Welcome to this latest episode of The Nick Fong PODCAST, where Nick Fong reveals the most important aspects and news in Baja California Sur. Nick is the founder and broker of Ronival Real Estate and has grown his brokerage to become the largest and fastest-growing real estate firm in all of Baja Sur. As such, his inside information will keep you informed.
Today, Nick Fong meets with Javier Madero, a local real estate lawyer, who will explain all about the process of buying and selling property in Mexico. During the interview, they reveal what is called the “catastro value.” Here, learn what it is where to get it.
Now, keep reading to better understand the buying and selling process and specifically, all about the catastro value.
Questions answered from Ronival Real Estate staff
In the video, Nick tells Javier that his staff has assembles some questions for him for this PODCAST. These questions come from the many clients of Ronival Real Estate, which covers all of Baja Sur. The most frequently asked questions have the highest priority to be answered by Javier.
What is the catastro value?
The first question is specifically about the catastro value – what it is and where to get it. In short, it defines the real value of a property without considering many factors that commercial values use, like the property location, how it was built, and some other factors.
The catastro value is the home’s value from the eyes of the government for tax purposes. This value is adjusted every year since taxes must be paid yearly. As Nick mentions in the video, this value has experiences a few increments lately due to the amazing growth in real estate values across the board in Baja Sur.
Now that many properties have been sold recently, due to the great increase in value, along with the many new developments built and sold lately, the government has made adjustments to better reflect actual values. As Javier explains, the catastro value was originally set too high at the beginning of 2022. But now, they’ve reduced it to better reflect reality, which is great news for home owners in Baja Sur.
Fortunately, if the catastro value is higher than what your property is actually worth, there is recourse you can take to correct this. Javier explains to Nick some examples and what steps can be taken to make that adjustment before you pay yearly taxes. During their conversation, they explain capitol gains taxes and reverse capitol gains tax.
The latest immigration process
Before buying a home in Mexico, you must have an immigration form. Recently, the process for filling out that immigration form has changed. As such, the latest immigration process is to fill it out online. This isn’t required for the average tourist coming into Mexico, but for those who seek to purchase real estate in Mexico.
The important thing to know is that if you intend on buying a home in Mexico, you need a tourist visa to close on a sale of your home. As Nick mentions in the video, many of the clients of Ronival Real Estate don’t have that tourist visa when they start the process. He quickly informs them that when they decide on a home to purchase, they need that visa to present to the notary at closing.
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Work With Ronival Real Estate
Ronival Real Estate has helped thousands of buyers and sellers across Los Cabos since 2010. If you’re interested in Cabo Real Estate, our team can assist with everything from showings and negotiations to closing and property management. Have questions? Contact us here or call +52 (624) 227 5766.