says.
(See a guide to what health-care reform really means.)
A doctor's office visit or house call (still a common practice in Mexico) costs only $25 to $40, according to a 2007 study by the University of Texas LBJ School of Public Affairs. The same study presented information on comparative costs for common procedures: a hip replacement costs between $43,000 and $63,000 in the U.S., compared to $12,000 in Mexico, according to Texas-based hospital chain Christus Muguerza, which also operates in Mexico; a coronary bypass in Mexico costs an average of $21,000 compared to $149,000 in the U.S. Citing statistics from the U.S. census and State Department, Crist estimates approximately 200,000 of the 1 million U.S. citizens living south of the border are Medicare-eligible.
(See what health care is like around the world.)
However, Crist says many Medicare-eligible expats living south of the border are forced to fly back to the U.S. for medical treatment because Medicare will not pay for most coverage outside the U.S., even though they have paid into the system during their working lives. Medicare will cover only emergency care if it occurs within 60 days of leaving the country. To utilize their benefits, Medicare-eligible American citizens in Mexico have to opt for periodic flights home or else choose to pay out-of-pocket medical expenses. And because expatriates have diverse geographic origins in the U.S., there are no specific congressional districts they can pressure to legislate change in the Medicare rules on their behalf.
Crist took matters into his own hands. Touting the potential savings to Medicare, he founded Americans for Medicare in Mexico and began campaigning for reform. He travelled to Washington earlier this year to lobby Congress for expansion of Medicare to expats in Mexico. He visited about 85 congressional offices and says many members were open to the idea. Other expat groups like the Association of American Residents Overseas (AARO) joined in a letter-writing campaign. But as the health-care-reform battle grew larger and the bills more complex, Crist says supportive members of Congress told him 2009 was not going to be the year the change could be made.
Resistance to the expansion of Medicare to Mexico is coming from some health-care industry groups like the American Medical Association and the American Hospital Association, according to David C. Warner, who teaches public affairs at the University of Texas LBJ School. Warner says these groups see it as the beginning of a slippery slope that will lead to expansion of Medicare coverage to places like China and Eastern Europe where health-care costs are rock bottom.
(See a video of Ze Frank explaining health-care reform.)
Warner adds that the issue also has been raised at the highest levels by Mexican President Felipe Calderón in a meeting earlier this year with President Barack Obama. But any pressure from Mexican interests could be politically tricky, Crist says: "It would not necessarily be helpful to have Mexican firms pressuring Congress on an issue that will benefit this industry and the Mexican economy generally. This could create a backlash among some [U.S.] political groups."
However, there are several forces set to join the battle that could change the power balance. Not only are more expats finding Mexico's climate and low costs welcoming, but investors are flocking to Mexico as a growth market for health care and senior living. "Many in the baby-boomer generation have seen their retirement savings disappear and it is not likely those funds will be built back up quickly," Crist says, explaining why Mexico, with its low costs, has become attractive. Seeing potential profits, he adds, "the developers and operators of senior housing, which runs the spectrum from independent-living communities through nursing-care facilities, are certainly betting on a substantial influx in the coming years." Developments aimed at attracting seniors have been built near Puerto Vallarta and in the northern Baja peninsula, and independent-living projects are planned for San Miguel de Allende, already a popular expat center north of Mexico City, Warner notes.
(See the top 10 health-care-reform players.)
"Some of the developers in Mexico are affiliated with firms in the U.S., so there will certainly be support in Washington from those firms," Crist says. "Both the senior-housing industry and the health-care industry are internationalizing, and the U.S. players in these industries will be big winners. They have the capital, and the experience to dominate this industry in Mexico and elsewhere, because the senior-housing industry, in particular, is so new in many countries."
Crist plans to hold town-hall meetings in 15 Mexican cities beginning January to pull the expat community together and launch a massive letter-writing campaign. He and other proponents are also hoping to engage another key group in the fight, the so-called returnees — Mexican dual citizens, or Mexican-born citizens with legal status in the U.S. who are Medicare-eligible after a lifetime of payroll contributions. In the U.S., proponents will focus on gaining the support of a key member of Congress to carry the banner. Warner says two from Texas are likely targets: Democratic U.S. Representative Eddie Bernice Johnson and Republican U.S. Representative Pete Sessions, whose districts include concentrated returnee populations, multigenerational families with roots in the state of Guanajuato, Mexico, the cradle of Mexican independence and a favorite spot for expat retirees.
"The opportunity to provide services to Americans at much lower cost outside the U.S. border is enormous," Crist says. "This is pushing even private insurers to explore coverage options outside of the U.S., and Medicare will certainly be a part of this globalization, sooner or later. My preference is for sooner."
By Hilary Hylton
Police Reform Part of Mexico’s Drug War
Calls to Shut U.S.-Mexico Border Grow in Flu Scare
On Obama’s Mexico Agenda: Stopping the Guns from El Norte
Paul Crist, the owner of a Puerto Vallarta resort who once worked as an aide to former U.S. Senator Paul Sarbanes, says that paying for medical treatment in Mexico could save Medicare almost a quarter of the average cost for most procedures. "My research, as well as the research of others, shows that health care in Mexico costs less than a third of that in the U.S.," Crist says.
(See a guide to what health-care reform really means.)
A doctor's office visit or house call (still a common practice in Mexico) costs only $25 to $40, according to a 2007 study by the University of Texas LBJ School of Public Affairs. The same study presented information on comparative costs for common procedures: a hip replacement costs between $43,000 and $63,000 in the U.S., compared to $12,000 in Mexico, according to Texas-based hospital chain Christus Muguerza, which also operates in Mexico; a coronary bypass in Mexico costs an average of $21,000 compared to $149,000 in the U.S. Citing statistics from the U.S. census and State Department, Crist estimates approximately 200,000 of the 1 million U.S. citizens living south of the border are Medicare-eligible.
(See what health care is like around the world.)
However, Crist says many Medicare-eligible expats living south of the border are forced to fly back to the U.S. for medical treatment because Medicare will not pay for most coverage outside the U.S., even though they have paid into the system during their working lives. Medicare will cover only emergency care if it occurs within 60 days of leaving the country. To utilize their benefits, Medicare-eligible American citizens in Mexico have to opt for periodic flights home or else choose to pay out-of-pocket medical expenses. And because expatriates have diverse geographic origins in the U.S., there are no specific congressional districts they can pressure to legislate change in the Medicare rules on their behalf.
Crist took matters into his own hands. Touting the potential savings to Medicare, he founded Americans for Medicare in Mexico and began campaigning for reform. He travelled to Washington earlier this year to lobby Congress for expansion of Medicare to expats in Mexico. He visited about 85 congressional offices and says many members were open to the idea. Other expat groups like the Association of American Residents Overseas (AARO) joined in a letter-writing campaign. But as the health-care-reform battle grew larger and the bills more complex, Crist says supportive members of Congress told him 2009 was not going to be the year the change could be made.
Resistance to the expansion of Medicare to Mexico is coming from some health-care industry groups like the American Medical Association and the American Hospital Association, according to David C. Warner, who teaches public affairs at the University of Texas LBJ School. Warner says these groups see it as the beginning of a slippery slope that will lead to expansion of Medicare coverage to places like China and Eastern Europe where health-care costs are rock bottom.
(See a video of Ze Frank explaining health-care reform.)
Warner adds that the issue also has been raised at the highest levels by Mexican President Felipe Calderón in a meeting earlier this year with President Barack Obama. But any pressure from Mexican interests could be politically tricky, Crist says: "It would not necessarily be helpful to have Mexican firms pressuring Congress on an issue that will benefit this industry and the Mexican economy generally. This could create a backlash among some [U.S.] political groups."
However, there are several forces set to join the battle that could change the power balance. Not only are more expats finding Mexico's climate and low costs welcoming, but investors are flocking to Mexico as a growth market for health care and senior living. "Many in the baby-boomer generation have seen their retirement savings disappear and it is not likely those funds will be built back up quickly," Crist says, explaining why Mexico, with its low costs, has become attractive. Seeing potential profits, he adds, "the developers and operators of senior housing, which runs the spectrum from independent-living communities through nursing-care facilities, are certainly betting on a substantial influx in the coming years." Developments aimed at attracting seniors have been built near Puerto Vallarta and in the northern Baja peninsula, and independent-living projects are planned for San Miguel de Allende, already a popular expat center north of Mexico City, Warner notes.
(See the top 10 health-care-reform players.)
"Some of the developers in Mexico are affiliated with firms in the U.S., so there will certainly be support in Washington from those firms," Crist says. "Both the senior-housing industry and the health-care industry are internationalizing, and the U.S. players in these industries will be big winners. They have the capital, and the experience to dominate this industry in Mexico and elsewhere, because the senior-housing industry, in particular, is so new in many countries."
Crist plans to hold town-hall meetings in 15 Mexican cities beginning January to pull the expat community together and launch a massive letter-writing campaign. He and other proponents are also hoping to engage another key group in the fight, the so-called returnees — Mexican dual citizens, or Mexican-born citizens with legal status in the U.S. who are Medicare-eligible after a lifetime of payroll contributions. In the U.S., proponents will focus on gaining the support of a key member of Congress to carry the banner. Warner says two from Texas are likely targets: Democratic U.S. Representative Eddie Bernice Johnson and Republican U.S. Representative Pete Sessions, whose districts include concentrated returnee populations, multigenerational families with roots in the state of Guanajuato, Mexico, the cradle of Mexican independence and a favorite spot for expat retirees.
"The opportunity to provide services to Americans at much lower cost outside the U.S. border is enormous," Crist says. "This is pushing even private insurers to explore coverage options outside of the U.S., and Medicare will certainly be a part of this globalization, sooner or later. My preference is for sooner."
By Hilary Hylton
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