Vallarta Life Puerto Vallarta Living and Real Estate Information

With the uncertain and rapidly changing real estate market full of foreclosed homes, how does one determine the true market value of their home? This is and continues to be a complex issue for Realtor Professionals and home owners alike but by hiring the right Realtor to list your home a Fair Market Value (FMV) can be determined.

The days of simply logging onto the MLS and pulling comparables, also known as CMA’s, may still be an affective tool for some areas but in many others it will not work in these turbulent times. Achieving a realistic Fair Market Value will now require much more research, analysis and footwork, especially for tourist markets such as Puerto Vallarta and the Bandera’s Bay in Mexico where, accurate and complete MLS profiled data is not readily available.

In addition, there are those homeowners who are not in a hurry to sell and are willing to wait out the market while their home sits on the market overpriced. Because of this, price ranges for the exact same house in the same area will vary drastically, causing superficially inflated Home Valuations. While homeowners that urgently need to sell for whatever reason (health, financial devastation, divorce, etc.), will list their house based on the neighbors listed price, and along with them will…WAIT! Wait, for the bottom of the market to hit. Wait, for the market to start climbing to their currently over inflated price point. Wait, for an educated and honest Realtor to tell them the harsh truth. Sadly enough, there are many Realtors that will list these homes knowing that the price is too high (this is called “Buying a Listing”) or simply being uneducated in the true current condition of the Real Estate market.

Although, it is the job of a professional Realtor to thoroughly perform the following research, unfortunately there are plenty of Realtors that provide their clients a disservice by not doing so. Prudent homeowners will not solely rely on their Realtor for an accurate Value of their home. Appraisals have also proven not to be a very good indicator of a homes value. Just look at the current foreclosure market, which is in part due to over inflated Appraisals pushed by Lenders and Appraisers.

In an article published on January 14, 2009, by Les Christie, staff writer for CNNMoney.com in New York stated:

“Washington policy makers have taken aim at one of the main contributing causes to the housing crisis: inflated appraisals.” Later in the article she states, “Appraisals get inflated because the incomes of mortgage brokers and loan officers depend on how many mortgage loans are approved.” Click here to read the entire Article

The best thing that a prudent homeowner can do to ensure that their Realtor and/or Appraiser is truly working in their best interest is to begin researching what properties are currently on the market in their area that have the same type of characteristics, size, and amenities. Don’t just look on the local MLS. Search newspaper ads, Craigslist and other real estate classifieds. Ask these questions: How long has the property been on the market? What was the starting price? In what condition is the property? How many people have been shown the property? Have they had any offers? These questions can help you come to a reasonable starting price.

A good Realtor will tell the truth, period! Regardless of how it may hurt their client’s feelings or whether they may potentially lose a client. Don’t automatically hire the Realtor that agrees to list your house for the highest price.

The Realtor should be well established in their selling area and be partnered with many professionals that can offer creative and value added benefits to facilitate a quick sale. Both the Realtor and the home owner should discuss these creative marketing techniques that may become necessary.

Some of these may include:

• Partnering with several Lenders to offer easy financing for potential buyers
• Offering partial Seller Financing
• Providing remodeling estimates from local Contractors (if it’s a fixer)
• Mexico markets can take advantage of the battered peso by listing the home in the MXN currency instead of USD (an educated Realtor will be ready to explain the savings involved)
• Offer discounts for quick closings, or all cash transactions
• Offer credits for Painting, or minor cosmetic work
• Offer to pay part or all of the Buyer’s closing costs

Remember that when life requires the sale of your home, there is no room for emotional attachment. Look at the facts and statistics and not your attachment and memories that may be wrapped in the home.

Don’t start at the very lowest price that you would be able to accept. In this market EVERY buyer is looking for a deal and be assured you will receive “low ball” offers. Don’t be offended and be prepared to negotiate the sale price, don’t be afraid to counter offer the buyers’ initial offer. Your Realtor should revisit and discuss the listing price with you every 2-4 weeks to make potential adjustments due to the market fluctuations.

For more information about buying or selling in Mexico or to receive an accurate valuation of your property, Contact: info@pvbienesraices.com

Misa Chavez ~ NAR & AMPI Certified REALTOR®
Elements Realty Group
Puerto Vallarta Office
322-168-7224 Cel in Mex.
1-800-345-1475 from U.S.
www.misachavez.com

ABOUT THE AUTHOR

Rose Chavez is a freelance writer and Realtor Assistant in Mexico. She has been happily married to Misael (Misa) Chavez for 16 years. They have resided in Puerto Vallarta, Jalisco, Mexico with their four daughters since December 2007. Their “home-town” is Vancouver, Washington where they worked in Real Estate and owned a Construction business for 14 years.

Copyright © 2009 by Rose S. Chavez – www.PVBienesRaices.com All Rights Reserved.

Posted under Investing, Need to Know, Real Estate

Misa and I didn’t make any plans for the evening.  We are usually pretty casual and easy going and enjoy spontaneity.  Around 8pm we decided to walk down the the Malecon.  We bought a couple of beers and sat watching all of the people.  We enjoyed watching the couples all dressed up (or in most cases almost completely undressed!!).  We ran into a client and chatted for a while with him and then we were about to go home when we caught the scent of a glorious smell!

We followed the smell up the street and it lead us to a restaurant that we had never noticed before.  We hadn’t planned on going out and we weren’t really hungry but we both looked at each other and said let’s check it out.

It was one of the best restaurants I’ve been to in a VERY Long time!  The staff was so courteous and attentive.  They gave Misa a red rose to give to me…very sweet.  We ended up sitting upstairs on the balcony and towards the end of the evening the wind picked up and it became quite chilly.  They came out and gave us the option to move inside and offered the ladies a blanket shawl (actually, I do believe it was a table cloth).  So we stayed out there along with two other couples with our blankets wrapped around our shoulders. 

Now the food was exquisite!!  We had the steamed mussels which were in a some type of tomato base sauce with saffron I believe.  They were so GOOD!  Then we had large shrimp with a mixture of mushrooms, veggies and potato’s in some wonderful sauce!   It was all so DELICIOUS!!

We ended up having a wonderful evening and I HIGHLY recommend trying out this restaurant.  You might even see us there because we will be going back.

Los Xitomates de Xalisco located on the corner of Morelos and Aldama

Morelos 601, Col. Centro, C.P. 48300, Tel. 222-94-34

www.losxitomates.com

Posted under 5 Star Businesses, Holidays, Restaurants

We decided to do the unthinkable on Monday.  Our afternoon appointment canceled and since it was an “official” holiday we decided to take the afternoon off and join the tourists on Los Muertos Beach soaking up some rays. 

After a few hours we all finally began to completely relax and enjoy ourselves.  The two younger girls stayed close by building sandcastles and attempting to catch hermit crabs and the two older girls enjoyed being thrashed about in the waves.  Misa kept watch while I dozed off into dream land.  I was sleeping so peacefully with the sounds of the waves crashing and what seemed to be distant chattering and laughter of the crowds of people.  Suddenly, I was startled from my sleep with the sounds of everybody, the entire beach oohing, and awing as they stood facing the ocean.  I stood up to see what the big deal was, thinking it must be another giant turtle, which we had seen earlier but it was even better….two gigantic humpback whales!

The whales put on a show that seemed to last for at least 30 minutes.  Gracefully, springing out of the water and then landing with a belly flop splash as if trying to show off how huge they were.  Spraying water and air from their blow holes and sticking their entire fins out of the water and waving, as if they knew they had an admiring audience.  I think they knew.  

The couple of whales kept up this routine for quite some time with the crowds of people simultaneously breaking out in applause at the end of each giant splash.  We finally had to go so we gathered up our stuff and walked back to the street.  Crowds of people were gathered at the edges of the sidewalks, people were stopping their cars in the middle of the road and walking to the sidewalk just to catch a glimpse of these awesome creatures.

 What a day!  I’m certainly glad that we left our office and work to remember why we moved to this wonderful paradise…..

Posted under Uncategorized

An amazingly affordable housing option is now available for pre-construction sales.  Located in the Heart of the desired Riviera Nayarit 300mts from HWY 200 and 8 kms from PVR International Airport.  Wal-mart and Sam’s Club nearby (completion 2009), IMSS Clinica, Beach, shopping and public transportation all conveniently located but far enough away to maintain a peaceful community in La Fronda!  Did I mention 3 golf courses nearby!!

• Amenities will be built first and will include;
•  24 hour gated security
• Underground services
• On site well
• Pressurized water system throughout development
• Wide concrete streets
• Semi Olympic (10m x 25m) swimming pool
• Jacuzzi and built in lounge chairs in the pool
• Fully equipped gym
• Hammock and Yoga areas
• Steam rooms & saunas
• Dressing rooms with showers and lockers
• Separate children’s play area
• 3 holes of golf (par 3)
• Multi-purpose sports court
• 400m jogging track with a clay surface
• Community clubhouse with seating for 120
• Full kitchen for events and/or restaurant service
• Games room (poker, dominos, ping pong etc.)
• Guest parking

Contact Misa for more information:

============================================
Misa Chavez ~ NAR & AMPI Certified Realtor®
Elements Realty Group
Puerto Vallarta Office
322-168-7224 Cel in Mex.
360-339-7213 from U.S.
Skype: ficusenterprises
visit my site: http://www.misachavez.com

Posted under Uncategorized

We had the privilege of going on an Exclusive Broker’s Tour of 7 of the most prestigious, gorgeous and breathtaking developments in Punta Mita.

The tour left us in whirl of sensory overload and we would love to take the tour again and we plan to do so with our clients!  Thankfully, they provided us with plenty of printed information to take away with us, otherwise we wouldn’t be able to keep the unique details to each of these developments straight.

The biggest and best selling point in all of these is the unbelievable financing that is being offered.  Financing such as Non qualified (no credit checks, no applications!) 30% down you move in immediately (if the house is complete), interest only payments (some are offering 0% for first 12mos) with a balloon for the remaining balance due in 36 months!  Non-recourse loans, no origination or closing fees and NO pre-payment penalty!  Now this is a way to help people maximize their investments in these economical ups and downs!

Here is a quick recap of each Development and what we liked about each:

KUPURI - A word taken from the Huichol Indians which describes the life force resulting from the unity of the inner spirit and nature.

• 15 Private Home-sites (Ocean Front, Ocean view or Hillside)
• Private, clean, virgin beach fronts
• Natural vegetation provides a calm, tranquil environment along paths and walkways.
• Price range - $2,225,000 to $4,375,000 with only 6 left
• Developer: Dine

FOUR SEASONS - Private Villas & Residences

• Includes full access to the Four Seasons Resort Amenities!
• Private infinity edge plunge pools
• Layout is fabulous as well as elegant furnishings
• Views, quality, just plain breath-takings
• 4500-6400 SQFT
• Price ranges $3.8million to $4.2million, only 6 left
• Developer: Dine

AYIA - means a sacred place.

• Sophisticated Condominium style living with all the amenities of a resort
• Tiered architectural design that provides absolute privacy on all of levels and all terraces!
• Just love all the glass and spacious terraces that seem to bring the outdoors in and the indoors out!
• On-site management, full concierge and rental services make this an ideal Rental Investment
• Affordable pricing at only $695K to $825K
• For a limited time a $35K furnishing package is being included in the Purchase price!!
• Developer: Basri Emini with Architecture: Jose “Pepe” de Yturbe

EL ENCANTO- (Spanish for Enchanted) 54 Luxury Home sites

• Love the tiered hillside design
• The tall ceilings with the added wood beams made this feel like home when we walked in.
• The home that we toured was the Residencia La Marea with huge central courtyard and the ever fashionable plunge pool!
• Exclusive Private Beach club and Concierge
• They are also building Luxurious Condos with the same great attributes of these homes!
• Price Range: $1,095,000 to 2,895,000
• Developer: KMD and Architecture Jaime Guzman

PORTA FORTUNA -

• Zen, Mediterranean (or rather Mexiterranean), Italian flavor.
• There are only 2 of each house plan available now (2 Zen Casitas, 2 Beach Villas & 2 Quintas Las Mareas).
• Luxurious living at it’s finest with exclusive Playa Fortuna and Porta Fortuna’s Yacht Club
• Furnishing packages are available
• Price Range: $1,495,000 to $4,500,000
• Developer: Damavandi of Inspired Resorts

LAS PALMAS -

• The first thing that is very impressive and a value added benefit are the memberships that are included in the prices; Four Seasons Golf Club (a Jack Nicklaus Signature course), Punta Mita Residents’ Beach Club and the Four Seasons Tennis Club!
• Palm trees (which I love) they are in abundance.
• VERY reasonable priced, especially for the quality and amenities that are included!
• Price Range: $1,095,000 - $2,045,000
• Developer:

LAS CAÑADAS -

• The Panoramic Views are breathtaking!
• The design for these are very unique with the main house made for gatherings and togetherness, while the master suite and the garden suites are completely detached from the main house.  It’s like purchasing 3 houses in one!
• Each lot is HUGE and the buildings are designed around the land itself not the other way around.
• I can’t wait to see the finished development!
• ONLY 10 left….from $1,520,000 to $2,460,000
• Developer:

I know that my very brief descriptions of these resorts don’t do them justice.  The best way to experience these resorts is to take a tour yourself!

Would you like more information about Puerto Vallarta?  Go to: http://www.vallartalife.com or http://www.elementsofmexico.com

Posted under Investing, Real Estate, Tours

Has the “doom and gloom” of the U.S. economy caused you to start saving your money instead of investing it? Of course in any investment there is always some amount of risk but knowledge is power when it comes to investing. In this blog lies a little bit of information to perk your interest in investing in the Mexico housing market.
That’s right investing in the housing market! The housing market in the U.S. may be in the slumps which has caused both Americans as well as some Canadians to become skittish about investing in the housing market in Mexico. In areas of Mexico where Americans and Canadians have in the past represented up to 50% of home purchases, Mexican citizens are picking up the slack.

The now apprehensive and cautious American and Canadian investor has created a buyers market in many areas of Mexico such as Puerto Vallarta and other popular tourist towns. The Mexican citizens are wasting no time buying up hot properties as their primary residence, rentals or a second home. They know as in times past the U.S. economy will mend itself and investors as well as retirees will be back in full force to invest in their piece of paradise.

The Miami Herald wrote:

“Long thrashed by swings in the U.S. economy, Mexico now boasts a thriving housing sector whose record growth leads Latin America — a sign of increased economic stability and an outlet for investors looking to escape the U.S. downturn.”

Karla Palomo and Bill Faries on Bloomberg.com writes:

“March 19 (Bloomberg) — Mexico’s Finance Minister Agustin Carstens said that a U.S. housing slowdown and losses incurred by subprime mortgage lenders won’t damp growth in Latin America’s second-biggest economy.”

So, are you going to wait until after home values rise in Mexico to invest or retire in your dream paradise?   Or would you rather buy while it is still a buyer’s market? There is great negotiating power in purchasing homes, lots, and commercial property in a buyers market.

Not sure where to begin?  Check out Vallarta Life or Elements Realty Group to learn some of the basics of purchasing in Mexico.  Then if you would like to start looking at properties or you have more questions give them a call.

Posted under Investing, Need to Know, Real Estate

All month we have been watching as stores, restaurants and businesses hurriedly finish their remodeling projects and spiff up their store fronts with added touches of red, white and green. For what you may ask….

September 16th (although the celebrations begins on the 15th) marks the anniversary of Mexico’s true independence day. It is a common misconception that Mexico’s Independence Day is May 5th but in fact Cinco de mayo is a celebration of Mexico’s victory over the French in the Battle of Puebla on May 5, 1862 lead by General Ignacio Zaragoza. Cinco de mayo has since become a date which is observed by the U.S and other countries to celebrate the Mexican heritage.

In 1810 a revolt was being planned by Father Miguel Hidalgo from Delores, Mexico and his rallying groups. When the Spanish people found out about it the Spanish government called for his arrest but Hidalgo called his congregation to a mass on September 15th and rallied them to fight back. That is when he gave his well known ‘Grito de Delores’ speech and that is how the tradition of shouting “Viva Mexico” and “Viva la independencia” started.

Inspired by Hidalgo’s rally efforts, the Criollos (wealthy Mexicans of Spanish descent), Mesizos (children born from the marriage of a Spaniard and an Indian), and the Indians all fought side by side. They armed themselves with knives, clubs, sling shots and ancient guns and began their march to Mexico City. Before they made it to Mexico City a battle sprang out in Guanajuato between Spanish soldiers and Hidalgo’s army of citizens. The army killed the Spaniards and continued their march to the capital. Some of Hidalgo’s followers left before reaching the capital and then before the year was over Hidalgo was captured and executed. Devoted followers continued to fight for the independence of Mexico from Spain for eleven years before their freedom was finally won.

The Mexican Independence Day Fiesta is celebrated much like the United States Independence Day on July 4th. Many rodeos, parades, bullfights, horseback rider performances and grand feasts are to be found throughout Mexico on this festive holiday. Just like the colors used to celebrate the 4th of July represent the colors in the U.S. flag likewise, the colors in the Mexican flag are used to decorate for this day in Mexico. The green on the left symbolizes independence, the white in the middle symbolizes religion and the red on the right symbolizes union. Shouts of “Viva Mexico” and “Viva la independencia” fill the air all across Mexico on the night of September 15th at 11:00pm, along with confetti, streamers, balloons and hoopla!

So, if you have never experienced Independence Day in Mexico then try planning your next vacation in Mexico to include this week. That is if you don’t mind the humid weather and rain!

Posted under History, Holidays

We are surviving our first “full” year in Puerto Vallarta! Well, we are more than just surviving, we love it! We had grown somewhat apprehensive after hearing how bad the rain was here. But it is nothing like the great Northwest (Seattle, WA and Portland, OR areas). When it rains there it will literally drizzle or pour non-stop for 20 days in a row, morning, noon and night! That gets depressing real fast!

The rain here is tropical for one, so it is warm all the time! I prefer the humidity to the cold, chilly rain. Secondly, it only rains in the evening and only on rare occasions does it rain during the day. I suppose rain could be the wrong word for Puerto Vallarta….torrential down pour is more like it! The nightly rains do bring a very desired coolness to the air and a refreshing shower to the beautiful scenery that awaits you every morning. With the sun shining and the freshly wet smells, every morning is a joy to wake up to! So, even if the evening rains bring you the blues, they are always very short lived!

Puerto Vallarta is actually on the same latitude as the Hawaiian Islands with a sub-tropical climate very similar to that of Hawaii’s. The main differences are a) that Puerto Vallarta, Mexico is a whole lot closer to the U.S. and Canada, b) everything is dirt cheap compared to Hawaii, c) the main language is Spanish (of course), and d) this is a foreign country and you live by a different set of rules (some good, some not so good).

Even though June through September is Puerto Vallarta’s low season, it still gets very busy. There may not be a ton of Canadian and American tourists but there are a lot of Mexican tourists from all over Mexico that make Puerto Vallarta their vacation destination spot. Many high profile politicians, and business men and women in Mexico own a second home here or along the Mexican coastal line.

If you decide to vacation here during the low season just remember that a lot of the activities that tourists enjoy during the high season are not up and running at this time. Although, there is still plenty to do, taste and see. It’s just a quieter more relaxing time of the year.

As for us, we love it and plan to stay!

Posted under Need to Know, Weather