By the team at Baja Sur Realtors, from the author of “Cabo Is Not For Everyone” — Baja California Sur’s insider guide to buying right. Data updated August 2026. All market figures cite their original sources; live listing data comes directly from the Los Cabos MLS through our search platform.
La Paz Market Snapshot — August 2026
The La Paz market spans everything from in-town condos to beachfront estates. Listing counts, median asking prices, and full price ranges shift daily with inventory — which is why we don’t print a number that goes stale. You can see all of it live, pulled directly from the Los Cabos MLS and filterable by zone, price, and property type, on our Advanced MLS Search.
| Property Type | Live Inventory & Pricing |
|---|---|
| Single-Family Homes | View current listings, median & range → |
| Condos & Apartments | View current listings, median & range → |
| Land & Lots | View current listings, median & range → |
| Beachfront / Luxury | View current listings, median & range → |
The Big Picture: Why La Paz Is Mexico’s Quiet Outperformer
The numbers behind Baja California Sur are hard to ignore. Total real estate sales volume across the state came in around $1.5–$1.6 billion USD in 2025, according to BCS MLS and AMPI data, with more than 60% of purchases made by American and Canadian buyers. On the appreciation side, BCS led the entire country: INEGI ranked it Mexico’s #1 state for property appreciation in 2023 at 12.6%, and Mexico’s Sociedad Hipotecaria Federal reported home values rising another 15.66% in 2024 — again the highest in the nation. Within the state, La Paz posted roughly +11.5% in 2024, making it Mexico’s fastest-appreciating coastal city.
Demand fundamentals back it up. Los Cabos International Airport closed 2025 with a record 3.77 million visitors — the fourth consecutive record year per FITURCA — and La Paz’s own international airport is expanding under a nearly 1.1-billion-peso investment, with its direct Los Angeles route running above 80% occupancy. Meanwhile, INEGI’s national security survey (ENSU, Q1 2026) shows insecurity perception in La Paz at 46.6%, dramatically better than the 61.5% national average — a key driver for both national and foreign relocation buyers.
La Paz vs. Los Cabos: Two Markets, Two Strategies
Here’s the framework we use with our own clients: Los Cabos is where the returns are. La Paz is where life is. They aren’t competitors — they’re a portfolio. Los Cabos offers maximum liquidity and a mature, dollar-denominated rental market. La Paz offers entry prices at a fraction of the corridor’s seven-figure tickets, a real economy anchored by universities, hospitals, and the state government, and an appreciation curve still in its growth phase while Los Cabos begins to flatten. The honest trade-off: La Paz is easier to buy in than to sell in. If your horizon is five years or more, that early-mover position is the opportunity, not the risk.
Where to Buy in La Paz: Zone-by-Zone Guide
Pedregal de La Paz & Costa Baja — The luxury tier. Marina living, golf, and hillside view homes reaching $1M USD and beyond. This is where the strongest historical appreciation in the city has concentrated. Centro & Malecón — Walkable, authentic, and the heart of the lifestyle that draws buyers here; well-priced homes near the malecón consistently move fastest. El Centenario — The lifestyle corridor northwest of town: sea proximity, larger lots, and a strong expat community. Chametla & Conchalito — The accessible entry point near the airport corridor, increasingly recommended for first-time investors as infrastructure arrives ahead of prices. El Comitán — Quiet waterfront living between El Centenario and the city, popular with buyers seeking privacy near the water.
You can filter current inventory by each of these zones on our live MLS search to compare pricing in real time.
Buying as a Foreigner: The Fideicomiso, With Real Numbers
La Paz sits within Mexico’s restricted zone (within 50 km of the coastline), so foreign buyers acquire residential property through a fideicomiso — a renewable 50-year bank trust in which you hold full rights to use, rent, renovate, sell, and pass the property to heirs. Here’s what it actually costs:
| Item | Typical Cost (USD) |
|---|---|
| Fideicomiso setup (one-time) | $1,500–$3,000 |
| SRE foreign affairs permit (one-time) | ~$1,000 |
| Annual trust maintenance fee | $500–$1,000 |
| Total closing costs (incl. 3% ISABI acquisition tax, statewide since Jan 2026) | 5–9% of purchase price |
| Annual property tax (predial) | ~0.1–0.3% of value (vs. 1–2%+ typical in the U.S.) |
Two facts most buyers don’t hear: you do not need Mexican residency to buy — a tourist visa is enough — and the IRS has confirmed a Mexican residential fideicomiso is not a “foreign trust” for U.S. tax purposes, so it generally does not trigger Forms 3520/3520-A. Always close with an independent notario público and an accountant experienced in non-resident transactions.
Investment & ROI: The Honest Math
Beware of glossy projections. Across the BCS short-term rental market, average occupancy runs roughly 42–44% with a market-wide average daily rate around $176 USD/night (Airbtics, Nov 2024–Oct 2025). Well-managed properties can reach 55–60% occupancy, but any pro forma assuming 75%+ is optimistic. One more number that matters more than any of these: without a Mexican tax ID (RFC), non-resident rental owners face a flat 25% withholding on gross rental income plus 16% VAT — while registered owners are taxed on profit. Getting the RFC is the single highest-return decision a rental owner makes in Mexico. Our team can prepare a property-specific ROI analysis using live comparable data — and you can gauge the current market yourself anytime on our live MLS search.
What This Means for Buyers
La Paz continues to offer strong value relative to Los Cabos, with statewide appreciation data on your side. There are quality options across budgets — from Chametla lots to Centenario family homes to Pedregal view estates. Focus on clean title (private property with dominio pleno, never ejido land without it), legal due diligence, and a licensed local agent. Start by exploring current listings by zone and budget.
What This Means for Sellers
Buyers in 2026 are more sophisticated than ever: they compare price per square meter and negotiate with data. Across BCS, price reductions on active listings hit 1,273 in 2025, up from 1,193 in 2024 (BCS MLS) — the “list high and wait” era is over. With every active listing in the MLS competing for attention, pricing correctly from day one against the current median is what sells. Benchmark the live median on our Advanced MLS Search, then contact Baja Sur Realtors for a complimentary comparative market analysis.
Frequently Asked Questions
Can Americans and Canadians buy property in La Paz?
Yes — through a fideicomiso (bank trust) you hold full beneficial ownership, including the right to sell and bequeath. No Mexican residency is required; you can purchase on a tourist visa.
Is La Paz a better investment than Los Cabos right now?
They answer different questions. Los Cabos offers liquidity and a mature rental market; La Paz offers lower entry prices and an appreciation curve still in growth phase (+11.5% in 2024, the highest of any Mexican coastal city). Investors with a 5+ year horizon increasingly hold both.
What is the median home price in La Paz right now?
The median shifts daily with inventory. You can check the live median asking price, updated in real time from the Los Cabos MLS, on our Advanced MLS Search.
What taxes will I pay when buying?
Plan for total closing costs of 5–9%, which include the ISABI acquisition tax — now 3% statewide across Baja California Sur since January 2026 — plus notary fees, registration, and trust setup. Annual property tax (predial) is remarkably low at roughly 0.1–0.3% of value.
Explore More from Baja Sur Realtors
Ready to See What’s Available?
Reading about the market is one thing — seeing it is another. Browse every active La Paz listing, updated in real time from the MLS, filtered by zone, price, and property type. If a property catches your eye, our team is one message away at +52 56 5186 6747 or via WhatsApp.
📖 Suggested reading: for the complete playbook on buying right in BCS — fideicomisos, preconstruction contracts, due diligence, and the honest rental math — see Cabo Is Not For Everyone by our founder, Zulema Higuera, available on Amazon. Data sources: Los Cabos MLS, INEGI, Sociedad Hipotecaria Federal, FITURCA, AMPI, Airbtics. Report updated August 2026.