If you’re curious which companies provide Mexico mortgages and how they work exactly, read on. In this article I’ll show you different companies that provide mortgages in Mexico and I’ll compare some of the best Mexico mortgage firms.
Are you looking to invest in real estate in Mexico, but unsure about the legalities and how to obtain a mortgage? As a US citizen, you may also be wondering if you’re even allowed to own property in Mexico. This article will focus on providing a detailed overview of Mexico’s real estate laws and regulations, and will specifically discuss the process of obtaining a Mexico mortgage. Additionally, we will explore which companies provide mortgage options for foreigners interested in investing in Mexico’s real estate market. By the end of this article, you’ll have a better understanding of the steps involved in investing in Mexico real estate and how to make it a reality for you.
If you’ve always wanted to buy a house in Playa del Carmen, Cancun or even Tulum but you need a mortgage, this article is for you. Keep on reading to learn everything there is to know about Mexico Mortgage.
Curious about how US citizens can own property in Mexico? Read this article to find out!
1. How do most Mexico Mortgage companies work?
Mexico is a great place for Americans to purchase property and obtain a mortgage. Despite what some may say, there are many unique opportunities available in Mexico for American citizens, including Mexico mortgage options. Obtaining a mortgage or credit in other countries can be difficult, but Mexico is relatively friendly towards Americans who wish to purchase a property and take advantage of Mexico mortgage options. In fact, many financial companies in Mexico offer mortgages to US persons.
To purchase a property in Mexico with a mortgage, the first step is to find a reputable local real estate agency and a respected local law firm. These professionals will help guide you through the process of finding quality properties and ensuring that everything is done properly. It’s important to have a lawyer on your side in Mexico, especially when it comes to Mexico mortgage options.
Once you’ve found the property you want to purchase, you’ll need to make an offer and put 10% of the purchase price in escrow, usually with a Notario Publico. This person is responsible for validating the transaction and ensuring that all documents are in order, including those related to Mexico mortgage options.
When it comes to obtaining credit in Mexico, including Mexico mortgage options, it’s becoming more common for Americans to do so. Banks may require documentation of your residency status in Mexico, but this can be easily handled with a migrant visa. You must have residency in Mexico before applying for a loan, but this is a straightforward process that can be handled by an immigration attorney.
For example, Banamex offers loans in dollars for Americans who want to acquire vacation properties in Mexico with a mortgage for up to one million dollars. The amount of financing you can receive depends on the value of the property, with rates between 6% to 10%, plus a differential for risk. This differential may be 1 to 3% depending on your financial situation and the percentage of the purchase price to be financed, making Mexico mortgage options accessible for many Americans.
Mexico is a welcoming country for Americans who wish to purchase property with Mexico mortgage options. With the help of a local real estate agency and law firm, the process can be relatively easy and straightforward. Whether you’re looking for a vacation home or a permanent residence, taking advantage of Mexico mortgage options can be a great way to make your dreams a reality.
Ready to buy a property in Mexico? Let me help you!
2. Different companies that offer Mexico mortgage
Intercam Dreamloan
Intercam Dreamloan is a fantastic Mexico Mortgage company that provides great mortgage options for Canadian and American clients who want to buy their dream house in the Riviera Maya.
This Mexico mortgage company has a few terms and conditions:
- Currency: USD
- Nationality: USA or Canadian citizens
- Immigration status: temporary, permanent or no residency
- Min. property value: $250,000 USD
- Loan-to-value: up to 65% of the appraisal value (risk adjusted)
- Loan length: 1 to 25 years (risk adjusted)
- Fixed rate: 7% – 9% (risk adjusted)
- Fees: underwriting, closing and origination
- Benefits: no prepayment penalty, interest is calculated on the unpaid balance, a One-stop banking experience.
- Age plus term must be less than 85 years.
- Property title with public registry information – totally finished property.
- Appraisal with valuation unit provided by Intercam Banco
- Title report & insurance
- Guarantee and restricted zone trust with Intercam Fiduciario
- Life and home insurance
- Checking account (USD) with Intercam banco/International
- Payment through: ACH, Transfer
Contact me today to find out how you can use the services of Intercam DreamLoan.
Pro MG consultores
This company works as a Mexico mortgage broker. they will analyze your financial situation, your credit score and find the perfect Mexico mortgage company for you. They work with a wide range of partners.
This Mexico mortgage company provides very interesting options and services that you won’t find elsewhere such as helping you change your current mortgage to another Mexico mortgage company or bank that offers better rates, they will also help you build you house with the help of a mortgage, where your land will be the guarantee.
Get in touch today so I can help you work with this Mexico mortgage broker that has some of the best options in the country.
HIR Casa
This is a super easy to use Mexico mortgage company that is open to clients from all over the world. They have an online platform that is very user friendly and where you can quickly see if you’re eligible for receiving mortgage in Mexico.
All you have to do is enter their calculator, share your information with them, and you’re done. You’ll have your pre-approval in just 3 minutes. Getting a home loan in Mexico has never been easier.
Tu Casa Express
Tu Casa Express offers you a Real Estate Financing system with different alternatives to buy, build or remodel your house, apartment, land or commercial property anywhere in Mexico. They have customized plans where you choose the term and amount to pay. The pillars that make them such a solid company are:
A strong regulation: The Ministry of Economy regulates this company and the Federal Consumer Protection Agency (PROFECO) ensures they follow strict procedures.
Guaranteed Adjudication: They’re one of the few companies in the market with guaranteed plans that allow you to know the date when you will obtain your capital.
Financing tailored to your needs: You decide the amount and the term (from 12 to 180 months)
Wondering what are the pros and cons of investing in Mexico real estate? Read about it here!
Cross Border Investment
CBI are expert mortgage brokers helping US, Canadians, Mexicans and other nationalities to purchase their ideal home. By efficiently managing the mortgage and deed processes for the acquisition of real estate, we can fulfill your aspirations to purchase the property of your dreams!
Here are a few of the advantages this Mexico mortgage company offers:
- LTV: Up to 70% of the property value.
- TERM: Up to 15 years.
- INTEREST RATE: From 2% to 4%.
- RESIDENCY STATUS: Residency status for Mexico is NOT required.
INCOME DOCUMENTATION
Some mortgages are full underwriting, while others are very relaxed with qualification requirements. Tax returns, paystubs, bank statements. Documentation may come from the US, Canada, Mexico, or other countries.
INSURANCE
Life and property insurance are required. In the US and Canada, property/ hazard insurance would also be required. Premiums depend on the value of the property and the loan amount. Premiums are paid via the monthly mortgage payment.
APPROVAL TIME – CLOSING
Depends on the specific mortgage. Certain loan products only require to add-on 2 weeks to a ¨cash¨ closing scenario. (The two weeks is to receive the appraisal).
MINIMUM SCORE CREDIT BUREAU
620 or no significant late monthly payments.
Cash in Mexico
Cash in Mexico is a Mexico mortgage comapny that also works as a mortgage broker connecting clients with mortgage companies in the United State. The personal loans are with banks and/or lenders from the United States. As long as you can provide 2 years proof of income with you annual tax returns you can be approved for a personal loan even if you are retired which is a great advantage of this company.
Want to find some of the best condos in Playa del carmen? Read this article!
3. What Mexico mortgage options are available for Americans?
Americans have access to Mexico mortgage and credit options, which can be obtained through a bank. Mortgage loans offer fixed monthly payments. In addition, there are financial instruments available to American buyers, such as using their IRA to purchase a house. This allows you to invest in real estate without incurring penalties or tax consequences, as long as the property is used for investment purposes.
Obtaining credit or a financial loan can be a challenging process in many countries around the world. However, Mexico is considered relatively friendly to Americans looking to purchase property in the country, to the extent that it offers mortgages to US citizens.
When applying for a Mexico mortgage, most banks require documentation showing your residential status in the country. This can be easily solved with proof of your migrant visa.
For instance, Banamex offers loans in dollars for up to one million dollars to Americans looking to purchase vacation properties in Mexico, subject to the type of property and the borrower’s financial situation. Mortgages can finance between 50% to 70% of the property’s value with interest rates ranging from 6% to 10% plus a risk differential, usually 1% to 3%. The bank will also check the borrower’s US credit. The maximum loan amount for cross-border loans is usually 70% of the property’s value, with a minimum loan amount of US$100,000.
Other Mexican banks that offer loans and foreign credit include GE Money Crédito Hipotecario, Hipotecaria Su Casita, and Hipotecaria Nacional. American banks also have strong banking roots in Mexico and can provide loan services in the United States.
As more Americans choose to retire in Mexico, US financial institutions are taking advantage of the trend by offering mortgages. In fact, 8 out of 10 mortgage loans for Americans purchasing property in Mexico are granted by financial institutions in the United States.
Wondering how the HOA works in Mexico? Read this article!
If you want to learn more about buying your dream home in the Riviera Maya, have a look at all my articles on the topic:
- Buying a Home with a Fideicomiso in the Riviera Maya
- Selling property in Mexico
- Pros and Cons of buying a property in Mexico
- Mexico Real Estate Laws – The best overview
- Will the demand for homes in the Riviera Maya continue to increase?
- How to sell your home in the Riviera Maya
- Top questions to ask your real estate agent before buying a house in the Riviera Maya
- The advantages of buying a home in the Riviera Maya
- A complete guide to relocating to Playa del Carmen – Houses, services and everything you need to know
- Best Playa del Carmen Condos for Sale – 4 tips to land the best Condo
- Playa Del Carmen Luxury Villas
- Luxury Villas Tulum
- Luxury Villas Cancun
- What are the risk of buying real estate in Mexico?
- HOA Mexico – How the homeowners association works in Mexico
