Marie-Rose
Senior Nomad
Posts: 894
Registered: 10-2-2003
Location: Victoria, B.C. and Todos Santos
Member Is Offline
Mood: Worried...
|
|
FM3...again...sorry!!
I've read the other posts re: this and have MOST of my questions answered BUT...here's the situation.
We are buying property, we will not be able to spend more than 3-4 weeks at a time...maybe 3 times a year,(flying in/out) until Jan of 2007 when we
will be spending 4-5 months. . Do we still need(should) to get an FM3?
|
|
|
bajalou
Ultra Nomad
Posts: 4459
Registered: 3-11-2004
Location: South of the broder
Member Is Offline
|
|
Again - sorry - but if you buy or lease property in Mexico, a FM3 of FM2 is required. You have to have one to buy from a reputable seller and get the
proper paperwork done thru a Notario.
No Bad Days
\"Never argue with an idiot. People watching may not be able to tell the difference\"
\"The trouble with doing nothing is - how do I know when I\'m done?\"
Nomad Baja Interactive map
And in the San Felipe area - check out Valle Chico area |
|
|
Marie-Rose
Senior Nomad
Posts: 894
Registered: 10-2-2003
Location: Victoria, B.C. and Todos Santos
Member Is Offline
Mood: Worried...
|
|
I am so-o-o confused!! We are (we are told!!) using a "reputable" notario and we have not been told that we NEED to get an FM3!!! 
|
|
|
bajalou
Ultra Nomad
Posts: 4459
Registered: 3-11-2004
Location: South of the broder
Member Is Offline
|
|
Here is a site in english that has good info. They will also answer specific questions via Email.
http://www.ajijiclaw.com/
The american developments in this area require FM3/2 before they will transfer property .
No Bad Days
\"Never argue with an idiot. People watching may not be able to tell the difference\"
\"The trouble with doing nothing is - how do I know when I\'m done?\"
Nomad Baja Interactive map
And in the San Felipe area - check out Valle Chico area |
|
|
Marie-Rose
Senior Nomad
Posts: 894
Registered: 10-2-2003
Location: Victoria, B.C. and Todos Santos
Member Is Offline
Mood: Worried...
|
|
Thanks for that Bajalou...
After reading that...it still doesn't say that I have to get an FM3. And in our situation, since we will be driving down in 2007, probably wanting to
bring more stuff than we can when we fly, it seems that it would be wise NOT to get it as if we do we only have 6 mths to get our "stuff" down. Does
that sound right?? The other thing it mentions is that you should have an FM3 to prevent having to pay capital gains tax...the people we are buying
from do have a FM3 but are still paying capital gains
|
|
|
Gypsy Jan
Ultra Nomad
Posts: 4275
Registered: 1-27-2004
Member Is Offline
Mood: Depends on which way the wind is blowing
|
|
Why do you claim to be confused?
The FM3 requirements are straightforward and nonambigous.
Mexico wants foreign residents and their cash flow, but they expect them to follow the rules.
From the tone of your posts, it sounds like you do not want to follow the residency reuirements.
Why do you want to be in Mexico, then?
“Travel is fatal to prejudice, bigotry, and narrow mindedness.”
—Mark Twain
\"La vida es dura, el corazon es puro, y cantamos hasta la madrugada.” (Life is hard, the heart is pure and we sing until dawn.)
—Kirsty MacColl, Mambo de la Luna
\"Alea iacta est.\"
—Julius Caesar
|
|
|
Gypsy Jan
Ultra Nomad
Posts: 4275
Registered: 1-27-2004
Member Is Offline
Mood: Depends on which way the wind is blowing
|
|
Sorry about misspelling, the keyboard is sticking...bad keyboard, bad keyboard...time out!
“Travel is fatal to prejudice, bigotry, and narrow mindedness.”
—Mark Twain
\"La vida es dura, el corazon es puro, y cantamos hasta la madrugada.” (Life is hard, the heart is pure and we sing until dawn.)
—Kirsty MacColl, Mambo de la Luna
\"Alea iacta est.\"
—Julius Caesar
|
|
|
Cameron
Nomad
Posts: 117
Registered: 10-12-2004
Location: Todos Santos / Seattle WA
Member Is Offline
Mood: Thirsty!
|
|
Mexican Real Estate & Visas...
I've heard lots of conflicting information regarding this one, and I'd like to try to answer this as best as I can.
First off, let me say that while I am not licensed as a Realtor in BCS, (There is no licensing body.) I do have a background as a Realtor in the US.
Before buying my own property in Mexico, I spent a year or so of my spare time trying to learn as much as I could about the buying & selling process
as it applies specifically to Americans buying property within BCS.
When I found the property I wanted, I negotiated directly with the Seller, and we handled all of the Contract and legal details by hiring a Notario
who had done a Subdivision and several Purchase & Sales for the Seller I was buying from.
NOTE: I would NOT suggest this approach to anyone! I did not have any problems, but there were many different things which could have happened to sour
my deal. An established Realtor who serves the particular area you're interested in is a MUST if you're worried about your investment at all.
This is from the Mexican Consul's website. The office which puts it out is in Sacramento, CA, and they've got a very helpful staff who you can speak
with if you need further assistance:
(From the section entitled
ACQUISITION OF REAL ESTATE IN MEXICO
"...subject to the condition that these foreigners agree before the Ministry of Foreign Relations to consider themselves as Mexican nationals
regarding the acquired property and not to invoke the protection of their country of origin with respect to the same. If the convenant is breached,
all rights to such property shall be reverted to the Nation."
-AND-
"..The acquisition of real estate must be conducted before a public notary, judge or property registrar officer and two witnesses when its value does
not exceed the equivalent of 365 times the daily minimum wage. For higher values the transaction must be conducted by a Public Notary and registered
in a deed. The parties should pay taxes in a real estate purchase.
The acquisition may be done personally or through an agent with representation (power of attorney valid according to Mexican laws)...".
-Here's the Kicker:-
"...Even if there is no restriction for any migrant status to acquire property except by transmigrates after buying property of getting rights to a
property in the "restricted zone," foreigners are compelled to get a visitors visa...".
"...This will be an agreement to be considered as a Mexican citizen in connection with the property, meaning that diplomatic protection from a foreign
government will not be invoked, and that that the alien will submit to the jurisdiction of the Mexican courts in all cases, under the penalty of
losing said property...".
The meat of it is that a Visa is NOT REQUIRED in order to execute a legal Contract in Mexico for the purpose of buying (or in the case of a
Fideicomiso) or renting Real Property.
You DO need a Visa to be in BCS physically of course, (Your Tourist Card) and in order to provide the greatest measure of protection (as a Foreigner)
of your Property Rights under Mexican law, it is imperative that you apply for your Visa asap. However, it is NOT required.
If I were working as a Realtor in BCS, I would counsel all of my Clients to obtain their Visas asap for the simple reason that it affords you the same
protections that a Mexican Citizen should have in the event of a legal problem.
RE: Capital Gains Tax liability - Every situation is different, but you are subject to a Capital Gains Tax in Mexico under certain circumstances.
Taxes paid in Mexico may also count towards your US tax liability in certain cases, and you are allowed to make a pretty substantial amount of $$$
annually without ANY US tax liability if you meet certain criteria.
If you are building a new home, certain steps can and should be taken to minimize your liability. In particular, manifesting your costs to provide a
future record and Basis for taxation is a HUGE money saver. There are a few dozen CPA's and Tax Attorneys in BCS who specialize in tax planning for
expats, and I'd suggest you contact one of them for further info specific to your case.
WOW! That's a lot of writing! I hope I haven't added to your confusion, and if there's one thing you should take from this, it's to secure competent
professional assistance (after checking references) before plunging ahead armed only with anecdotal information.
Buena suerte! Cameron
Here's the web address for the Mexican Consul:
http://www.consulmexsacramento.com/preguntasfrecuentes_eng.h...
|
|
|
Marie-Rose
Senior Nomad
Posts: 894
Registered: 10-2-2003
Location: Victoria, B.C. and Todos Santos
Member Is Offline
Mood: Worried...
|
|
Thank you Cameron!!!!
Finally...we owe you a cold one! Please U2U me with a phone number and we can connect during the holidays.
We are trying to do things totally straight up but have been getting so many different answers. Because an agent is in contact with the Notario in
LaPaz we have not been communicating with him directly. The other complicating factor is the fact that we will only be driving down with our personal
effects in 2007. Thanks again!
[Edited on 2004-11-21 by Marie-Rose]
|
|
|
Bruce R Leech
Elite Nomad
Posts: 6796
Registered: 9-20-2004
Location: Ensenada formerly Mulege
Member Is Offline
Mood: A lot cooler than Mulege
|
|
If you own lease or rent for moor than three months you are required to have a FM3 or better
Bruce R Leech
Ensenada
 |
|
|
wornout
Senior Nomad
Posts: 595
Registered: 10-24-2004
Location: San Felipe, Baja California
Member Is Offline
Mood: No Bad Days
|
|
FM 3
If immigration feels like it, they drive around and stop at houses that they know Americans live in. They ask for FM2/3 and it is at THAT time you
will wish you had one. They do it here in San Felipe. As always this is Mexico, you can ask any two officials a question and you will get different
answers (much like talking to the IRS in the old country).
|
|
|
Cameron
Nomad
Posts: 117
Registered: 10-12-2004
Location: Todos Santos / Seattle WA
Member Is Offline
Mood: Thirsty!
|
|
Just In Case There's Any Confusion...
| Quote: | Originally posted by Pompano
I am a US citizen. I have owned property in Baja for 25 years. Get an FM-3...period. |
In case I wasn't clear on it...
As Pompano said, "..Get an FM-3...Period."
You will want to have one in order to protect yourself fully under Mexican law.
If it is indeed required by law now, it's news to me. I have heard lots of different interpretations of this, from all kinds of different people.
Still, all of the "Official", recent information I've seen issued by both the Mexican and US Consulates regarding this have indicated that there is
no legal requirement for an FM-3 simply to execute a Contract to Lease or Purchase real property for residential purposes.
BUT GET ONE ANYWAY!
One more source you might try in order to verify this is (US-based) Stewart Title. They offer Title Insurance to foreign buyers/US citizens purchasing
in Mexico now. I haven't asked my local Stewart Title Rep to verify it yet, but if anyone knows for sure, I guarantee it'll be an Insurance Co. with
tens of millions of dollars tied up in Title Insurance policies in BCS.
Please post again if you do find out more! Thanks to all for everything!... Cameron
|
|
|
Cameron
Nomad
Posts: 117
Registered: 10-12-2004
Location: Todos Santos / Seattle WA
Member Is Offline
Mood: Thirsty!
|
|
I Just Thought Of Something...
| Quote: | Originally posted by Bruce R Leech
If you own lease or rent for moor than three months you are required to have a FM3 or better |
Hey Bruce!
Are you talking about owning/operating as a Corporation, or as an individual (with a Fideicomiso)?
I think this might be where we're all getting mixed up a little...
Thanks! Cameron
|
|
|
Dave
Elite Nomad
Posts: 6005
Registered: 11-5-2002
Member Is Offline
|
|
| Quote: | Originally posted by Bruce R Leech
If you own lease or rent for moor than three months you are required to have a FM3 or better |
It is Migra who interprets and enforces the regulations. They are the ones who can escort you to the border with just the clothes on your back. It
would make sense to comply even if they are in error. Unless you want to risk loss of property, prolonged legal battles or deportation, pay the money
and get one.
Regarding the six month limitation:
I am told that this applies for every FM renewal, not just when you first receive it.
|
|
|
meme
Senior Nomad
Posts: 756
Registered: 8-20-2003
Location: San Felipe,BC
Member Is Offline
|
|
FM-3
I know at least a couple of you guys have FM-2 rather than Fm-3. What is the advantage to us getting the FM-2 over the FM-3? We are due to get a NEw
Fm-? this year as our 5 years are up. Trying to decided the pros & cons of it?
Thanks
Meme
|
|
|
bajalou
Ultra Nomad
Posts: 4459
Registered: 3-11-2004
Location: South of the broder
Member Is Offline
|
|
From what imigration has told me -- Short answer -- Pros- after 5 years no more renewals. Receive premenant residency with more rights but not
citizenship.
Cons- Costs more, can not be out of Mex more than 18 months in the 5 years
Long answer, - come on over and we'll talk about it.
No Bad Days
\"Never argue with an idiot. People watching may not be able to tell the difference\"
\"The trouble with doing nothing is - how do I know when I\'m done?\"
Nomad Baja Interactive map
And in the San Felipe area - check out Valle Chico area |
|
|
jerry
Super Nomad
Posts: 1354
Registered: 10-10-2003
Location: loreto
Member Is Offline
|
|
fm3
i personally bought a lot in mexico and got a fedio didnt even build on it and one day i was at a friends place whe imagration stopped by
nailed him $100.00 for not having a fm3 then told me i had 3 days to get mine or i could be deported
the next year he was late renewing it and was fined again $100.00
imagration told me that an fm3 is required if you buy, rent, or lease a resadence
so when i went to laPas and asked they told me the same thing
they have the power
i say get one
jerry and judi
|
|
|
![[*]](images/xmbforum/default_icon.gif){kind=icon}
