A new residential community project reached a milestone last month as San Besitos Residential entered phase 4 of construction continuing to offer their popular new construction homes at affordable prices located in the heart of the business district just off the main BLVD near Sam’s Club. 

43 homes are planned in total at San Besitos and over 80% of the project is already sold or under contract. The project was well received with phases 1, 2 and 3 selling out in just under six months most likely due to the community’s turn-key approach to construction that includes everything required to be “move-in” ready. 

The new homeowners at San Besitos have access to a private common area that is complete with a large pool, two outdoor kitchens for family parties, gardens and more. The owner’s area requires an optional monthly, “community-use fee,” it’s not a mandatory “HOA” fee and here is the difference. A community use fee is an optional fee paid to use the owner’s private pool area. The cost is $50 a month and access given by an electronic keyless entry code that you enter at the door to gain access. If you don’t need access to the owner’s area then you can choose not to pay the fee and there is no penalty for doing so.

Homes come complete with appliances to include stove, refrigerator, fan over stove, washer and dryer, garbage disposal, cistern, pump, propane tank, mini-splits with heat pumps, mirrors in bathrooms, towel bars/accessories, garage door and opener, hanging light fixtures, exterior coach lights, door stops and more. Every home has a one car garage with a fenced in front and backyard. Homes are connected to city water and sewer. The entire community has underground electric, and roads are paved with calichi.

A common question that gets asked is, “Is it possible to own property in Mexico and how does that work?” The great news is YES as a foreigner traveling or living in Mexico you can purchase property through what is known as a bank-trust or Fideicomiso in Spanish. A bank trust is an agreement where the bank acts as a trustee and manages the ownership of the land along with any improvements and names the purchaser or anybody you choose to be as the beneficiary.

Bank trusts are written for up to 50 years and they are renewable for any number of additional 50-year periods. If you assume an existing bank trust, make sure that there are enough years left in the trust that is satisfactory to you. There is annual fee for a bank trust which varies depending on the bank from $400-$800. 

For more information click San Besitos or any property for sale here in Rocky Point please contact any AMPI-affiliated Real Estate Advisor or email rockypointrealestate911@gmail.com . 

ABOUT THE AUTHOR: Joseph Sanchez is a real estate agent with RE/MAX Legacy and president of Rocky Point Home Builders a developer specializing in custom home design, construction and engineered renovations He resides here in Puerto Peñasco with his wife and three children and is originally from Chicago. For more information visit www.rockypointrealestate911.com on the internet.

Our real estate market here in Puerto Penasco achieved another milestone surpassing $100 million in total “Dollar Volume of Sold Listing,” for the second year in a row making that the first time in history that Rocky Point Real Estate has had back-to-back years of over $100 million or more in sales production. 

This year’s “Dollar Volume of Sold Listing” topped over $126 million ranking this year as the second-best year ever in

the history of Rocky Point real estate sales. Last year’s 2021 production set the record at over $170 million and remains the number to beat. 2022 and 2021 rank as the two best years ever pushing prices to all time highs for sellers while reducing inventories for buyers. 

To put 2022 and 2021 in perspective, in 2019, the last time a record was set sales were at $61 million. Then 2021 arrived in at over $171,000,000 meaning revenues more than tripled the record-setting performance in 2019. 2022 is another stellar year outpacing that record setting performance of 2019 by more than double. 

Another example is the year 2005 which was considered the last real estate boom year before the market crash of 2008, the total dollar volume of listings sold was only a little over $28 million and that was considered a record at that time. 

Also, another noteworthy record to mention is for the first time since the early 2000s, we have had three record setting years in the last four making this period the best years on record for real estate transactions!

What does this mean for Sellers? 

Given the state of the current market, if you are a property owner and have ever thought about selling in the future then I would put your home on the market this year and sell. We are currently at the top of the price surge, and I expect prices to plateau in 2023 due to the high interest rates in the U.S. and negative economic indicators that will deter buyers from purchasing a vacation home. Even if prices plateau it still means you still have an opportunity to get the most money possible for the sale of your property. By delaying the sale of your property this year, you risk getting less money if the economy takes a nosedive in 2023 and you finally decide to sell in 2024. My advice is cash in your chips and do it this year/now.  Consult your local real estate advisor who would be happy to perform a market analysis and tell you how much your property is worth. 

What does this mean for Buyers?

It is still a seller’s market but is slowly transitioning to a buyer’s market because demand has fallen a bit due to the instability in the economy and high interest rates. In 2023 you can expect to pay the same prices you are currently witnessing with some prices starting to fall depending on a seller’s situation. However, what you won’t see is a major drop in pricing during 2023 as we had seen in 2008. Prices have plateaued and will not rise like they were in 2022 but the good news for buyers is they may start to fall just a bit. If you are in the market for a lot, home or condo expect to pay close to asking price because there is still competition for desirable properties that are priced well. 

ABOUT THE AUTHOR: Joseph Sanchez is a real estate agent with RE/MAX Legacy and president of Rocky Point Home Builders a developer specializing in custom home design, construction and engineered renovations He resides here in Puerto Peñasco with his wife and three children and is originally from Chicago. For more information visit www.rockypointrealestate911.com on the internet.

By Joseph Sanchez

In this hot real estate market sellers are demanding top dollar for their homes but once the inspection report is conducted many sellers will realize that a lack of annual maintenance has reduced the value of their property. Here in Puerto Peñasco salt and sea air are highly corrosive breaking down the best materials including stainless steel and yes stainless steel will rust.  A typical 3000 sq ft home should have an annual maintenance budget of $15,000-$20,000 to fix the common issues that arise living seaside. If you currently don’t conduct maintenance here are some tips for maintaining your home and getting top dollar. 

MAINTAINING EXTERIOR FINISHES

It is important to maintain your home’s exterior concrete finish by patching hairline cracks and pops in the smooth at least once a year. We live in a seismic zone and tremors occur often but never feel them most of the time. Those tremors cause the hairline cracking along with the sun and salt air. So, once a year you will want to patch the cracks and defects with cement bond because in the future, they will become larger, and water will enter the home. 

In order to maintain that vibrant appearance, you must paint your home at least every two years. Paint takes a beating here in Puerto Peñasco. For example, when the wind blows it contains sand particles that serves as a natural sand blaster that eats away at the appearance causing it to chip, peel, pop and fade. The same goes for any metals, every year any metal gate doors, railings, etc. should be treated with a protective enamel paint to combat rust and corrosion. 

SEALING YOUR ROOF ANNUALLY

Most roofs here in Puerto Peñasco are also made of poured concrete and they must be sealed every year, or they will leak during a major rainstorm causing damage inside. The problem with concrete is it absorbs water and slowly erodes your roof from within compromising its integrity and causing it to leak unless you take the steps necessary to protect it. 

First, you must professionally seal your roof with a membrane roofing system designed for concrete finishes and once installed it must be maintained once a year by coating it with a special waterproof sealant called Impercool. Many homeowners never perform the Impercool maintenance at least once a year. As the saying goes, when it rains it pours and most homeowners will learn the hard way that this is something that must be done every year.  Be sure to recoat the roof each year to ensure a lasting protective finish. Even if the material bucket says it will last ten years, I promise you it will last just one year due to our climate and the sand blasting effect of the wind.

MAINTAINING WINDOWS & DOORS

The staple material for windows here is aluminum framed windows because aluminum is three times stronger than vinyl, it holds up in this intense climate and once properly fitted very tough to loosen or dislodge. 

However, the window is only as good as the silicone sealing the window frame to the home. Most silicones will last only 6 months or less because again the intense salt air and sun degrades and dissolves most silicones leaving your windows prone to leaking. You must seal your windows at least once a year and perform a visual inspection of each window up to twice a year. We also recommend using a ready-to-use, single-component, acetoxy silicone with fast cure and good weathering characteristics rated with a 781. These products are good for our climate and suitable for use on aluminum and glass and will last longer than ordinary sealer. 

TOP DOLLAR ADVICE

This is the time to sell your home and get top dollar, but some owners will list their homes having never conducted maintenance which only causes them to reduce their net profit. My advice to those who want to sell their homes is to hire a home inspector and perform your own inspection before you list the home. This will give you an exact road map of what exactly needs to be repaired. Once in hand, you can hire a local company to take care of all the repairs then demand top-dollar for you home and sell quick. Do this and your home is more marketable by ranking in the upper category of sellable homes available because most homes currently on the market need many repairs. 

ABOUT THE AUTHOR: Joseph Sanchez is a real estate agent with RE/MAX Legacy and president of Rocky Point Home Builders a developer specializing in custom home design, construction and engineered renovations He resides here in Puerto Peñasco with his wife and three children and is originally from Chicago. For more information visit www.rockypointrealestate911.com on the internet.

By Joseph Sanchez

Every year more and more tourists end up calling Puerto Peñasco home with the purchase of real estate. But often buyers ask, “How does the process work for purchasing real estate here in Puerto Peñasco?” This article will outline the steps from making an offer thru moving to closing. 

Choosing a Real Estate Advisor

If you are wanting to purchase real estate in Puerto Peñasco then I strongly recommend working with an AMPI-affiliated Real Estate Advisor. AMPI or the Asociacion Mexicana de Profesionales Inmobiliarios, is the Mexican Association of real estate professionals which guides its agent members to a proper code of conduct and ethics that dignify the real estate market and protect private property rights, this according to their website. In my opinion, the most important aspect of an AMPI-affiliated real estate advisor aside from ethics is the use 

of standardized contracting forms that keeps the sales process uniform and in accordance to Mexican law which protects the consumer. 

Making an Offer in Rocky Point

Once you have chosen a real estate advisor, they will start sending you listings according to your criteria from the Multiple Listing Service. When you find a property that you like, your advisor will arrange to show it to you. After you view the property, you can make an offer on it and your real estate advisor will write up the details on an AMPI-approved form. Your offer will either be rejected, counter-offered or accepted. If accepted, you will secure your offer with an escrow deposit which is held by an Escrow Company. 

Rocky Point Escrow Company

If you are working with an AMPI Real Estate Advisor than all transactions will use an escrow company for the purpose of securing your deposit payment and ultimately your remaining purchase payment. The escrow company will distribute funds the day of your closing to all entitled parties. The use of an escrow company not only protects and securely transfers large transactions, but it also abides by all Mexican Anti-Money Laundering Laws, which in Mexico are strictly enforced.  

Post-Offer Activity

Once your offer is accepted and escrow deposit made a flurry of activity will begin in preparation for your closing. You will be contacted by your assigned closing coordinator that was agreed to in your offer-to-purchase by the buyer and seller’s agents. They will request information such as a copy of your driver’s license, passport, have you fill out a personal information sheet as an example. Other activity includes conducting a survey of the property or performing a home inspection if requested in your offer-to-purchase. If you purchase a home or condo, most come with furniture so at this time an inventory list is compiled. Once all contingencies are met the sale is put as pending and you relax and cruise to the closing.  

The Closing

A real estate closing in Mexico is conducted by a Notario who will oversee the signing of all legal documents. A Notario in Mexico is a real estate attorney whose responsibility is to register the sale and are legally responsible and held accountable to ensure the deed title is clean and recorded in the public registry. The Difference between a Notary Public in the U.S. versus a Notario Publico in Mexico is that the Notary in Mexico is an experienced lawyer who has been selected and appointed by the Mexican state after practicing law, completing a rigorous application process, passing a stringent exam and also meeting all qualifications set by the government.

Conduct research for the perfect property today.

If you're in the market for a property in Rocky Point, now is the time to educate yourself so register for your complimentary Mexican Real Estate Consultation, Hosted by Joe Sanchez, Developer and Real Estate Advisor at Remax Legacy in Rocky Point. This conversation is the ultimate guide to purchasing property in Puerto Peñasco, Mexico. How do you hold title? What are your closing costs? How is the Market? What can I expect during the process? What banks offer financing? Is it safe in Mexico? Plus any questions that you have. If you are considering to purchase property in the future then you will want to take advantage of this one on one discussion with the local expert.

ABOUT THE AUTHOR: Joseph Sanchez is a real estate agent with RE/MAX Legacy and president of Rocky Point Home Builders a developer specializing in custom home design, construction and engineered renovations He resides here in Puerto Peñasco with his wife and three children and is originally from Chicago. For more information visit www.rockypointrealestate911.com on the internet.

Let’s explore what’s a bank trust, how does it work and why do we need one in this article.

Mexico’s Restricted Zones

Mexico’s current constitution was enacted back in 1917 and it set up restricted zones which forbid direct ownership of land by a foreigner within 100KM (62miles) of an International Border or 50 KM (31miles) from any seashore. Puerto Peñasco falls into both categories because we are roughly 45 miles from an International Border, and we are within the 50KM of seashore.

The reason restricted zones were set up was to protect Mexicans from invasions or encroachment of borders by foreigners. Armies often landed on the coasts of Mexico, established a base and Mexico would lose land mass, i.e. the Spanish Invasion. So, the constitution was designed to ward off this threat and protect the country. 

Over the years, it is less and less probable that a military attack would occur so rather than amend the constitution the Mexican people, through their government, designed a system through which foreigners could enjoy all the benefits of property ownership in the highly desirable restricted zones, hence the Bank Trust or Fideicomiso was created.

The Bank Trust

A bank trust is an agreement where the bank acts as a trustee and manages the ownership of the land along with any improvements and names the purchaser or anybody you choose to be as the beneficiary.

If you ever decide to sell the property, the bank’s trust department is instructed in writing through the closing coordinator that you are transferring ownership to another party. Those new buyers can either assume the current bank trust you have in place or they can initiate a new bank trust. A new bank trust can range from $4,000 to $6,000 depending on the bank. The cost of your bank trust is part of your closing costs which typically can range 4 to 6% of the purchase price.

Bank trusts are written for up to 50 years and they are renewable for any number of additional 50-year periods. If you assume an existing bank trust, make sure that there are enough years left in the trust that is satisfactory to you. There is annual fee for a bank trust which varies depending on the bank from $400-$800.

The Market

Now that you understand how ownership for a foreigner works in Mexico, let’s talk about the State of the Market. The current real estate market here in Puerto Peñasco is very strong, some would call it hot, and 2021 is off to a fantastic start. Just in the first two months of 2021, $10.76 million of inventory has been sold and the average days a property remains on the Market has dropped by nearly 50% from January to February. The demand for a condo, home or vacant lot is high and as inventory slowly drops prices will start to rise. This means if you ever dreamed of owning a vacation property here in Puerto Peñasco now is the time to make your move so contact one of our many qualified real estate advisors who will be happy to show you how you can own a piece of the dream.  

ABOUT THE AUTHOR: Joseph Sanchez is a real estate agent with RE/MAX Legacy and president of Rocky Point Home Builders a developer specializing in custom home design, construction and engineered renovations He resides here in Puerto Peñasco with his wife and three children and is originally from Chicago. For more information visit www.rockypointrealestate911.com on the internet.