Closing Process in Mexico
In Baja California Sur is common to hire Closing Companies, these are dedicated to giving service to all buyers and sellers of real estate in the State, these companies should provide professional and efficient closing guidance, and should to have experience in real estate issues, procedures, and professional skills and knowledge in Trust agreements.
The Closing Coordinator, is the professional who will take care of all the paperwork needed and will keep you informed throughout all the process, from the moment of the offer is accepted until the buyer receives the title in hand, is the person who will coordinate all the parts involved in the process -seller, buyer, notary, and fiduciary bank- in order to get the information, documentation and legal acts needed to conclude the purchase. Also, the Closing Companies supports with any title related matters, such as changing the substitute beneficiaries in the trust, lots fuze, extinction, fiduciary substitution or extension of the Trust life.
Our recommendation always will be to hire the Closing Coordinator services which include among others:
- Review of the title documentation.
- Review of the needed documentation of all the parties (buyer, seller, fiduciary,…)
- Preparation of the POAs
- Preparation of Promise to Purchase or Trust Agreement
- Preparation of Escrow Agreement
- Coordination of all the procedures in different instances.
- Preparations of all the needed forms
- Obtain the necessary certificates (no debt water, property taxes, no-loans) and the appraisal.
- Deliver to the Fiduciary and Notary the complete file for the legal acts required.
The closing costs depend on the legal acts, documents to get, and the Fiduciary Bank.
Escrow Agency service, Title insurance ,Taxes and Notary fees are not included in these costs. But Closing coordinator will provide you an estimate closing cost for a purchase of a property. We highly recommend that Both parties of the purchase have to hire their Closing Agency
The parties of the purchaser, buyer and seller, have to hire escrow agency services, this agency is an impartial third party and only receive the resources of the purchase agreed between the seller and buyer in the offer contract and the escrow agreement, basically they put the rules and conditions about the purchase, dates, action, payments and penalties in case of non-compliance with the conditions agreed.
The Escrow will receive in its own bank account the initial deposit and the total price of the purchase payments and other like closing expenses and will keep these in custody until the parties in terms of the agreements give their instructions to wire transfer the different agreed payments too.
This is the best way to save the money paid in the case of non-compliance with some of the parties involved in the purchase process.
The estimated Escrow fees for its services run about $700.00 USD