Los Cabos Resale Market 2026: What's Actually Selling, What's Sitting, and Where the Deals Are

The Los Cabos resale market in 2026 is a buyer's market — the most favorable conditions for purchasers in five years. Inventory hit an all-time record. Days on market stretched past six months. And the gap between what sellers are asking and what buyers are paying has widened to 6–7% on average and 10–15% for properties that have been sitting. Here is the data, what it means, and where the opportunities are right now.

Inventory: The Numbers Tell the Story

Q4 2025 saw Los Cabos residential inventory reach 2,306 active listings — the highest level ever recorded, according to Cabo Real Estate Services. That was up from 2,127 in Q3 2025 and nearly double the inventory levels of 2022 when the pandemic-era buying frenzy peaked.

What is driving the inventory buildup?

• New construction delivery: Pre-construction projects sold in 2021–2023 are now delivering completed units. Some buyers who purchased pre-sale are listing immediately, adding fresh inventory to the market.
• Lifestyle changes: Post-pandemic buyers who purchased during the remote-work boom are reassessing as companies pull workers back to offices. Some are selling properties they no longer use enough to justify.
• Interest rate impact: Higher US interest rates have slowed the all-cash buyer pipeline slightly. While most Cabo transactions are cash (no Mexican mortgage), many buyers use US home equity or investment liquidation to fund purchases — both more expensive at current rates.
• Price correction from overambitious listings: Some sellers listed at pandemic-peak expectations and have not adjusted. These stale listings inflate the active count without generating sales.

Days on Market: Patience Pays

In Q1 2026, houses averaged 190 days on market and condos averaged 197 days. Compare that to 2022, when well-priced properties were moving in 60–90 days with multiple offers. The shift is dramatic and it favors buyers.

What the extended days on market mean for you as a buyer:

• More time to research: No need to rush offers. You can tour properties, review HOA financials, commission inspections, and compare communities without the fear of losing a property to a competing offer before lunch.
• Motivated sellers emerge: A property that has been sitting for 180+ days has a seller who is increasingly motivated. Their carrying costs accumulate — HOA fees, predial taxes, insurance, fideicomiso fees, and property management. Every month without a sale costs money.
• Stronger negotiating position: When you make an offer on a property with 200+ days on market, the seller knows you know the statistics. Your negotiation leverage is backed by data.

Where Each Price Segment Stands

Under $500,000: Highest Volume, Most Competition

This segment has the most active buyers and the most inventory. Entry-level condos in El Tezal, Fonatur, and Cabo Bello trade between $280,000–$500,000. Average price per square foot: $280. Days on market tend to be shorter here because the buyer pool is larger — but there is still room to negotiate 5–8% below asking.

$500,000–$1,000,000: The Sweet Spot

This is where most foreign buyers land and where the best value typically exists. Ocean-view condos in Pedregal, Cabo del Sol, and Corridor communities. Average price per square foot: $390. Inventory is elevated, days on market are extended, and sellers are more willing to negotiate. The 6–7% average discount from asking price is most consistent in this segment.

$1,000,000–$2,000,000: Premium Condos and Entry Villas

Larger condos in branded communities and entry-level villas. Average price per square foot: $467. This segment has seen the most inventory growth as pre-construction deliveries hit the market. Buyers in this range can be selective and patient — there are more options than at any point in the past five years.

$2,000,000–$5,000,000: Luxury Segment

The story here is nuanced. The $2M–$5M segment had 300 active listings with 38 units sold in Q3 2025 — a 13% conversion rate. While inventory is available, the properties that are selling are selling at strong prices. The Palmilla-Querencia-Chileno corridor saw average prices jump from $4.2M to $5.88M year-over-year — a 40% increase driven by branded-residence demand, according to BHHS Baja.

The takeaway: non-branded luxury is sitting and negotiable. Branded residences (Four Seasons, Montage, Park Hyatt) are holding value and in some cases appreciating aggressively.

$5,000,000+: Ultra-Luxury

Ultra-luxury is its own market. Average price per square foot exceeds $850. Properties at this level in Twin Dolphin, Querencia, and Palmilla trade based on uniqueness — views, lot size, architectural distinction — rather than comparable sales. Days on market can extend past 12 months, and transactions are often private.

What Is Actually Selling

Q1 2026 saw $391M in sales volume across 350 units — up 39% over Q4 2025. The market is not dead. Smart buyers are taking advantage of the conditions. Here is what is moving:

• Correctly priced resale: Properties listed at or below market-supported prices based on recent comparables are selling in 90–120 days. Overpriced listings are not selling at all — they are inflating the inventory count.
• Branded residences: Four Seasons, Montage, Park Hyatt, and Auberge properties continue to sell at premium prices with shorter days on market. The brand provides a floor under the value that non-branded properties do not have.
• Turnkey furnished: Buyers increasingly want to walk in with a suitcase and start living. Fully furnished, move-in-ready properties sell faster and at higher per-square-foot prices than unfurnished equivalents.
• Properties with proven rental income: Units with documented rental history showing $40,000–$80,000+ gross annual income command premiums because buyers can underwrite the purchase against actual cash flow, not projections.

Where the Deals Are Right Now

If I were buying in Los Cabos today — and I tell my clients this — I would focus on these opportunity zones:

1. Resale in branded communities. An owner who bought in Cabo del Sol or Diamante three years ago and needs to sell is your opportunity. The community brand protects your long-term value while the individual seller's motivation gives you negotiating room. Look for 150+ days on market.
2. Pre-construction delivery flips. Buyers who purchased pre-sale in 2022–2023 at lower prices are taking delivery of completed units. Some are listing immediately at current market prices. These units are often below the developer's current pricing for remaining inventory — instant equity.
3. Off-season listings. Properties listed between May and September get less buyer traffic. Sellers who list during off-season are often more motivated than those who list before the peak-season rush. The negotiating environment from July through September is the best of the year.
4. Resale properties needing cosmetic renovation. A dated condo in a premium location (Pedregal, Palmilla, Corridor) trading at a 15–20% discount to renovated comps represents a value-add play. See our renovation guide for costs.