The Los Cabos real estate market reached $1.59 billion in total sales volume in 2025, marking a 12% increase year-over-year. Approximately 2,100 active listings are currently on the market with properties selling at a 6-7% average discount off list price. Annual appreciation ranges from 3-7% across most communities.
Key Takeaways
- ✓ Total sales volume hit $1.59 billion in 2025 — up 12% year-over-year
- ✓ Approximately 2,100 active listings with a slight buyer's market (6–7% off list)
- ✓ East Cape leads appreciation at 7.2% annually; Pacific Side at 6.8%
- ✓ Average days on market: 90–120 days depending on price point
- ✓ $3+ billion in resort development pipeline supports continued growth
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Schedule a Free Consultation1. Market Overview — Q1 2026
The Los Cabos real estate market enters 2026 with strong fundamentals. Total sales volume hit $1.59 billion in 2025, continuing the post-2020 growth trend driven by remote work migration, retirement relocations, and increased US-Mexico investment flows.
Key metrics for Q1 2026:
- Active listings: ~2,100 properties across all types
- Average discount off list price: 6-7%
- Average days on market: 90-120 days (varies by price point)
- Year-over-year appreciation: 3-7% depending on area
- Market type: Slight buyer's market with negotiating room
2. Price Trends by Region
Price appreciation varies significantly by area. The established luxury communities show steady 3-5% annual growth, while emerging areas demonstrate higher appreciation rates:
| Region | Median Price | YoY Change | Trend |
|---|---|---|---|
| Cabo San Lucas | $520K | +4.2% | Stable growth |
| The Corridor | $1.8M | +3.5% | Premium holds |
| San Jose del Cabo | $410K | +5.1% | Accelerating |
| East Cape | $380K | +7.2% | Fastest growth |
| Pacific Side | $320K | +6.8% | Strong momentum |
3. Investment Outlook
Several factors support continued growth in the Los Cabos market through 2026 and beyond:
- Infrastructure investment: Airport expansion, highway improvements, and new hospital facilities continue to enhance the region's appeal.
- US dollar strength: The favorable exchange rate makes Mexican real estate more affordable for US buyers.
- Remote work trend: The permanent shift to hybrid and remote work continues driving demand from US professionals seeking warm-weather bases.
- Supply constraints: Limited coastal land and strict building regulations limit new supply, supporting price appreciation.
- Branded resort expansion: Four Seasons, Aman, Montage, and Ritz-Carlton residences continue to elevate the market's luxury positioning.
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Download Free Guide4. Current Buyer Opportunities
The slight buyer's market conditions in Q1 2026 create opportunities. Properties are negotiable, with the 6-7% average discount providing meaningful savings on higher-priced homes. Motivated sellers in the $1-3 million range offer the best negotiating potential.
East Cape and Pacific Side represent the best value plays. With 6-7% annual appreciation and entry prices still under $500,000 for quality properties, these areas offer the strongest risk-adjusted returns. The Mexican Association of Real Estate Professionals (AMPI) and National Association of Realtors both track cross-border investment trends.
5. What This Means for You
Whether you are buying a vacation home, an investment property, or your full-time residence, the Los Cabos market offers compelling fundamentals. Explore specific neighborhoods in our community guides or schedule a consultation to discuss your investment goals with our team.
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Contact Us TodayFrequently Asked Questions
Is the Cabo real estate market going up or down in 2026?+
The Cabo market continues its upward trajectory in 2026. Total sales volume reached $1.59 billion in 2025, up 12% from the prior year. Appreciation rates range from 3 to 7 percent annually depending on area, with East Cape and Pacific Side showing the strongest growth. Current market conditions slightly favor buyers with about 6-7% negotiating room off list price.
What is the average home price in Los Cabos?+
The Los Cabos median sale price varies dramatically by area. Entry-level condos start around $150,000 in areas like Cerritos and El Tezal. The median for the overall market sits around $450,000 to $600,000. Luxury communities like Pedregal, Palmilla, and Diamante average $2 million to $5 million. Ultra-luxury at Chileno Bay and Costa Palmas exceeds $10 million.
How many homes are for sale in Cabo right now?+
As of Q1 2026, there are approximately 2,100 active listings across the Los Cabos market. This includes condos, homes, villas, land, and commercial properties. The market has shifted slightly toward buyers, with properties averaging 6 to 7 percent discount off list price at closing.
What is the best area to invest in Los Cabos in 2026?+
East Cape and Pacific Side offer the highest appreciation potential at 6-8% annually with entry prices still under $500,000. For stable cash-flow investments, Cabo San Lucas condos near Medano Beach generate the highest rental yields at 6-8%. The Tourist Corridor commands premium prices but offers the strongest long-term value retention.
How long does it take to sell property in Los Cabos?+
Average days on market in Los Cabos ranges from 90 to 120 days depending on price point and location. Properties priced correctly in high-demand areas like Pedregal and the Tourist Corridor sell faster, while luxury properties above $3 million may take 6 to 12 months. The current slight buyer's market means pricing strategy is important.
Is now a good time to buy in Cabo?+
Q1 2026 presents favorable conditions for buyers. The slight buyer's market offers 6-7% negotiating room off list price, and interest from motivated sellers in the $1-3 million range creates opportunities. Appreciation fundamentals remain strong with $3+ billion in development pipeline and growing demand from US remote workers and retirees.
Aaron Cuha
Real Estate Advisor & Los Cabos Market Expert
Real estate advisor and founder of Living In Cabo. 15+ years helping families navigate complex real estate decisions. Strategic partner with Ronival — Baja's largest brokerage.