Please forgive me if this has been covered elsewhere; I did a search and did not come up with any info that is directly applicable to our situation.
We are offshore purchasers of a property in Mexico. We've purchased a home on the Baja (Ensenada area; new home that is under construction) and plan
to furnish it to a standard that hopefully will attract some short term rental revenue. This includes the entire house (furniture, appliances,
bedding, dishes, etc.).
My question is whether it would be better to purchase the entire furniture/appliance/household package in the Ensenada area through the local
suppliers or would it better to just buy the whole package in San Diego and hire/and or rent a u-haul and move the stuff south ourselves and pay the
import duty. We have no idea as to what the % import duty would be payable on the cost of the goods purchased should we purchase them in the U.S. and
move them down ourselves vs. buying them locally (and not paying the import duties).Any/all thoughts/opinions/advice would be greatly appreciated.
longlegsinlapaz - 11-24-2006 at 07:27 AM
Another aspect to consider: If you import, you've just lost any reasonable hope for warranty work if needed....it is such a hassle to have to haul a
refrigerator/stove/washer, etc., back & forth across the border for repair! Buy local, support the local merchants & make your life easier!Don Alley - 11-24-2006 at 07:36 AM
Buy as much as you can locally.
It will be more fun. There's lots of neat stuff to buy, especially up near Ensenada.
Your house will look nicer and be a better fit with the ambiance of Mexico.
Shop carefully and you may save money.
You'll help others in the local economy.bajabound2005 - 11-24-2006 at 07:43 AM
Things I would buy in the States -- bedding, towels, silverware -- everything else (pots, pans, etc) you can get at Costco. Appliances are readily
available as well but shop around (Costco, Commercial Mexicana, Famsa, and more).Dave - 11-24-2006 at 11:22 PM
Quote:
Originally posted by dune155551
plan to furnish it to a standard that hopefully will attract some short term rental revenue. This includes the entire house (furniture,
appliances, bedding, dishes, etc.).
Since you need to register with Hacienda to pay taxes on your income, (right?) you then can purchase items locally (with a factura) which
will allow deductions from your rental income.danaeb - 11-25-2006 at 09:26 AM
You CAN"T just rent a u/haul and take your new good across the border. You'll need the services of a frieght-forwarder in San Diego to handle the
customs process and take your goods across. Believe me I know. I'm in the process right now. If you are shipping items you need to know the tariffs
on certain items - especially textiles. Any textiles (sheets, bedding, towels, etc) from China have a 379% duty. I'm using Columbia Exports (there
are several companies in Otay mesa that ship household items).Bruce R Leech - 11-25-2006 at 09:32 AM
I hope you have gotten good advice from an Mexican accountant before you started your Mexican rental business. if not do so now before you spend
another peso
