The REALITY of real estate . . . |
Real estate transactions in Mexico are carried out very differently than in other countries. It’s important to know there is no oversight or regulatory committee to oversee real estate transactions. This means anyone and everyone can sell real estate. Real estate agents are not required to have any type of licensing. “Only 10% of the people who offer real estate services in Yucatan have the capacity, training, professionalism, certification, and recognition to advise the public on real estate investment,” said Enrique Trava Griffin, 2023/2024 local president of the Mexican Association of Real Estate Professionals (AMPI). According to Trava Griffin, 174 AMPI-certified real estate companies have about 550 professionals practicing in the real estate sector. In contrast, over 5,000 people offer various real estate services without fiscal accreditation. Creating relationships with people you trust . . . Since January 20th, Angel has taken out 12 clients over 6 days to show real estate - both renting and buying - logging approximately 321 miles. He's shown in Centro, Caucel, Montes de Ame, Chelem, Telchac Puerto, Progreso, Chuburna, Cabo Norte, Temozon Norte, and Cholul. I was with him during the showings to answer any questions about buying or renting in the U.S. vs. buying or renting in MÉRIDA. I want to share some of the information discussed to give a better frame of reference to the ENORMOUS differences in real estate between here and the U.S.
Examples of recent interactions: Buyer Client A - sent 11 properties and they chose 5 properties to see. Angel began making calls 3 days before the scheduled appointment day. Buyer Client C - after a 2-hour consultation with Angel and I, client decided Merida was the best place in Mexico for what she was looking for. Our advice is ALWAYS to come on a research trip first - preferably during the summer - to experience the heat, humidity, and mosquitoes - the reasons why most people leave. We recommend renting first; however, some people want to get settled as soon as possible or are bringing pets with them, which can decrease rental options. She began looking at real estate online (before her research trip) and started chatting with an agent representing a new development in Centro. The price was so good, and the agent was so nice and even spoke English! She sent a $20,000 U.S. deposit on the house, sight unseen due to the "deal" she was promised. We were organizing her itinerary for her research trip, and she mentioned wanting to see the development and her house. As I could not imagine a new development in Centro at the price of $65,000 U.S., I asked her exactly what colonia it was in. She told me that I should know exactly where it was - in Centro - in Colonia Kanasin. OMG! Notably, that's an area we recommend avoiding as it can be a bit rough . . . Renter Client D - a real estate agent moving to Merida (first time here called to ask our opinion about living in Caucel. She and her husband were interested in attending cultural events, dining in Centro and going to museums. After looking at properties online, the pricing in Caucel better suited their budget. We told her that even though Caucel seemed close, they would need to account for traffic going in and out of the city as well as coming into Centro. It wasn't as easy as it looked on the map and it would be easier if they had a car which they didn't want. We didn't hear anything back for a few months until she called to ask for our help. While in the U.S., she found a property in Caucel and started corresponding with the owner. It seemed appealing as the owner didn't require a second deposit OR a contract. To hold the property for their arrival date, he requested a wire transfer of $250 U.S. She happily sent him the deposit. After arriving and paying the first month's rent, they were taken to the house. BUT it was not the one they had seen online, as it was "no longer available." He explained that he had to switch them to another house. This house had an unkempt yard in a not-so-desirable area. Because they had already paid the first month's rent of $500 and the deposit of $250, they decided to stay. During their second week, the owners of the house appeared. They had been away visiting family in another state and had asked a neighbor to watch their house while they were gone. This was a HARD lesson and happens more often that you would think . . . To sum it up - real estate here is HARD. It's not easy money like some assume. It takes time to make relationships with legitimate agents. NOT all people listing properties for sale or rent are legitimate. You want to work with a legitimate agent who takes the business of real estate and your investment seriously. Commissions vary and sometimes are NOT shared. One thing we've noticed (and I am VERY aware of it because I do it, too) is that people tend to romanticize or idealize the information and photos they find online. They picture themselves living in a property, community, colonia, or area - creating a story around it. Imagining modifications they'd make or furniture that would look good - the restaurants, services, or stores within walking distance. Sometimes even comparing a property they've seen to a property they haven't seen . . . Real estate is all about location AND emotion and moving to another country isn't any different. If you wouldn't do it in your home country, please don't do it here aka create a relationship with someone you trust that will have YOUR best interest at ALL TIMES! AND who will negotiate on your behalf - not just at the beginning but throughout the process and at the end of the lease term or sale. One final thought - please take everything you read, see, hear, and watch with a grain of salt. Advice is given from the perspective of one person who may or may not even live here. They could have been here briefly or are looking for clicks to monetize. Please fully vet your sources of information, use your best judgment, experience things for yourself, and create relationships with people you trust! Hasta Luego! |
GRUPO LA VIDA EN MÉRIDA, SRL DE CV | Calle 27 #229 Local 2 , Miguel Aleman 97148, Mérida Yucatán |
Inspiration, insight, and answers to all things Mérida!
¡Viva México! September 16, 2024 PHOTO CREDIT: YUCATAN MAGAZINE(click to read article) ¡Viva México! Octavio Paz: "Without democracy, freedom is a chimera." Carlos Fuentes: "Revolutionary freedom is perverted by personal power." Benito Juárez: "Men are nothing, principles are everything." Manuel José Othón: "The greatest and most powerful nation is weak if it lacks justice." Amado Nervo: "There is something as necessary as daily bread and that is daily peace." Guadalupe Victoria: "When the...
Life in Mérida™ August 17, 2024 Newsletter YouTube boasts over 2 billion logged-in monthly users. Created in 2005, YouTube is now one of the most popular sites on the Web, with visitors watching around 6 billion hours of video every month. 2006: acquired by Google 2013: reaches 1 billion unique monthly visitors 2022: ranked as the second most popular social network worldwide 2023: YouTube Premium - 26.7 million users 2023: YouTube Shorts - 50 billion+ daily views YouTube can be an excellent...
Life in Mérida July 17, 2024 Newsletter Celebrating the 2.5 years it took me to get residency! One of the things we tell our clients is the process of going through residency helps set the stage for what to expect and the massive differences they will experience when living in Mérida vs. where they are moving from. It's not easy, it's not simple and it can take a long adjustment period. Just like the residency process, if you're not prepared, you can lose time, money, energy, and effort. This...