Friday, Sept. 5, 2008

Dear International Living Reader,

You have to kiss a lot of toads before you find a prince.

A friend is in Merida to look for a home. She has a limited budget and specific parameters: She wants the property to be in the city’s Centro historic district and to include a casita or enough space for a guest suite that she can rent to supplement her income. She wants to spend no more than $80,000 for the property and any necessary renovations.

I tagged along as she looked at two possibilities. One house is just a half-block off pretty Parque Mejorada and about six blocks east of the city’s popular Plaza Grande. It is a two-story home and the upstairs could be used as a guest suite, although some windows or skylights would need to be added. There is also the opportunity to rebuild a small outbuilding in the back into a master bedroom…if the walls are stable enough. The property is long and narrow and there is also room in the backyard to add a pool. The asking price is $62,000.

My friend has some mobility issues and she’d do best without stairs to climb. This house needs lots of work. In addition to the pool and master bedroom, new electrical wiring, new plumbing, and a kitchen will need to be added. Another bathroom would have to be added to the guest suite upstairs. I’m not an architect or a construction engineer, but I’d suspect the renovations will cost as much as the house. More than her budget.

The second house we saw is even farther east—about a 12-block walk to the Plaza Grande. This house has offstreet parking (a rarity), a living room, dining room, kitchen and small alcove area, plus three bedrooms and one bathroom. Some renovation would also be required here, as, at the very least, another bathroom would need to be added to turn two bedrooms into a guest suite. To accomplish this, some walls would have to be removed and others added.

We think the electricity has been updated and that there is a well in the back, which could be used to fill a pool that could be built there. But we’ll need an expert to confirm that. Oddly, the property also includes a small amount of property behind the neighbor’s yard (accessed by a stone-walled walkway). This plot is big enough for a casita. The asking price for this house is $62,000. I’d guess that with another $20,000 you could build the bathrooms and pool and spiff the house up quite nicely…but maybe not add the casita.

If my friend can get the seller to accept a lower price, this house may fit her needs. The neighborhood is quiet, safe, and pretty…but to date, most expats prefer to be in an area west of the Plaza Grande. The location, and the distance from the heart of the action, may hurt her chances to find renters.

As one real estate agent advised my friend, the first and most important step is to determine how you will use the property. Then, focus on the best location. After that, look for the specific property in the specific location.

There are more homes to look at, of course…more toads to kiss...so we’re optimistic that a prince of a house is out there somewhere.

I’ll keep you posted as the search continues.

Regards,

Suzan Haskins
Your Latin America Insider, International Living

Editor’s Note: If you wish to hear everything there is to know about living and investing in Mexico, join Suzan and many more Mexico experts at our Live and Invest in Mexico seminar, Nov. 6–8, in Merida, Mexico. Today is the last day of our Early Bird discount offer, so register before midnight tonight to take advantage of this discount.