Playa del Carmen Real Estate Fixer-Upper part 2 (choosing your team)

Buying a fixer-upper in the Playa del Carmen real estate market can be a great adventure and a fantastic method to learn more about the architectural styles from different regions south of the borderVA If you enjoy putting some elbow grease into an old building, enjoy the challenge of reorganizing and redistributing layouts of buildings, and enjoy the challenge of searching for a diamond in the rough in any Mexico real estate market for attractive profits, read more below. One of my earlier stories regarding a Mexico fixer-upper project talks about how to find a good property in Playa del Carmen ideal for such a project. A good rule of thumb to follow is for every dollar invested in the project, it should reflect a two dollar increase in property value. Now your question should be if the local market value will support such an investment. If positive, then you should proceed on putting together your fixer-upper team.

The key player on the team for a Mexico fixer upper project is an experienced architect. Someone who has many years of experience of looking at a room, looking at a wall, looking at a building and knowing how to put life or a new look onto a run down and worn structure. In order to find an architect, talk to people in the industry and people you trust. Once you have identified one or two architects, interview with them. Review some of their previous projects, recent buildings, work that they have designed and supervised in construction. Also speaking with their clients and hearing testimonies will increase the probabilities of hiring a professional who will be able to capture your ideas or someone able to bring life and fresh air to an otherwise run down old building. Find out their strengths and weaknesses and visit their projects. Is the quality of work and the materials satisfactory for your ideas During the work, did the architect keep the clients well informed and on a good time line My wife and I chose an architect from Mexico City. A Mexican architect with many credentials and a professor from one of Mexico’s leading architecture schools. We visited with him in the big city, visiting some of his projects and also spent an afternoon strolling through one of Mexico City’s most beautiful and old colonial neighborhoods; Colonia Coyoacan. He walked us through the neighborhood giving us a lecture of the characteristics of Mexican architecture with the influences from Spain, from the Baroque period, and even influences from famous artists such as Diego Rivera and Frida Kahlo.

Once you have the architect, they may already have several other key contractors that you will need to realize your project. In our case, since we chose an architect from outside of Playa del Carmen, we also had to recruit contractors for various jobs. Plumbers, Carpenters, Electricians are all contractors that will require interviewing and selection. Our first contractor to begin recruiting was the plumber. Once our architect had blueprints of the project, we began soliciting bids. The lowest bid does not always signify the least expensive job. Sometimes if the job is terrible, you may need to replace poor quality workmanship or materials with a repeat job.

Our third contractor that we needed to hire was the electrician. We did the same excercise and routine for hiring the plumber. This also included a review of the payment schedule. It is very advisable to put down all agreements onto paper. You should define the work or project to be realized. Put down your estimated start date and more important the finish date. Placing the cost and payment schedule is very important and needs to be understood by all parties. As with plumbers, note clearly the jobs of placement of new materials but also outline if removal of old fixtures, old wiring, or accessories will be required.

The tile layer or bricklayer was another key person for our particular Mexico fixer upper. Our project consisted in laying in a natural stone wall and placement of several cement block walls. During down economies the negotiation switches in favor of the buyer which also applies in paying for these services. And you will also be faced with Mexico contractors who will always ask for money down payments. Try to negotiate these with the minimum amount up front, and payment to occur with completion of work. It is advisable to divide the projects into several micro projects with payments occurring at completion of each micro project. Otherwise you may pay upfront, and the contractor might never show up to even start the job! Other contract work might include carpentry, drywall, painting which all basically use the same recruiting methods mentioned above.

The key to a smooth and profitable fixer-upper project is by putting together a good team. One of the key players in such a team is the architect with good experience and much creativity. Plumbers and electricians are contractors whose jobs are hidden, which makes it even more important to ensure of quality workmanship and skills. Your tile layers, carpenters, painters work and results are very visible and will make or break the success of a fixer-upper project. But these are all pieces of the puzzle, the exciting steps of watching a run down, low demand property be magically transformed into an appealing highly quoted product.

Thomas Lloyd graduated from Purdue University Krannert School of Management with a degree in Management/Financial Option Investments. He has been living, investing, and working professionally in Mexico for over 15 years. In the summer of 2009, he received the first federally applied Mexico Real Estate Degree and Mexico Professional Real Estate LicenseS.E.P. #5978657. He is the current president of TOPmexicorealestate, you can contact him at (512) 879-6546 or through the company’s web site www.TOPmexicorealestate.com NETWORK!