Now that you are selling, it makes
sense to prepare your
title files in order to avoid unpleasant surprises.
 |
WARNING
Don't wait until a prospective Buyer makes an offer. If there
are issues to be addressed, deal with them ahead of time. Otherwise, you'll
lose time, effort and possibly even the sale!. |
Verify that you have the following documents:
An official looking document
which is stamped by both the Property Tax Department and the Public Registry
Office. The public registry information will also indicate date of registration
and book and page number. These stamps are generally on one of the last pages
of the document.
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REMEMBER
Provide all documents, including:
Receipt of payment of
Acquisition Tax
Receipts of payment for Bank
Trustee fees.
Receipts of payment for Property
Taxes.
Receipts of payment for
Homeowners Association's fees.
Receipts of payment for
Utilities |
What about outstanding utility
bills?
Seller is responsible for paying for utilities to the date Buyer receives
possession unless otherwise agreed. Unpaid utility bills may become a lien on
the property.
Estimate your Capital Gains Tax. It is always safe to estimate a tax of
20% of the entire selling price. It may be lower, however, if you can provide
official receipts for deductible items. A copy of the deed with the stamps of
the property tax department and the public registry office is required to make
a more accurate estimate.
Please remember:
Capital Gains Tax in Mexico is paid as follows:
25% of the amount of the transaction (no deductibles apply) or
33% of the difference between acquisition value and sales price, less allowable
deductions.
Instruct the Trustee Bank to transfer title to the Buyer or to the person(s)
indicated by him/her
