What costs I will encounter with a second home?

Answer:

As with ownership of any property, there are mortgage, utilities, insurance, and maintenance and repair costs. If you’re thinking of renting your property, or using the property seasonally, it’s best to have an on-island property manager or caretaker who can check in on the property and deal with issues that arise. If you’ll be renting the property, you will also have agency commissions associated with each group of tenants. Many owners prefer to have lawn care and cleaning services to keep the place in ready-to-use condition.

Are there tax benefits to owning a vacation home?

Answer:

Today, a vacation home can be purchased for investment purposes as well as enjoyment. And yes, there are tax benefits. Visit www.irs.ustreas.gov or talk with your tax planner for information on the tax benefits of owning a second home.

Where should I buy? If I want to use my property as a rental.

Answer:

If you’re planning to use your property exclusively for investment purposes (rentals) you should consider Playa del Carmen, Condohotels will be an excellent choice, developments as Pueblito Escondido y Aldea Thai offer you not only the option to own a beach front condo, but instead, a property that can be rented as a hotel room in one of the best located sections of the city. However, the most important consideration is to choose a property you think is a good value, in a location that appeals to you.

What does it mean when a property is listed as Exclusive?

Answer:

An Exclusive Listing, is when the property is contracted with one agency who works to find buyers, and oversees advertising and promotions. With Shared Listings two agencies offer the same home for sale, which may result in the same property being advertised slightly differently by two different firms. With a Tri-Listing three different agencies market the property simultaneously. As a potential buyer, any island agent can show you almost any property available, whether or not they are the listing agent, even if it’s an exclusive listing.

What’s the difference between an Offer and a Purchase & Sale?

Answer:

The Offer is the legal document, which is signed by both parties when a buyer and seller agree on the initial terms of the sale. The Purchase and Sale is a more detailed, lengthy legal document, which is often executed after certain contingencies (such as inspection) have been completed. When either document is signed by both the buyer and seller, they constitute a legally binding agreement. Be sure to consult with your attorney before signing any legal documents.

What’s the difference between the assessed and appraised value of a property?

Answer:State law requires that all real estate is assessed at full market value, and all properties are re-appraised at least every three years. Generally, professionals are employed to make these appraisals, basing assessments on actual sales 2-years preceding to establish values as of January 1 of the re-appraisal year. The assessed value of a property is used to determine town taxes.

The appraised value of a property is the current market value of the property as determined by a professional appraiser and reflects sales prices of comparable properties within the prior six-month period.

How long will it take for my property to sell?

Answer:

There are three main variables that affect the length of time a property is on the market: the price of the home; the condition of the home; and the current market conditions. The seller can affect the first two of these variables—an appropriately priced home in great condition, with fresh paint and all details in order, will have appeal to many potential buyers and is more likely to sell more quickly—even in a slower market. For more information on what to expect when you’re selling visit the Sellers section of the site or talk with your Coldwell Banker Landmarks agent.

What is a Condohotel?

Answer:

The traditional definition for Condo-Hotel is: Individual units being owned by individuals, and operating as a hotel. It means that you and only you are the owner of the property within the development. you ain't forced to rent your property. The Renatl is just an option, most of the people who owns a Condo within a Condohotel rent their property and make a good profit out of it.

Can a Foreign Buyer really own a property in Mexico?

Answer:

Yes, Americans and other foreigners may obtain direct ownership of property in the interior of Mexico. However, under Mexican law, foreigners cannot own property outright within the restricted zone. Instead, a real estate trust must be set up to hold title for the foreigner. Since foreigners are not able to enter into contracts in buy real estate, they must have a bank act on their behalf, much as a trust is use to hold property for minors because they also can not contract. For more information about this topic please go to our Foreign Buyers In Mexico Page