BajaNomad

Buying a Home in Baja or Interior

sargentodiaz - 5-1-2013 at 04:47 PM

Okay, I'm retired from the military and earn over $6k per month tax free. My wife is Mexican.

We're seriously considering buying property in Baja or near Mazatlan. I've got a few questions.

From what I've read, realtors there are not the same as stateside. How does one contact one and what are the ins and outs?

My wife and I have an account with BanNorte. Do Mexican banks make mortgage loans? What does one need to qualify. Should one pre-qualify before even looking?

I've seen that the corridor between Tijuana and the town north of Ensenada are kind of crowded with Americans. Where would be another place to live near or overlooking the ocean? I meed some availability to receiving medical care and could do so at a military base in San Diego. Do doctors in Baja accept American insurance?

Thanks in advance for your advise.

DENNIS - 5-1-2013 at 05:27 PM

Quote:
Originally posted by sargentodiaz
I've seen that the corridor between Tijuana and the town north of Ensenada are kind of crowded with Americans.



Hey Sarge....it could be worse.

Banks don't finance houses and if they did, the interest rates would knock the wind out of you.

Avoid realtors unless you get a reliable recommendation. I mean, reliable.

There are lots of ocean view opportunities south of Ensenada, like right around here in Punta Banda.

Mexican docs and US insurance is unusual. If you need ongoing medical attention, stay near the border and the VA.

DocRey - 5-1-2013 at 05:30 PM

I sent you a blurb. Check U2U.

bajaguy - 5-1-2013 at 06:16 PM

Hey, sarge, check your u2u for some info

Pescador - 5-2-2013 at 08:38 AM

I know of several Mexican citizens who have bank loans that were reasonable for houses. The requirements are a little tougher than the US (no political comment here), the down payment must be higher ( again no comment), and the income to debt ratio must be much higher (right, no comment), but they do make house loans for those that meet the requirements.

www.bancomer.com/pcu/pcu_yodhm_freaq.html‎

durrelllrobert - 5-2-2013 at 09:01 AM

Can US and Canadian citizens get an attractive dollar financing plan to buy a property in Mexico?

Yes, Fortunately the mortgage market for US and Canadian citizens buying in Mexico is changing. Just two years ago mortgage loans for US and Canadians citizens in Mexico required a 50% down payment with over 12% interest and payment terms 15 years. Most of these loans required a collateral property in the US or Canada. Today, our loans are available with 30% down and interest rates start at 7.5%.

What about closing costs in Mexico?

Closing costs in Mexico are considerably higher than in US (it may vary from 5 to 7% based on sales price) as well as a longer process (average between 45 to 90 days).
Note: Since BBVA Bancomer covers the entire process from application to closing (not brokers involved) under our "One stop shop" service, we reduce considerably time and percentage on closing costs issues. (From 5 to 6% and from 45 to 60 days maximum).

DENNIS - 5-2-2013 at 09:45 AM

Considering the above requirements/restrictions, I stand by my original statement...."Banks don't finance houses and if they did, the interest rates would knock the wind out of you."

bajaguy - 5-2-2013 at 04:19 PM

Quote:
Originally posted by durrelllrobert
Can US and Canadian citizens get an attractive dollar financing plan to buy a property in Mexico?

Yes, Fortunately the mortgage market for US and Canadian citizens buying in Mexico is changing. Just two years ago mortgage loans for US and Canadians citizens in Mexico required a 50% down payment with over 12% interest and payment terms 15 years. Most of these loans required a collateral property in the US or Canada. Today, our loans are available with 30% down and interest rates start at 7.5%.

What about closing costs in Mexico?

Closing costs in Mexico are considerably higher than in US (it may vary from 5 to 7% based on sales price) as well as a longer process (average between 45 to 90 days).
Note: Since BBVA Bancomer covers the entire process from application to closing (not brokers involved) under our "One stop shop" service, we reduce considerably time and percentage on closing costs issues. (From 5 to 6% and from 45 to 60 days maximum).





If Bancomer is charging those rates SOMEBODY else should be less expensive

bajaguy - 5-2-2013 at 04:21 PM

Quote:
Originally posted by sargentodiaz
Okay, I'm retired from the military and earn over $6k per month tax free. My wife is Mexican.

We're seriously considering buying property in Baja or near Mazatlan. I've got a few questions.

From what I've read, realtors there are not the same as stateside. How does one contact one and what are the ins and outs?

My wife and I have an account with BanNorte. Do Mexican banks make mortgage loans? What does one need to qualify. Should one pre-qualify before even looking?

I've seen that the corridor between Tijuana and the town north of Ensenada are kind of crowded with Americans. Where would be another place to live near or overlooking the ocean? I meed some availability to receiving medical care and could do so at a military base in San Diego. Do doctors in Baja accept American insurance?

Thanks in advance for your advise.





If you don't want to be right on the beach, Dennis has a neat house with a killer view of the ocean (Ensenada bay) and the town......think it is still for sale

DENNIS - 5-2-2013 at 04:33 PM

Quote:
Originally posted by bajaguy

If you don't want to be right on the beach, Dennis has a neat house with a killer view of the ocean (Ensenada bay) and the town......think it is still for sale



Why...thank you, Terry. I owe you one.

http://micasaes.net/

bajaguy - 5-2-2013 at 04:41 PM

Quote:
Originally posted by DENNIS
Quote:
Originally posted by bajaguy

If you don't want to be right on the beach, Dennis has a neat house with a killer view of the ocean (Ensenada bay) and the town......think it is still for sale



Why...thank you, Terry. I owe you one.

http://micasaes.net/





Jes trying to help out a couple of (Army) brothers........oh, and make mine a cold Pacifico!!

805gregg - 5-5-2013 at 05:20 PM

Just rent, then if you need to leave, you can just go

sargentodiaz - 5-18-2013 at 04:41 PM

Update.

My wife and I did a search and were awed by the number of truly nice homes for sale in Baja, Nayarit, and Mazatlan.

But, it really got to us the difference in doing a search for "homes for sale in ..." and "casas de venta en ...".

I was also curious about who did the listings and what kinds of companies they are. Most appear to be listed by Gringas.

My wife has a Banorte account and we understand the down is around 25% with 8-10% interest on 20 year loans - a 680 credit score or better.

Am torn between Rosarita and La Paz - the latter as it has a daily ferry to Mazatlan where he family lives.

David K - 5-18-2013 at 06:19 PM

Hi Dale... I am sure you will get a bunch of input. Here is mine, understand it is not from living in either place, just a lifetime of reading what others say about and my occasionally visiting them both...

There is a HUGE difference between ROSARITO and LA PAZ... including the distance to the U.S. as well as to Mazatlan (daily ferry? I don't think so?).

La Paz is relaxed, tropical, and special in many ways. Rosarito is hyper (IMO), same climate as San Diego, congested (again IMO).

In the summer and fall... La Paz gets very hot and humid and can have hurricanes and flash floods... Many leave La Paz from May or June to Oct or Nov... if they can.

So, as with other tropical paradises, there is some bad, with the good.

Osprey - 5-18-2013 at 06:24 PM

From what I've heard Rosarito is heaven, all the right people have settled there. Your wife could fly to Mexico in a just a couple of hours on cheap flights.

You would be close to medical and other things you need, just across the border. There's nothing for you down here around La Paz. You'll love it up there. Millions call it home -- just a few old white drunks down here. Rosarito was tailor made for ex military cab driver/writers. Hey, what happened to the reviews, the reviewers, the book?

David K - 5-19-2013 at 03:58 AM

Quote:
Originally posted by Osprey
From what I've heard Rosarito is heaven, all the right people have settled there. Your wife could fly to Mexico in a just a couple of hours on cheap flights.

You would be close to medical and other things you need, just across the border. There's nothing for you down here around La Paz. You'll love it up there. Millions call it home -- just a few old white drunks down here. Rosarito was tailor made for ex military cab driver/writers. Hey, what happened to the reviews, the reviewers, the book?


Do you know Dale... and why the comical answer?

Osprey - 5-19-2013 at 05:52 AM

I know lots of Dales and I'm a comical guy. Kinda personal there David. What are you wearing right now? What's your favorite color?

vandenberg - 5-19-2013 at 06:21 AM

Glad I'm in Loreto. At least the white old drunk part don't apply to me. Too far north.:biggrin:

SFandH - 5-19-2013 at 06:55 AM

Quote:
Originally posted by sargentodiaz
Okay, I'm retired from the military and earn over $6k per month tax free.


Over $72K a year income tax free??? Retired Sargent? Wow!! Sargent Bilko would be proud.

As far as buying property in Mexico, I've been told the first step is to make sure the person selling it owns it. Frequently not the case.

Find and hire a Mexican lawyer specializing in real estate transactions.

bajaguy - 5-19-2013 at 07:11 AM

Quote:
Originally posted by Osprey
............Your wife could fly to Mexico in a just a couple of hours on cheap flights......





I recommend Ensenada. Cultural & social events, shopping and medical, plus an established ex-pat community. A short drive (via Corridor 2000) to the TJ airport and also the military facilities, shopping and airport in San Diego.

DaliDali - 5-19-2013 at 08:21 AM

MX bank interest is on the PESO......so then dividing that by the current exchange rate will give you an idea of interest in US greenbacks.

Por ejemplo...5000p annual interest on a loan would currently be $416 USD.

[Edited on 5-19-2013 by DaliDali]