What are the steps to buying property in Mexico?
- Thread starter tyler
- Start date
In today's environment, there are good deals, but 'buyer beware' takes on a whole new meaning.
playaperro
El Pirata
Let say you want to buy a casa blanca condo in sandy beach resorts.
It already has a 50 year bank trust the original buyers paid $310,000.
You can pick one up right now for $175,000 furnished.
You Interested.
It already has a 50 year bank trust the original buyers paid $310,000.
You can pick one up right now for $175,000 furnished.
You Interested.
Roberto
Guest
Nope, it's easy. Just takes money. Let me know and I'll fix you up.Some basics
on't buy into an incompleted project. If they say 'The swimming pool will go over there", leave. Don't take any promises, even if put into writing. Ask to see a copy of the Bank Trust or a Mexican deed on the property. If they don' t have either, leave. If it's a condo they may have a Master Trust and the condo will be in that trust until you get your own trust, that's OK. If it is in a Mexican Title you need to have someone examine the title, not all properties under a title can be sold.Ask for and get an estimate of all closing costs. It is higher here than in the US so don't be shocked after you sign an agreement to buy, get the numbers first. Be sure that the seller has agreed to pay their capital gains tax if there are any.Find out about the association fees. Some of the developments are much higher than others. If the property has been in a rental pool, you can ask for the rental history. Don't depend on rental income to make your payments, I don't care what they tell you, that is a mistake.Be sure the Bank Trust papers are processed by a Notario. Expect it to take 6months to a year to finally close, but you will have possession of the property as soon as the money is passed.Most people don't bother with title insurance, it's not the same as in the US. Don't expect to find bank financing down here. It ain't gonna happen. Seller financing does occur. Most buyers have used equity in a home is the US to make the purchase.There are lots and lots of really good deals on completed homes and condos. For example, right now you can buy a nice 1 bedroom condo at the Princessa, with all the amenities, pool, etc. for about $100 K and terms. Maybe 50% down. Contact me if you've got questions.Tyler, read the article over at http://rptides.blogspot.com/ it tells a lot about bank trusts and owning property in Mexico.
InkaRoads
cronopiador
Most important is to understand the paperwork, if you do not read spanish, find someone you know that does and when in Mexico do like the mexicans find yourself a "Notario Publico" same as an american Lawyer, not to be confused with a "notary" in USA.
And agreed with Roberto, if your particular choice does not have four walls, roof and a key to open the front door, run, RUN LIKE HELL IS BROKEN LOOSE!!!
And agreed with Roberto, if your particular choice does not have four walls, roof and a key to open the front door, run, RUN LIKE HELL IS BROKEN LOOSE!!!
La Pequena Hermana
Guest
Notario's are much stronger than "lawyers" in Mexico. Deal with them if you can.