Stupid Shit in Tijuana

[QUOTE=Jackie888;2533777]I am planning to move to Tijuana. Possibly in the playas. But I noticed that most of the pricing on the Tijuana Craigslist is in American Dollars. There were one or two in Mexican pesos, and you get a ton more value. Therefore, I concluded that there is some price gouging done for American renters.

Does anyone know some sources to find Tijuana Apartments other than Tijuana Craigslist or driving around and look for rental open houses? I am looking to spend $400 - 900 for a 2 bedroom, 1 bath. Parking. Playas side. Possibly Rosarito. I'd like a nice place I can stay for long term and call home. I am not looking for a hole in the wall to save money. A condo would be ideal. Anyways, I am trying to avoid the gringo sur charge.[/QUOTE]If you want to live in Gringolandia you're going to have to deal with gringo pricing. Playas, Rosarito, anywhere near the beach between the two, is going to cost you. And all the gringos simply say "Well, if this were California we'd be paying quadruple or more. " If you want to pay local prices you're going to have to live where the locals live, and in much the same way. But few Westerners are prepared to do that.

Anyone here crazy like me to consider buying a condo in Tijuana? How does taking out a mortgage work in Mexico? Anyone tried it?

[QUOTE=Jackie888;2535679]Anyone here crazy like me to consider buying a condo in Tijuana? How does taking out a mortgage work in Mexico? Anyone tried it?[/QUOTE]I would never buy property in Mexico until I had lived there at least 5 years to make sure it was for me. I know lots of people do it, though. As a foreigner you are prohibited from owning property in Mexico within 100 km of the border, but you can set up a trust (fideicomiso) or a corporation. It's super common. You pay like $500 per year to set up the company. You own the company and the company owns the condo. Tons of information online.

[QUOTE=Jackie888;2533777]I am planning to move to Tijuana. Possibly in the playas. But I noticed that most of the pricing on the Tijuana Craigslist is in American Dollars. There were one or two in Mexican pesos, and you get a ton more value. Therefore, I concluded that there is some price gouging done for American renters.

Does anyone know some sources to find Tijuana Apartments other than Tijuana Craigslist or driving around and look for rental open houses? I am looking to spend $400 - 900 for a 2 bedroom, 1 bath. Parking. Playas side. Possibly Rosarito. I'd like a nice place I can stay for long term and call home. I am not looking for a hole in the wall to save money. A condo would be ideal. Anyways, I am trying to avoid the gringo sur charge.[/QUOTE]Since I retired to Mexico (Puerto Vallarta) 8 years ago, the peso has devalued about 100% relative to the USD. The peso was 11 per USD 8 years ago and now it is 20.

Real estate pricing in USD is common in all Mexican resort areas. It makes sense since the value of the peso bounces around a lot. It isn't price gouging at all. But imagine trying to sell a place and pricing it in pesos. $2 million pesos this week, $2,200,000 next week, $2,400,000 3 months from now, etc. Same with rentals.

BTW, most Mexican RE is purchased in CASH and mortgage rates (if you can get one) are higher than in the US and with a far shorter term.

[QUOTE=PVMonger;2535881]Since I retired to Mexico (Puerto Vallarta) 8 years ago, the peso has devalued about 100% relative to the USD. The peso was 11 per USD 8 years ago and now it is 20.

Real estate pricing in USD is common in all Mexican resort areas. It makes sense since the value of the peso bounces around a lot. It isn't price gouging at all. But imagine trying to sell a place and pricing it in pesos. $2 million pesos this week, $2,200,000 next week, $2,400,000 3 months from now, etc. Same with rentals.

BTW, most Mexican RE is purchased in CASH and mortgage rates (if you can get one) are higher than in the US and with a far shorter term.[/QUOTE]Also, keep in mind that when you sell you will owe capital gains in both the United States and Mexico with credits for what you pay the other. Mexico has a high cap gains rate although there are some exclusions as well. Also, because the price of the property may go up in pesos even though the price in dollars doesn't change or even goes down, you could owe Mexican capital gains even on a dollar loss. The tax issues are rather complicated.

[QUOTE=KCQuestor;2535811]I would never buy property in Mexico until I had lived there at least 5 years to make sure it was for me. I know lots of people do it, though. As a foreigner you are prohibited from owning property in Mexico within 100 km of the border, but you can set up a trust (fideicomiso) or a corporation. It's super common. You pay like $500 per year to set up the company. You own the company and the company owns the condo. Tons of information online.[/QUOTE]Within 100 km of the border and 50 km of the coast. My understanding is that there are a number of problems with using a corporation. You have to make monthly tax fillings. There must be a minimum of two owners of the corporation. Also, I think it keeps you from getting preferential utility rates reserved for residential and also keeps you from getting the capital gains exclusion.

[QUOTE=Jackie888;2535679]Anyone here crazy like me to consider buying a condo in Tijuana? How does taking out a mortgage work in Mexico? Anyone tried it?[/QUOTE]All good advice here. The trust (fideicomiso) is virtually identical to its USA counterpart. In fact, it's an excellent way to buy real estate in the USA and shield yourself from certain kinds of liability. Apropos of nothing, California uses Trust Deeds instead of mortgages because much of CA real estate law is based on Spanish law, left over from when CA was property of Spain. So, the fideicomiso is the way to go. You control the trust, you're the beneficiary of the trust, but you technically don't own the property contained in the trust.

As stated earlier, traditional mortgages really don't exist in Mexico. You'll need cash. I looked at a condo in Otay a while ago. Their financing was something like a fat down payment and four, or six, or some such, payments. 30 year mortgage? Nope!

Having said all that, I would never buy something in Mexico that I could not afford to walk away from in an emergency.

I think a lot of us monger partially due to the lack of commitment. It doesn't get much easier than una hora at a time. That's kind of my philosophy with foreign real estate. Of course, this does not apply to the investor types, but if you're simply looking to live in a desired location, why not rent? The flexibility and ability to walk away with minimal harm are crucial for me. Variety is key and I know many of us live by the best pussy is new pussy mantra. Perhaps consider applying that to where you live. I get bored easily so buying something works contrary to that. During a five year period, renting a year each in Tijuana, Puerto Vallarta, Guanajuato, CDMX and Mazatlan sounds a lot more appealing than buying something in one of those cities and living there all five years. Everything depends on your individual circumstances and desires, but I wanted to throw out an alternative approach.

[QUOTE=LuvMexicanas;2536240]I think a lot of us monger partially due to the lack of commitment. It doesn't get much easier than una hora at a time. That's kind of my philosophy with foreign real estate. Of course, this does not apply to the investor types, but if you're simply looking to live in a desired location, why not rent? The flexibility and ability to walk away with minimal harm are crucial for me. Variety is key and I know many of us live by the best pussy is new pussy mantra. Perhaps consider applying that to where you live. I get bored easily so buying something works contrary to that. During a five year period, renting a year each in Tijuana, Puerto Vallarta, Guanajuato, CDMX and Mazatlan sounds a lot more appealing than buying something in one of those cities and living there all five years. Everything depends on your individual circumstances and desires, but I wanted to throw out an alternative approach.[/QUOTE]I agree with LuvMexicans. I have lived in different parts of Mexico. Living in one place in Mexico for a long period of time wears on you. As much as it seems adventurous, the third world aspect of it all gets old after awhile, and especially if you live in Tijuana. I know several friends that have bought condos and houses in and around Ensenada and Rosarito and are regretful. Much better to rent for awhile and then move around. Remember, you are not in America. All of the amenities that we often take for granted do not exist in Mexico. My ex girlfriend from Tropical (I am still trying to get over the damage she inflicted on me) lived in two different apartments not far from La Coahuila. They were one bedroom apartments and she paid 150 and 200 for each. They were not bad and the neighbors were cool. My favorite places lived were Playas and Rosarito, where my rents were 600 and 700 respectively for 2 bedroom places that would have commanded upwards of 12-14 hundred dollars a month in LA or San Diego.

I got to rant about these uber drivers stopping to pump gas. I guess this is also a "culture" thing. And it's happened to me on several occasions so I know it wasn't just a a one-off type of coincidence. Of all the times I've taken an uber or Lyft in the US I've never had a driver pull over and put gas during the ride that I'm paying for. US drivers know that if they're too much of a lazy inconsiderate a-hole to pump gas before accepting a passenger that they will lose their tip and get a low rating. But in Mexico I guess they see things differently. I know what they're doing they're so tight with their pesos they wait until they have a paying customer to actually go and buy fuel. It's such an ass backwards mentality, and in the US would be considered a total dick move, but it seems to be accepted practice in Tijuana.

[QUOTE=LuvMexicanas;2536240]During a five year period, renting a year each in Tijuana, Puerto Vallarta, Guanajuato, CDMX and Mazatlan sounds a lot more appealing than buying something in one of those cities and living there all five years.[/QUOTE]Exactly. I don't want to be stuck living somewhere just because I bought property there. If I like it, I can renew my lease. If not, move somewhere else! See the world a year at a time.

[QUOTE=Phordphan;2535997]Having said all that, I would never buy something in Mexico that I could not afford to walk away from in an emergency.[/QUOTE]I have a buddy who owned a luxury beachside villa on Isla Margarita in Venezuela. He was married to a Venezuelan woman in it was technically in her name, but that didn't matter to the government. When Venezuela and the US got into an economic war, they seized all American-owned assets and he had to flee the country.

I know Mexico is not exactly Venezuela, but I wouldn't want to risk anything I couldn't afford to lose in the event of legal shenanigans by some government official, corrupt broker, or scammer.

Some guys just cannot be stopped from marrying a big girl, buying a house in Tijuana and settling down for eternal bliss.

Why put up with all these assholes laws, taxes and filing requirement every year just to own a pad? Not sure owning your own place in Tijuana is a good idea with lots of crimes and required maintenance, taxes and filing every year. Any potential happiness or capital gain may not be there or worth the hassle.

Here is something to think about and it may not apply to some of you but it definitely does to me. When I go down to Tijuana, there invariably comes a time when I want to get the Hell out of there. I usually go down on a Thursday night. By Sunday morning I have had enough. The third world smell of the place, the crappy rip off antics of the bars and the meseros, the food that has given me a stomach ache, the damn ranchera and banda music, the methed out beggars, the corrupt policia. You get the idea. I long to get back to the good ole USA. Imagine buying a place out there and getting this urgent need to get the Hell out of there but you are stuck. Think about it. Some of my friends that have bought there wish they didn't.

[QUOTE=RikyMichaels7;2536394]Here is something to think about and it may not apply to some of you but it definitely does to me. When I go down to Tijuana, there invariably comes a time when I want to get the Hell out of there. I usually go down on a Thursday night. By Sunday morning I have had enough. The third world smell of the place, the crappy rip off antics of the bars and the meseros, the food that has given me a stomach ache, the damn ranchera and banda music, the methed out beggars, the corrupt policia. You get the idea. I long to get back to the good ole USA. Imagine buying a place out there and getting this urgent need to get the Hell out of there but you are stuck. Think about it. Some of my friends that have bought there wish they didn't.[/QUOTE]Hear, hear. Tijuana is great in small dozes, but the third world shitshow gets to you after a while. A bit like a Zona Norte chica. Good to bang and hang out for a weekend or two, but marrying and settling with, not so much. Those who really want to live there should just rent, never buy.

[QUOTE=Ctytek;2536402]Hear, hear. Tijuana is great in small dozes, but the third world shitshow gets to you after a while. A bit like a Zona Norte chica. Good to bang and hang out for a weekend or two, but marrying and settling with, not so much. Those who really want to live there should just rent, never buy.[/QUOTE]You're a lot more patient than me. Hanging out with a chica for even a day gets on my last nerve so I rarely do it. When I motion to the money on the table, that's her cue to hit the road.

[QUOTE=Jinxx;2536287]I got to rant about these uber drivers stopping to pump gas. I guess this is also a "culture" thing. And it's happened to me on several occasions so I know it wasn't just a a one-off type of coincidence. Of all the times I've taken an uber or Lyft in the US I've never had a driver pull over and put gas during the ride that I'm paying for. US drivers know that if they're too much of a lazy inconsiderate a-hole to pump gas before accepting a passenger that they will lose their tip and get a low rating. But in Mexico I guess they see things differently. I know what they're doing they're so tight with their pesos they wait until they have a paying customer to actually go and buy fuel. It's such an ass backwards mentality, and in the US would be considered a total dick move, but it seems to be accepted practice in Tijuana.[/QUOTE]Man, if it weren't for bad luck, you'd have no luck. I've never had a Uber driver do that. In Thailand, yes. I've had Libres do it. Maybe I've just been lucky. I'll ask Rocky the Flying Squirrel, aka The Queen of Uber. It makes sense that they'd run on the edge. I don't think the Uber drivers make all that much money. That's why I tip them religiously.