Mexican Government Assures That Mexican Real Estate Will Continue to Thrive Throughout 2009
Mexico's Secretary of Housing, Ernesto Cordero, recently affirmed that Mexico's real estate sector is currently very stable and that the financial outlook for the Mexican housing market will continue to show strong earnings, with a bright outlook for 2009.

Cordero, who is actively promoting the safety and profitability of investing in Mexican real estate, assures that the real estate crisis that swept the US, Europe and many other countries in the recent past has had little or no effect on the Mexican housing industry. Cordero affirms that Mexico's housing industry is actually one of the internal motors that continues to drive Mexico's thriving economy. 

Mexico's Economy Has Not Suffered From the Global Recession
The myths that assure that Mexico is feeling the pressure of the global recession and that the country's real estate sector will likely suffer and run into problems in the near future is simply not true. At least that's what Ernesto Cordero believes. He tells us that the following points highlight how safe investing in Mexico really is:

-Mexico already suffered from a huge crisis back in 1995, which taught the country many lessons. That crisis led the country to make many reforms to its banking sector in order to prepare for any future instability. For this reason, the global crisis that we are currently witnessing in many parts of the world will have little or no effect on Mexico's overall economy.

-The Mexican government is prudently managing its public finances.

-A very strict system of regulations is in place and this will help mitigate any effects associated with currency speculation and other speculative trends.

-The Mexican government is continually working with the private sector in order to generate jobs and further economic stability.

-700,000 low income family homes are expected to be built in 2009 alone and this will generate approximately 200,000 new jobs.

-The Mexican government will serve as a sort of co-signer, guaranteeing the repayment for the mortgages on these low income family homes thus insuring that the private banking sector is not at risk.

-The government will subsidize up to 25 percent of the value of these low income family homes and even Mexicans that are living abroad may qualify for the subsidies.

-Other government programs such as the "Vivienda Rural" (FONHAPO) program will go as far as subsidizing 75 percent of the value of home additions for qualified people.

Should we be sharing in this sense of optimism?
Well, Mexican President, Felipe Calderon is very optimistic and is heavily promoting his country as a great place to invest at the moment. He tells investors that if they bring their dollars to Mexico "there will be tons of benefits". Unfortunately, it looks like he is having a tough time convincing private industry in his own country as to the bright future of the Mexican economy.

Mexico's Private Sector Doesn't Seem to Think So
Unfortunately Mexico's private sector doesn't seem so optimistic. In fact a January 2009 survey performed by the Banco de Mexico shows that private companies and individuals are actually very pessimistic about the short term future of the nation.

Only 7 percent of those interviewed believed the Mexican economic situation would be good in 2009. 3 Percent said it would remain the same and a whooping 80 percent believed things would worsen.

The pessimistic crowd cited the global recession currently sweeping the world's major global economies as the number one factor that will have a negative impact on Mexico's economy.

Conclusion
While Mexico's housing market does seem pretty stable right now, deciding whether or not NOW is the right time to invest in Mexican real estate is a matter of personal opinion and risk management
The author of this article is neither pessimistic nor euphoric on the outlook of the Mexican Real estate market. We will simply need to wait it out and see what the future will bring.

This Analysis was provided by the VivaReal Network
About the VivaReal Network
VivaReal is a Latin America property listings network with a major focus on the Mexican Real Estate Market Its current mission is to help expats, retirees and investors connect with local sellers, brokers and agents in Mexico as well as other Latin American countries.