Year End Summary

Resale home sales in San Miguel de Allende closed 2025 with a remarkable 24.68% increase in the number of homes sold compared to 2024, along with a 9.03% increase in total dollar volume.

The average price per home sold declined from $650,462 in 2024 to $568,829 in 2025, an $81,633 difference. Two key factors help explain this shift:

·       A slowdown in high‑end sales:
Sales of homes priced above $2,000,000 decreased notably—from 19 sales in 2024 to 12 in 2025. Removing even a handful of $3M, $4M, or $5M transactions can pull the overall average down by tens of thousands of dollars, without necessarily indicating a broad market decline.

·       Sustained higher inventory levels:
The elevated number of resale homes on the market throughout 2025 continued to place downward pressure on prices. While I did not conduct a full statistical breakdown comparing the impact of high‑end sales to the overall average, my best estimate is that roughly half of the price difference stems from the slowdown in luxury sales, with the remaining portion attributable to increased inventory.

Market Outlook Analysis
The Snowbird season is off to a strong start. Based on higher‑than‑usual email activity, we anticipate a solid winter season and expect resale activity in San Miguel de Allende to remain robust.

While elevated inventory levels continue to place some downward pressure on prices, the market still doesn’t feel like a true “buyer’s market.” Broader inflationary forces continue to support upward pressure on pricing. Barring any unforeseen geopolitical developments, we expect market conditions to remain consistent with what we’ve seen in recent months.

External Market Influences

We are closely watching the evolving dynamics between the US and Mexico, as well as emerging signs of stress in the US real estate market.

 Our team continues to monitor both US and global geopolitical trends, as these factors can influence the San Miguel de Allende resale market quickly and significantly.

Thank you for your continued trust. We remain committed to open communication and transparent guidance as the market evolves.

Philip Hardcastle

* As you review the sales data, it’s important to remember that San Miguel traditionally carries twelve or more months of inventory across all price ranges—even during boom years. For this market, fifteen to eighteen months of inventory is considered normal.

Because San Miguel functions primarily as a cash market, our absorption rates and inventory timelines will never mirror those of the U.S. or Canada, where inventory is often measured in days rather than months.