The 2026 Buyers Guide: Picking a Profitable Investment Home
If you want to purchase a vacation home in Puerto Vallarta that can generate strong returns on the short-term vacation rental market when not in personal use, there are several factors that can ensure your property is profitable and in high demand. Here are a few things to consider during your search for the perfect Puerto Vallarta investment property.
- Location, location, location. Not only should the location of your PV investment property appeal to you, but also to your future renters. Puerto Vallarta beachfront condos are always popular, but walkable locations in the Romantic Zone, Old Town, Conchas Chinas, Amapas, the Hotel Zone and the Marina also perform well on the rental market. Also, expand your search to up-and-coming areas like Versalles and Cinco de Diciembre that are becoming increasingly popular with buyers and renters.
- Fair market rental pricing. Research online listings to see what comparable units rent for in peak, high, mid and shoulder season to estimate what you can reasonably charge throughout the year. Remember that while the short term vacation market in Puerto Vallarta is strong, renters have lots of options (including hotels), so strategic pricing ensures that your rental calendar fills up.
- Ownership and rental expenses. Owning and renting your investment home in Puerto Vallarta will come with some expenses that you need to consider in creating a comfortable profit margin. Some expenses will be fixed, and some will be "as needed", but you'll want to account for:
Property management fees
HOA fees
Property taxes
Utilities
Repairs, cleaning, and maintenance
Property insurance
Accounting fees
Marketing and advertising your property
Appliances and supplies
Furnishings
Vacancy periods
Income taxes on rental income
- Furnishing and décor. Purchasing a recently renovated and fully furnished property can be a turkey solution that is rentable from day one of ownership, however, a "fixer-upper" may come with a lower purchase price and allow you to customise the property while adding to its market value. A presale new construction home will have modern amenities that are attractive to renters, but you'll need to furnish it from scratch. Choosing what's right for you depends on your budget and the time and resources you have available for decorating and potential renovations.
Keeping these things in mind will help you select a Puerto Vallarta property that can generate excellent return on investment and help pay for itself. Let our expert real estate agents help you determine the rental potential of any PV condo or home you are considering.
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Description: Here are some of the things to consider when purchasing a Puerto Vallarta investment property to ensure it generates profitable returns.