So you’ve decided to take the plunge and invest in your own piece of Puerto Vallarta Real Estate. So what now? How do you make that dream a reality? Here is a quick overview of the buying process, later I’ll go into more detail on each step.
The first step is to determine your needs and set a budget. The kind of property you choose may vary dramatically depending on how you plan to use it. You might prefer an incoming producing Beachfront condo in Nuevo Vallarta if you are interested primarily in an investment property, or you might want a small home in Bucerias if you plan to retire in Puerto Vallarta. Either way, Knowing what you want from the outset will make your search much easier. Things you should consider are:
- Number of Bedrooms
- Number of Bathrooms
- Construction Area (how many square feet of living area do you want?)
- Lot Size
- Location
- View
- Price
For most people, price is going to be the main determining factor. You’ll need to figure out how much you can afford based on your savings, assets, ability to get a loan, how much you are comfortable investing, etc. (loans are now available for US and Canadian citizens wishing to buy in Mexico).
Once you have an idea of how much you want to invest and what your requirements are, your next step should be to talk to an AMPI or APIVAC certified Real Estate Agent in Puerto Vallarta. They will present you with options to help you narrow your search. Once you have found a handful of possibilities your realtor will schedule viewings to go out and see the properties. If you are not in Vallarta, most of the searching will be handled by email and internet, but of course you will need to be here for the physical property inspections.
Assuming you find the property you like, the next step will be to make an offer. Your agent will help you with this aspect and should be your representative in the negotiation process. Usually an informal offer is made in writing and the negotiations begin. once terms have been settled, a formal purchase contract is drawn up and signed before a notary. The notary adds formality to the process and ensures that all legal requirements are met before the property is transferred at the closing.
If you are not a citizen of Mexico, then you cannot legally own a property in the Restricted Zone of Mexico, which is comprised of a band 50 kilometers wide at the ocean and 100 kilometers wide at the national borders. To get around this limitation, the Mexican government created a systems of Trusts to allow foreigners to invest in Mexico. These trusts are called Fideicomisos in Spanish.
I will elaborate on each step in the process in future posts. Meanwhile I’d like to hear your feedback; if you have any questions or comments please leave a comment!
