bgp5740 - 3-27-2008 at 05:51 AM
Hi guys and gals,
I noticed that we were receiving many visitors from this forum so I thought I would check it out. There is, or at least I tried to provide full
disclosure at the site http://www.jetiii.com/house
There seems to be a lot of speculation as to what is going on so I figured I would make myself available to answer questions.
It appears that I way under priced the house and would like to know what you think.
jtorres
[Edited on 3-27-2008 by bgp5740]
[Edited on 3-27-2008 by bgp5740]
sd - 3-27-2008 at 06:48 AM
Best wishes with your health.
If the lease is not renewed, the investment is lost, is this correct?
Also, a great website, but I do not see the actual livable (interior) square footage. Sorry if I missed it.
Underpriced? If so, it would be under contract most likely.
The Lease
bgp5740 - 3-27-2008 at 07:25 AM
Hi,
If you don't renew this lease, like any lease it would be canceled and the investment lost, yes. a) There is an option to renew the lease for another
10 years in the existing lease, however this is not legally binding in Mexico. b) While the lease contains no obligation to pay a transfer fee when
the house is sold, the tradition is to pay a fee to the landlord. They always ask 10% but the fee should be much less. For example I paid $85,000 for
the original home and paid a $2,000 transfer fee. When this is done, you will get a new 10 year lease.
After many years living full time in Mexico I can say that in my experience everything is a negotiation. I wrote a paper on what I think was going to
happen with the land and the lease that you can view at http://www.jetiii.com/House/Land_Investment.pdf
I have just been informed that the camp owner is sick and in the hospital in Mexicali. While my prayers are with my old friend, just like with my own
health, life goes on. You should read this paper in it's entirety and form your own conclusions.
Hope this helps,
jtorres
sd - 3-27-2008 at 07:54 AM
Thanks,
I had already read your paper.
What is the livable square footage? This would be a measurement not including any outdoor areas, decks, exterior kitchens, etc. And the garage does
not get included.
Any chance the land owners will grant a new 10 year lease at the time of sale?
Thanks
Missed the last two questions
bgp5740 - 3-27-2008 at 07:56 AM
I'm sorry I missed answering your last two questions.
Living space: I have not been down to the house for about 18 months but this is my best guess for "rooms with windows" is 4200 - 4800 sq feet. The
porches (and decks for that matter) all have lights and electrical outlets and we used them more than the house. The porches all are enclosed in
arches.
Pricing - Not under contract: The house has only been on the market for about 2 1/2 weeks. People are just starting to get there to take a look. We
have had offers and many of them are getting to what we want, to buy everything. I originally thought that people would not want such a large solar
system (we ran a 4 people office from the house) and the custom hand carved furniture. We found that most of our inquiries were for a "Move In"
situation. Hence, we are waiting for that situation. See http://www.jetiii.com/House/BuyEverything.asp
Thanks again,
jtorres
[Edited on 3-27-2008 by bgp5740]
[Edited on 3-27-2008 by bgp5740]
My last post crossed with your last question
bgp5740 - 3-27-2008 at 08:06 AM
I was writing my last post when you posted yours. Minus 576 sq feet for the 24 x 24 garage. It also has electric and finished walls. We were thinking
about making it into a game room.
Grant new 10 year lease?
bgp5740 - 3-27-2008 at 08:10 AM
I don't believe there will be any problem getting a new 10 year lease. I would not buy the house if there was not one nor should anyone else. It will
be all about negotiating and paying the transfer fee I spoke of in my prior post.