Estimated Closing Costs for Real Estate Purchases
This estimate of closing costs came from a well know Notario and was for a $70,000 (USD) property we were considering in July, 2005. These are the fees paid to, or disbursed by, the Notario. The bank trust fees are listed further below for reference.
The total closing costs, almost $8,000, for this property was going to be 11.3 percent of the cost of the property. I was able to shop around and we could have saved a few hundred dollars on the bank trust by using a smaller bank. I also got another quote from different Notario, and the fee wasn’t substantially different. I suggest using a Notario you are comfortable with and not worrying about saving a few pesos. Not all Notarios will give a quote for their services.
TRUST $70,000.00 DLS (EQUIVALENTE $760,900.00 PESOS)
NOTARY'S FEE $26,534.37
TAX $3,980.15
1).- TRUST 21,227.50
2).- PROMISE OF TRUST 5,306.87
APPRAISAL $2,000.00
NO DEBIT LETTER JUMAPAM $85.00
CERT. FREE OF LIENS $190.00
SOLVENCY $160.00
MAP $200.00
PUBLIC REGISTRY .825 % $6,277.42
ACQUISITION TAX 2.2 % $16,739.80
TOTAL $56,166.74
$5,313.78 DLS.
DÓLAR (BANORTE, S.A.) July 7/05
BUY 10.57
SELL 10.87
BANCOMER'S FEES FOR TRUST
$10000 Pesos US $946.07 Permit from the Ministry of Foreign Affairs US $1,720.00 Acceptance, registration, initial and annual fee. US $2,666.07 TOTAL
Grand Total $7979.85
For more information about buying property in Mexico, try this RealEstate.
This an estimate from a single Notario for a single property. Your costs will likely be different. Exchange rates will also change over time and might effect the estimate.
The percentage quoted above, 11.3% is for this example only. Some of these costs are a simple percentage (i.e., PUBLIC REGISTRY .825 % and ACQUISITION TAX 2.2 %). Other costs (e.g., BANCOMER'S FEES FOR TRUST) are fixed. Therefore, a $300,000 property might drop the closing costs as a percentage of the purchase price to 4%. A $30,000 house might bump this percentage up to 18% or more.
Complications in title, or other legal work, or translation services may increase your fees paid to the Notario. Express mail services, like DHL, could also add to your final costs as could other outside services like a home inspection.
DavidShafer August 1, 2005