Purchasing Property in Mexico: Part 6
In this final part of the Purchasing Property in Mexico series, you will learn about real estate closings, from the items in a closing to the estimated closing cost. Additionally, we will recap everything you have learned so far throughout the Purchasing Property in Mexico series; if you missed any along the line please feel free to start at the beginning.
Anybody going through the process of purchasing their Mexican dream home should calculate all of the expenses in order to assure they present an offer that will be feasible and within their budget. The closing costs in Mexico are usually slightly higher than the closing costs in the United States and Canada, but the annual property taxes in Mexico are surprisingly low.
What items are in the closing cost?
Typically, the buyer will be paying the closing costs and the seller will pay the capital gains tax and sales commissions. The following is a list of closing items:
- Public Registry Rights
- Property Acquisition Tax
- No-leans Certificate
- Title Search
- No Property Tax Debt Certificate
- Bank Trust
- Notary and Attorney Fees
- Appraisal by Authorized Valuator
- Permit from Minister of Foreign Affairs
- National Registry of Foreign Investment
What percentage should I estimate for the closing costs?
Generally speaking, the total closing costs will be about 4 to 7% of the purchase price. Discuss the estimated cost with your real estate agent or you can download our estimated closing cost spreadsheet to get a better idea of what you will be paying.
Now that you have read through all the steps of what is involved in safely purchasing property in Mexico, let’s recap everything you have learned:
- The main steps involved in the Purchasing Process.
- What is a Restricted Zone and how you can buy in this area using a Bank Trust or a Mexican Corporation.
- An overview of the Offer to Purchases.
- The importance of the Promissory Contract and Purchase Sales Contract.
- The list of who the Key Players are in a real estate transaction and how an experienced, qualified and reliable agent can help you choose the players.
- An overview of the items involved in the closing and estimated Closing Cost.
These are the key elements which distinguish the Mexican purchasing process from that in the United States or Canada. This will serve as a tool to help you safely buy real estate in Mexico. The most important thing you can do during this process is to surround yourself with a professional real estate agent and team who will guide you through your real estate transaction with accurate information and sound judgment.
Now if you have any question about how to purchase property in Mexico or about any of the TOP MEXICO REAL ESTATE properties we have listed anywhere throughout Mexico, please feel free to contact any of our Top Mexico Buyer’s Representatives and we will be glad to answer all of your questions and help you find your very own piece of paradise.
And remember, here at TOP MEXICO REAL ESTATE…
We make it happen!
We would like to thank A-nah Downtown for sponsoring this blog. A-nah Downtown is a new development in the heart of Playa del Carmen. To learn more about A-nah, please click here.
