Investing in real estate in Los Cabos has become one of the most attractive decisions for both national and international investors. Its privileged climate, constant tourism, and high standard of living drive real estate demand throughout the year.
However, one of the most frequent questions is: Is it better to invest in beachfront properties or in elevated (hillside) areas?
In this article, we analyze both options from a Real Estate ROI perspective to help you make an informed decision.
Oceanfront Homes in Los Cabos: Exclusivity and High Demand
Beachfront properties are synonymous with luxury, privileged views, and direct access to the sand.
✅ Advantages
- High tourist demand throughout the year.
- Premium rates for vacation rentals.
- Greater appeal for international buyers.
- Constant long-term appreciation (plusvalía).
⚠️ Considerations
- Higher purchase price.
- Higher maintenance costs.
- Exposure to the marine climate (saltpeter, humidity).
📈 Estimated Profitability Oceanfront homes in Los Cabos typically generate higher nightly income, especially during peak seasons, favoring an attractive ROI for investors focused on short-term rentals.
⛰️ Hillside Properties in Cabo: Views, Privacy, and Better Value
Properties in elevated areas offer spectacular ocean panoramas without being directly on the beach.
✅ Advantages
- More accessible initial purchase price.
- Sweeping views of the Sea of Cortez.
- Greater privacy.
- Lower maintenance costs.
⚠️ Considerations
- No direct beach access.
- Dependency on transportation.
- Lower vacation rental rates in some cases compared to the frontline.
📈 Estimated Profitability Hillside properties in Cabo stand out for their balance between initial investment and return, making them ideal for those seeking capital appreciation over the medium and long term.
📊 Quick Comparison Table
| Feature | Oceanfront | Hillside |
|---|---|---|
| Initial Price | High | Medium |
| Vacation Rental Yield | Very High | High |
| Maintenance Cost | High | Medium |
| Appreciation (Plusvalía) | Very High | High |
| Tourist Demand | Excellent | Very Good |
🎯 Which Option Offers the Best Real Estate ROI?
The answer depends on your specific goals:
✔️ Choose Oceanfront if:
- You seek high vacation rental income.
- You want a premium, “trophy” asset.
- You are targeting the high-end international market.
- Exclusivity is your priority.
✔️ Choose Hillside if:
- You are looking for a lower initial investment.
- You prefer long-term stability.
- You want to diversify your portfolio.
- You value privacy and panoramic views.
Many successful investors combine both options to balance risk and profitability.
🌴 Current Trends in the Los Cabos Market
In recent years, Los Cabos has shown:
- An increase in foreign buyers.
- Higher demand for sustainable properties.
- Growth in luxury Airbnb-style rentals.
- A rise in premium master-planned developments.
These trends strengthen the value of both beachfront and elevated properties.
Conclusion Investing in oceanfront homes in Los Cabos offers high performance and prestige, while hillside properties in Cabo provide stability, views, and better initial access. Both options can generate an excellent Real Estate ROI if chosen with proper advice and a clear strategy.
Ready to invest in Los Cabos with confidence?
Discover the best opportunities in oceanfront and hillside properties with expert guidance.
If you still don’t have your own property in Los Cabos, get in touch with us!
- Carmen Torres – Baja Memories Real Estate
- Office: +52(624) 143-9602
- Mobile: +521(624) 122-5479
- Email: bajamemories@gmail.com
- Website: http://www.bajamemoriesrealestate.com

