Finance Options for Americans Buying in Mexico
ฝัง
- เผยแพร่เมื่อ 29 มิ.ย. 2024
- In this video, I discuss popular financing options for folks from the U.S. looking to buy property in Mexico.
MOXI Global Finance Links:
Financing
qrco.de/MoXiFinancing
Refinancing
qrco.de/MoXiRefinance
Video explaining fees associated with buying etc.
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DISCLAIMER: I am not a lawyer, real estate professional, immigration specialist, import broker, financial advisor, major league umpire or astronaut. The information provided in my videos is based on my own experiences and/or research and is not intended to serve as professional advice. I make no representation or warranty of any kind, express or implied, regarding the accuracy or completeness of said information. In other words, take some responsibility for your own life choices and conduct your own research before making important decisions.
0:00 Introduction
0:29 Mexican Banks
2:50 Cross-Border Mortgage Companies
6:10 Developer Financing
8:17 2nd Mortagages and Personal Loans
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Boost Your Spanish th-cam.com/video/Nzc1oRSAPQ0/w-d-xo.html
Thanks! I am looking for that other video! So, to the description box I’ll go! Hasta pronto!!
I was excited to learn about Moxi but they don't cover loan amounts under 250k USD. So really only relevant for higher priced homes.
There is a reason that info is left out, the best option is a personal loan with your best bank in the US, a credit union for example; and use as payment for home without a getting loan in Mexico, for dual citizens there is a program from Bancomer to pay the home in Mexico from the US
@@Frknlpz7Also a Heloc if someone can get one
Veltra Capital provides loans under 250k USD for Americans and Canadians looking to buy or refinance homes in Mexico
I did a HELOC with my bank in the U.S., which I think has been the safest/easiest path to go for my Mexican condo purchase. Reasonably low interest rate, much lower than the 7% that you can get by developer financing. Always best to keep debts and loans within your own country I think for various reasons.
That's actually a really good idea. Never thought of that.
Can I ask who you bank with that enabled you to do so?
A HELOC can be a decent option. But HELOCs have adjustable interest rates tied to the prime rate in most cases. This is the rate that’s increasing in the US now with the recent fed rate hikes.
Yes that is a risk with interest rate hikes, which is why that one is my priority to pay down with any extra money before my primary mortgage.
What’s the interest rate? 👀
Taking Paul's advice, I was able to contact Moxi, although It took several attempts and days. The rep informed me that Moxi has no office in Quintana Roo and only does a limited business there. When they do finance in Q. Roo, the financing terms are quit a bit higher and more restrictive.
Since Moxi wasn't a good option, I became a patron in order to ask Paul directly for info on similar companies. He replied quickly but he could only provide a couple of names that he "heard of".
Disappointed that Paul's very exclusive endorsement of Moxi was essentially useless in Q Roo, the Mexican state where he hails from. A lesson learned about paid endorsments.
It's funny, I love visiting Mexico, but I have no interest in living in Mexico or buying property there. However, that doesn't stop me from enjoying the information contained in the videos. Thanks!
Your videos are so helpful. I've learned so much from you & Linda. Thank you!
Timely information for us!
Hubby just filled out the form and put Qroo Paul down for using them!
Thank you so much!
You always provide great information! I look to your channel when I have serious questions (beyond best restaurants and beaches)
Awesome video! Thanks for the info about MoXi!
Fascinating, had no idea something like MOXI was an option. Seems like a better arrangement than anything else I've seen.
Great info as always. Thanks Paul. 🙏👍
Thanks for watching, Carlo. :)
QRoo what we do without you! Such great videos! Thank you
Thank you - this is very helpful information for us since we have been wondering a couple of years down the road how we are going to do this. 💗
Glad it was helpful!
Just what I was looking for!
Excellent job Paul!
Thanks!
Epic, Paul! Great Video 😃
Thanks! 😀
Wonderful Job . Thank you for all info 🙏
Our pleasure!
Great info! Thanks
THANK YOU SO MUCH!! Looking forward to the best Banks and Money transfer videos :)
More to come!
Great info thank you
Best content on Mexico living. Thanks!
Thanks for the information, Paul.
Thanks for watching, Cindy. :)
I think you are probably the best practical TH-cam program on Mexico.
Thank you, Sue.
Good advice, thanks for sharing
Glad it was helpful!
Great informative video. Thank you
Glad you enjoyed it!
Great info. This helps me so much.
Love your channel.
How about a video on how much restoring an old house costs and the process to get the correct help and services for restoring a property.
Great suggestion!
I'm inheriting a house in Jalisco and I'm trying to figure out where to start with either restoring or completely demolishing the house and rebuilding.
Amazing channel brotha!
So helpful!
Glad it was helpful!
I really appreciate your integrity
Thank you so much
Thank you so much this was very helpful
Awesome. Thanks for watching. :)
@@qroo of course may I have your e mail. If it's okay I wanted to ask you some questions.
Excelente ❤
luv qroo paul's straight shootin' style
Thanks, Bake.
@qroo Paul & Linda
How about a video on loans /options for "construction loans" where land has been purchased but still need to build a the home?
Thanks!!🌞
Thanks for watching!
Great video! We have rental properties in the US and are not ready to sell them pr gove up the rental income, but if we do, wonder if we could do a 1031 exchange to buy a part of the capital gains in Mexico.
Hey Paul question on conversion. I have heard you note that you have a software or something that alerts you when the pesos to USD are higher. Could you please share with me what that is? Thank you so much for all you do for us
MOXI's big lending caveat : Currently, Global Mortgage (MoXi) offers competitively priced mortgage loans from $150,000 - $ 2.5 million on residential property in Mexico up to 60% of the appraised value of the property (Loan-to-Value - “LTV”) to qualified individuals.
For example: For a $ 400,000 home, the maximum loan amount would be $ 240,000.
MoXi now lends up to 65% LTV. On a $400k purchase price, the max loan amount is $260k.
@@alexkoper3916 doesn’t move the needle materially but good to know !
@@ctownas totally get it!! :)
@@alexkoper3916 OMG 😳 😂
@@alexkoper3916 so how is the rest of the purchase financed???
Thank u
Great information. I have been sharing these latest videos with my brother, who is looking to buy in PV. Thanks. I don't know if he has subscribed yet.
Yes he has!
Thanks for sharing!
Glad to see you here, Reinvent. :)
Thank you? For info bro
Am cirzen looking at my
Options to buy know
Nothing to big but!
Decent! Under 80k👍🏾
Greetings from Yucatan
Good job my friend...thanks for the information...my brother just bought a place in San Carlos Mexico....and loves it...I will be going down there soon to visit..had you been there yet?
No, we haven't been there yet.
@@qroo if you ever decide to go to San Carlos....I will get you on touch with him...he will show you around. Be safe down there ...
Im Mexican and I fins this very interesting. It is true that mortages here have usurous interest rates. Many people buy a vacant lots with what money they can scrape and build it up little by little as money starts coming in.
Interesting. Thanks for watching, by the way. Un saludo.
Another homerun video with information that I have not seen elsewhere.
Thanks, Wayne.
I was told that it would cost over two million United States of America dollars to get a small apartment in Mexico
No not even close. Costs depend on where you live and your price range. You get as expensive as you want or as cheap as you want.
I do not suggest Moxi if living in the state of Yucatan. Basically client is spending thousands of dollars in fees while the Notario is saying this will not work within the state.
If I have the cash, what is the best way to transfer the money from the US to Mexico? My bank in the US is giving me the worst exchange rate to wire the money directly. I'll be losing over 10% just in the currency conversion...
Current rate w MoXi is" Estimated Interest Rate-10.4%"
I wish you wouldve covered a cash transaction. Best methods to send large amounts of money to mexico from Canada or USA for purchasing property or for just moving to Mexico permanently.
And maybe which mexican banks are from the best ones to choose from.
I plan to cover transfers in another video. I have covered smaller transfers (under $10k) in other videos.
@@qrooes please, transfers superior to at least 500k. Thanks in advance!
Could I ask what would be the best finance option for foreigners who aren’t American, such as those from the UK like me.
Great videos Paul. Glad you made it to retirement. I just pulled the plug after 26 plus years (Thank you 3 at 50). Do you have a video about paying income taxes in Mexico? I'm wondering if I retire in Mexico with a California Pension, do I have to pay the Mexican Govt. any income taxes. Should I worry about transferring money from my South Dakota bank account to my Mexican bank account. Will Mexico want a piece of that money?
There is a tax agreement between the U.S. and Mexico and your pension will still be taxed in the U.S. Transferring money to Mexico to use does not trigger any taxes on the Mexico side. No worries there.
3 at 50 is the best. Got 4 to go
Paul - Could you please comment on how one goes about paying for utilities, taxes, etc. when you don't have a temp/perm residency and are unable to open a mexican bank account. If a person purchased a property via fideocomiso, how does one take care of the maintenance/running costs if we can't have a bank account in Mexico without a residency card, can we have utilities or taxes in our name? What is the work-around for this situation. Thank you sir.
Yes, the utilities can be in your name (even renters have to do so sometimes when they’re not included in the rent, especially electricity and wifi.) Gas is delivered, usually anyway, you flag the truck to exchange your tank. You can pay your bills directly at the office or even better, at any OXXO (the equivalent of 7/11) which are found everywhere. I recharge my Telcel phone plan, takes less than a minute... and buy a bonus snack 🤔😛
Misión 7
Paul -- Can you use Moxi in a "Construction Loan" situation where you already bought the lot but still need to build the home or does the home/condo already need to be built to use Moxi? Keep up the great work!
You will have to check with them directly. I am not sure.
@@qroo I heard back from them and they DO NOT provide loans for new construction -- only pre-built homes.
Great question. Thanks for the follow up.
I recently saw another video where you talked about another company that finances. Can you point me to it?
Hi Paul. Are there any private lenders in Mexico? Possibly individuals who have money to lend. In Canada there's many options for private lenders if you don't qualify for a traditional mortgage with the bank. Rates are higher, but its an option here.
That's an interesting question. Nothing comes to mind, but based on the average interest rates in Mexico, I suspect that if they do exist, they're pricey.
It is always worth asking the seller if they are willing to seller-finance a percentage of the purchase price :)
Is there something similar for financing a car in mexico?
Unfortunately Moxi does not offer land construction/land financing. Any idea who does?
Can you please post the link to the Condusef simulator??
phpapps.condusef.gob.mx/condusefhipotecario/index.php
We have an offer on our house in Puerto Penasco. Buyers want us to "carry" for 2 years. Offer is $350,000.00 with $100,000.00 downpayment, then 2 years financing (5%) with a balloon payment. Is this a good idea? Do we contact a Mexican lawyer?
Can we compare it with Banco del bienestar Banco
Hey great information as always Paul
Debt free n minimalist lifestyle is best for us N I struggle with no STUFF ha
Take care
J&D
Debt free has been our strategy since 2015. It's the way to go. Take care guys.
Could you show benefits of live in mexico vs Puerto Rico …. It seams like Puerto Rico has less obstacles since it is a US territory.
I’d find the “Qroo” of PR and compare their sets of pros and cons.
Kinda not right to ask him to weigh in on an area he isn’t intimately familiar with. Like me asking him to do the same comparing retiring in Mexico verses Ireland!
Fedeicomiso should cost $600. Moxi will charge between $600 and $3,000. and $1,000 to $2,000 annually. If you do this outside of Moxi, you avoid the upcharge.
Fideicomiso charges vary according to property cost as I believe the annual fee does. I think $600 US would be for an inexpensive property.
@@PaulBeet That is correct Paul... I pay $459.00 annually for my $330,000 home is Baja through Banco Monex... if that helps.
Are mortgages different for Mexican citizens?
does moxi work with other countries ? like in central America?
Can you rent to own a home in mexico?
Contacted MOXI a week ago and haven't heard from them. This coming from a couple who have a 780ish individual credit score.
Thanks for the feedback. I'll reach out to them and see what the issue is.
@@qroo They replied. They were having problems with their email system. Thanks
What if you're a dual citizen? What's the best option that way? I think it'd be great to lose the fidecomismo cost
You could buy without the fideicomiso as a citizen. That would be a plus. If you worked in Mexico and earned credits, another finance option could be through Infonavit México.
@@qroo I would still be working and earning in United States but i would reside in Mexico
im curious why would people not native from Mexico buy property there? would it be for living there or making profits there?
Qroo paul I contacted Moxi regarding a mortgage loan in Mérida and to my surprise the don't give loan for purchases in the city. Something about not being able to find the titles on properties here. I asked about a new build and they still will not give you a loan. Do you know of another company that do.
No, I don't know of another company that offers mortgages in Merida.
Just a heads up, the links on your site and your email just lead to the json file of the article
Thanks for the info.
Very nice. Didn't know about Maxi. Nice service and wonder if there are cross border financing from other countries. Hate the US knowing anything.
What is an option for loans under $250k?
I was in tijuana but I wanted to live across the border in Mexican American
I bought my Cabo condo for $145K USD cash through an American notary. It was a bit scary but since the former owner was an American, I trusted them. And I got an official Fedeicomiso document when the deal was completed. There probably wasn't the Moxie company at that time but I would definitely look into them today if I was going to buy another condo. Thanks Paul!😎🌴🌵🌞
Did that notary finance it for you?
I was wondering if you have an answer to our situation. Just over two years ago we bought property from a developer building a new community in Talpa. The house is 90% finished with a few bugs that need correcting. We have been able to live at the house when we come in the winter and summer months. But so far we have not been able to close on the property because the developer has been having documents problems. He had us at a notary once but not for closing. He blamed the pandemic and now waiting on the documents from Mexico City or some where. We have paid for the house except for less than $5000 USD which was to be paid at closing. We have a attorney in PV but she is waiting on the documents she needs. My question is , can we sell this house without closing on it since we do not have titles yet? We are going back in August again.
I think you are probably on the hook til this thing closes at this point, you may otherwise lose money you've already given them. It's a ridiculously long process with the notary and documents, mine took probably 6 or 7 months to finally straighten it all out.
The only way would be if the developer allowed someone else to buy it because he or she is still the owner at the moment. We actually bought our condo this way. The original buyer bought from the developer but had not closed. The process was dragging on 2-years due to document issues etc. With the consent of the developer, we bought the condo and were able to close about 6 months later. Without the developer's okay, you will not be able to sell until the property the closing and the house is yours.
Lol! Sounds like you got dicked, bucko.
Does a citizen get better rates?
What about for Brits
Man Paul I'm in Cancun and I got a good opportunity to buy 3 fully furnished apartments for $128,000 but moxi aka global mortgage min I'd $250,000 loan I tried another one and their minimum is $140,000 with 40% down. Help me Paul.
I checked on it but their fees are pretty large and interest rate of 8-9%.
That's very rypical for cross-border mortgage companies.
s it rue that you must have $41,000 in order to move into Mexico?
The requirements are getting mire stringent. I received perm residency, but I bought a 500 k property.
Get online and look at your local Mexican Consulate for requirements as they vary. You might qualify for temp residency based upon retirement income.
Awesome, makes me almost envy Americans. Do you know of any such options for Canadians, perchance?
The only one that you could not use is that particular cross-border mortgage company. I am sure there are others catering to Canadians, but I do not have any specific company names or links to share at this time.
Moxie will not help unless you are buying property that’s over $350,000. Ridiculous. You need to add this to your video.
😮
How do Mexicans buy houses?
There are different ways but a common one is through a government program called Infonavit.
Indeed, Mexico has a type of special mortgage loans which amount borrow and monthly payments are based on the person's salaries and other qualifiers.
I don't qualify for it because I worked in the US most of my life; I am US pensioner. So, got a 11 years bank's mortgage loan with fixed rate of 11% and no penalty for early payment. I paid it off within two years and saved some money. This was my best personal option due to the fact that I lost all my money and first property with the unscrupulous builder when fist I returned to Mexico.
Most people pay in cash.
Good info, but I think I would rather buy outright instead of being a slave to the creditor but thats just me.
I prefer that route also but some folks don't have that much cash lying around.
MOXI will only finance up to 65% of the value of the property you want to buy and they will not finance property that is priced less that $150,000 USD.
More info next time please. Such as after your 50% what are the income requirements what is expected? If you live in your new house in Mexico and still owe half.
Rentals, retirement, pension or a job in Mexico for younger people?
Wow this video is just a paid advertisement all
Those are not mexican banks those are European banks well some are mexicans that why is so much
To be honest . As an American they will double charge you because you’re not a Mexican citizen. If you’re a Mexican citizen they don’t charge you as much as an American period . I will be a Mexican citizen
Moxi is a no for sure.
We love your Videos, but we are not Americans, so not always helpful for us.
this video is only for north americans, not foreigners.
Yes. It says Americans in the title.
@@Mexicobeanpole they changed it retroactively after my comment. You can hear him say foreigners in the intro. Xo
It's interesting that Paul blasts the Mexican banks illustrating high interest rates, but then does an ad for Moxi, that he claims is a great company to do business with, and does not give any sample interest rates and details. I can only wonder why? So how about another quick video describing in detail examples of what your sponsored ad. for Moxi offers?
As Paul didn't want to provide any MoXi information, as he was "sponsored," I took a look at MoXi and here are the key details that I found. I looked at Yucatan as it's where I live. And FYI, there is rampant real estate fraud in Mexico, so be very, very careful.
MoXi's minimum loan is $300,000 where the loan to value is 50%, so your house must be at least $600,000 or they won't have any interest!
Minimum FICO score is 720 meaning you must have good credit in the US. If you don't, I don't think you can afford a $600,000 house anywhere.
Loans are for 15, 20 and 25 years without an age limitation. Why? I think you know.
The base interest rate is ~8% PLUS 1% Risk pricing + .5% fee, for setting up loan (base closing and approval fees, of ~$11,000 for $300,000 in this example + fees for everything you can imagine. And many things you don't imagine, such as a fee to collect your monthly payment, $65 a MONTH or $780 a year! Read the fee structure here (I counted TWENTY FIVE fee line items.
drive.google.com/file/d/1Eb23tjLu0xV6xGUdAbiHwMAMgqv2hRBI/view?usp=sharing
I suggest just refinancing your house in the US or Canada and using that money to buy a house for cash. It's a lot simpler and less expensive.
The interest rates in Mexico have been consistently the same since I ran the numbers over two years ago for a blog article. The developer interest rates have been the same for the last five years. Although those numbers are consistent, the numbers on the U.S. side have been lower than both but still vary more depending on the FED etc. I did not want this video to become outdated within a month or so but citing rates for the cross-border or personal loans originating in the U.S. Moxi does do 72-hour approvals if you are curious what rate you would qualify for.
I looked at one cross border rate, advertised at 3% but when I calculated the 20 year cost, it was 23% due to internal tricks. You made a point of using Mexican bank interest rates, but no comparison with your Moxi company, who is paying you to persuade people to visit them. Just clear, concise information is all that's requested as on May 2022. That has not been provided as you are pushing people to interact with Moxi because you are paid to do so!
@@allanzfs He gave an option outside of Mexico Banks. Do your research and decide if it works for you. Its always helpful to have information and options. Final decision is yours.
Stop being a "lemon" and souring other peoples' post allani
I'm not "souring other peoples' posts," I'm commenting on Paul not providing consistent information. It's inconsistent because of the information he likely doesn't provide is from a company that pays him.