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Frequently Asked Questions

 

Why is Baja Properties my best option to purchase property in Los Cabos?

Baja Properties is the most established real estate company in Los Cabos.  Our experience is unmatched and our knowledge of all areas of Los Cabos is highly regarded in the real estate community.  Our team of friendly professionals is fully licensed and trained.  They are considered the best in the business.

 

What areas does Baja Properties cover?

As the largest real estate company in Los Cabos, Baja Properties has offices in Cabo San Lucas, San Jose del Cabo and Los Barriles.   As a point of reference, the majority of the properties we represent are located between La Paz, the state capital, to Cabo San Lucas at lands end.   Included are all property types, homes, condominiums and land along the coast line of the Sea of Cortez and the Pacific Ocean as well as off beach properties for individual or development purposes.

 

As a foreigner, can I own property in Mexico?

Yes it is possible to own property in Mexico.  The confusion about property ownership comes from an amendment in the Mexican Constitution that prohibits foreigners from owning land within a certain number of kilometers from its borders and coastlines.   Many foreigners in the past would go around the law by leasing it from a national owner or paying a fee to use their name.  It was a lousy system.  In 1970 the system changed.  The Mexican government began a concerted effort to encourage tourism and property investment.  But the amendment still existed.

The government consulted with international attorneys and adopted a Trust system of property ownership that would appeal and attract foreigners who were used to the fee simple system.  Based on a similar system in Hawaii a property in trust would allow the foreigners to own the land by transferring title from the original owner with a one time purchase price, giving all rights of use, building, reselling, and renting as the local laws would allow for the life of the trust.  The result of the planning was the Fideicomiso. Essentially it allows you to purchase property of your choice.  The agreement puts the title of your property in the name of a Mexican bank designated by you and that is how the amendment is respected.   Unlike Hawaii the Fideicomiso is established for a term of 50 years and is renewable in perpetuity. Since 1970 the tourism and foreign investment market in Mexico has become an impressive part of the Mexican economy.

In our 24 year history we have witnessed remarkable changes in the real estate industry.  Today U.S. Title Insurance is available on properties which launched U.S. based long term mortgage financing for properties in Los Cabos. We at Baja properties are very experienced in all aspects of closing procedures when purchasing your property in Los Cabos.  We will recommend only the properties that meet the strict guidelines for U.S. title insurance.  Although the purchasing process is a bit different we will guide you through the closing effortlessly.   Feel free to let us know if you would like to know more details.  We will be happy to answer any of your questions.

 

Can I get financing?

It is easy, safe and affordable for foreigners purchasing real estate in Los Cabos. With the introduction of financing, U.S. Mortgage companies are offering long term, fixed rate financing for periods up to 20 years using your property in Mexico as collateral. This new chapter in Baja’s history makes it possible for those who could have only dreamed of owning a vacation home in Los Cabos, an affordable reality.  Most finance companies will lend up to 70% of the purchase price, with fixed interest rates averaging at 8%. Los Cabos is not longer exclusive to the cash buyer. Once the U.S. Mortgage company has approved your loan, they will contact the Public Notary to draft the Trust document. The Trust Deed will be registered and you will make payments to the U.S. Company as you would any loan. Interest and other tax deductions apply in the United States. Please let us know if you would like to finance your purchase in Los Cabos. A pre-qualification form is available upon request which can be approved within 24 hours. We will be pleased to assist in obtaining the best option for you.

 

Can I get Title Insurance?

Yes.  Buyers can have more confidence then ever before regarding the security of their purchase.   U.S. Title insurance can be purchased for properties in Los Cabos through the services of Fidelity-Global Solutions of New York, Stuart Guarantee Title of Mexico and US based, First American Title. We at Baja Properties highly recommend title insurance to our clients.   A title commitment can be provided prior to closing, however the actual insurance policy is issued to the purchaser when they receive their Trust Deed in their name.   Some properties have title insurance commitments in place removing any doubt of the status of the title.  Some properties do not meet the guidelines established by the title companies.   Baja Properties will only show investors properties which can and will meet the standards of title commitments and insurance.

 

Can I rent before I buy?

Renting is hugely popular in Los Cabos.  Many retirees enjoy three week to two month stays, escaping the winter cold at home.  There are no properties that offer a rent to own program, as the traditional buying market is strong.   Many established properties have on site rental programs that would give you the chance to try out longer stays or try out different areas of Los Cabos assuring you have found your perfect property in Baja.

 

Who can manage my property while I'm not in Los Cabos?

There are many property management options in Los Cabos.  Depending on the location, type of property  and  individual needs will determine your management company.  In some cases on site management can best provide services and for some, perhaps those who own a secluded beach front home would best be managed by a caretaker.  Our local knowledge will lead you in the right direction for the ideal management of your property.

 

About Los Cabos Is it paved?

It wasn’t long ago that this question would have a very different answer.     Los Cabos continues to experience unprecedented growth.  It came upon a very undeveloped area, that now boasts modern infrastructure, state of the art desalinization efforts and construction of new roads offering improved airport access to Cabo San Lucas, La Paz, and the burgeoning East Cape.  However, if your idea of the perfect property has a dirt road access, we at Baja Properties know just where to look!    Just outside of the resort areas you can feel far away from it all.  Many property owners prefer to live “off the grid” in Baja.    We can answer any questions you have about how to do so, feel free to ask.

 

What are the best places to live in Los Cabos?

Lifestyle choices in Los Cabos are as diverse as its amazing beauty. Ultra luxurious resorts offer indulgence and amenities, while the secluded East Cape offers tranquil beaches and open spaces.  Each area of Los Cabos offers a different experience, from artsy Todos Santos to lively Cabo San Lucas and the idyllic San Jose.  Let us know how you define luxury and our team of professionals will find the ideal property for you.

 

Can I bring my own car?

Driving the Baja Peninsula is one of the most dramatic and interesting drives in North America.  It is a long drive., about 1,000 miles from Tijuana.  Many property owners choose to make the trip in order to have a car in Los Cabos.  It is tricky though as many states in the US require annual smog checks which would require a yearly trip.  Many owners choose to purchase a car locally and today there are many options for purchasing a car in Los Cabos.

 

Where can I do my grocery shopping?

From the organic market in San Jose del Cabo to Costco in Cabo San Lucas, today Los Cabos offers the ease of grocery shopping as you would expect at home.   It is quite an undertaking as our remote location at the bottom of the peninsula would suggest.  With wonderful local fruit and vegetable markets, quirky little tiendas that seem to have just what you need and gourmet bakeries and delicatessens, grocery shopping in Los Cabos is convenient with  a charming, small town way.

 

Are there good restaurants in Los Cabos?

Dining is Los Cabos is big part of what makes Los Cabos unique.  There are restaurants for all tastes and budgets.  Famous for our seafood of course and local fresh flare, gourmet dining with full moon views and tacos after 11:00 pm are local favorites.  If you need a recommendation, just let us know.

 

How far is La Paz from Los Cabos?

La Paz is the state capital and it is located about a two and a half hours drive from Los Cabos.  There are two ways to get there, either along the Pacific or along the Sea of Cortez.  We recommend taking the journey; the drive is safe and beautiful.  We don’t recommend driving at night though, as livestock pass heavily across the highway.   At the halfway mark along the Pacific you will reach Todos Santos and Los Barriles along the Sea of Cortez.  Both make for great exploring, lunch or an overnight stop.

 

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