As a real estate broker, I often hear the question, “How’s the real estate market in Puerto Vallarta?” My usual response? “Depends who’s asking.” I can’t emphasize enough how necessary it is to hone in on your region, property type, and any additional segment relative to your real estate goals. However, the bigger picture is of course important too.
In this report, we’ll go from a broader analysis to a detailed update for July 2025. If you’ve ever considered a real estate purchase in the Puerto Vallarta area, including Marina Vallarta, Punta Mita, or Riviera Nayarit—or you’re thinking about selling your property—this is worth the read. Staying informed helps you make the best, educated real estate investment decisions to help you reach your goals.
Year-to-Date Market Data: January to July 2025
In the first seven months of 2025, nearly 1,000 properties have sold across the two municipalities, totaling over 513 million US dollars in sales volume. The average sale price across all property types—condos, houses, land, commercial units, luxury properties, etc.—is holding near $524,000 USD. Sellers are receiving about 98% of their listing price on average, showing steady demand despite high inventory.
However, properties are taking longer to sell. The average DOM (days on market) now sits at over four months across the Puerto Vallarta & Banderas Bay area, reflecting both oversupply and cautious buyer behavior.
Let’s talk inventory: condos in the region have spiked to 44 months of inventory—an absorption rate that signals a strong buyer’s market. That’s 2,846 active condo listings compared to only 557 houses. Houses, especially single-family homes and luxury segments, show stronger growth potential with only 23 months of inventory in July, compared to over 40 earlier in the year.
Some of you may be familiar with what’s been happening in Puerto Vallarta and Riviera Nayarit. During the pandemic, demand skyrocketed due to national buyers escaping the city, and foreign buyers such as North Americans looking for a second home, retirement properties, or a better lifestyle. Developers responded with aggressive new construction, leading to oversupply.
But after demand slowed—partly due to the pandemic subsiding and uncertainty from presidential elections in both Mexico and the United States—the housing market shifted. Developers scaled back, but excess inventory still weighs on the local real estate market.
Now, as of this past year, with stabilized economic conditions and new infrastructure development like the new highway connecting Riviera Nayarit, plus the airport’s new terminal set to welcome more direct flights from western countries, the Mexican real estate market is gaining momentum again.
Absorption rates are gradually decreasing, signaling recovery. But keep in mind: property values depend heavily on supply and demand. For real estate investors, market analysis of new listings and price changes by property type is critical.
POV: Market Conditions & Broader Analysis
July 2025 Snapshot: Condos & Houses
1. Active Listings - Summer 2025: Puerto Vallarta Real Estate Market Report
Active listings remain high across all property types with condos in both Puerto Vallarta and Bahia de Banderas, each exceeding 1,300 active units. Houses have much lower active inventory around 215 in Puerto Vallarta, and about 600 in Banderas Bay, and both have been trending down slightly since earlier in the year.
New listings slowed in several segments compared to last year, particularly in higher price ranges. You can see the spikes earlier in the year, especially for condos in Puerto Vallarta. But July shows much smaller peaks in new listings.
For sold listings in July 2025:
- Puerto Vallarta Condos: 66 sales with a 27% year-over-year growth
- Puerto Vallarta houses: 18 sales with a 20% year-over-year growth
- Banderas Bay condos: 84 sales within 68% year-over-year growth
- Banderas Bay houses with 33 sales and an 18% year-over-year growth
Overall, total sales rose 22% year-over-year with 201 transactions versus 165 in July, 2024. But it’s clear from these charts that the composition of that growth depends heavily on the property type and location.
2. Pricing Trends - Summer 2025: Puerto Vallarta Real Estate Market Report
Median sales prices increased in three of the four segments year over year. Puerto Vallarta condos: $438,717 with a 34% increase. Puerto Vallarta houses: $315,000 with a 19% increase. Banderas Bay houses $414,500 with a 22% increase and Banderas Bay condos dipped to 330,000 with a 12% decrease driven by more sales and lower-priced units, which is something you can see that reflected in the chart above where the orange “sold price” line dips below the “list price” line. As you may have noticed, there’s more inventory in Banderas Bay Condos than really anything else. Average sale prices posted the largest gains in Puerto Vallarta condos 24%, and Banderas Bay houses up 26%.
Sale-to-list price ratios stayed strong: Low 90% range for condos, high 80% to low 90% for houses. The ratio trends show condos holding a tighter gap between asking and selling prices in both regions, while houses, especially in Puerto Vallarta, saw more fluctuation earlier this year before tightening up in June and July.
3. Market Pace - Summer 2025: Puerto Vallarta Real Estate Market Report
Absorption rates remain elevated – the lowest being 19 months for Puerto Vallarta houses to the highest at over 42 months for Banderas Bay condos. Which makes sense as there is a lot of new construction going on in Banderas Bay, as it’s at a more active stage of growth than PV. This also reflects the abundant condo supply, which we’ve already addressed.
Puerto Vallarta absorption rates have really dipped this year, which is great, and all categories have been trending downward in recent months. This is a really good sign that the market is reactivated, and finally catching up with the overproduction that happened during the pandemic era.
Days on market (DOM) increased for Puerto Vallarta condos, going up 8% year-over-year, but dropped in Banderas Bay condos and houses indicating quicker closings there. Vallarta houses are hovering just over 200 DOM, which is still a long selling period, but the relatively stable line in recent months suggests the market pace has leveled out.
4. Sales Volume - Summer 2025: Puerto Vallarta Real Estate Market Report
Sales volume mirrored unit sales trends with big year-over-year gains for Banderas Bay condos and houses, steady for Puerto Vallarta houses and softer for Puerto Vallarta condos. Luxury properties (+$1 million USD) transactions were more frequent in Puerto Vallarta condos and Banderas bay houses, but still represent a smaller portion of overall activity.
As you can see on the charts above, the “Sold-Sale” volume line remains far below the “Active” and “New” list volumes, which is typical in a high inventory environment. However, steady sold volumes for houses, especially in Banderas Bay, show their solid demand in certain niches despite the overall supply levels.
So as you can see, July 2025 was marked by a notable surge in Banderas Bay condo sales, which was 68% since last year, offsetting softer Vallarta condo performance, which actually went down 27% since last year.
Houses in both municipalities showed healthy annual growth, with overall sales up 22% compared to July 2024. Pricing trends remain favorable in most segments, although high inventory — particularly in condos — continues to keep absorption rates elevated.
For foreign investors, international buyers, and those considering rental properties, here are some important market conditions:
Rental Market: Two-bedroom condos are oversaturated, leading to lower occupancy rates. Three bedroom+ condos or single-family homes, however, hold steady demand and stronger rental income, especially in peak season/ high season.
Luxury Properties: Houses are higher in demand for luxury travelers seeking privacy & ocean views, and hold higher appreciation.
Digital Nomads & Remote Workers: Increasingly drive demand for mid-market condos, particularly in the Romantic Zone and other lifestyle-friendly areas.
Foreign Direct Investment: The Mexican government continues to support infrastructure development, positioning Riviera Nayarit and Puerto Vallarta as top beach destinations on the west coast of Mexico.
Current Trends: What Investors Need to Know
The Mexican real estate market offers more than just numbers. Many foreign buyers and international investors are drawn by lifestyle factors:
Direct flights make the Puerto Vallarta area accessible to metropolitan cities like Mexico City, Los Angeles, and New York.
Rental properties offer reliable income in both high season and low season.
Investment properties double as retirement properties or second homes, providing flexibility.
International schools and growing infrastructure development make the region appealing to families.
For property owners, hiring a property manager ensures smoother operations and higher occupancy rates.
This combination of strong demand in niche segments, steady growth in single-family homes, and oversupply in certain condo categories gives investors clear investment opportunities—if they focus on the best neighborhoods and adapt to market data.
Lifestyle, Investment Opportunities & Better Living
The July 2025 Puerto Vallarta real estate market shows a mix of opportunity and caution:
Oversupply in condos creates a buyer’s market.
Houses and luxury segments demonstrate strong growth and appreciation potential.
Market conditions vary significantly by location—Banderas Bay condos tell a very different story than South Shore luxury homes, for example.
Foreign investment, exchange rate benefits, and ongoing infrastructure development are keeping the local real estate market attractive to international investors.
For real estate investment decisions—whether you’re comparing price changes, analyzing absorption rate, or looking for case studies in the Mexican real estate market—it’s crucial to match your strategy to your property type and neighborhood.
Puerto Vallarta, Riviera Nayarit, and surrounding beach destinations remain a great place for real estate investors, foreign buyers, and those seeking a better lifestyle on Mexico’s west coast.
