Don't Make This Expensive Mistake When Purchasing A Home In Mexico

[@catcamp679]

Brighton, our solution was to transfer our Canadian money to our Wise account. So far, it has worked great.

[@AlmostRetiredinMexico]

Thanks for sharing your strategy!

[@cindyk3076]

Good info as usual, Brighton! Sorry for Michelle, financial institutions should be up-front with fee info, she suffered a huge loss. And thank you to her for sharing her story so that we all will know what to beware of when moving money.

[@AlmostRetiredinMexico]

It's so easy to be excited about buying a house and forget that exchange rates can be tricky!

[@AdeleFrizzell-j7e]

I’m a big fan of wise. A couple things people should know. 1. Wise pays US residents about 4.7% interest/month on any US funds held in Wise. 2. On your computer: You can set an automatic buy when the peso hits a threshold that you specify. For example, I might set a threshold to buy $500 USD in pesos when the exchange rate hits 19 pesos per US dollar. You just have to make sure that you have the funds in your account to convert. You’ll get a notification when it’s done and it happens instantly. This is a great way to sit back and buy pesos at a bargain without having to monitor the exchange rate. You can even create multiple buys. For example, you can set up buys at 19, 19.5 or even 20 pesos.

[@chillnophone2024]

Thanks!

[@951ruben]

Wise is very good also try one finance its used by walmart

[@AlmostRetiredinMexico]

Thanks for sharing. I just started using the interest account. I believe that money is FDIC insured, whereas the other funds in Wise are not. But I haven't tried the automatic exchange yet.

[@951ruben]

@@AlmostRetiredinMexico from my understanding if you opt in to receive the intrest yield you will be covered by FDIC.

[@waynevandermeer3050]

@@AdeleFrizzell-j7e so when you go to a atm in Mexico and withdraw pesos with your wise card what kind of fee does wise charge for withdrawing?

[@jacobsavage563]

Used wise to buy my car down here, was a very large money transfer and it went great and money was there on time and it was the best rate out of xe and my bank

[@AlmostRetiredinMexico]

Thanks for sharing, Jacob!

[@BuceriasRodHardy]

I have been using Wise for many years sending money from the US to my Mexican Bank, never once have I had an issue and I transfer a few thousand USD to once a month. Even used Wise to send money to buy our latest house here in Bucerias Nayarit where we live full time.

[@AlmostRetiredinMexico]

That's great Rod! I just got a note from someone who needed to call their support and had an excellent experience.

[@waynevandermeer3050]

Im new with Wise and I’m in US now but also been using wise to buy pesos while we have a good exchange rate. Just curious when I’m in Bucerias and I use my wise card to withdraw some of those pesos what kind of fee will I get charged from Wise??

[@AlmostRetiredinMexico]

I don't have a Wise card, so I'm not sure. Do you have a Wise card already? I just learned they have paused issuing new cards in the US.

[@ThePugdaddy21]

Absolutely I just bought a house sending my down payment on wise from my U.S. account to my Mexican account. No problem.

[@AlmostRetiredinMexico]

@@ThePugdaddy21 Awesome - congrats on your purchase. And congrats on your timing with the exchange rate!

[@janetprincehair4356]

So informative! Thank you for this information. 😃

[@AlmostRetiredinMexico]

Glad it was helpful! I hope it helps a lot of folks avoid a costly error!

[@melaniesmith3954]

I transferred my dollars as pesos when I bought my house. It was just a wire fee and exchange spread

[@AlmostRetiredinMexico]

But what was the exchange spread? If you leave it up to your bank (like Michelle did) you can get royally screwed.

[@davebaker489]

Wow. You almost need a road map to follow all that. It's very important to do your homework before giving it to a Mexican bank to "hold" for you. Maybe I could do it in gold (if I had any lol). Fortunately for us #1 there are Canadian banks and Canadian affiliate banks. RBC and Scotia to name 2. And #2 Pam's nephew is in finance (he has a boutique investment firm) But you need to be worth at least 2 million to start. What can I say ... We are not clients. However he and Pam are very close so he can help and maybe advise on the where and how. Once again very important info to know. Thanks Mr B. PS your mic was fine his was echoing a bit. I wonder is your mic picking up the conversation along with yours? If so a hammer can fix that. lol P n D

[@CassieDavis613]

Hammer time. 😄

[@AlmostRetiredinMexico]

I should take a hammer to those microphones so I never accidentally use them again. I just got new ones yesterday for my trip to Oaxaca. It's good to have a financial wiz in the family (even if you don't officially qualify.) Good to have lawyer, a cop, a criminal and a financial guy... Hmmm... some of those may cross over...

[@davebaker489]

@@AlmostRetiredinMexico I think we all "have" criminal connections, even if we don't know. For sure we have the others. No family is perfect lol. Re the Mic I do believe the 2nd mic is over layering the sound and the 1 you were wearing together with a slight time difference. Other Tubers have given up and are using their smart phone Mic.

[@luikmex]

Scotia Bank has no fees for Scotia Bank Canada account holders. The visa passport has better exchange rate than the bank

[@davebaker489]

I wonder if your roof is going to leak. Ileana ?

[@a.b.5418]

Definitely negotiate w/ the banker before you transfer anything. They can give you a better rate. If not, go to another institution that can give you one. They give you a rate if you take your biz elsewhere. Ask, try it out and compare. Don't ever take the first rate.

[@AlmostRetiredinMexico]

So true - but who knew you could negotiate with a bank?

[@KatKatz11]

Do I really need a Mexican bank account if I have my Charles Schwab account in the US and I move money from there to my Wise Card (when rates are good) and just use my Wise Card at restaurants and stores....plus I can also use my Wise Card at ATM to withdraw pesos correct?

[@AlmostRetiredinMexico]

You may need a Mexican bank to pay bills online (I think CFE only allows Mexican banks or American Express.) And if you move full time to Mexico, Charles Schwab may close your account. You can use your Schwab card to get cash in AtMs when the rates are good. They reimburse the fees.

[@KatKatz11]

​@@AlmostRetiredinMexicook then yes if bill paying takes a bank account I will have to. I will be there full time starting in November. But I'm confused about you mentioned Schwab may close my account?? I have watched numerous videos of expats in Mexico saying they recommended getting a Schwab account...and that it works well with the wise card. Schwab just told me once I am living there full time to call them with my new address and then I will be assigned to a Global Advisor when I have questions and want to invest instead of a US advisor.

[@user-bg9em7ch6k]

Yes to the closed account thing (!) Family I know had that happen with TD Ameritrade when the kids were done with college and the family was scattered around the world-even with a US address; TD closed the family’s accounts with no warning and no explanation 🤦🏼‍♀️. They had to fly back to the US and open new accounts- I believe with Chase(?)-that was willing to allow them to travel extensively without penalty.

[@KatKatz11]

​@user-bg9em7ch6k Things have changed since Charles Schwab bought out Ameritrade. I just had my yearly phone call this past week with my agent. He is well aware we are moving to Mexico at end of October and all I have to do once there is give them my new MX address and I will be getting switched over to a Global agent from agent I have now. They have a whole Global division that caters to clients living abroad, the only down fall is you can only invest in stocks, bonds, annuities etc. You cannot open a money market or CD....although if you already have one open before you leave you can keep it open you just can't add to it. So I will keep my MM earning 4.8% right now and anything else will have to be one of the above apprioved investments. The main thing is that we can use our schwab debit card to make purchases and withdraw at ATMs.

[@davebacon6194]

Good one Brighton, I watched this a few months ago but forgot about a couple of things that are very relevant with the good exchange rate now, gracias!

[@AlmostRetiredinMexico]

Glad you came back! Now is a great time to exchange to pesos.

[@luikmex]

When buying a house in Puerto Vallarta they use American banks for the transfer of funds for Escrow Agreement from Canada. No transfer of funds go to Mexico directly. Timing of transfer of funds to USA bank can be set when exchange rate is favorable.

[@AlmostRetiredinMexico]

Interesting! Thanks for sharing.

[@belliott4844]

My transfer for a property in PV went from CAD to MXN.

[@YouGleIt]

Great channel. Just discovered it and am looking back at more past videos. When I hear of homes being sold in dollars I immediately think that we're going to pay more than we should. Is this more transactional or are they listing it in dollars and spiking the cost? Would it be beneficial to save up in pesos for a future home and retirement in Mexico or to wait until one is ready to do so? Thanks for all you share.

[@AlmostRetiredinMexico]

The dollars is mostly for convenience- but these are the more expensive homes. Custom homes and less expensive homes sell in pesos. As to holding pesos for a future purchase, I’d say do it if you are planning to buy in the next 2 years. On average, pesos lose value compared to dollars in the long run. But higher interest rates in Mexico help to offset that - so you’d need to invest your pesos in CDs or government bonds.

[@YouGleIt]

@@AlmostRetiredinMexico Thanks. Good to know. Not looking to do it soon, but more of a long term goal, and still pondering where we might land after raising our kids. I had never considered CDs in Mexico, or investing in government bonds, though we have been doing CDs in the U.S. lately. More to look into. Gracias.

[@user-bg9em7ch6k]

@@YouGleIt Right now many Mexican banks are offering 10.5% on savings. I’m not sure how safe this would be, especially for me as an American, but I am curious (of course) and looking into it.

[@hunterfitch5951]

I used OFX International to transfer about $260,000 and I think it cost me about $1100

[@AlmostRetiredinMexico]

Thank you for sharing!

[@cwisaac22]

I have never had a problem with fees and wiring money to my Mexican bank account. That's because I bank with Actinver, thanks to Brighton!! And so sorry for those who incurred a huge loss due to fees.

[@AlmostRetiredinMexico]

Awesome! I love to hear that! Thanks for sharing

[@Dan-departingin5mins]

Stock market chart patterns work for exchange rates, too, but there’s a big learning curve. If you can find someone who knows, it will help.

[@KatKatz11]

Hi I didn't see any videos that you've made on what I should do about getting channels in Mexico, so I'm just going to post this question here and hopefully you see it. I wanted your advice on what I should bring to Mexico when I move there next month for TV, I heard I should buy an Amazon Firestick (any special one?) we don't watch movies much, we just want to get reality TV (Bravo, HGTV, TLC) sports channels and news (CNN, MSNBC) from the US. Also heard something about a VPN not sure what that's all about Or if I need it? Please help I am not good at this tv stuff even when I Google it still seems a little confusing. Thank you 🌺

[@belliott4844]

Hi Brighton, I have a Wise account for pesos and am looking at opening an account in Mexico. They seem to have digital accounts you can open from anywhere with your CURP no. And you get a digital card for purchases and withdrawels. Is it other accounts, i.e. savings, that you need to physically go into a bank and show something with your address, passport, and FM stamp? These accounts seem to have a monthly max you can deposit as well, around $4k CAD. I am looking at ways to transfer at good exchange rates for when my final condo payment is due and dont want it just sitting in the wise account. Also, does Banorte charge ATM fees? Thank you!!!

[@jdbrews284]

What about using a Mexican crypto exchange linked to a Mexican bank to transfer Dollars to pesos or BTC to pesos?

[@AlmostRetiredinMexico]

I’m not familiar with crypto and how it works when exchanging currency. I need to learn more as it’s popular with expats!

[@TABTheAdventureBound]

Audio wasnt too bad this time

[@AlmostRetiredinMexico]

Thanks - I just bought new microphones for my trip to Oaxaca. So it should be perfect in the future 🤞

[@janajoujan7658]

Excellent video. Yes, for the most part we have found Wise to be our best money friend in Mexico. Have an account at Intercam but like you mentioned, they don't like Wise. Would love to talk to Bernardo. Wish he was in Lake Chapala.

[@AlmostRetiredinMexico]

I know there is an Actinver branch in Chapala (or Ajijic.)

[@bernardogonzalez9816]

Hi, I also manage the Ajijic office , let me know how we can help

[@AlmostRetiredinMexico]

Thanks @bernardo. @Jana - you can email Bernardo at [e-mail]

[@kevinchou9576]

Anyone know why wise is not issuing cards and when they might start again?

[@AlmostRetiredinMexico]

I thought they were only issuing cards to residents of the US. If you are permanent in Mexico, they won’t issue a card. Also, they won’t issue cards to residents of some states. Have you experienced something different?

[@kevinchou9576]

@@AlmostRetiredinMexicoyes, they’re not currently issuing debit cards to US residents. I replied earlier with a link to their support document but the comment disappeared. Hopefully this sticks in case anyone is considering wise and is experiencing the same issue.

[@AlmostRetiredinMexico]

I see that now (on the Wise FAQ.) wise.com/help/articles/6za75AGrPB4T9RfZhKa0zR/temporarily-pausing-issuing-new-cards-in-the-us Thanks for letting me know!

[@hiruu]

I don’t live in Mexico (planning on in a few years) at this time, but I set-up a Wise account and I’ve used it for a few times so far and it worked well. It is funny that by the time this video was recorded until now. The rate is back at 20-to-1 pesos to dollar, 😂.

[@AlmostRetiredinMexico]

Yeah! The rates have really changed this last few months! I’m buying lots of pesos - just in case it reverses.

[@DestinationRetirement]

@@AlmostRetiredinMexico me too

[@AlmostRetiredinMexico]

@@DestinationRetirement Great minds think alike ;-)

[@jacobsavage563]

@@AlmostRetiredinMexicosame man but I’m not sure I wanna do more than 10k usd worth so I don’t have to do an fbar

[@AlmostRetiredinMexico]

FBAR isn't that bad. It's a pretty simple form. I decided it was worth it to get the better interest rates in Mexico. And to buy and hold pesos when the rates are good.

[@virginia2139]

What if u come with an international check.

[@DestinationRetirement]

Does Actinver have a branch in Mérida?

[@AlmostRetiredinMexico]

Yup! Calle 20 235, Planta Baja Local 111, Penthouse Locales 1007 Y 1008, Fraccionamiento Altabrisa, 97130 Mérida, Yuc.

[@bernardogonzalez9816]

Yes we do

[@DestinationRetirement]

@@AlmostRetiredinMexico I am totally going to check that out!

[@mysterytravelandfinance]

How did the lady lose $20K. Was it a $20K straight fee or was it $20K in unfavorable exchange rate vs an alternative?

[@AlmostRetiredinMexico]

It's was an exchange rate that was about 5% lower than the mid-market rate. It should have been closer to 1/2 of a percent or less on such a large transfer.

[@luikmex]

@@AlmostRetiredinMexicowhen we did a transfer from Canada to escrow in US bank we checked every free days for the best rate. Transfer of wired funds was at a lower rate for transfers over specific amounts . No funds were transferred to pesos. It pays to do your homework to check out the transfer rates prior to paying for real estate in Mexico.

[@AlmostRetiredinMexico]

@luikmex Thank you for sharing! Totally worth it to do your homework. But too many people don't realize they have homework to do ;-)

[@Thestocksurfer]

Dollar app $3 charge for the exact usd/mxn rate.

[@AlmostRetiredinMexico]

When you say the "exact usd/mxn rate" what does that mean? Wise states they use the mid-market rate. But DolarApp says you get the "exchange rate at that time." I think I looked up DolarApp's rate at one point and found it to be lower than the Mid-Market rate. There's no way they can transfer large sums for just $3. There has to be a percentage fee built in there somewhere. What is their rate now? Mid Market is 19.96, but it's bouncing around a bit. I don't have a DolarApp account, so I can't see their rates.

[@Thestocksurfer]

@AlmostRetiredinMexico that is how many peso for 1 dollar. Today Dollar app is giving you 20.00 pesos for 1 dollar. Example mxn/usd = 20.00 pesos/1 usa dollar

[@Thestocksurfer]

@@AlmostRetiredinMexico I live in mazatlan. I looked at wise it is not good compared to dollar app

[@Thestocksurfer]

@AlmostRetiredinMexico I watch mxn/usd as I do trading on my charts. Dollar app exchange rate is exactly where the mxn/usd charts. Dollar app exchange rate fluctuates through out the along with the chart. My wife and I have Dollar app and can exchange 30000 dollars a month

[@Thestocksurfer]

@@AlmostRetiredinMexico I just compared sending $15000 thru Wise and Dollar App. You save $110 if you use Dollar App vs. Wise today Rate is the same for both 19.88

[@warrenwade8531]

If you're paying in a foreign currency, you're paying a Gringo price, so you're overpaying. Shop around for a home you're happy with and see the difference. There are many, many people making a ton of money overcharging on real estate. Local economy should be determining what you're paying and if you're too lazy to go see for yourself then you deserve to lose your money.

[@luikmex]

@@warrenwade8531 It depends on the specific city. In Puerto Vallarta prices were being set in USD funds. When the peso becoming stronger it moved to Pesos although it was often advertised in USD funds. The market here actually has something similar to a common MLS called Flexmls.

[@AlmostRetiredinMexico]

Ummm... this video was about exchanging money. If you buy a house listed in pesos, and you have dollars in your bank account, then you will have to exchange your dollars for pesos. And looking around to find cheaper real estate won't solve any exchange rate problems.

[@RexPonder-y6b]

Gringos always ask me why does it cost three times more to buy and live in the Baja than the main land Mexico. I say because they can get it 😅

[@stephanievalencia7329]

lol, love the after the fact commentary. 😂 hope you convert lots of money now.

[@AlmostRetiredinMexico]

Yes - now is the time to convert!

[@CassieDavis613]

All I understood was today's exchange rate. Sorry. Math gives me a headache.

[@AlmostRetiredinMexico]

Exchange rates are confusing - that's why banks use them to hide fees. I recorded this video a few months ago, and the exchange rates today are much better (for those holding dollars and wanting pesos.)

[@zxcvbnmdb]

IT WENT ABOVE 20 MXN TO USD

[@AlmostRetiredinMexico]

Yes - I'm in Oaxaca right now and with it so close to 20, it's easy to change prices to dollars in my head! Just remove last digit and cut pesos in half. 200 pesos becomes 20 (remove last digit), then 10USD (cut in half.)

[@dimassunvalley]

Today was olmost20.00 pesos for 1 us dollar

[@AlmostRetiredinMexico]

Yes - it's so close. I think everyone is set to automatically exchange at 20, so each time it hits 20, it goes back down a bit ;-)