Challenging Paradigms to Adapt to the Market
When Claudio Leone moved to Puerto Vallarta 15 years ago, he knew little about the market conditions in the region. However, motivated by the opportunity to purchase a beautiful parcel of land in La Cruz de Huanacaxtle, he and his partners at the time, Juan José Rejón and Mauricio Martínez, decided to create a new real estate development. After studying the local real estate industry for an entire year, they began the construction of Real del Mar, a prestigious residential development.
“Everybody told us we were crazy, that nobody would buy million-dollar residences in a fishing village with hardly any infrastructure. We proudly proved they were wrong; it was a completely successful development.”
Leone considers this philosophy of continuously evaluating the market and adapting to new needs as vital to the growth of the industry. In 2012, he founded Domus Fine Real Estate as a means to contend with the situation faced at the end of 2008, when there was a decrease in the construction of new developments due to the large inventory of unsold properties. Representing real estate throughout the bay, from Punta de Mita to Mismaloya, and prospecting for new clients not only kept the company in business, but also produced a remarkable pattern of growth.
As the head of one of the leading real estate agencies in the region, he encourages following this vision and eschewing the paradigm of the high season. “Even though the season has ended, we have the Mexican market, and there still are foreigners. For example, last month we had more sales and closings than in December. It is all about prospecting and searching for opportunities to sell listings and new developments.”
He notes that while American buyers have recovered and are back investing in the industry, the domestic top-level market has tripled its activity and is buying properties that had been designed for foreigners. “Nowadays, we have the best of three worlds: a recovered American market, a strong Mexican market and a Canadian market that has remained active. This new reality has led developers, clients, owners and units to adapt, and it augurs well for the future.”
One of the advantages of the Banderas Bay real estate industry that is barely present in other Mexican locations is the collaboration and organization among agencies. While it is true they compete for clients and listings, they also collaborate to meet the needs, budget, desired location and kind of product a client seeks. Thus, when an agency has a buyer interested in a property represented by another company, they partner on sales. “This is an aspect that greatly benefits the destination, enabling clients to find the properties and prices they are looking for,” he concludes.
More personalities of the Puerto Vallarta’s real estate industry.