Saturday, November 23, 2024

The insider’s guide to investing in real estate in Guadalajara

Guadalajara has become a popular destination for real estate investors in Mexico thanks to its pleasant weather, stable economy, and rich cultural and culinary offerings.

Home to over 5.2 million inhabitants, Jaslico’s capital is a cultural and business hub whose property value increased by 18.3% last year, with 16,557 units sold, reflecting the market’s strength and investment potential.

Guadalajara is an excellent investment option due to its geographical position: close to mountains, beaches and pueblos mágicos. (Unsplash)

As nearshoring continues to attract foreign companies and employees to Guadalajara —known as the Silicon Valley of Mexico — housing demand continues to increase. 

This guide provides valuable insider tips from the perspective of a Guadalajara native (myself), to help you understand each neighborhood’s vibe and investment potential.

Why invest in real estate in Guadalajara? 

Guadalajara offers world-class restaurants and international cultural and sporting events. Moreover, it is the birthplace of Mexico’s two most famous exports: tequila and mariachi.

In addition to being a bustling city in its own right, Guadalajara benefits from its proximity to popular tourist destinations such as the Pueblos Mágicos of Tequila and Chapala, mountain villages like Mazamitla and Tapalpa, and the world-renowned tourist destination of Puerto Vallarta. As a result, there is a consistent demand for properties in the region.

Which are the most popular neighborhoods to invest in Guadalajara?

Guadalajara’s urban area consists of 10 municipalities. However, everything that ‘happens’ in the city mainly concentrates on Zapopan and Guadalajara. Therefore, these two should be your top choices if you want to invest in housing. The other municipalities are primarily industrial hubs hosting industrial parks and artisan workshops.

Colonia Americana tops the ‘Time Out International’ index of the best neighborhoods in the world – for good reason. (Unsplash)

It’s also important to note that real estate prices in Zapopan are slightly higher than in Guadalajara. Although life in both towns happens seamlessly as if it were one and the two are referred to as Guadalajara, Zapopan is home to some of the most affluent neighborhoods in the city, and even in Latin America.

So without further ado, let’s find out more about the most popular neighborhoods in the city. 

Colonia Americana, Guadalajara

Featuring art deco mansions, modern apartment buildings and plenty of bars and restaurants, the Colonia Americana neighborhood ranked No. 1 in Time Out magazine’s 2022 list of the 51 coolest neighborhoods in the world.  

The neighborhood is close to attractions like Templo Expiatorio del Santísmo, Chapultepec’s weekend handicrafts market, the city’s Centro or Downtown districts, and the La Minerva roundabout. 

According to Match Makers Real Estate, the Colonia Americana saw a 155% increase in capital gains over the past decade, making it one of the fastest-growing areas in the city.

Price range: from US $180,000 to $1.2 million. 

Colonia Chapalita, Guadalajara

This neighborhood is a perfect mix of old-fashioned charm and modern convenience, located right between Zapopan and Guadalajara. It’s an ideal area for families and bachelors alike. 

Chapalita was the first neighborhood in the city to install absorption wells to collect rainwater, giving it autonomy over services like drinking water, pumping, and sewage. Collected rainwater is also used to maintain parks and gardens.

In recent years, capital gains on properties in the region have grown at an average rate of around 10% annually.

Price range: from US $295,000 to $650,000.

Colonia Providencia, Guadalajara 

Colonia Providencia is fast becoming one of Guadalajara’s most lively neighborhoods. (Casas y Terrenos)

Providencia combines luxury homes, middle-class residences, and commercial areas. Some of its main avenues are lined with gourmet restaurants, yoga studios, banks, five-star hotels, and boutique shops.

The neighborhood is conveniently located between some of the city’s primary arterial roads for easy commuting. Providencia is also adjacent to Colinas de San Javier, one of the city’s most affluent residential neighborhoods.

One of its main attractions is its proximity to the 92-hectare urban park Bosque Los Colomos.

Price range: from US $295,000 to $1 million.

Ciudad Granja, Zapopan

This neighborhood is best known for Universidad Panamericana, a top private university that attracts many foreign students, who live in the surrounding apartments.

Ciudad Granja, has a unique vibe that makes it feel like a small town within the city. This area features middle-income gated communities, modern apartment buildings, and a spectacular pueblo-style street market. It also has commercial warehouses, offices, and retail stores.

The area has experienced an annual 15% increase in property value in the last five years. 

Price range: from US $240,000 to $475,000

Solares, Zapopan

This residential area was one of the top searched neighborhoods on the real estate platform Propiedades.com in 2023. What started as a development on the city’s outskirts a decade ago, it is now a fully functional suburb, with nearby hospitals, prime private schools, supermarkets, and shopping malls. 

Solares is ideal for families with young children. It is adjacent to Valle Real, the first upscale gated community in the northwest of Guadalajara. 

Price range: from US $355,000 to $590,000

Zona Andares, Zapopan

This area sits within the Puerta de Hierro neighborhood. It offers modern apartments, upscale shopping malls such as Landmark and Andares, corporate buildings, a private hospital, a Hyatt hotel, gyms, and world-class spas.

Puerta de Hierro is one of the most prestigious areas in the Guadalajara Metropolitan Area and Western Mexico in general, but an apartment here can be surprisingly affordable. (Marcos Angel Santa/Pinterest)

It is one of the most upscale areas in the city for entertainment and housing. 

Price range: from US $300,000 to $1.7 million

Other considerations before investing in Guadalajara

According to the Jalisco Economic Development portal, more than 2,900 foreign companies from various sectors have invested in Jalisco, boosting the demand for housing within the city and the surrounding areas. This investment rush has made Jalisco the state with the second-highest housing sales nationwide, with an average of 3,000 homes sold per month.

Moreover, Guadalajara’s vertical growth has been one of the most dynamic in the country, with 189 vertical residential projects under construction.

The city is also a bustling hub for the tourism industry. According to the Guadalajara Visitors and Convention Bureau, the city’s tourism income grew 24.8% in 2023 compared to the previous years, boosting the hotel industry by 22%. 

With this in mind, consider investing close to convention centers, business forums, or commercial areas, as they can increase the chance of attracting travelers seeking a convenient stay.

Gabriela Solís is a Mexican lawyer based in Dubai turned full-time writer. She covers business, culture, lifestyle and travel for Mexico News Daily. You can follow her life in Dubai in her blog Dunas y Palmeras.

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