Cross Border Investment is proud to announce that although the "high" season has technically ended in Mexico's resort cities, we have been extremely busy with call volume and new loan submissions. We like to keep you informed and would like to talk about the peso mortgage programs.

Currently, there are 4 types of peso mortgages (for residential properties):

1. Peso mortgages for Mexican nationals who live and work in Mexico.

2. Peso mortgages for ALL foreigners who live and work in Mexico.

3. Peso mortgages for Mexican nationals who work in the US or Canada.

4. Peso mortgages for US and Canadians who work in the US or Canada.

For the purpose of this email, we are going to discuss mortgage options 1 & 2 mentioned above. The mortgages are the same - they are for people who work in Mexico - Mexican nationals, or foreigners with an FM2/3. The potential borrowers will qualify with the standard identification requirements, income verification (bank statements, pay stubs and/ or tax returns) and Mexican credit report (please note that although preferable, it is not necessary to have an active credit history.)

If the potential borrower is purchasing the property with the down payment and bank mortgage (and not a government-backed loan, such as Infonavit or Fovisste), he can borrow up to 90% of the value of the property, the mortgage term can be up to 30 years (though most mortgages are for 20 years), the starting interest rate can be just under 10%, and most of the mortgages do not have any prepayment penalty. Some of the lenders have an origination fee, usually 0.5%-1.5% of the loan amount. Cross Border Investment is approved to work with 9 different lenders, representing about 95% of all the mortgage options available in Mexico.

Cross Border Investment does NOT charge ANY fees or commissions for clients who reside and work in Mexico. Since we do not charge fees and some lenders do not either, the costs associated with the loan can often be minimal. Please be wary of any broker who charges fees for this type of mortgage - they are either not approved brokers and/ or are out of touch with market conditions.

Cross Border Investment is fully bilingual and able to service ALL your clients - wherever they are purchasing in Mexico. The tasks of a mortgage broker in Mexico should not only consist of providing loan approval, but also of coordinating the closing of the property with all entities involved - meaning that Cross Border Investment works with our clients from the very first emails and telephone conversations until the deed is signed and beyond. Don't let the summer be "low" season and focus on local buyers!

Thank-you for your time, and please do not hesitate to contact us with any questions or comments.

Kind Regards,

Cross Border Investment