Questions I asked my Baja Realtor and Ones I wished I'd asked

If you have bought and sold real estate in the past, you have learned some important lessons about the process. You will draw on that background and more when you buy Baja California real estate. While there are many similarities in the real estate process to the US, there are some significant differences in Mexico, particularly the ownership vehicle: the fideicomiso. Most of the Baja California real estate website have good general descriptions of what a fideicomiso is and how it works.

Another significant difference is the issue of “title”. Because there have been some highly publicized situations where Americans have been purchased Baja California real estate without clear title, many Americans can and should be cautious about proper title. A good realtor will direct you to the proper, reputable resources to determine title, uncover any questions of title and uncover real estate liens. Now in Mexico you can also purchase American title insurance. You can definitely safely purchase real estate in Baja Mexico and enjoy it for generations!

Here are some questions to keep in mind as you consider what real estate to buy in Mexico. Most of these questions are pertinent to purchasing property in main coastal areas of Baja California. These questions may have less relevance to Baja real estate that is in remote locations, where you will need to be a lot more self sufficient and will not be part of a HOA or condo association.

Utilities – Electricity is not greatly different, but still a bit more costly in Baja California. It pays to have energy efficient appliances and light bulbs.  Water is ironically cheap but a scarce commodity so it’s smart to have your own home water storage. Do what you can to be water efficient and have sensible landscaping. Propane is reasonable and typically delivered by truck. All utilities can run short so having back up is something to consider. Definitely stock up on a few flashlights and candles for the occasional time when the lights are out at night.  It is recommended that your home have its own specific water and electric meter. Also, if you purchase an existing home, see if you can have the seller transfer the Mexican phone line to you, which will save you lots of time and money getting a phone landline.

Questions to ask about utilities:

  What is the source of water?
  Does the home have a pila/water storage?
  Is water delivered or is it on the municipal system?
  Who pays the water bill and how is your specific bill determined? With its own meter?
  Is there an in home water purification system for the drinking water?

  What is the source of electricity?
  Is there any backup system?
  How is your specific electric bill determined?

  What appliances are electric versus on propane? Most of the time propane will be cheaper.
  Where is the home’s propane source and how is it refilled?

  Are the utilities underground? How accessible for individual lots?
  How do people generally get their TV reception?
  If good internet connection and speed is important, ask what is the best setup and what type of upload and download speeds can you expect   most days?
  Is there a local Mexican phone land line already in place and, if so, ask to get it transferred to you as the new homeowner.

Questions to ask about Community Resources

  What local police department services this home’s neighborhood?
  How close is the local fire department located?
  Where is the hydrant?
  For a condo tower, what protections for fire and how is water supplied and water flow maintained in case of fire?
  Is there ambulance or Cruz Roja (Red Cross) service?
  What is the closest hospital?
  Where would I go to buy my groceries?
  Is there a good doctor and dentist in the area?
  Where is the local barber/hairdresser?
  Is there a good vet for the pets nearby?

Questions to ask about the Neighborhood

Direct your questions to beyond the realtor to people living in the neighborhood. Many expats will chose to live in a community subject to homeowner’s fees, rules and these are often gated properties with guards. Enforcement of rules and security varies. Laxity of management and security can definitely effect both your safety and enjoyment of the neighborhood. Some communities are unable to collect monthly dues or enforce rules. This can negatively effect the upkeep of the area and will work to downgrade your property values. So we suggest you always ask what is the level of rule enforcement especially regarding issues of upkeep, animals, fireworks, loud music and disruptive renters.

  Is there a Homeowner’s Association (HOA) and, if so, is it a “condominio”, that has been legally established with the support of Mexican law?
  If in a HOA community, what are the monthly fees and what do they cover?
  Are there security guards? How many and what hours are they at the gate?
  Do the guards walk the property to check it?
  What are the rules about dogs being off leashes?
  What are the rules about fireworks?
  Who replaces street lights and takes care of the community property, pools, fitness center, gardens etc?
  What are the rules about “renters”?
  What is the provision for parking for residents, renters and company?
  How often do the HOA board and all members meet?
  How does the financial status of the HOA get communicated to members?
  Who is in charge of the HOA funds and what checks are in place to protect from graft?
  Is there a newsletter? Frequency?
  Is there a website for the HOA?
  What, if any, is the crime rate in the community and what has been done to reduce problems?
  Are there community events, parties or outings?