Drug Wars Hurting Mexican City’s Housing Market

ROSARITO, MEXICO – The City of Rosarito for years has been a destination for many nearly 15,000 Americans to retire. But with the wave of drug violence in Tijuana and across Mexico, real estate is going through some tough times.

Local real estate agent Gustavo Torres says less Americans are buying homes in Mexico.

According to the Real Estate Association of Rosarito, the market has seen a decrease since 2006 when the violence in Mexico started.

2006: 1,200

2007: 950

2008: 450

2009: 250

Rosarito Mayor Hugo Torres disagrees with the market going through a slump. According to the mayor, the real issue is because of the negative media coverage, which has discouraged Americans from buying homes.

“It’s a problem of perception. The common citizen has not been a target. Americans who come here can live peacefully and buy their home. Violence happens anywhere in the world — New York, Los Angeles and any major city in the world.”