Riviera Maya: A Developers Dream Come True- Playa del Carmen Mortgage Watch

As the saying goes, if you wish something with enough fervor, it just might become a reality!

Since we first started working in the mortgage business in Playa del Carmen, we have been asked from developers in the region for a product that would allow them to sell their inventory without the "strenuous" condo regime requirements. This is based on the numerous and complex scenarios developers are confronted with in getting a condominium regime set up in the area. Condominium is a form of ownership of real estate.

A condominium regime is the legal definition of what a condominium is: it is the absolute ownership of a unit based on a legal description of the airspace the unit actually occupies, plus an undivided interest in the ownership of the common elements, which are owned jointly with the other condominium unit owners. Each unit owner of a condominium has individual title to the space inside his unit. The space is sometimes described as beginning with "the paint on the walls." In addition, each unit owner has an undivided interest in the physical components of the condominium buildings and land.

It is common practice among lenders not to fund a property without the condo regime being in place. The condo regime facilitates the process of “escrituracion”, obtaining title to a property, of the condo unit and guarantees the lender its ability to recover the investment in case of default by the condo owner. Consequently, one of the main requirements lenders have when funding a condo unit property would be the establishment of a condo regime by the developer; BUT NOT ANYMORE!

Someone once said, the only “constant in life is change”, and as in any constant growth, as we are observing in the real estate and mortgage industries in Mexico, and the Riviera Maya, in particular, change has arrived! A new product ( by a new lender) is making its way to take a big share of the mortgage real estate market in the Riviera Maya, and it has just been introduced to the area. A product directed at developers so as to facilitate their pre-sale, and sale, of their condo units, will permit developers to transfer title to the property without the strenuous requirement of having their condo regime in place.

The NO CONDO REGIME DEVELOPER PARTICIPATION PROGRAM will allow the developer to phase out their projects and capitalize themselves in the process so as to more readily finish their product and move on to the development of other projects.

Next Article:
How to Determine an Income Property's Value?

This article courtesy of Enrique (Henry) Saldana, Mexico Mortgage and Real Estate Solutions

TEL: (984) 109-2458 - CELL: (984) 116-8528 This email address is being protected from spam bots, you need Javascript enabled to view it , http://enriquehenrysaldana.point2agent.com,

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