In Los Cabos, price resistance does not always mean a home is overpriced. In many cases, it reflects a shift in how serious buyers evaluate value.

As buyers move deeper into the decision process, they often stop comparing listings and begin comparing alternatives. That is when a key realization can occur: even if land were free, rebuilding the same home today may no longer be achievable at the same cost, quality, timeline, or level of certainty.

Construction costs have increased materially in recent years, skilled labor availability has tightened, and permitting and execution timelines introduce risk that many buyers initially underestimate. As a result, some completed, well-built homes—particularly those developed before recent cost increases—are evaluated differently. Their value is assessed not only against comparable listings, but against the realistic cost, time, and risk required to recreate a similar outcome today.

This dynamic helps explain why certain properties quietly hold value while others pause, even when pricing appears similar on the surface. In Los Cabos, market decisions are rarely driven by price alone. They are shaped by how buyers assess alternatives and outcomes.

Written by zon Murray,
Luxury Real Estate Advisor
Diamante Realtors

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