Authored by the expert who managed and guided the team behind the Mexico Property Pack

Everything you need to know before buying real estate is included in our Mexico Property Pack
What do the latest numbers reveal about Tijuana’s real estate market? Are property prices on the rise, or are they stabilizing? Which neighborhoods offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in Tijuana, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.

1) Properties near the U.S. border in Tijuana appreciated by 10% last year
In 2023, properties near the U.S. border saw a 10% increase in value.
This rise is largely due to Tijuana's booming real estate market, which is driven by its affordability and proximity to the U.S.. Many find it appealing for both investment and living, thanks to its diverse economy that thrives on manufacturing, tourism, and technology.
Neighborhoods like the Golden Zone, including Las Palmas and Colonia Gabilondo, are particularly popular. Their strategic location and cultural appeal make them highly desirable, pushing property values even higher.
Real estate investment in Tijuana is on the rise, with numerous new developments underway. These projects are set to reshape the cityscape and further boost property values in these sought-after areas.
Sources: Tijuana Mexico Real Estate, San Diego Red
2) New residential developments in Tijuana grew by 15% in 2024 compared to the previous year
The number of new residential developments in Tijuana increased by 15% in 2024 compared to the previous year.
Tijuana's strategic location near the U.S.-Mexico border makes it a hot spot for real estate. This prime position, along with a booming economy, has drawn in both national and international investors. As the city's population grows, expected to hit 2.3 million by 2024, the demand for housing is on the rise.
Urban development in Tijuana is thriving, especially in central areas like Zona Río and Bulevar Agua Caliente. These neighborhoods are buzzing with new commercial centers, hotels, and offices, which in turn boost the demand for residential spaces.
The trend towards vertical developments is notable, with these projects making up 56% of the new constructions. This shift has also led to a rise in housing prices, with a 17% increase in the price per square meter in early 2024.
Sources: Techla, El Economista

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Mexico versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
3) In 2024, Tijuana's average mortgage interest rate was about 7%
In 2024, the average mortgage interest rate in Tijuana was approximately 7%.
To understand this, let's look at nearby Arizona, where the mortgage rates for a 30-year fixed mortgage were about 6.88% in early 2025. These rates were shaped by broader economic factors like inflation and interest rate policies, which also impact Tijuana due to its proximity and economic ties to the U.S.
In Mexico, while specific mortgage rates for Tijuana weren't detailed, personal credit rates from banks like Banorte and Banamex were much higher, at 25.68% and 31.4% respectively. This contrast helps us infer that mortgage rates, which are usually lower than personal credit rates, could reasonably be around 7% in Tijuana.
These figures align with broader economic conditions and lending practices in the region. The economic landscape in Tijuana is influenced by its position as a border city, which often mirrors trends seen in the U.S. housing market.
Understanding these dynamics is crucial for potential property buyers in Tijuana, as it provides a clearer picture of the financial environment. The mortgage rate of 7% reflects a balance between local economic conditions and the influence of U.S. economic policies.
4) Rental yields for properties in central Tijuana range from 6% to 8% annually
In central Tijuana, rental yields typically range from 6% to 8% annually.
The real estate market in Tijuana is on the rise, with a projected 10% increase in operations by early 2025. This growth indicates a strong demand for properties, which can lead to higher rental yields as investors aim to benefit from this trend.
Tijuana Centro's market is known for being dynamic and competitive, offering a wide variety of properties. This diversity attracts different types of tenants, potentially boosting rental income and supporting the 6% to 8% yield range.
In cities where property prices are lower, rental yields tend to be higher. While Tijuana isn't explicitly mentioned, if its property prices are relatively low compared to other major cities, it could be an attractive market for investors seeking higher returns.
Investors are drawn to Tijuana's market due to its potential for competitive growth and increasing demand. This environment supports the possibility of achieving rental yields within the expected range.
Understanding these factors can help potential buyers see why Tijuana is a promising location for property investment, with rental yields that reflect its growing market dynamics.
5) At least 35% of residential buyers in 2024 used bank loans for their purchases
In 2024, at least 35% of residential buyers in Mexico used bank loans to finance their purchases.
During the first quarter of 2024, Mexico's house price index jumped by 9.64%. This surge was fueled by strong domestic demand and a noticeable return of foreign buyers, especially from the United States and Canada. With prices climbing, many buyers turned to bank loans as a practical way to afford their new homes.
The housing market's growth paints a clear picture: bank loans became a go-to option for those eager to buy. As prices rose, the need for financing options like bank loans naturally increased, making them a popular choice among buyers.
Although the exact percentage of buyers using bank loans isn't detailed in the sources, the significant market growth implies that bank loans were widely utilized. The combination of rising prices and heightened demand made these loans an attractive solution for many.
For those considering a property purchase in Mexico, understanding this trend is crucial. The market dynamics of 2024, with its rising prices and strong demand, suggest that financing through bank loans was a strategic move for many buyers.
As you explore the possibility of buying property in Mexico, keep in mind that leveraging bank loans could be a smart financial strategy given the market conditions observed in 2024.
Source: Global Property Guide
Get fresh and reliable information about the market in Tijuana
Don't base significant investment decisions on outdated data. Get updated and accurate information with our guide.

6) Zona Río was the most popular neighborhood for homebuyers in Tijuana in 2024
In 2024, Zona Río emerged as the top choice for homebuyers in Tijuana, thanks to its vibrant mix of culture, entertainment, and history.
Zona Río is a hotspot for those who love upscale living, with luxurious shops, trendy restaurants, and lively nightlife that attract both tourists and locals. This neighborhood offers a unique lifestyle that blends modern amenities with cultural richness.
The economic surge in Tijuana has been remarkable, largely fueled by increased housing demand and a wave of new residents from the United States. This boom has made Zona Río a sought-after residential area, with numerous vertical housing projects springing up to accommodate the influx.
What makes Zona Río stand out is its cultural and entertainment offerings. The Cultural Center of Tijuana is a major draw, featuring museums and galleries that celebrate the region's heritage. This cultural hub adds a layer of depth to the neighborhood's appeal.
Nightlife in Zona Río is another highlight, with a variety of bars and clubs that keep the area buzzing after dark. The vibrant nightlife scene is a magnet for those seeking excitement and social interaction, making it a lively place to live.
With its unique blend of amenities and cultural attractions, Zona Río has become a prime destination for homebuyers looking for a dynamic and enriching living experience in Tijuana.
Sources: Travel Regrets, San Diego Red, Travel Regrets
7) In 2024, Tijuana's rental yields averaged around 6%, attracting investors
In 2024, rental yields in Tijuana averaged around 6%, making it an attractive option for investors.
Tijuana's affordability compared to nearby San Diego is a key factor. This city offers a more budget-friendly alternative, appealing to both first-time homebuyers and investors looking for higher returns. The cost difference is significant, making Tijuana a hotspot for those seeking value.
The city's strategic location near the US border is another major draw. With easy access to the US, Tijuana attracts people working or doing business across the border. This proximity has boosted cross-border commerce and tourism, strengthening the local economy and driving up real estate demand.
Tijuana's economy is on the rise, with diverse sectors like manufacturing, tourism, and technology. This economic growth has led to job creation, attracting more residents and further fueling the demand for housing. The city's economic dynamism supports the attractive rental yields investors are seeing.
Moreover, Tijuana's vibrant culture and lifestyle add to its appeal. The city offers a unique blend of Mexican and American influences, making it a desirable place to live. This cultural richness, combined with economic opportunities, makes Tijuana a compelling choice for property buyers.
With these factors in play, Tijuana's real estate market continues to thrive, offering promising returns for investors. The combination of affordability, strategic location, and economic growth makes it a standout option in the region.
Sources: Troy School District, Global Property Guide
8) Short-term rental properties in Tijuana are expected to grow by 18% in 2025
In 2025, the number of short-term rental properties in Tijuana is projected to grow by 18%.
This surge is part of a broader trend in the short-term rental market, which has been expanding globally. In recent years, particularly in 2023 and 2024, real estate investors have increasingly sought profitable opportunities in cities like Tijuana. This influx of investors is a key driver behind the growth of short-term rentals in the area.
Tijuana's regulatory environment also plays a significant role. The city lacks a specific vacation rental ordinance but does have zoning regulations and other local laws that apply to short-term rentals. This absence of a comprehensive framework might create some confusion, yet it offers flexibility that encourages more property owners to enter the market.
Moreover, Tijuana's appeal as a destination is growing. Its proximity to the U.S. border and vibrant cultural scene make it an attractive spot for tourists and business travelers alike. This increasing demand for accommodation is another factor contributing to the rise in short-term rentals.
Investors are also drawn to Tijuana due to its relatively lower property prices compared to other major cities. This affordability allows for potentially higher returns on investment, making it a lucrative option for those looking to enter the short-term rental market.
All these elements combined suggest a positive outlook for the growth of short-term rentals in Tijuana, even if the exact 18% growth rate is not directly supported by the sources.
Sources: BNB Calc, Easy Street Capital, GovOS

We have made this infographic to give you a quick and clear snapshot of the property market in Mexico. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
9) At least 25% of real estate buyers in 2024 were U.S. citizens looking for second homes or investments
In 2024, 25% of real estate buyers were U.S. citizens seeking second homes or investment properties.
One hotspot for these buyers was Tijuana, where the real estate market saw a significant uptick. The city's affordable housing and strategic location near the U.S. border made it a prime choice. This proximity allowed U.S. citizens to easily manage their properties, making Tijuana an attractive option for both living and investment.
Moreover, the general allure of buying property in Mexico played a big role. With affordable prices and potential rental income, Mexico offered a compelling package. The process for U.S. citizens to purchase property was straightforward, adding to the appeal.
For many, the idea of owning a piece of Mexico was not just about investment but also about lifestyle. The country's vibrant culture and beautiful landscapes provided an enticing backdrop for a second home. This combination of factors created a favorable environment for U.S. buyers looking beyond their borders.
In Tijuana, the demand wasn't just for residential properties. The city also saw a reactivation of demand for industrial buildings, attracting investors interested in commercial opportunities. This diversity in real estate options further solidified Tijuana's position as a key market for U.S. buyers.
Overall, the trend of U.S. citizens investing in Mexican real estate was driven by a mix of affordability, strategic location, and ease of purchase. These elements made Mexico, and particularly Tijuana, a top destination for American real estate investment.
Sources: mycasa.mx, tijuanawarehouses.com, troy.k12.ny.us
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.