BajaNomad - FM3 and Buying Property

FM3 and Buying Property

BOREDnIN - 12-1-2004 at 07:54 PM

Hi there. My husband and I are just starting to explore the possibilites of moving to Baja. The northern part, within commuting distance of the San Diego area. We are not quite retirement age, so will need to work. My understanding is that to get an FM3 you have to know where exactly you are going to live. We would hate to buy property and then for some unforeseen reason be turned down for the FM3. How long does it take to get the FM3..hours...days...weeks? Can you apply without knowing the exact address where you are going to live?

Also, for the income requirements, can you just show them sufficient savings to cover the monthly rate for a year, or do you HAVE to have income such as retirement to meet the requirement?

Hope these questions make sense. Thanks in advance for any help. I am sure I will have lots more questions.

BOREDnIN - 12-2-2004 at 02:48 PM

Thanks for the info. So looks like we need to find a place to live first.

Next question: I have read when you buy a home there is a fee. I have read anywhere from 2% to 10%. This would be on top of any Bank Trust Fees. What is the actual amount? Also, if you buy a house with a trust deed, if the previous owner had one, do you just assume that one and pay the yearly fee, or do you have to start the whole thing over and incur the several thousand dollar cost to get a new Bank Trust set up?

Fees...

Cameron - 12-3-2004 at 03:00 AM

Quote:

Originally posted by BOREDnIN
Thanks for the info. So looks like we need to find a place to live first.

Next question: I have read when you buy a home there is a fee. I have read anywhere from 2% to 10%. This would be on top of any Bank Trust Fees. What is the actual amount? Also, if you buy a house with a trust deed, if the previous owner had one, do you just assume that one and pay the yearly fee, or do you have to start the whole thing over and incur the several thousand dollar cost to get a new Bank Trust set up?

...Sorry to butt in: I was reading today's posts and I thought I'd add my 2 pesos.

As far as fees go, aside from the payment for your Fideicomiso, you'll have a bill from the Notario ("Closing Costs", document prep, recording, etc.), and you may pay pro-rated Property Taxes.

Depending on the size, location, improvements on the Property, and your arrangement with the Seller, you may also be looking at paying for subdivision of your lot/s, Utility hookups, and possibly a small amount for water rights among other things.

RE: Bank Trust/Fideicomiso -

Assuming you're not planning a commercial venture (Including renting out your place in the future!) you'll have to establish a new Fideicomiso in your own name, rather than "assuming" an existing Trust.

If you ARE planning on any kind of income-producing activities, (Rental?) you'll need to Incorporate. It is possible to purchase a Property with an existing Corporation as the Owner.

I hope this has helped a little. For more info, try the Mexican Embassy's website, or the Mexican Consulate's website. There's LOTS of interesting, helpful stuff there, and they're both easy to use. They're at:

http://embassyofmexico.org/
-AND-
http://www.consulmexsacramento.com/preguntasfrecuentes_eng.h...

Buena Suerte! Cameron

BOREDnIN - 12-3-2004 at 05:02 AM

Ok to Butt In. Need all the info I can get. I guess I am still confused about things. You need an address to get an FM3. How do you get an address before you have your FM3? Can you rent or buy with only an FMT? Are these dumb questions? I am just confused about this. I will check out the web sites also, I have looked at bits and pieces of it before. THANKS!

Bob and Susan - 12-3-2004 at 07:03 AM

The answer is YES.

You can buy with an FMT.
You only need to be legal in the country to buy.

Then get a FM3 so you can leave your stuff there. You can leave NOTHING without an FM3.

If you have an accountant you can use his address for your FM3 also. This is acceptable. :yes:

BOREDnIN - 12-3-2004 at 02:47 PM

Cool. I am finally starting to piece all of this together.

Now, another question.

When you get your FM3 and bring your one time shipment of belongings down is there a dollar limit? I read somewhere is was $5000. I also read that it is hard to bring in desktop computers. Just my computer alone would be half of the $5000...it is probably worth more than most of my other stuff put together...lol. $5000 isn't much to work with.

Thanks

Desk-top Computer ....

cristobal - 12-3-2004 at 04:12 PM

I crossed the border with alex37 in early SEPTEMBER. His 5 year old computer was allowed in without any TAX. The INSPECTOR wanted to look at the monitor.Newer computers might have a problem. :bounce:

Bob and Susan - 12-3-2004 at 05:39 PM

Take a look at this..

Rolly Brook is our hero for documenting what he has done moving to Mexico...

http://rollybrook.com/menaje.htm

:yes:

BOREDnIN - 12-3-2004 at 09:08 PM

"Rolly Brook is our hero for documenting what he has done moving to Mexico... "

Thanks for the link. Very useful. By the time I would move my computer would be a couple of years old. Hope that is old enough. Husband has an older computer too...but that will probably get left behind, just to avoid hassles.

wow, so much and so little time.

baja rooster - 12-4-2004 at 05:55 PM

We got our FM3's last year and just renewed them in November .
The first time it took 2 days at the local counsulate. No address in Mexico was required.
Our local US bank furnished us a letter in spanish attesting to the financial requirements. No Secretary of the State or notary or lawyer was required for the original application or the renewal.
It was all very simple, just have patience.

[Edited on 12-5-2004 by baja rooster]

May Be Time For a New Laptop!

Cameron - 12-4-2004 at 07:14 PM

Quote:

Originally posted by BOREDnIN
Cool. I am finally starting to piece all of this together.

Now, another question.

When you get your FM3 and bring your one time shipment of belongings down is there a dollar limit? I read somewhere is was $5000. I also read that it is hard to bring in desktop computers. Just my computer alone would be half of the $5000...it is probably worth more than most of my other stuff put together...lol. $5000 isn't much to work with.

Thanks

You're allowed to bring a (shiny new!) laptop computer without restriction and without it being part of your "big move" and declaration on the Menaje de Casa paperwork.

Along with an extra battery, if you were questioned about importation, I bet an argument could be made for the need to carry a portable printer and external HD/Zip drive, (maybe a docking station with a full-size keyboard ?) as "accessories"!
Just a thought... :yes:

PS: Check out the Mexican Aduana (Customs) website if you haven't already. The "Manual of Tourist Entry" has lots of good info that's applicable whether you're on a FMT or FM3...
Cameron

BOREDnIN - 12-4-2004 at 08:27 PM

I guess I don't understand why they don't care about laptop's but a desktop is such a big deal. Confusing to me.

Laptop vs Desktop?

meme - 12-4-2004 at 09:50 PM

Remember you are in Mexico!!! No One, I bet has a good answer to that one?

Moving computers

bajalera - 12-4-2004 at 09:51 PM

We brought in two desk-top computers--mine old, my son's fairly new--and they didn't get any attention at all. The advice we've had on TVs, computers and other pricey items is to use new ones a few times so you can truthfully say they've been used--and above all, get rid of the boxes they came in.

bajalera

Moving Computers?

meme - 12-5-2004 at 09:59 AM

My neighbor was not allowed to bring in a used desk top in the back of his car, but many people with motorhomes bring them in all the time??? I take a lap top into & out of Mexico lots of times!!! Without any problems. Only once was I asked to open the case. That was an Army check-point, he just looked and that was it!!

When I bought my computer a few years back

jrbaja - 12-5-2004 at 10:15 AM

The aduana wanted a bunch of money for the importation because Carol didn't take it out of the box.
So, after argueing to no avail, she went back to the states, took it out of the box, and brought it in as a used computer.
Unfortunately, it was at night and she didn't get the power cords out of the boxes so she had to go all the way back to the dumpster she put the boxes in in San Ysidro to get the cords.
They are very interested in "New" stuff. As Lera pointed out, get rid of the boxes.
Also, if you go to them before they catch you, you will pay much less importation.

bajalou - 12-5-2004 at 02:06 PM

I had a empty computer case in the back of my Bronco II a few years ago. Customs saw it and told me I could not bring it into Mexico. No duty no way. I showed them it was a empty case and in a little while was told OK - but no computers.

Bring my and my wife's laptops back and forth all the time with no trouble. Believe the official list of items tourists can bring shows one computer.

They look at the contextof why you're coming in - tourist and will leave or resident and will keep stuff here.

Another example is a generator. If you have a motorhome or trailer, a generator is allowed as it is "camping gear". Just in your pickup with no camping stuff, you must pay duty and import it.

:biggrin:

Gypsy Jan - 12-5-2004 at 07:20 PM

Documentation is the key.

Mi esposo goes back and forth across the border (and flies internationally) all the time with his *toys*; laptop(s), jump drives, wifi cards, printers, phones, cameras (digital and reflex), etc., etc., beyond boring etc.

Each item is accompanied by a copy of the receipt showing where and when it was purchased and the taxes duly paid.

The main thing is that bureaucrats are the same anywhere, and if you come under scrutiny, they are most often always comforted by paperwork.

I am not suggesting that if you don't have paperwork for the items that you are concerned about that you should *be creative*, but you could probably get some kind of notarized statement that the items are used.

BTW, just this last week, the U.S. Homeland Security official at the border got very interested (read, susupicious) in the origin and status of our dogs.

Now, like an idiot, because we had crossed many, many times to and from the U.S. with the dogs without any questions from either side, I was no longer carrying their vet certificates.

So, I quickly grabbed the rottweiler's collar and waggled the tags in front of the inspector's face, telling him (truthfully) that all the dogs were licensed in San Diego.

For some reason, he had no interest in leaning in close to that smiling face and full set of teeth to verify the info on the tag and he waved us through.

I am very glad that I went through the procedure to get the SD tags.

BOREDnIN - 12-5-2004 at 07:28 PM

So, it looks like as long as I don't have the original boxes (which I don't) and I DO have the original receipt (which I do), I should be OK. Thanks everyone for the help!

Not Quite...

Cameron - 12-6-2004 at 02:42 AM

Quote:

Originally posted by BOREDnIN
So, it looks like as long as I don't have the original boxes (which I don't) and I DO have the original receipt (which I do), I should be OK. Thanks everyone for the help!

Unfortunately, used items are subject to duty as well.
The "new" packaging is an immediate tip-off, and it won't hurt to get rid of it, but don't think that that's going to save you a ton of duty fees.

Remember you can also buy name-brand appliances (Sony, RCA, Whirlpool, etc.)and current/new computers in Mexico at the same price or cheaper than what you'd pay in the US. You won't have to pay import taxes, or fill your vehicle with appliances, and you're helping to support the local economy.

If you are determined to bring you own stuff south, the receipt is a good idea, but if you get an Inspector who's having a bad day it'd be better to have a comprehensive list of all dutiable items you're carrying, new and used. Bring the receipts (or a photocopy) for backup.

One last cautionary word: If you try to "play dumb" while attempting to import a large $$$'s worth of appliances, electronics, or furniture and you are caught, the Mexican authorities will treat it as a very serious offense.

Import taxes represent a huge amount of income, and just like in the USA, you don't want to get in between the Government and it's $$$. Those caught "smuggling" goods without paying taxes on them may have their vehicles impounded and their goods seized, among other penalties. It's better to fill out the forms and pay the taxes if you absolutely must bring a TV, computer, etc. to Mexico.

Buena suerte! Cameron

Speaking of boxes...

Heather - 12-7-2004 at 09:18 AM

have you ever been to the WalMart on Palm or the Target on Broadway in Chula
Vista? The parking lots are full of boxes from everthing like baby strollers to 27" TV's. These are the closest chainstores to the San Ysidro crossing and the shoppers all try and make their new purchases look slightly used before they head on home to TJ! Guess some of you (and myself), have used the trick too! Saludos, H. :biggrin:

That doesn't have to do with smuggling

jrbaja - 12-7-2004 at 09:25 AM

It has to do with being able to fit the entire family back in the car along with the new purchases. :lol:

Heather - 12-7-2004 at 09:28 AM

OK, whatever you say JR.!

Hey I remember reading a while ago that you were from Pico Rivera. Did you go to El Rancho High School? I taught there for about 5 years 1994-1999, before moving down South to be with my hubby.
When were you there? H.

Up until 1969

jrbaja - 12-7-2004 at 09:34 AM

I went to 10th and 11th grade at El Rancho and then moved to San Diego. The El Rancho water polo team just wasn't cutting it for me :lol:

Heather - 12-7-2004 at 09:41 AM

Why not, there was even a pool in the middle of the campus!

I was wondering if you knew the principal, she was a graduate, but in '64, the principal when I started there was a graduate, I think in '69. Dave Verdugo?

Water polo, I think they had a pretty good football team in those days!

Bueno, ya me voy...my students will be waiting for me soon. We've got a cool experiment with crickets to get to! see ya, H.

Oh yeah,

jrbaja - 12-7-2004 at 09:48 AM

I knew of Dave Verdugo as he graduated with my older friends 2 years ahead of me.
And yes indeedy, El Rancho had a nice pool. Too bad most Cholos don't know how to swim :lol:

Although there were a few surfers there, competing against schools like Huntington Beach and Westminster wasn't very pretty for the El Rancho Water Polo Team :light:

We did pretty well in the races though.

Anonymous - 7-14-2005 at 09:27 PM

our fm3 is expiring tomorrow.....it was obtained at the consulate in Phoenix originally, but we left our newly acquired home in Puerto Vallarta well outside of the 30 day period to apply for renewal....the consulate said we could only renew it in P.V......does anyone know how we can obtain the 60 day extension we read about?

Dave - 7-14-2005 at 09:34 PM

What 60 day extension? Never heard of one.

Bruce R Leech - 7-15-2005 at 06:59 AM

Dave is right as far as I know there are no extensions at all you need to get a your annul renewal. and if you are 5 min. late you will pay a hefty fine. drive fast.

bajajudy - 7-15-2005 at 08:12 AM

I dont know anything about an extension(you would definitely have to be in PV to do anything period) but if you miss your renewal you basically have to start all over.

bajalou - 7-15-2005 at 08:23 AM

If you have your FM3 stamped EXIT when you leave baja, you will have 15 days after your return to start the renewal. You do not have to start over if you are late, pay a hefty fine like Bruce mentioned. After paying the late find once, I make sure I get my exit stamped when leaving if it's anywhere near my renewal date. And yes, renewals can only be made where you reside in Mex. If you flew back from PV, they might have been stamped.

:yes:

Dave - 7-15-2005 at 05:46 PM

Quote:

Originally posted by Bruce R Leech
and if you are 5 min. late you will pay a hefty fine. drive fast.

I don't think the fine is that much and it is up to the discretion of Migra. I would find a preparer and have him/her plead your case with the local office. Sometimes they can be civil about it. Once I was two weeks late and paid a 400 peso fine. Where they get you big time is if you blow off renewal and re-apply. (Yes Virginia, they do keep records.:biggrin

bajalou - 7-15-2005 at 07:04 PM

The fine I paid for being late was about $20 a day - but I understand it goes up after a few days at this rate. I was having a local preparer handel it that time.

:biggrin: