Questions about real estate pricing for Mexicans, Canadians and other non Americans

How do the Mexicans, Canadians and Europeans feel about lakeside real estate priced in USD’s?  Are you just converting your currency to USD’s?  

With the exchange rates strongly favoring the USD, are you sitting on the sidelines waiting for the better exchange rates before you buy?

When a Canadian sells their home, priced in USD’s, to a Mexican with pesos, how does that go down?  

Are Mexicans pricing their houses for sale in USD’s?

Would it be advantages and lead to a faster sale to price  real estate in pesos?

I think pricing in pesos would attract more Mexican buyers however if the peso drops significantly between the day of the sale and closing and you could be in for a loss. At this point in time USD is the most stable currency.

As far as sitting on the sidelines, I think most Canadian buyers are. I have a Canadian friend looking to buy a high end home in Phoenix and he is waiting for the USD to drop.

On the day of closing the currency would be converted into whatever banking system the money is being deposited.

IMHO, Canadians sat on the sidelines even when the USD was weak and the Loonie was strong. Seems they are always waiting for a better deal e.g.stronger currency, falling real estate prices. YMMV.

Huh??? Canadians were buying in droves a few years ago. While I don't have the stats I would bet there were far more Canadian buyers than US buyers from 2008 to 2013.

My view is based on what I read on webboards and from conversations with Canadian friends at the time. Certainly from 2008 to 2013 US buyers were few. Even now though many potential buyers seem to think that home prices are going to fall further so they're holding off.

Playaboy wrote: 

Are Mexicans pricing their houses for sale in USD’s?

When I see something in Mexico priced in dollars my first thought is that it's probably over priced,just my take.

viajero wrote:

Playaboy wrote: 

Are Mexicans pricing their houses for sale in USD’s?

When I see something in Mexico priced in dollars my first thought is that it's probably over priced,just my take.

Not the petroleum Mexico exports, Chris.....with the budget deadline drawing near, EPN wishes it was overpriced.


Most Canadians, Mexicans, and any other nationalities understand the relative value of the USD compared to their own currencies and treat it like an international currency.  Mexicans have squirreled away USD in one way or another for years.  USD has been the currency of choice for most international travelers for a long time.

Amen Slainte......good explanation.

I know several people here in Canada are thinking twice about wintering in the USA because of the U.S./Cdn. exchange rate.

Maybe they will consider Mexico because of the Cdn/Peso exchange rate.

IMHO, pricing here is in USD mostly for the following reasons:

1. Most Americans don't normally concern themselves with other currencies. They understand prices in USD.
   
2. Most houses here are targeted to expats
   
3. Many older Mexicans remember the many peso devaluations before 1994. They like their investments to be in real estate or $USD.
   

Pete

Lets be honest. From a financial point the US dollar doesn't make sense. Much more behind C. dollar and Peso BUT because of the Euro crisis and just what we are use too the US Dollar is King in spite of US financial behavior and debt. The dollar just goes on and on.  But do you want Chinese Currency????   So the US dollar continues in its role.

I just don't get it financially.

Z

Thanks for the responses.

I have 2 beach properties I am going to selling.  I will be a FSBO and not using an agent.  I am going to be marketing to Americans, Canadians and Europeans.

I want to run online ads in Canada and Europe.  When I look at Kijiji ads, I assume the prices are in Canadian dollars.  The European online ads are priced in Euro's.  Vivanuncio real estate ads are in pesos and dollars.

How would you folks run the ads? Euro's in European ads, Canadian in Canada ads, USD in USA ads?

Yes.

Yes.

When a Canadian sells their home here in US dollars they get an over 20% bonus. Of course the legal transaction is in pesos. Either are fine. A good time to sell now.