In previous newsletters, we brought you up to date with the latest developments in financing in Mexico. Until just a very few years ago, most property purchases were cash transactions. Happily, this has changed; banks in Mexico and in the U.S. have now made mortgages available for both Nationals and Foreign buyers.
With many options in place, it is very easy now to obtain financing, and the process goes quite smoothly. The professional sales agents at Rivera Cuale will assist you every step of the way to ensure you get the best condo for your lifestyle, and to help guide you through the financing process.
Here is an actual example from one of our owners who chose to work with a qualified mortgage broker in Mexico to obtain US-based financing for the purchase of his new condo in Rivera Cuale.
This owner purchased a condo for $462,000. His mortgage, based on 75% loan to value, is $346,500. Interest rates on a 30 year mortgage start at 6¾%. The monthly payments on this loan are $2247, principal and interest.
It is possible to obtain a lower interest rate either with more money down and/or a shorter loan term.
It is important to mention that for US buyers, interest payments are deductible from US taxes. A Canadian tax deduction does not apply to Canadian buyers at this time.
This owner noted that the mortgage broker was very helpful in the document collection process, requesting, assembling and distributing the pertinent information in a check-list fashion which made the whole process relatively simple. Examples of documents he needed to scan and provide were his and his beneficiary’s passports and driver’s licenses, property tax statements, tax returns, and bank and investment statements. The ability to digitally gather and transmit everything really simplified the task.
Also, thanks to electronic banking, this owner and most other buyers find it effortless to set up automatic monthly payments from their US or Canadian account to make their monthly mortgage payments.
The name of the game in today’s market is financing: holding on to more of your cash and leveraging the difference by obtaining a mortgage loan.
Prepared by Estelle Eisen, with credit to one of our very helpful owners
I am a 20 year resident of Puerto Vallarta, and have been selling new condo properties here for six years. I was previously a licensed realtor in Washington, DC and Aspen, Colo. for many years. I am here to assist you in any way, and to answer any questions you may have on purchasing your new home at Rivera Cuale. Please contact me at estelle@riveracuale.com or 011-52-322-145-3727.
