Los Cabos Residential Real Estate Market Report

2025 Q2 Market Report

July 8, 2025

REPORT COMMENTARY

In the second quarter of 2025, we experienced a decline in sales. Q2 saw sales of $362m USD under contract, down 28% from Q1. Unit volume was 319 sold, down 4% from Q1. Despite the decline 2025 Q2 has come in as the 3^rd highest Q2 in history. Global economic turbulence appears to have influenced sales in Q2.

Average and Median house prices pulled back in Q2 driven by reduced volume above $1m USD changing the sales mix. The over $1m range declined in volume by $140m. All price points above $1m saw declines in dollar and unit volumes with the $2m to $5m price point dipping by $66m with 26 sales and a sales dollar volume of $82m. Continuing the trend from Q1 and 2024 Q4, multiple sales over $10m occurred with the highest sale at $16m. Five sales for a total of $66m occurred above the $10m mark.

The average Days on Market (DOM) for houses and condos increased to 161 from 147 in Q2. Houses increased from 151 days to 190 days in Q2 while Condos held steady at 143 days vs 142 days indicating some moderation in buyer demand for houses.

Inventory in Q2 increased again to levels never previously seen with 2,238 houses and condos for sale. Condos, both pre-construction and completed, make up 61% of the current inventory. Completed houses and condos now make up 63% of the current inventory. Increased inventory represents increased selection for buyers at a time when demand is flexing. An abundance of buyer choices continues to pressure serious sellers to get prices right. The current inventory of 2,2238 houses and condos this quarter have a dollar value based on list prices of $2,661 Billion US Dollars, broken down as $1.051B in Condos and $1.610 B in Houses. Days on Market results are surprising, particularly the $2m -$5m range for Condos accumulating 350 DOM.

Price reductions remained a common theme in 2025. The numbers for Q2 2025 were a further 424 price reductions for a total 1,057 for 2025 compared to 1,193 for all of 2024.

LOS CABOS MARKET DIRECTION

Buyer interest in the market weakened some in Q2. Combined with rising, aging inventory and accumulating days on market – the market has turned the corner and has become a “buyer’s” market.

ABOUT THIS REPORT

This report is produced using BCS MLS Data. It is limited to the Los Cabos Municipality apart from overlaps on the East Cape and Pacific Zones. Around Los Cabos, there is also significant activity that happens off MLS. These tend to be significant high-end developments that have their own way of marketing. These developments include The Cove Club, Chileno Bay, El Dorado, Montage, Maravilla, and Costa Palmas. As a result, this report is not a complete view of all real estate activity in Los Cabos. This report also does not report on land sales. Land sales also took off in the past two and a half years for both individual building lots and developer parcels.

All sales data in this report is based on the Under Contract Date. This is the date when the sale was consummated but not the date when the sale closed, and the title was transferred. Market reports published by other brokers and agents will typically use the Sold (or Closed) Date, which can be up to six months after the Under Contract Date. We feel using the Under Contract Date better represents market activity and timing. Consequently, prices and price volumes will not be entirely accurate until the closed date when the sold price is reported in MLS.