These are the things that can prevent you from getting a loan for your property in Mexico
Sales Price less than $100,000
Loan Amount of less than $50,000 (sales price has to be at least $100,000)
Ejido Property – must be regularized property with an escritura/deed
Mid-credit score of under 680 – no exceptions
Bankruptcy within last 5 years
Late mortgage payment within last 24 months – no exceptions
No municipal water or electricity - individual water wells and electricity provided only by solar and/or generators are not acceptable. Individual septic systems as well as community water systems may be acceptable on case-by-case basis
Self-employed less than 2 years (exceptions case-by-case)
Condo Regime not yet recorded - for new "pre-sale" condominiums only. (we can approve your loan and then fund after the condo regime is approved & recorded) – a condo regime is not required unless first transfer of title is from developer to you (i.e. a new condo).
Title in Mexican Corporation – must be in individual name(s)
Lot in your name and you want a construction loan (construction-perm loans require one contract to include sale of lot AND construction of the home)
Homes on lots of greater than 2,000 m2
Insufficient Income – must have sufficient income to qualify for all housing expenses and other debt obligations.Social Security & pension income is acceptable. Income is verified using last 2 years of tax returns.
More than 3 open 1st mortgage loans (2nd’s and HELOC’s don’t count) – Mexico loan can be your 4th open 1st mortgage loan(exceptions granted case-by-case, please call us to see if you qualify)
Purchase of a 2nd Mexico property with a new loan if you already have a Mexico property with a loan on it
No current US or Canadian passport or current Work Visa (must obtain prior to closing)
No tax returns filed for the last 2 years in your home country - amended returns CAN be filed to qualify.
Citizen of any country other than Canada, US, Spain or England unless current work visa and filing income tax returns in one of these countries.
You can be pre-approved for a loan before you write a contract?
This gives you the confidence that your money is lined up before you write a contract and commit to paying your earnest money deposit (usually 10% of the sales price)
This also gives you the same negotiating power as a cash buyer because you can write a contract with few or no loan contingencies and assure the seller a fast closing.
Apply now for your pre-approval. This will take 2-3 weeks. If you will be coming to Mexico in a shorter timeframe, please call or email and we can pre-qualify you over the phone with unconfirmed information you provide to us on the phone.