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Maximizing Your Airbnb Mexico Property: Tips and Examples to Serve as Inspiration
Mexico is a hot vacation destination for travelers from all around the world and the spicy food is just one of the reasons. From culture to cuisine to beautiful beaches, there are many attractions that travelers will pay top dollar for.
Plus, when it comes to finding accommodation, many are opting for Airbnb rentals over traditional hotels as it allows them to soak in the unique experiences that Mexico is known for much better. You too can tap into this growing market and earn extra income while sharing your love for Mexico.
Whether you have a spare room in your home, a two-bedroom apartment or a villa with views of the sea, the best Airbnbs in Mexico come in all sizes. It’s time to put on your sombrero thinking hat and explore ways to turn your place into a revenue-generating asset.
Three Key Considerations for Running an Airbnb in Mexico
Mexico offers unique challenges to those thinking about investing in vacation rentals in this country. Here are three of the most important factors to keep in mind:
Location
Just like with any type of property investment, it’s all about location. If you’re planning on buying a property in Mexico, this becomes even more important. There are vast social disparities and a number of rural areas. As guest safety and accessibility are top priorities, you’ll want to make sure that you invest in an area that can offer both.
One of the biggest appeals of Mexico is beaches, especially considering that it also offers the great weather to enjoy the stretches of white sand. According to online data, the best coastal cities to invest in Airbnb rentals in Mexico include:
- Cabo San Lucas, located on the Baja California Peninsula’s southern tip
- Tulum, located on Yucatan Peninsula’s Caribbean coastline
- Puerto Vallarta, a resort town off the Pacific coast
That said, the country also offers a number of urban areas that offer great attractions, making it a lucrative location to invest in too. If you prefer city culture over chilled coastal life, you can consider:
- Guadalajara, located in western Mexico
- Mérida, situated in the state of Yucatan
- Mexico City, the country’s capital
Taxes
Compared to other countries, Airbnb taxes work quite differently for hosts in Mexico. Here are the main rules and regulations to keep in mind:
- It’s important that all hosts in Mexico obtain tax registration (referred to as RFC or Registro Federal de Contibuyentes). This can be done via the website of Mexico’s tax collection agency (SAT).
- After you have received your tax registration, you can use Airbnb’s app to link it to your account. Hosts who fail to link their registration number to their Airbnb account will have 20% of their monthly income withheld, instead of the standard 4%.
- Hosts will also be required to register all their transactions electronically, generate electronic invoices, and file their tax returns on a monthly basis.
Amenities
As Mexico boasts such a distinctive culture, you’ll want to find ways that your property can incorporate the country’s rich identity. As such, it can be a good idea to buy a property that showcases typical features of Mexican architecture like beams and arched doorways and windows.
In addition to these architectural features, here are other popular amenities that can help to deliver an authentic Mexican guest experience:
- Lounge chairs
- A private pool
- A private patio
- Complimentary kayaks
- A hammock
Then, to ensure that you guests remain cool and connected, ensure that your vacation rental is fitted with Wi-Fi and air conditioning.
9 of the Best Airbnbs in Mexico
Here are nine examples of how other Airbnb hosts in Mexico have transformed their space into relaxing retreats. From beautifully designed bedrooms to small, intimate spaces, your only limitation is your imagination.
Condesa (or La Condesa) is known for its bohemian feel, making it a popular destination among younger travelers. Add to that attractions like boutiques, cafés, and art galleries and that it’s only a 15-minute drive away from Mexico City and it becomes even a hotter destination.
This one-bedroom loft is a great example of how you can embrace indoor-outdoor living. While it lacks a full kitchen, its private terrace makes up for it. All in all, it’s the perfect escape for a solo traveler.
Situated in the heart of Mexico City’s artistic community, this two-bedroom apartment is bright and welcoming. It’s interior offers the ideal atmosphere after a day out and about.
While it might not offer a private outdoor space, the strategic placement of indoor plants is another example of how you can create a sense of indoor-outdoor living. Guests won’t even notice that they don’t have a private garden. Plus, thanks to its central location, all they have to do is step outside and they’re a short walk away from dining and cultural attractions.
Add to that the ample use of soothing neutral colors and it’s the perfect place to relax after a busy day of exploring the vibrant culture of Mexico. It’s a great example of how a small space in a great location can work.
Holbox is a small island located north of Yucatan Peninsula. It offers the island vibe that Mexico is known for and this one-bedroom duplex makes the best of its prime location to offer a rustic, back-to-nature, charm. Nestled among palm trees, it’s just a couple of steps from the beach.
The addition of air conditioning is a clever alternative to a private pool. This way, guests will remain cool after they return from the beach.
This one-bedroom home has been listed in Condé Nast Traveler as one of the best Airbnbs in Mexico. It’s within walking distance from San Miguel’s center where you’ll be treated to a lively scene of restaurants, galleries, and boutiques.
It’s a great example of how to use limited space to the max. There’s a small, private garden where guests can enjoy alfresco dining. Alternatively, you can soak in the last rays of the Mexican sun from the private rooftop that also boasts exceptional views. The hosts have also added an extra bed to the office to provide extra sleeping space for two more guests.
For an example of how you can use minimalism to your advantage, be sure to check out this tiny house. This tiny home is located in Puerto Escondido, a port town off the Pacific coast.
While it offers limited space, it offers maximum privacy. Guests have access to a private beach as well as a private pool. The decorations might be restricted to the bare basics, but the property shows off the strong, natural, and durable building materials synonymous with Mexican architecture. The layout also uses its natural surroundings to the max to create a spacious outdoor living area where guests can feel at one with the lush, green vegetation.
Located in Todos Santos, a town on the Pacific coast of Mexico’s Baja California Peninsula, this space is a great example of traditional Mexican architecture with loads of arched windows, internal beams, and curved doorways. The loft has its own private entrance, making it easy for guests to access.
In addition to a full kitchen, there’s also a barbecue on the terrace. Guests are then welcome to enjoy their home cooked meals in one of two dining areas.
For something very unique, there’s the Mirrored House, situated about 20 minutes away from San Miguel de Allende. It’s an award-winning vacation home that boasts a unique setting — it’s built on an extinct volcano’s slope.
It offers only one large room (there are no partition walls), but much of its beauty lies in this clever design. The space is intimate and floor-to-ceiling sliding glass doors frame the mountain setting. Some of its other unique features include a private chef and add-on activities like a guided hike, horseback riding, or home massage. This property proves that prime property in Mexico doesn’t have to offer sea views.
In addition to curves, Mexican design is also known for its use of color. This property is a classic example of modern Mexican rural style. The Airbnb rental offers a very large kitchen, two bedrooms (one with its own bathroom), an inviting dining area, a central patio, your own private pool, and lounge chairs from where you can enjoy the garden-filled colorful flowers and fruit trees.
At the upper end of the spectrum, there’s this recently renovated home that dates back to the 1920s. It serves as an inspiration to hosts looking to invest in a bigger property.
Situated in La Condesa on a quiet, tree-lined street, this house offers six bedrooms, a terrace, a large dining room, and creature comforts like central heating, and the finest quality Egyptian cotton linens. There’s also a housekeeper that’s also available as a private chef upon request.
Grow Your Airbnb Rental Portfolio in North America
From snow to sun, North America has loads to offer travelers. While the revenue growth for vacation rentals in North America’s travel and tourism sector isn’t predicted to rise sharply over the next few years, statistics anticipate that it will remain steady till 2027. With all the uncertainty, this makes investing in an Airbnb rental in a country like Mexico a strategy worth exploring further.
If you’re thinking about growing your rental portfolio, it’s also a good idea to expand your tech stack and add comprehensive vacation rental software like iGMS. Automation software like iGMS can help to streamline tasks, making it easier to grow your business in other countries. That said, even if you manage only a single property, it will still be beneficial.
The following are just some of the daily tasks that it can streamline:
- Managing multiple accounts and listings on vacation rental websites
- Organizing your guest communication into a single feed and using automated templates and triggered messaging to streamline guest communication
- Automating the process of leaving guest reviews
- Creating a business website for direct bookings and managing direct bookings using a direct booking management toolkit
- Tracking your business performance on an analytics dashboard
- Receiving payouts and creating invoices by connecting your Stripe account to iGMS
- Sharing daily cleaning schedules with your team and auto-assigning tasks.
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