Water is the quiet currency of the future

Water is the quiet currency of the future, and this headline matters

If you follow Mexico and the U.S. even casually, you know the loud stuff always grabs attention. Trade. Tourism. Politics. Real estate.

But water? Water is the “behind the scenes” system that makes everything else work. You do not think about it until it becomes a problem. And that is exactly why this update is actually good news.

What happened

Mexico agreed to make its water deliveries to the U.S. more predictable under the long-standing 1944 water treaty.

The simple version

Mexico has a commitment to deliver a set amount of water to the U.S. over a five-year cycle. The issue has been timing. The U.S. has complained that Mexico sometimes delivers more later in the cycle instead of steadily throughout, which can create stress for farmers and communities that need consistent water flow, especially in Texas.

The new focus is predictability, meaning a steadier pace instead of a last-minute scramble.

And it goes both ways

This treaty is not “Mexico gives, U.S. takes.” The U.S. also has water delivery obligations to Mexico (including Colorado River water). In other words, both countries are tied together in a long-term framework, and both have to show up.

Ok, but what does this mean for real estate buyers in Mexico

First, a quick reality check

This specific treaty issue is about border river systems far north of Puerto Vallarta. It is not a direct headline about your condo’s tap water in Vallarta or the groundwater systems around the Riviera Maya.

But it still matters, because it tells you something important about the bigger picture.

Why I see this as a positive signal

1. It shows the system is working

   
   

   When two countries manage a critical resource through a treaty and then course-correct when there is pressure, that is not fluffy news. That is stability. It means there is a process, there are expectations, and both sides are still actively maintaining the relationship instead of ignoring it.

That kind of institutional follow-through is exactly what long-term investors want to see.

2. It is a sign of planning, not panic

   
   

   Water stress is real, and it is not going away. The optimistic part is this: predictability is what good planning looks like.

In real estate, the markets that hold value best over time are the ones that plan ahead, invest in infrastructure, and take growth seriously.

3. It is a reminder to do smarter due diligence (the kind that protects your lifestyle)

   
   

   When you buy abroad, you are not only buying a home. You are buying the systems around it.

So yes, look at the finishes, the view, the walkability, the rental potential. But also ask the boring questions that make ownership easier:

• Where does the building’s water come from (municipal, well, stored, trucked)?

• Does the building have a cistern and a pressure system?

• Any history of water interruptions in that neighborhood?

• How does the HOA handle maintenance and reserves for infrastructure?

These are not “deal killers” most of the time. They are quality-of-life protectors. The difference between smooth ownership and constant little annoyances.

My real estate take

Stable resources support stable growth. And steady growth is what makes a place feel safe to plant roots, upgrade a property, or hold real estate long-term.

So when I see Mexico taking steps toward more predictable resource commitments, I do not just think “water headline.” I think: this is what responsible, long-term market maturity looks like.

Your turn

When you are buying property abroad, what are the non-obvious things you look at besides the property itself?

Do you look at infrastructure? Insurance? Hospitals? Roads? Storm prep? Internet reliability?

I’m curious what matters most to you.

Will Hutt

Coldwell Banker La Costa

+1-239-691-0782