BajaNomad - Building a Casa

Building a Casa

bledito - 7-14-2014 at 04:47 PM

To those Who have traveled this road before me. What is the best way to handle all the money for the building project. I am just getting started and wired pesos to the account of the architech in los barriles. This cost me 100 U.S. to wire and the pesos conversion fee. I figure to be doing these transfers probabally monthly. What is the least expensive approach? should I set up a mexican account and tranfer money to it in larger quantities? Will this mexican account allow me to transfer to anouther mexican account not in my name thus avoiding the repeated international wire transfer fees and peso conversion costs. I could use some advise on this matter. I plan on travelling down several times as well. What is the max ammount of cash I can bring in in cash as a traveller? How to tracking the funds sent and getting reciepts for materials labor, imms, and all the rest.

bajagrouper - 7-14-2014 at 05:40 PM

You can enter Mexico with as much cash as you want, you just have to report it if it is more than $10,000.00 cash to Customs/ Border Patrol...

When I was building my house I just brought in blank checks from my bank in the USA....

capitolkat - 7-14-2014 at 06:18 PM

We did the wire transfer route- our costs were $25 per wire transfer and over a 10 month construction project we did 6 transfers- for a total of $150 which nothing to us out of the total costs. Not sure I would want to be carrying around over $10,000 per trip from the US and realistically the travel costs to bring the money back far exceed the $25 I paid or the $100 you are paying. Checks may work if the contractor is willing to wait for the time it takes for a check to clear.

baconjr - 7-14-2014 at 06:42 PM

Before signing off on the finish building you will want to make sure of all your water & electrical. They don't pressure test the water and after a while we had to tear the drywall to fix a tiny leak that was on a fitting that the plumber was too lazy to put plumbers tape on the fixture. It took an electrician to figure out what the electrician was thinking when he did the house. Good luck.

bledito - 7-14-2014 at 08:03 PM

I plan on spending a few months there while a lot of the infrastucture is being built in jan and feb to get away from the midwests winter. I will plan on coming down as phases are being completed to see everything in order. I would expect a pressure test on the plumbing even if i have to do it myself prior to closing all the openings. I can also bring down a meter and check the electric. with plans and drawings I should be able to tell what goes where and how the wire runs should be and will be able to tone out the wireing to make sure things are in order. I hope all goes well. I have to put some faith in my builder even if i do follow up inspections anyway. I jut don't have the time (semi retired) workin seasonal, to be there the whole time. I spent a lot of time looking at the mexican style construction and can see the flaws in strutural in some of the work done. a thorough review of the plans by architech freinds here in the states and checking phases of the work should avoid problems. I could be happy living in a palapa shack as long as I was there but that doesn,t fit into the Missus idea of I,m so happy, so a three bed full bath kitchen and all the amenities is her plan. any further recommendations on the financing is appreciated.

BajaUtah - 7-14-2014 at 09:46 PM

When I started mine at the first of the year I didn't have a local account and it was a pain. You run out of cash pretty quickly at 5k pesos per ATM day. I did the septic , concrete and panel contracts via wire transfers. $25 per was ok by me. But I really suggest a local bank account. I wire transfer larger chunks for the same $25 and my project manager has signature rights for checks - trust is very important. I get a monthly accounting and can verify the numbers on line.

tecatero - 7-15-2014 at 03:52 AM

Get a Citibank account in the US and a Banamex acct in Mexico...you can transfer up to $1,000 US online in between accounts daily free of charge via global transfer. If you go into the bank you can wire up to $3000 for free. However there are limits I think of $3000 weekly, or something like that,but still its easy

bajafreaks - 7-15-2014 at 06:31 AM

Sent you a U2U.
Good luck on the build, keep us all posted.

BajaBlanca - 7-15-2014 at 08:39 AM

Good luck on the build and pleeeez monitor every step. Better than major regrets later. Actually, if it is at all an option, stay there while they are building. It is a different world down here!

akbear - 7-15-2014 at 09:17 AM

I'll second Tecatero's, that is what I did. It is a little harder now that Banamex pulled out of Los Barriles. I also have a Bancomer account, just deposit a Citi check & wait for it to clear, 10 business days. Then use ATM or go to bank & withdrawal what you need.
Stop by, first house South of Mar y Sol condos on hiway.

BajaUtah - 7-15-2014 at 09:26 AM

Quote:

Originally posted by akbear
just deposit a Citi check & wait for it to clear, 10 business days.

Are there $$ limits or charges for this?

BajaGringo - 7-15-2014 at 11:21 AM

We had an excellent, extremely talented and conscientious builder yet I still tried to be onsite for almost all of the construction. Building standards/expectations differ between countries and being onsite helped avoid a lot of "do-overs". Also it was a lot of fun getting involved with the construction, pouring concrete, laying block, etc. The home becomes a part of you.

As to the money, just do a one time transfer of all the funds into a Mexican bank account. You can actually get some really good rates (better than US banks) and then just write a check or take out cash as needed.

Pesos to pesos gives you better accounting control over the construction...

Bill Collector - 7-15-2014 at 01:02 PM

Andy
We deposit a US check twice a month in Bancomer, havent had any charges. You can go into the bank with your ATM card and get more money out. Check your u2u
Barb

BajaUtah - 7-15-2014 at 01:11 PM

Quote:

Originally posted by Bill Collector
Check your u2u
Barb

Sweet - my first Nomad U2U. I feel like one of the cool kids now.

When did you go by the house?

grace59 - 7-15-2014 at 01:33 PM

Luckily for us our builder had an Acct. with Bank of America in Calexico. In the beginning I would transfer money from our acct. into his...at that time the cost was 35.00...then the transfer fee went up. I then just took the funds out of my acct. in cash and drove the 1/2 mile to B of A to deposit it into the builder's acct. Saved me lots of money in the long run! Do try to be there to check on the progress as often as you can. Our builder sent a weekly job report and photos to keep us posted as to what was happening.

bledito - 7-15-2014 at 02:50 PM

Logistics are a problem. Still trying to verify/decipher the account information sent by our architech and builder. Once this is sorted out I plan on just wiring the money directly to thier account at regular intervals as the progress continues. Anyone know of any inexpensive places we can stay for weeks at a time over the year I expect this to take. I could tent it but my missus probably would want something a bit more. Starting with the first of the year for a two month stay while we do site layout and foundations and utilities, and then probabally at least three more two week trips during the year every couple of months or as phases near completion. WE bought a suv when we were there last so we have transportation and a couple we met is storing it for us.

bajafreaks - 7-15-2014 at 05:06 PM

Quote:

Originally posted by bledito
Logistics are a problem. Still trying to verify/decipher the account information sent by our architech and builder. Once this is sorted out I plan on just wiring the money directly to thier account at regular intervals as the progress continues. Anyone know of any inexpensive places we can stay for weeks at a time over the year I expect this to take. I could tent it but my missus probably would want something a bit more. Starting with the first of the year for a two month stay while we do site layout and foundations and utilities, and then probabally at least three more two week trips during the year every couple of months or as phases near completion. WE bought a suv when we were there last so we have transportation and a couple we met is storing it for us.

Run an add on the Baja Pony Express website.

danaeb - 7-15-2014 at 06:32 PM

Maybe try vrbo.com for long term rental. You might get a better price if you're staying for a month or so.

Marinero - 7-15-2014 at 09:26 PM

Quote:

Originally posted by bledito
I plan on spending a few months there while a lot of the infrastucture is being built in jan and feb to get away from the midwests winter. I will plan on coming down as phases are being completed to see everything in order. I would expect a pressure test on the plumbing even if i have to do it myself prior to closing all the openings. I can also bring down a meter and check the electric. with plans and drawings I should be able to tell what goes where and how the wire runs should be and will be able to tone out the wireing to make sure things are in order. I hope all goes well. I have to put some faith in my builder even if i do follow up inspections anyway. I jut don't have the time (semi retired) workin seasonal, to be there the whole time. I spent a lot of time looking at the mexican style construction and can see the flaws in strutural in some of the work done. a thorough review of the plans by architech freinds here in the states and checking phases of the work should avoid problems. I could be happy living in a palapa shack as long as I was there but that doesn,t fit into the Missus idea of I,m so happy, so a three bed full bath kitchen and all the amenities is her plan. any further recommendations on the financing is appreciated.

U2U me with the name of your builder.

bledito - 7-16-2014 at 01:03 PM

trying to figure out a address it starts Cl. Sin and the question is, is the letter after the C a (L) or a (i) it could be a capital i or it could be a lower case L. Does anyone know this? it's part of an address for the builder in la ribera

bledito - 7-17-2014 at 04:40 PM

finally got all the info so my finance guy could wire I believe it is all correct now will wait to here from the mexican side when it arrives. So starts the plans, figure it will take a month or so to get them all finalized and signed off on. trying for an October start if the builder is not busy.

bledito - 7-21-2014 at 04:51 PM

Hooray. First hurdle jumped. Our architech recieved the wire transfer. The builder sent us email today saying Angel will start our drawings as soon as he finishes up some other work. still shooting for the October start. Still have to verify if Humberto will be able to start then. Awaiting the first drafts for veiwing and revisions as we see how they look. Need to make sure all is right with outlets and switches in all the right places. Do any of you do dual systems for electricity? I was thinking of having the outside lighting on solar with timers for night time use. was wondering how little I could get away with as for as panels for this. figure the usage to be sundown to say midnight for the bulk of say 8 outdoor lights around the home. then a few motion sensor lights for security at four points around the home. that would total 12 bulbs at 60 watts per bulb. 720 watt total output at any given time. what would i need for a solar system for this set up.

Bob and Susan - 7-21-2014 at 05:41 PM

for outside ...no timer...just an outside switch and plug

i use good quality ($10usa) dusk to dawn screw-in sensors
with 10w yellow color (bugs) refrig lightbulbs

these are the only bulbs i've found that last with dusk to dawn sensors

very little load on any battery bank
no timer needed

garden solar lights ($7usa) work great for a great portion lighting the yard
buy extra rechargeable batteries...they don't last forever

BajaGringo - 7-21-2014 at 07:01 PM

Quote:

Originally posted by bledito
Hooray. First hurdle jumped. Our architech recieved the wire transfer. The builder sent us email today saying Angel will start our drawings as soon as he finishes up some other work. still shooting for the October start. Still have to verify if Humberto will be able to start then. Awaiting the first drafts for veiwing and revisions as we see how they look. Need to make sure all is right with outlets and switches in all the right places. Do any of you do dual systems for electricity? I was thinking of having the outside lighting on solar with timers for night time use. was wondering how little I could get away with as for as panels for this. figure the usage to be sundown to say midnight for the bulk of say 8 outdoor lights around the home. then a few motion sensor lights for security at four points around the home. that would total 12 bulbs at 60 watts per bulb. 720 watt total output at any given time. what would i need for a solar system for this set up.

Congratulations!

A couple of suggestions from someone who has already been down this path and assuming you are building with block/masonry construction...

1. Floorplan/Layout - Take some time between when he gives you the plans and giving your final OK. Take LOTS of time looking at them, thinking about your lifestyle and how this home will fit you, now and in 20 years. MUCH easier and cheaper to make changes before ground is broke.

2. Foundation - Whatever they specify for the size rebar in your footings, ask for 1 size bigger and foundation 6" deeper. Also another extremely important step that you must be present to witness that it is done properly and they don't "cheap out" on the concrete/rebar. Cheap footings = house with lots of cracks over time.

3. Wiring - Think of everything you might possibly want to install in the way of electrical, internet, satellite, surround sound, telephone, security, etc, etc. Even if you leave the boxes with a flat cover for now, it will be MUCH easier than trying to install it later. You will probably have to be onsite for most of these things that are not standard down here to get it done right.

4. Plumbing - Check on your appliances that you want to install for any size requirement in pipe - most instantaneous water heater require 3/4" CPVC but down here they install only 1/2" standard. Also think ahead of time all the hose bibs you will want to have around the property, including for your landscaping. Don't forget the gas outlets for your BBQ on the patio. If you are on a septic system you probably won't want a garbage disposal. Some differ but my experience in years past is that it is a BAD IDEA.

5. Doors/windows - decide what type and quality you want before you sit down with the architect and specify BEFORE any plans are drawn.

6. Insulation - if you are on the SOC side in BCS I would strongly recommend you consider paying the extra $$$ up front to insulate. Some seem to think you can only insulate a framed home but I have seen block/mason style construction where they insulate on the outside. It made a HUGE difference in their energy bill and inside temperature in summer.

7. Saving Money - Express to your builder that quality of the build is important. I have seen a few homes down here where the homeowner gloated how "cheap" a price they had managed to build their home, only to be be asking for help how they could "fix" all the cracks that were appearing around their doors and windows, outlets that had permanent grounds, plumbing problems, etc. You pay now or later. Later is more expensive and extremely frustrating.

8. Solar - solar works GREAT down here in Baja. We are currently off-grid and loving it! In spite of the fact that CFE has been out here a couple of times lately telling us that electric service is coming, I know that we will continue to use our wind/solar generation to produce the bulk of our energy needs. Electricity down here is not the same quality as found back home and is known to go out when you most need it. The more you can create an independent/self sufficient lifestyle, the better IMHO.

Feel free to email me if you have more questions...

bajaguy - 7-21-2014 at 07:33 PM

Just a few more things to add to what Ron suggested:

1. Floorplan/Layout - Take your floorplans and some sidewalk chalk to a large parking lot and draw out the rooms. You may find that you want some smaller and some larger.....and check the location of doors, windows and fireplace

2. Wiring - You may want to have someone double check all of the wiring to insure it is connected.......like TV cable and phone outlets. Also suggest you place weatherproof outlets outside each exterior door (including garage)

3. Plumbing - Insist on service to the house being 1". Use 3/4" for interior supply runs and try and use continuous runs of PEX roll piping. A little more expensive, but fewer joints (PEX comes in red and blue for hot/cold, easy to work with). Also put a hose bibb outside each door, including the garage. Also stub in for solar hot water, easier to do it now.

4. Propane - use 3/4" yellow gas line (plastic???) continuous runs for interior propane lines.

Lights - On-grid or off-grid use LED's wherever possible. I have LED bulb PAR 38 90 watt equivalent floodlights in outdoor motion sensor housings, LED yard/porch lights and have replaced all of my interior lights with 40, 60 and 100 watt LED bulbs from COSTCO, Home Depot and Lowe's (US)

BajaGringo - 7-21-2014 at 07:38 PM

Quote:

Originally posted by bajaguy
Just a few more things to add to what Ron suggested:

1. Floorplan/Layout - Take your floorplans and some sidewalk chalk to a large parking lot and draw out the rooms. You may find that you want some smaller and some larger.....and check the location of doors, windows and fireplace

2. Wiring - You may want to have someone double check all of the wiring to insure it is connected.......like TV cable and phone outlets. Also suggest you place weatherproof outlets outside each exterior door (including garage)

3. Plumbing - Insist on service to the house being 1". Use 3/4" for interior supply runs and try and use continuous runs of PEX roll piping. A little more expensive, but fewer joints (PEX comes in red and blue for hot/cold, easy to work with). Also put a hose bibb outside each door, including the garage. Also stub in for solar hot water, easier to do it now.

4. Propane - use 3/4" yellow gas line (plastic???) continuous runs for interior propane lines.

Lights - On-grid or off-grid use LED's wherever possible. I have LED bulb PAR 38 90 watt equivalent floodlights in outdoor motion sensor housings, LED yard/porch lights and have replaced all of my interior lights with 40, 60 and 100 watt LED bulbs from COSTCO, Home Depot and Lowe's (US)

monoloco - 7-21-2014 at 09:01 PM

I would recommend using 3/8" rebar along with the regular wire mesh in your floors, it makes the floors way more resistant to cracking. +1 to using pex, if your contractor doesn't know a plumber who installs it, do it yourself, it's super easy.

Whale-ista - 7-21-2014 at 09:40 PM

Great suggestions and recommendations. Thank you all for an educational topic. (I'm still deliberating what to do with a project in San Miguel, so this is helpful.)

Question: Is insulation routinely placed inside cinder blocks, e.g., foam type material? I'm thinking of what we did with Our traditional tract house in San Diego. We had foam injected 30 yrs after original construction- makes a huge difference. Likewise added insulation in ceiling/attic.

How much insulation is done in MX projects? Or do you need to plan on supervising/adding it to the plans?

BajaGringo - 7-21-2014 at 09:48 PM

Quote:

Originally posted by Whale-ista
Question: Is insulation routinely placed inside cinder blocks, e.g., foam type material? I'm thinking of what we did with Our traditional tract house in San Diego. We had foam injected 30 yrs after original construction- makes a huge difference. Likewise added insulation in ceiling/attic.

How much insulation is done in MX projects? Or do you need to plan on supervising/adding it to the plans?

Typically they don't add much insulation if any is my experience down here. We injected insulation inside of the cinder block and that has worked very well here on the Pacific side of the NW end of the peninsula. The more south you go, especially if you are on the SOC side, probably a better idea to add insulation outside of the walls in addition.

The more time you can invest onsite to personally supervise will pay enormous dividends...

YMMV

[Edited on 7-22-2014 by BajaGringo]

monoloco - 7-21-2014 at 10:45 PM

There is a company down here that manufactures a block made from recycled foam and concrete that insulates very well. It's a good product and only adds $3-5000 to the cost of an average home. If you use a/c in the summer, that's a pretty short payback.

Whale-ista - 7-21-2014 at 11:15 PM

Interesting concept. Do u have a Company name?

Quote:

Originally posted by monoloco
There is a company down here that manufactures a block made from recycled foam and concrete that insulates very well. It's a good product and only adds $3-5000 to the cost of an average home. If you use a/c in the summer, that's a pretty short payback.

monoloco - 7-22-2014 at 12:16 AM

Quote:

Originally posted by Whale-ista
Interesting concept. Do u have a Company name?

Quote:

Here you go:efblockpacific@gmail.com

bledito - 7-22-2014 at 06:53 AM

Wonderful, Thanks for all the input. Keep it coming. For the solar water heating would the stubout for that be on the roof top or at ground level?
the pex hot cold pipe and fittings can they be bought at the home depot in san jose or cabo? what about yellow propane tubing and fittings are they also a home depot item. what type of cistern pump whould anyone recommend? as for insulation would it be sufficient to insulate the rooftop and southern facing walls ones that recieve direct sunlight with EF Block only.

bkbend - 7-22-2014 at 09:59 AM

Quote:

Originally posted by bledito
as for insulation would it be sufficient to insulate the rooftop and southern facing walls ones that recieve direct sunlight with EF Block only.

At the end of the day my west wall radiates as much heat as the south wall (both uninsulated cinder block), so consider insulating that. Also make sure your roof ends up with a bright white finish. Red tile may look nice but it will absorb heat.

Mulegena - 7-22-2014 at 10:54 AM

Quote:

Originally posted by bajaguy
1. Floorplan/Layout - Take your floorplans and some sidewalk chalk to a large parking lot and draw out the rooms. You may find that you want some smaller and some larger.....and check the location of doors, windows and fireplace

Love this idea, but suggest you use calcium carbonate or white flour.

If your building lot is small include its dimensions, too, as well as outbuildings & parking spots.

Maybe even take a picture(s).

Bring a broom to sweep up after you've decided, written everything down and are satisfied.

Also, go around and take photos of various architectural elements you like. Keep 'em in an online photo file. Colors, too, in their own file.

Indulge in your Dreamtime-- it's important.

Genecag - 7-22-2014 at 12:20 PM

I have found that US banks give very poor rates when converting to Pesos. Look at exchange firms like www.xe.com: they offer the best rates and will receive your dollars and send in pesos. This can save you 2 to 4% which is a lot of money.

We built 2 homes in Mexico and made these mistakes which were annoying.

Review the layout of your rooms and make sure that the electrical outlets are where your appliances will be.

Check the AC drain tubes to see that they really drain. I would pour water down the tubes to verify.

Go with vinyl double windows for the heat and to keep the dust out. Also, no rust.

If you go with a double lot, get separate meters. They will save you lots of money.