Do I ship or shop?

With the increasing number of people that are moving to Mexico or investing in an investment property people frequently ask whether it is best to pack up and ship all your earthly possessions or buy new items. Both options have as many benefits as drawbacks. 

The best decision for one family may not be the best for another. Here are some things to consider that will help you decide whether shipping is worth the hassle.

Shipping your furniture and household goods is not as simple as locating a big van and driving leisurely to your new home in Mexico. First, it is critical to understand that there are as many good shipping companies as there are bad ones. When selecting a shipping company, make sure to do many reference checks. 

The feedback and testimonials on the company website may display only positive reviews. Make sure to search for reviews from independent, third-party sites before settling on the shipping company you will use. Even better, connect with others who have actually used the company since many online reviews are fake.

A reputable company offers insurance, which is essential, especially if you have expensive items or valuable heirlooms. No matter how careful a company is, whether moving large and heavy objects or small objects in boxes, things are prone to get damaged or broken.  

A good shipping company will provide moving materials such as boxes, bubble wrapping, and protective rugs/blankets. Remember that anytime you move or ship, there is a high risk of damage or loss. 

If you are planning to bring furniture and household items in your vehicle, plan out how to secure the contents overnight.

Unfortunately, unsecured hotel and motel parking lots are a target for theft. Last year, there was a higher number of reports through social media of Canadians and Americans who were the victims of unscrupulous thieves who cleaned out the contents of vans and storage trailers while their owners were sleeping. Look for accommodations with a 24-hour guard or secure parking facilities. 

Whether you use a shipping company or drive the items into Mexico, importing your furniture and household goods requires a certificate. This includes furniture, linen, books, clothes, artwork, and anything you plan to move to your new home. According to Mexican law, you must hold a permanent or temporary resident card to import household goods. You must also present a household import certificate at your point of entry into Mexico. This certificate is only available in advance from the Consulate closest to your home. 

To obtain this certificate, you will need to present to the Consulate your resident visa card, a valid passport, a typed letter addressed to your Mexican Consulate Office, providing the current address of your home in Canada or the US, as well as the complete address of your new residence in Mexico.

Also required is a typed list, in Spanish, of all household goods you are importing, including the quantity and description of each item and the brand, model, and serial numbers of electronic appliances. You will need four original sets of each document, and all must be signed.

A reminder that there is also a consular fee that you must pay by cash. If you are a Temporary Resident with a Temporary Visa, keep in mind that you are only allowed to keep the imported items in the country until your Temporary Resident Card expires. When the card expires, you must leave the country with your household goods and anything you imported. It will be critical that you keep an eye on the expiry date of your Resident Visa.

Household goods import certificates also have a deadline, and you have no later than six months from when you first enter Mexico to import your items. You are only allowed one household goods import certificate, so plan accordingly to get everything moved within that period. 

You may require the service of a customs broker at your port of entry. Customs brokers are licensed experts in importing and are familiar with all Mexican customs and tariff laws. The right custom broker will work on your behalf to ensure you have met all the requirements to import your goods. Although an additional cost, they will help identify any import duty and taxes. 

Import duty and taxes use a valuation method called CIF. CIF is the total cost of the items you are importing, the cost of insurance, and the cost of freight. Some things, such as electronic items, can be imported duty-free. In addition to the import duty and tax, there may also be a sales tax, customs processing fee and excise taxes. In the past, with NAFTA, Canadians and Americans were granted preferential duty rates. Depending on current negotiations, this may change. 

To reduce stress and hassle, if you import your furniture and household goods, consult experts before you go. 

Strategies to Maximize Returns on Your Rental or Investment Property

Investing in rental properties can be a lucrative venture, but achieving the best returns requires strategic planning and execution. Whether you’re a seasoned investor or just starting out, understanding the key strategies to maximize your rental income and property value is essential.

Here are some tips to help you maximize the return on your investment:

Tip One

Renters typically prefer clean, uncluttered spaces. It’s wise to use neutral tones for painted walls and large furniture pieces. Incorporate pops of color through a feature wall or decorative items such as pillows and throws. Properties with neutral color schemes tend to book faster than those with an overabundance of color.

Tip Two

Ensuring that your property is visually appealing is crucial so that any photographs you use in your advertisements attract potential renters. Choosing the right decorative style is vital. Popular décor styles for rental properties in the Huatulco area include coastal, modern Mexican and contemporary. 

Tip Three

Avoid overcrowding the space with furniture and decor. Focus on acquiring essential pieces. For example, if your bedroom closets have shelves, refrain from purchasing a dresser. Excessive furniture not only increases initial costs but also drives up repair expenses if damage occurs. Minimize small décor items and opt for pieces that are less likely to break if accidentally bumped or knocked over. 

Tip Four

Choose a sofa or sectional with a performance fabric cover to keep upholstered items looking new. Performance fabrics repel liquids and stains, making them ideal for rental properties as they are the best protection against suntan oils, creams and sweat. A sofa or sectional is a significant investment, so it’s essential to ensure it remains in good condition and looks appealing for as long as possible. 

Tip Five

Invest in high quality mattresses. Most renters prefer medium firm, coil mattresses with pillow tops. A comfortable mattress ensures well rested guests, while an uncomfortable one usually leads to negative online reviews. 

Consider purchasing waterproof mattress pads. Modern mattress pads are soft and made from fabric that keeps your mattress stain free and fresh. This gives you a longer lifespan for your mattress. 

Tip Six

Buy at least two sets of linens, towels and mattress pads. This reduces cleaning time between guest turnovers. If you can check out a guest on the same day you check in another, you are maximizing rental revenue. Ensuring a prompt room turnover is crucial, as no guest wants to arrive to find their room unprepared which can also lead to a negative online post. 

Tip Seven

For linens, white is the best choice. Hotels typically use white because it is elegant, fade resistant and can be bleached for cleanliness. Washing white linens and towels together can also expedite the cleaning process between guests. 

Tip Eight

Window Coverings are essential to protect your furniture from the damaging sun and to help keep your home cooler.  Invest in high quality black out curtains or blinds if your home is in direct sunlight to protect your investment.  

Tip Nine

Invest in professional photography for your rental property. While smartphone photos can save money, professionally captured images are more likely to result in higher occupancy rates and faster bookings.