Understanding Mexico
Ensenada Realtors, is devoted to educating the foreign buyer about Mexican Real Estate Law and providing services to assure a safe and secure investment. Below you will find very usefull information on diferent Mexican Real Estate Topics, some of them are little technical, but we like you to be informed and know little more about mexican law. If you have any question, please contact us and we will answer you as soon as posible.
We also want you to enjoy Mexico to the best of your ability. Therefore, we provide valuable information about retirement in Mexico and cultural distinctions for easier assimilation into your new home South of the border visiting our partnet website www.mexicomatters.info
Ensenada Realtors - Table of Contents
Ensenada Real Estate Boom
David Valenzuela, Attorney at Law (bajaattorneys.com)
Ensenada real estate and Rosarito real estate, in the 1960´s and 70´s, was the fastest growing real estate market for Southern California, buyers wanting a baja vacation home or retirement property in Northern Baja.
Beginning in the 1980's, Rosarito real estate brokers began listening to foreign buyer needs and developing projects that upscale U.S. buyers wanted. North Americans and Canadians requested gated communities with infrastructure guaranteed or already completed. In addition, Baja homeowner associations were also requested to insure: garbage collection, common area maintenance, architectural review and security from burglaries.
In the last five to ten years, San Felipe Real estate and Rosarito real estate have successfully exploited the overpriced real estate market in Southern California . Equity in So. Cal. Homes, purchased in the last five or more years, has resulted in many baja homeowners having enough equity to refinance the price of a Baja “second home”. At San Felipe's El Dorado Ranch, the developer estimates that 46% of their sales are the result of refinancing primary residences in the states.
Also, in the last five years, baby boomers enjoyed an additional five billion dollars of discretionary income. These economic growths, coupled with U.S. real estate appreciation, has resulted in a whopping 21% of foreign owners purchasing their ¨retire in Mexico¨ or retire Baja homes via refinancing of stateside properties.
Ensenada real estate and its realtors has been lagged way behind Rosarito realtors and San Felipe realtors in the development of gated communities. At last count we have only three such communities. However, a new day has dawned real estate in Ensenada: A new mayor (Cesar Mancillas), whose 3 year term started this year, a new planning department in Ensenada and developers on all Baja now anxious to satisfy the foreign home buyer. Mayor, Cesar Mancillas announced a goal of completing 10,000 Ensenada retirement housing units this year with features to satisfy the U.S. consumer.
A factor propelling the Ensenada real estate boom is that beach or ocean view properties offered by Rosarito realtors (on average) now exceed $350,000.00. Comparable home prices offered by Ensenada realtors are thirty to fifty percent less. Consequently, the major real estate franchises in Rosarito, Coldwell Banker, Realty Executives, Remax and Prudential real estate are now opening or planning to open offices this year in Ensenada.
Financing real estate for foreigners in Mexico and Mexicanos alike has improved greatly. In the past, Mexican real estate buyers were forced to pay cash or expensive seller financing. Since most of the major Mexican banks have been bought by foreigners, credit has loosened considerably. Citicorp, for example, bought the largest Mexican financial institution-BANAMEX. Bancomer bought a finance company in the U.S. (Bancomer is Mexico 's second largest bank and popular among U.S. retirees in Mexico .
A Mexican real estate mortgage rate, from Mexican banks in pesos, has dropped to 12% per annum. Given the historical erosion of the peso, in relation to the dollar, many developers claim that (over time) that will be the equivalent of a 5% loan if it were set in dollars.
Title Insurance in Mexico- U.S. title insurance companies-First American, Stewart and Fidelity are now providing affordable Mexican title insurance on Mexican properties. Their new confidence in Mexican real estate and especially Baja real estate was spawned by changes in Mexico 's foreign investment law; allowing coastal property bank trusts in perpetuity for foreigners.
Title insurance in Mexico has provided the security to motivate foreign financing in the Baja real estate market using Mexican property as collateral. Retire in Mexico and or retirement in Baja is reaching a new level of acceptance. Financing for two Ensenada retirement home subdivisions were recently approved by Home Capital Funding of San Diego. Also accepting loan applications, for Ensenada retirement communities, are Wall Street Associates and Lender's Depot.
The Ensenada retirement and vacation home property boom will surely accelerate given the economic forces spurring Mexican Real Estate sales and the internet allowing virtual offices to exist from anywhere. What are you waiting for? Baja beach homes are affordable now and be yours before you retire in Mexico . Our advice - don't wait much longer. If Rosarito real estate is any precedent, Ensenada real estate prices will probably double in the next three to five years.
If you're interested in Baja real estate or retirement in Mexico calls us for a referral to a trusted realtor. Also, read our website to learn how to make your Baja retirement and Mexican Real estate investment as safe, secure and tranquil as possible.
Baja real estate markets where we can refer you to competent real estate professionals are: Rosarito, Ensenada,Mulege, La Paz , San Juanico-Scorpion Bay, Todos Santos, San Quintin, San Felipe and Punta Chivato.
Baja Real Estate, A process for getting the best deal
By Jose Perez (mexicomatters.info)
EnsenadaRealtors.com has spent twenty years buying and selling Baja real estate. In addition to our investments, we have represented more than 200 foreign buyers by providing due diligence and title insurance.
Far too often, clients come to us after making costly mistakes. Folks who suffer the horror of losing their life's savings. The following are tips to avoid disaster and get the best deals on secure real estate in Baja.
The first step in the process is to recognize and mitigate the consequences of succumbing to "RAPTURE OF BAJA". This malady can progress to the sometimes incurable "leaving your brains at the border" syndrome.
Unsophisticated buyers are usually blown away by the availability and affordability of gorgeous beach properties on both coastlines (Pacific and Cortez). Rapture plus ignorance of Mexican property law, and an American friend or salesperson who claims expertise is a formula for bad decision making.
Often these seemingly great deals are on property whose title is clouded or only available for lease. In the case of a lease, you pay the former lessee for the improvements (home construction) and continue the existing lease with the property owner.
Rule number one - Do not "buy" a house on leased property unless you are prepared to lose your investment at the end of the lease period, 10 to 30 years.
We do not consider leasing an investment. You are renting, improving and maintaining the property of the owner.
Mexican and U.S. law are the same regarding leased property. Any improvements belong to the lessor at the end of lease term. The option of ownership is far better. There is an abundance of affordable homes that can be purchased by foreigners via a living trust. Bank trust properties are eligible for U.S. title insurance. to insure a safe investment.
RENT (not lease) your first home in Baja. Beautiful beach rentals are available at $900 per month throughout Baja (contact us for more information). Renting will reduce rapture of Baja symptoms and improve your chances of securing the best property at the lowest price.
After renting, in an area you are first attracted to, you will likely discover better options. Renting will give you the time and experience to verify your ideal Baja property purchase criteria. Time to shop, be patient and uncover great bargains..
Institutional real estate financing is generally not available to foreigners in Mexico. However, seller financing from a Mexicano owner is very common.
Gringo sellers typically want cash. they are leaving Mexico so they prefer avoiding the risk of returning to sue for non payment. Mexicano sellers are more likely to provide seller financing. However, with proper guarantees of payment, attractive terms and interest rates, some foreign sellers can also be convinced to accept time payment terms.
In developing criteria for your purchase, think carefully about "planned communities" as opposed to a single family home that is not part of a gated gringo ghetto.
Some folks need the security of a gated community but others feel stifled by the covenants, conditions and regulations of these enclaves. The other disadvantage, is the monthly maintenance and security fee that individual owners have no control over and continually escalate.
CHOOSING A REALTOR IN MEXICO in helping you generate purchase options is not as easy as it is in the states but the things are getting better. Realtors in Mexico, are now subject to licensing, this licensing is regulated by AMPI (Asociacion Mexicana de Profesionales Inmobiliarios, spanish of Mexican Association of Real Estate Professionals)
Most English speaking buyers seek out English speaking realtors in Mexico. The resulting limitation is that most of the non Spanish speaking realtors cannot negotiate directly with Spanish speaking sellers, nor read real estate law, or interpret title documents, property descriptions, lien reviews, sales contracts or escrow instructions.
I am not suggesting that mono lingual English speaking realtors be avoided. They can be helpful in locating properties and negotiating with English speaking sellers. However, without trained legal assistance, they may, out of ignorance, sell you a property that is "problematical". For covering this type of issues, verify that your english speaking realtor is associated with known and trustable mexican realtors.
I recommend foreign buyers hire a real estate consultant or attorney who speaks both English and Spanish. Of course, ask for references of foreign buyer clients.
Our experience with the two major chain realtors in Ensenada Mexico has been excellent. They are folks to be trusted. However, in the rest of Baja, -"watchaley" Spanglish for "be careful".
LOOK FOR ABANDONED PROPERTIES - These homes are quite common in Baja. U.S. retirees abandon their beach homes to return to the states for medical or convalescent care. Mexicanos also abandon homes to seek work in other parts of Mexico, but most commonly, (in the border region) move to the U.S..
These home owners are eager to sell a home that has been vacant for a few years and depreciating in value from a lack of maintenance. In these "distress sales", seller financing is more likely and down payments are minimal or not required. The seller is just happy to have someone improve and care for the property.
We favor buying a home already built. Generally, Baja homes can be bought for less money than it costs to build-and the land value is an added bonus.
A completed home is a known commodity. A home in construction presents more risk and requires constant vigilance on the part of the owner to assure quality of materials and construction..
If you insist on building your custom dream home, we suggest the following
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Ask for written quotes and references from prospective builders.
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Require your builder to provide receipts from the county planning department for permits paid.
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Insist on receipts from the Social Security Department for payment of worker benefits.
If the contractor does not pay the above obligations, you, as the home owner, are ultimately responsible for payment. Fines for non conformance and interest for paying late are also charged to the home owner.
Do not accept the contractor specifying you as the builder on the Social Security registration, usually a veiled attempt at avoiding contractor responsibility. .
You can use $75.00dlrs. per square foot, for finished construction, as a guideline.
As in the process for managing property purchase, we suggest a professional consultant or attorney who speaks English and has foreign client references to protect your interests.
Bank Trust (Fideicomiso)
BAJA PROPERTIES TITLES - DON'T GET CONFUSED:
In this article, I define the different classifications of Mexican.property "titles". An attempt to inform investors in how to differentiate properties that can legally be held by foreigners in a bank trust or foreign owned Mexican corporation as opposed to properties that cannot be purchased by foreigners without changing the property´s classification.
BANK TRUSTS- SP. FIDEICOMISO
Foreigners in Baja can enjoy all the benefits of beach property ownership via a bank trust. The trust is very similar to a living trust that most U.S. buyers understand. The trust allows the beneficiary to sell the property rights to another foreigner or Mexicano. At the time of death, trust benefits are transferred to designated heirs who can transfer hereditary rights in perpetuity. In order to assure the property title can be transferred to a foreigner, the seller must provide proof of title, registered in the public record and free of liens.
IS THERE ANY RESTRICTION ON SIZE OF LAND I'M PURCHASING?
Yes, acording to the article 14 of the foreign investment law, the Ministry of Foreign Affairs shall decide on the permits for seting up a bank trust according to the economic and social benefit of that trust to the Nation. In other words, they requiring a commitment from the beneficiary of the trust to invest certain amount of money on the property in order to give the permit for the fideicomiso. It is in our knowledge that the Ministry of Foreign Affairs established a 2,500 sq. meters limit (26,900 sq. ft) for foreigners that wants to buy land using a fideicomiso (bank trust). But some times, but only some times, depending on the use you will give to the land, the Ministry of Foreign Affairs in Mexico can authorize the use of land above the established. Your Ensenada Real Estate Agent can help you on finding out this for you.
PROPERTIES IN WHICH BANK TRUSTS ARE NOT PERMITTED EJIDO LANDS
Mexico's largest form of property use, called ejidos, are lands that are dedicated to farming cooperatives. I say property use, because the cooperative member has use rights only. They cannot sell these lands without permission to do so from the department of REFORMA AGRARIA.
Many ejido coastal properties, on the Pacific and the Sea of Cortez, were never suitable for farming. As a result, many of these beach property ejidos were transformed into trailer parks - ¨campos de trailer¨. Agricultural reform law specifys that ejido lands are to be used for agricultural purposes not tourist camps. But given the lack of both good soil and water, the government placed a blind eye to ejido ¨campos de trailer¨.
In 1993 the government was persuaded to allow ejidos to privatize their lands and, if they wish, sell them to foreign buyers. This has presented opportunities for the folks who have built homes (often expensive homes) to secure their investment with a bank trust. Once the ejido privatization is complete, each ejido member is issued a title for his or her respective parcel. The title can then be transferred to a foreigner in the form of a bank trust. Another option is to buy the entire campo and become a Baja developer. This can be done by establishing a 100% foreign owned Mexican corporation.
PROPERTY ¨EN POSSESION
Many Baja properties, including large and valuable beach parcels, are homestead lands. After five years of possession and occupation, the homesteader (must be a Mexican citizen) can apply for title to this land from the department of ¨Terrenos Nacionales¨ . Joint ventures are often established to gain title of property held in possession. Typically, the foreign investor pays the engineering, government and legal fees to obtain title on behalf of the possessor. Once title is obtained it is resold to the investor´s trust or corporation.
TRAILER CAMPS
When you find a development, on either Baja coast, with no roads and sewers and leasing lots to foreigners, you can bet it is classified by the county planning department as a campo de trailers. Whatever the property classification (private, ejido or possession) a lack of sufficient funds is the cause for not making the improvements required of a formal subdivision: engineering plans, surveys, permits and infrastructure.
If the property is not a legal subdivision (campos are not) you may or may not purchase a lot from the seller. Assuming title to the property is held by the seller (not possesion or ejido) he can subdivide a parcel (one parcel), and sell it without a formal subdivision specifying lots and improvements.
The county will let the title holder do property divisions a time or two, then stop any further parceling of the property. The intent is to prevent repetitive divisions of the property without providing streets, sewers, electricity and water. The rule for the buyer is to have the parcel divided, approved by the planning department and registered in the public record before releasing funds to the seller.
In the sixties many U.S. retirees and vacationers leased these properties and placed a trailer on them. After a few years, most of the lessees began making improvements. Frequent visitors to Baja have seen the resulting bad architecture: a back or front end of a trailer sticking out of an addition built around it.
In the seventies and continuing into the 1980´s, economically well heeled risk takers began building luxury homes in these campos de trailer. Risky business because you are improving your landlord´s property with no guarantee of a return from said investment. The maximum lease period in Mexico is ten years (thirty years for ejido leases if stipulated). Lease termination and eviction at lease term, with no recompense, is the risk.
THE TRAILER CAMPS IN ENSENADA
Now in the 21st century, in the county of Ensenada (In square miles largest county in Mexico) we are faced with a forty year old problem. Quality urban planning and adequate taxation requires that these campos de trailer conform to subdivision codes that protect the environment and provide legally registered lots-not trailer spaces
Contrary to Baja state law, building permits, in the early eighties, began to be issued by the planning department , for trailer camps. The rationale: at least, they could insure that building plans were in conformity to building codes. Also, a little ¨mordida¨(bribe) helped grease the irregular¨ building permit process.
The county, until the 1990´s, continued to allow ¨irregular construction¨ because they knew that the trailer camp owners (by and large) did not have the capital to transform the camp into a legal subdivision.
TIMES HAVE CHANGED
In most departments and agencies of today's Mexico, corruption is no longer the rule, rather the exception. The days of bribing every official have fortunately become bad habits of the past. BRAVO for Ensenada´s Department of Planning and Urban Development for taking pride in honest bureaucratic work. They no longer issue building permits in Campo de Trailer designated camps.
This means: greater protection for the environment, better planned growth and significantly more property tax revenue for the county. Each lot owner or renter is taxed at urban rates as opposed to rates designated for rural land, trailer camps.
For the renter who can't get a building permit, the situation becomes a serious problem. Until the property owner conforms to subdivision code requirements, no building can take place on the property. As mentioned above, parcels can be divided without a formal subdivison. The county will allow one or two of these parcel splits and then stop any more division. Thus prohibiting the property owner from side stepping the law to avoid the costs of providing water, electricity and sewage - improvements inherent in a tract of lots for homes.
Faced with trailer camp owners who cannot afford the above mentioned costs of a subdivision, county engineers are adapting the normal regulations. Water and sewer are the primary concerns. If cisterns and delivered water is the only option so be it. If septic tanks are designed to not harm the environment they can also be permitted. Lights and streets are not necessary. The intent here is to get these camps on line and in conformance to good health and environmental standards.
For the past 15 years of legal practice in Baja, I have seen literally hundreds of distraught U.S. citizens evicted from their dream homes costing hundreds of thousands of dollars to build. With a little due diligence, an escrow process and title insurance all these tragedies could have been prevented.
Foreign Owned Mexican Corporations
How to establish a Mexican Corporation
The first step is a permit from The Department of Exterior Relations in which you register the name of your Mexican corporation. Three names for the company are submitted and a computer search of those names is completed to avoid duplicating an existing name. Approval of the company name, and a permit authorizing same, is done within 24-48 hours.
The next step is developing the articles of incorporation and this task requires the inclusion of a "Notario". These are not notaries as we know them in the states. The name is similar, however, the Notario in Mexico has incredibly vaster powers. The notario is a keeper of the public record: A licensed attorney, willing to forsake litigation, who passes the notario exam and is appointed by the state. The number of notarios in a county is based on population. This restricts the number of notarios and thus guarantees their millionaire status. For example, Ensenada with a population of 400,000 has only five notarios.
Notarios must put their approval on all property transfers, publicly recorded contracts, wills and public registry of all corporations. As you can imagine, they are very busy people. Notarios, like all professionals, vary in terms of: competency, accessibility and promptness of completed work.
Via a process of elimination, over a ten to fifteen year period, I have identified notarios from Ensenada to Chiapas (on the border with Guatamala) who work efficiently and posses a comprehensive understanding of foreign investment law. A good notario is absolutely essential to accomplish the maximum benefits for my foreign clients. If a real estate purchase is the objective; the sale can be managed as an escrow. The notario can be instructed to then act as the escrow agent.
Notaries tend to differ in the legal criteria they use in permitting certain transactions. Often an individual notario will not agree with what I and my client want to accomplish. If I know it is legally appropriate, I simply go to a notario who understands the appropriateness of the transaction.
Once the articles of incorporation are recorded in the public record, we begin to obtain the necessary permits: Hacienda (tax boys), Dept. of Commerce, State Registry, a mandatory Chamber of Commerce (by industry), SIC code data base, Import/Export permit and the Dept. of Immigration. Additional permits are required specific to certain industries. All of the above permit fees, including the Notario's five hundred dollars, is around $1,500. Consulting fees for processing the paper work and completing registries is additional.
Upon hiring employees they and your corporation must be registered in "Seguro Social". The agency provides medical benefits, subsidized housing and retirement. You can expect approximately 22% of payroll earnings as payment to Seguro Social. Employees also receive annual vacation pay of six days for the first year of employment, eight for the second anniversary, ten for the third and twelve days for the fourth year. Succeeding years are incremented by two days every five years.
Additional employee benefits are a X-Mas bonus totaling fifteen days of salary.
Severance benefits include 90 days for completing the first year of employment plus 20 days for each year of employment beyond the first year. Included in the severance package is an antiquity bonus: Twelve days for each year, after the first anniversary of employment, multiplied by twice the minimum wage. The minimum wage is $4.50 per day.
If an employee is consistently late, absent, disrespectful, irresponsible, dishonest or incapable of completing required tasks you can terminate that employee (with sufficient documentation) for considerably less than the formula outlined above. The employer pays the annual Christmas, vacation and antiquity bonus but is relieved of paying the annual severance pay of ninety days (first year) and twenty days for each year thereafter.
Employees also receive a profitability bonus that amounts to ten percent of company profits. Most employers do not pay that amount. The company and employees can agree, in writing, to a bonus system that substitutes for the ten percent of profitability. Another corporate responsibility is to pay Hacienda (IRS) 34% of profitability.
Employee contracts are a must to safeguard the employer. The contract outlines: hours, responsibilities, salary and bonus incentives if they differ from the 10% stipulated by law. If the contract is for seasonal work, the season length is specified and termination stipulated. Severance for seasonal workers only includes Christmas and antiquity bonus in proportion to the number of days worked.
For decades there has been a recognition that the Mexican labor code needs a dramatic overhaul. The present system tends to create an adversarial relationship between employer and employee. Because of severance considerations, Seguro Social and profitability bonus, employers tend to pay the lowest wages possible. Employees who feel underpaid tend to give less than a 100% effort and look for opportunities to be fired, without legal justification, if severance pay is significant.
Employees can walk off the job as a group, in a general strike, if labor law has been violated by the employer. A typical rational for a general strike is failure to pay employees in a timely fashion or a change in work days and hours without sufficient notice. A change in job responsibilities, without employee agreement in writing, is also sufficient grounds for a labor demand. These general strikes can be costly if the number of employees and years of employment are significant. All labor demands are settled by arbitration in a proscribed labor court called "conciliacion" (conciliation).
The expense and complexity of creating a corporation in Mexico is far greater than in the states. The time it takes to complete all of the governmental hurdles is approximately six weeks. President Vicente Fox has vowed to streamline the process but to date it just gets more complicated.
Baja Mexico Retirement
By an old retired friend
Ensenada , Mexico
Mexico leads the world of nations in the number of U.S. ex patriots living here. I´m a twenty year resident of Ensenada , a Pacific beach community just 80 miles South of the border. It is estimated that 20,000 U.S. citizens live here, mostly retirees.
Baja California is a narrow Penninsula that offers an incredibly diverse climate and landscape. A two and one half hour drive, from the Pacific coastline´s crashing waves takes you to the flat Sea of Cortez on the eastern coastline. San Felipe´s air and water temperatures are 10 to 20 degrees warmer than Ensenada year round.
Aside from climate differences, Ensenada is a bustling port city of 450,000 residents. San Felipe is a sleepy shrimp fishing village with a population of 17000. The short drive between these two coasts is over some of the most beautiful desert imaginable. The 110 mile trip includes three passes at 4,000 ft. elevations.
The list of reasons given for retiring in baja mexico: lower cost of living, a higher quality of life style when compared to the U.S., a slower pace - greater tranquility, a more pristine environment, proximity to the border (family and medical services), high speed internet access, quality medical and dental care, good fishing and surfing, less terror threat, lower violent crime rate and finally the love of Mexican culture and her people.
Economic reasons are the mostly frequently heard motives for moving here. However, it is usually expressed in terms of improved lifestyle and environment: “My beach home, in Baja, cost me $400,000. A comparable home, North of the border, on a more crowded beach, would cost over two million. I could not afford the property taxes on a U.S. beach house. My property tax bill in Mexico is $100 per year ”.
Other economic benefits usually relate to the lower cost of Mexican labor. The minimum wage is $7.75 per day. Car repairs, medical and dental bills, home maintenance and servants are a fraction of what these services cost in the states. Most retirees and middle class Mexicanos can afford to pay a cleaning person. Sixty to one hundred dollars per week to clean, cook and wash clothes. At the hundred dollar level, child care is included.
A night on the town-dinner, drinks and dancing, for my wife and I, rarely costs more than $60.00. First run, Hollywood movies at our state of the art Cinema are $5.50 a ticket.
Whether it be downtown parking for two dollar instead of $15.00 in San Diego , a dollar and half cigar instead of $10.00, or 10% tips instead of the 20% expected by stateside waiters, it all adds up. A less expensive and more enjoyable lifestyle because we can afford these little extras of life´s pleasures.
We spent our vacation this summer in Northern California. A modest five day stay for two that cost us $2,000. We could not find a decent hotel for less than $80.00 a night and dinner tabs approached the same. We stay in decent hotels in Baja for $25-40.00 with dinner costing $35.00. We decided that next year we will vacation in Baja. We can afford a U.S. vacation but at Baja prices we can do more and stay longer.
Five years ago Baja California real estate began experiencing a huge number of Italian vacationers in August. The number has increased to the point where almost every vacation spot has a number of Italian families visibly present. The reason is economic. August is when the schools in Italy are closed for summer vacation. They can family-vacation in pristine Baja instead of overpopulated and contaminated European beach resorts for a lot less money (including airfare and rental cars).
RETIREMENT SAFETY AND SECURITY: In the past, stateside retirees in Baja had to run the risk of: losing their retirement property to discriminatory foreign investment laws. Since NAFTA and friendlier foreign investment legislation, foreign born retirees in Mexico can feel secure in their investment if the coastal property they are purchasing is eligible for a living trust and is title insurable.
Title insurance in mexico, issued by U.S. title companies-Fidelity, First American or Stewart Title, is available. These policies are issued in the United States and subject to U.S. courts for enforcement. Affordable Financing has also become available to foreigners in Mexico, using Mexican property as collateral. Seller financing is the most common way to purchase in Mexico .
Most of the people retired to mexico are very concerned about the quality of medical services in Mexico. My twenty year personal experience and those of my retired friends, is that our medical and dental care has surpassed the care we received in the states. An office visit costs thirty five dollars and dental procedures are 50 to 70 percent less than the same North of the border. Most U.S. major medical plans
Will pay the hospital and doctor costs. Either direct payment or at the very least reimbursed to the patient.
Hospitals, clinics and professional offices are state of the art on both Baja coasts. In addition to very well trained physicians, surgeons and dentists, the culture is very prone to personalizing patient care. I have the home phone numbers of my physicians and dentist. They do make house calls. Hey! my vet makes house calls to care for my three dogs and a cat (my cat is missing by the way, since november 2004).
Immigration is very friendly in Baja for documenting retirees. The permit is called a FM-3 Rentista. It is renewable on an annual basis at a cost of $150 dollars. The only requirement is that you must demonstrate retirement income that is equal to $1,000 a month for a single person and $1,500 dollars monthly for a retired couple. It is important to obtain and maintain current this visa in Mexico. It is a way of guaranteeing your rights-that you have legal status in Mexico .
My moving to Ensenada in 1985 was the best move of my life. However, as a Spanish speaking Latino, the transition to the Mexican culture was relatively easy. Mexico is not for everybody, especially type A gringos. Manñana does not mean tomorrow but sometime in the future. And one of Mexico´s favorite pastimes is telling you what you want to hear. This phenomenon is called la cortesia; don´t tell the truth if it is distasteful to the other person.
The other piece of advice I always give to foreigners in Mexico is do not go into business. Mexico is not a business friendly country. It is tough enough for Mexican entrepreneurs who understand the language and culture. It is very difficult for the English speaking businessman who does not know the laws, culture and business practices that are so distinctively Mexican.
Ensenada Medical Care and Baja Medical Services
...Coming Soon
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