Real estate means investing smart and safe. That's why it is the top choice for both investors willing to make their money grow, and families building their wealth. Because of real estate's preeminence in the market, and the success it brings about, scams are an actual danger when it comes to investing in a property.
According to the Mexican Association of Real Estate Professionals (AMPI), scammed real estate customers lose over 500 million Mexican pesos each year. Most frauds happen in the Mexican states of Michoacan, Guanajuato and Queretaro. Although the Yucatan peninsula is not on the list, some frauds have also happened here and the best thing you could do is avoid any risks.
Most common scams include document forgery and fake sales. Occasionally, a person pretending to be a real estate agent offers land to customers, collects the down payment, and then disappears, or performs online scams to get some money in advance from customers in order to supposedly "lock down" the property. A softer version would be a real estate developer selling residential projects with the actual property not matching all that was promised.
How to take precautions? We encourage you to hire a notary public, as well as doing a thorough investigation on the seller in order to guarantee their actual identity. When it comes to a real estate company, make sure it is properly registered at Profeco, since this registration is mandatory for all real estate developers since 2004.
Furthermore, if you're dealing with established real estate developers, there are 3 key aspects to take into account that will clue you in on whether to go ahead with your investment process, or avoid an insecure negotiation that will make you regret the consequences:
- A well-known and well-established company is behind the deal, and the agent is an actual employee or associate of the company.
- The company's real estate experience spans over several years.
- The company has a history of successfully delivering what it promises.
At SIMCA Developments, our mission is to provide safe investment opportunities for our clients. Our experience spans over 15 years. Now you know it, if you want to make a safe investment, feel free to contact one of our agents to get to know what we have for you.
