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karynandphil

Jul 5, 2003, 2:37 AM

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Renting out your home in Mexico

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Hi

We're considering building a home on Isla Mujeres and then letting it out through a rental agency.

Does anyone have any experiences or advice for anyone contemplating this and the associated costs. Any recommendations of good agencies would also be greatly appreciated.

Many thanks

Karyn

Jim in Cancun / Moderator

Jul 5, 2003, 7:00 AM

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Re: [karynandphil] Renting out your home in Mexico

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I love Isla Mujeres and have a lot of visiting friends that do too. My recommendations are that you should build your house and use it as much as possible but don't ever think of it either as an investment or a money-maker or you will be disappointed. Of course agencies on the island and in the area will tell you that you will be able to rent it out for to-good-to-be-true rates (which should give you a clue right there) and they may be able to rent them from time to time. If you make a deal with them, make it for a fixed percentage of the rental rate--no upfront fees or monthly charges. Then see how many want to help you. It should be mentioned that with more and more hotels and condos on Isla, the locals are increasingly unhappy with "foreigners" renting out their properties and not paying corresponding hotel and condo taxes and not contributing to the sustainable growth of the island. I also suggest you post on

http://www.cancunlite.com/ (Lots of Islaholics on this one too.) and

http://www.isla-mujeres.net/wwwboard/index.html (Judy, the owner of the site lives on Isla.)

You will get lots of good answers there too.

I am, of course assuming that you know all about buying property in and living in Mexico. If not, you should read everything you can find at

http://www.mexconnected.com/...ivinginmexindex.html

I have a house in Cancun and a little ranch property I have bought and have lived here for about 16 years and have seen lots of people come and go so I have gathered not only my own but other peoples' experience. I wish you luck and please come back with any other questions or comments you may have.

Carianna

Oct 26, 2003, 2:34 PM

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Re: [karynandphil] Renting out your home in Mexico

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We have a villa we rent on Cozumel island. It's a really big, nice one that's very well maintained (by us--we live next door.) I promote it heavily via several websites, pay for advertising on some of the big villa rental sites, etc. And with all this work , I average 20-25 weeks booked per year. All via the internet. I have friends on the island with rental homes that do NOT promote them themselves -- only through their property management company. Their places seem to average more like 6-10 weeks per year.

The other thing you have to consider is that a property manager typically charges 20% off the top of any bookings you or they bring in. Then there's an additional monthly management fee and you also pay for maids, gardeners and every bar of soap and trip of the sheets to the laundry.

So you need a really good promotional plan in place if you want to rise above the competition and do anything more than pay the upkeep expenses on your place. That's the story in Cozumel where there are perhaps 30 intown rental villa properties competing. If there are fewer on Isla Mujeres, you might stand a better chance of getting more bookings without going to as much work.

Carianna on Cozumel