Closing Cost Estimates

In Mexico, the closing costs are completely separate from the purchase price. You negotiate with the Seller on the price of the real estate then deposit the money into Escrow. Separately, you get a closing cost estimate from the closing agent, who you will pay directly (not via Escrow).

Everyone pays Acquisition Tax equal to 2% of the Purchase Price, and if you are not a Mexican citizen, you need a Fideocomiso. The good news is that if the Seller already has a Fideocomiso, you can transfer it with little expense. Appraisal and Certificates showing No Liens or Debts also cost very little. The three main costs are the Recording Fee (recording your title with the government), the Notaria (the real estate lawyer) and the Closing Agent. Finally, if you close mid-year or mid-month, you may have pro-rated HOA dues, property taxes and utility bills.

It would be nice to provide a ballpark estimate as a percent of sale price, however exchange rate can have a large impact as most all fees are paid in pesos. For this reason, you should obtain a Closing Cost Estimate from your realtor (from the Closing Agent) BEFORE submitting an offer to purchase, and you should be comfortable with exchange rate used in their calculations.

 

Come to Mexico to vacation then find your dream home and Come to Mexico to live.

 

Vacation Homes Cabo is a full service real estate outlet located in Cabo San Lucas.

Real Estate Purchasing contact Jeff at jeff@vacationhomescabo.com

Vacation Rental & Property Management contact Lara at info@vacationhomescabo.com

www.vacationhomescabo.com

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