So, You want to move to Mexico
Real considerations one must make before deciding if moving
to Mexico is right for you from Mexican Insurance Store.
Let’s say you have spent an incredible winter holiday in
Mexico.
Instead, maybe you’ve been
binge-watching HGTV’s
House Hunters International or Mexico Life.
Perhaps you work from home or are about to retire and are
looking for a good place to get more value for your dollar.
You are probably considering buying a place and living
full-time in Mexico. Hundreds of thousands
of people are currently doing that as you read this.
Unlike stories with an agenda, the intent here is to help
you determine, for yourself, if moving full-time to Mexico is for you. Let’s arm you with reason and wisdom before
you decide to take the plunge.
In preparing this story, several long-term, full-time
ex-pats were asked detailed questions.
The answers revealed simple perspectives, attitudes, and decisions for a
couple or individual to thrive while living full-time in Mexico.
The focus is exclusively on those who are thinking about
moving full-time to Mexico. Seasonal and
temporary visitors to Mexico can usually leave whenever they want. The circumstances for their part-time
residency is not related, as much, to money but rather a lifestyle. Climate is often the principal factor for
their duration in Mexico. That’s an
entirely different story.
The Margarita Effect
Most of us have seen the shows with a perky couple deciding
and ultimately choosing one of three places to buy in Mexico and live happily
ever after.
The truth is that those
shows are fake.
The couples have already
purchased their home before filming.
The
supposed real estate agent is not at all an agent, but often just a friend or a
paid actor.
Real or not, they are fun shows, and they do get people thinking about and believing that buying a place in a Mexico is easy. The fantasy continues that with or without children, it is no big deal
and that anyone can do it. It's as simple as watching a 30 minute TV show.
Alternatively, many decide to take a day off from their
Mexican holiday and look at new condo or neighborhood developments, in a resort
location, in Mexico and consider or even decide to purchase while on
holiday.
This is called the Margarita Effect. It’s a phenomenon whereby the dream of living
permanently on vacation seems like a dream come true, and all that’s needed is
a couple of signatures, and you’re done.
The reality of the Margarita Effect is that it’s typically
one long-lasting ugly hangover for most people who fall victim to it.
Deciding to live full-time in Mexico should NEVER be made
while on holiday and never while drinking.
Economic Refugees
Nobody’s sure who coined the term “Economic Refugees,” but
it seems entirely appropriate.
The classic definition is one who moves outside their home
country to pursue a less expensive cost of living, typically while hoping to
upgrade their lifestyle.
Though not exclusively, many retirees come to Mexico as
economic refugees. There’s nothing wrong
with this, and for many, the quality of life can significantly improve.
Sadly, a majority only stay for a year or two and return to
their home country with significantly less money than when they started
off. The common complaint is that they
wanted to be closer to family and that they were not prepared to give up some
of the conveniences they’ve grown accustomed to, back home.
This isn’t intended to scare people from looking abroad to
increase their quality of life and value for the dollar. A sizable percentage of people do quite well
living in Mexico. It’s simply important to make
sure other aspects of Mexico including the culture, language, attitudes,
expectations, and legalities are acknowledged and embraced.
For most ex-pats, one is going to need to bring your own
income with you. This means you have an
existing job that enables you to work outside the office or a specific region,
or you have a retirement income or nest egg to live off of, indefinitely.
Many Gringos leave Mexico every day, financially broke. They came in with the false perception that
they can find or make US-style wages working in Mexico. In very rare cases it’s possible, but
significant investment is required at the onset.
Two Types of Ex-Patriots
Ex-pats generally fall into one of two categories.
Picture, in your mind, the first type of
ex-pat.
These folks only consider living in ex-pat enclaves or compounds in gringo-friendly towns such as
San Miguel de Allende, La Paz, Cabo San Lucas, Puerto Vallarta, Ajijic, and
Playa del Carmen.
There is often little to no interest in learning or speaking Spanish.
They pay prices comparable to US-based prices for
homes. Curiously, these same people want
little to do with the Mexicans or Mexican culture short of sightseeing and
eating at Gringo-friendly restaurants.
These folks claim to have “Mexican friends” such as their housekeeper,
regular server at a café, or market checkout clerk. They tend
to get frustrated when Mexicans can’t speak to them in English.
These honest folks are more prone to foolishly enter bad contracts
because they can’t understand Spanish and rely on the Gringo sales agent or worse yet,
less than ethical ‘Lawyer’ (Mexicans refer to them as Abogangsters) to
interpret what they are signing. Just as legal agreements in the US must be in English, contracts in Mexico must be in Spanish.
They generally don’t really know or respect Mexico’s
immigration, contract, employment, and other key laws and quickly play the
victim every time they run afoul of them.
One is likely to often say and hear the phrase. “It’s OK. It’s Mexico.”
When visiting and strolling around their town, they only congregate with other Gringos. Often, they are easy
to identify by their, often loud, conversations with other like-minded
ex-pats. They are mostly conversations
filled with complaints about ‘the help,’ inconveniences, bitter gossip, being
ripped off, US or Canadian politics, and recollections of living back in the
United States or Canada.
Alternatively, picture now the other category of people
coming to live full-time in Mexico.
These ex-pats are generally more patient, and are actively
learning and speaking Spanish.
Even
amongst themselves, as much as possible.
They don’t see themselves as better than Mexicans but rather
try to learn from and embrace the Mexican Culture. They choose to live amongst middle-class
Mexicans and have numerous Mexicans as their friends.
These ex-pats are keenly aware of the widespread corruption
from the highest levels down to the lowest. Despite that, they rely on wisdom from other
Mexicans to not fall victim to it, as much as possible. They are wary of schemes that seem ‘too good
to be true’ and rely heavily on the opinions and advice of close community
friends and, when possible, family.
Now, not everyone falls neatly into one or the other of
these categories. To some, these may read a bit harsh, and that's understandable. That's not the intent, though. The reason for the stark contrast is to help you see where you and your spouse or partner genuinely gravitate to. In order to understand what's at play when considering moving to another country, it’s essential to determine, with sober judgment, which camp you may be
more likely to join.
If it’s the first one, you’re probably not a good candidate to
move permanently into any other country. You can
still enjoy living in Mexico seasonally, but you’ll very likely not be happy
living there full-time.
If the second description is much more your reality, you and your partner stand a much greater chance to prosper and thrive in Mexico.
There is actually a third category of ex-pats, typically younger, who are excited and up for adventure. Often, young children are part of the equation. The enjoy living in different countries and wear that as a badge of honor. Theses hearty individuals typically work for a company remotely or get work locally as an English instructor or other in-demand role. Their attitudes and perspectives generally follow the second category.
Thoughts From Full-Time Ex-Pats
 |
| Los Arcos de Sonora Hotel in Banámichi, Sonora |
Specifically, Several wise and thriving full-time ex-pats
were asked their thoughts about moving to Mexico permanently.
Despite the vast backgrounds, a similar chord
is rung that you’ll likely identify.
Mike is 59 and lives in Veracruz. Mike met his future wife while living and
going to school in Canada. She was an
exchange student from Veracruz. She and
Mike stayed in contact and eventually married.
She studied dentistry and orthodontistry at university in Mexico, but
her certifications and degrees were not recognized by Canada. At the same time, Mike’s early career path
was being phased out by technology and changing economic conditions in
Canada. They both decided to move to her
hometown in Veracruz.
While Mike’s
situation was helped by marrying a Mexican National, it was still fraught with
pitfalls and hoops to jump through.
Dan is 73. He and
his wife are retirees from New Mexico living along Lake Chapala, near Ajijic,
in Jalisco. Given the close connection
to the Latin culture Mexico shares with New Mexico, they felt pretty good about
taking the huge step to living in Mexico full-time.
Tom is 68.
He and his
wife live in Banámichi, Sonora.
Tom is
originally from Long Island, NY.
after relocating to Denver, Tom worked as an executive.
Tom and his wife
moved to Denver to enjoy a better quality of life however tragedy struck Tom with the early passing of
his wife.
This caused Tom to reevaluate everything including what he wanted from life and his priorities. After several years, Tom and
his new wife shared their love of motorcycling by eventually starting and
running a tour company. Along the route, his tours took riders though northern
Mexico, Tom, and his wife became quite familiar and somewhat enamored with
Banámichi, Sonora.
After many visits and
extended stays, they agreed to buy a property to eventually build a hotel on
with the money from the house they sold.
Tom and his wife own and operate the
Hotel Los Arcos de Sonora along the
historic Rio Sonora in Banámichi.
 |
| The famed Ruta Rio Sonora in northern Sonora. |
Each one was asked, “What was the easiest part and the
hardest part about moving to Mexico, full-time?"
For Dan, the easiest part was adapting to the
near-perfect year-round climate and walking almost everywhere in town, instead
of driving. The hardest part was and still is, to a lesser degree, getting
stuff.
Tom replied that the limited regulation in the small region,
not dependent on tourism, was both the easiest and hardest aspect. It's the easiest in getting the permits and
plans approved for the building of the hotel.
In turn, he had and continues to serve as his own building, plumbing,
and electrical inspector.
Mike answered that the easiest part of moving was probably
having a structure of family and friends to ease the move and cultural changes.
Mike went on to say, “Mexican people, in general, are very accommodating and
willing to help out migrants. My wife's family, and my (late) father in law, in
particular, made things much easier. I began working immediately.”
Mike continued saying that the hardest part was dealing with the
ramifications of major political events in the mid 90’s. These included high-profile assassinations of
political leaders, the leftist Chiapas Zapatista uprising following the
implementation of NAFTA, and the massive devaluation of the Peso in December 1995.
The next question was asking what perspectives have changed
since moving to Mexico, full-time.
Mike reflected on quite a few aspects that changed
significantly. My perspective on Mexican
migration to the USA and Canada is entirely different today. I understand it
first as a migrant myself, and second because I see people who are migrating or
who have returned either willingly or forcibly every single day. I have become
much more informed as to the real causes of migration and the corruption behind
it.
Corruption, in general, is something I now loathe entirely
and have zero patience for. I have seen it's devastating effects and felt it
personally and in business.
I see NAFTA completely differently as I have
seen it from top to bottom and inside out through my work. NAFTA is a mess that
has only benefited certain large corporations and needs to be re-designed
completely.
My view on politicians is completely different
now. I trust maybe two that I know
personally, as for military, police, and any "authority," they are
largely corrupt or forced to work for corrupt officials higher up on the chain
of command. Mexicans have taught me how
to navigate around and within these "authorities.”
For Dan, “When we moved here, we thought Mexico was a
country on the rise.” Now he’s not so sure due to the rampant corruption and
crime, which has significantly worsened in the last five years.
Tom points out that the corruption from the top down permeates
everything. Tom mentioned that a University of
Sonora professor said something that really rings true. “Mexico is on
the verge of greatness and always will be.” This was due of corruption.
Despite that, Tom mentioned that he feels more free and less danger in Mexico than in the US.
The follow-up question was, “Do you believe you are better
off in Mexico?”
The three answers also had profound similarities.
Tom said, Yes! He
would not have been able to reach financial independence in the US.
His economic success in the US allowed him to
prosper and become financially independent in Mexico. Money still generally goes much farther
here. Especially for domestic goods.
Dan also said Yes.
He explained that he is still better off but perhaps not as much as ten
years ago.
Mike also agrees. He
said: In quality of life and real-life experience, I would say Mexico has been
a wonderful teacher. However, it is a strict teacher and doesn't suffer fools.
There is no way to compare my life here to what I had in Canada. It is just so
different. I regret nothing about
migrating to Mexico.
Lastly, each one was asked to give their advice to people
considering moving full-time to Mexico.
Mike’s response is:
First, understand that you must learn Spanish and become reasonably
fluent to truly enjoy life here and to do business. This is extremely
important. Relying on translation or stumbling along in someone else's native
tongue is not good.
Learn to listen to locals and respect them. They know. They
deal with things and know how to deal with things. Listening is extremely
important.
Remember that everyone below a certain income is going to
think you are a millionaire, even if you are not. Accept that you will always be a gringo, and
understand how you are seen and why you are viewed that way. It is no big deal.
Understand that things often take a long time here! Patience
is essential, as well as diplomacy and protocol.
Friends are more important here than all the money in the
world.
Finally, your migratory, taxation, and financial matters in
order, strictly in accordance with Mexican law and always stay aware of any
changes.
Dan’s advice is to spend significant time here before
buying anything or pulling up one's roots in your home country.
Tom offers that one should know why you want to come to Mexico
and what you’re willing to give up. Migrating solely for financial reasons is
fine, but there will be a lot of conveniences you’ll give up. For example, one can’t find bagels in town or
a Pastrami Sandwich anywhere. It's equally difficult to find proper plumbing or electrical supplies.
You will have to learn Spanish and change your way of doing
things. Accept that it’s different and
don’t think you can make it just like living back home. You need to have a clear understanding of
what you’re getting and what you’re giving up.
Be sure to have the appropriate visa, not just a tourist visa if you plan to work or run a business. Mexico is not like the US in this matter. As a guest of Mexico, you are also forbidden to participate in political matters. Don't mess around with this.
You’ll likely need to adjust your expectations. Take a week in an area you’d consider moving
into, then go back home and let it sink in.
Next time, take two weeks, then go home and reflect. Increase the duration and reflect on how it
will affect you.
Don’t do this as if on vacation, but with a goal to see if
it’ll work out for you or both of you.
Have clear expectations and goals. Don’t be afraid. Mexico will reward you in countless ways if
you’re open and embrace it.
Conclusion
 |
| Walking through Guanajuato, GTO |
Mexico is one of the easiest countries to test out and
possibly move to, full-time.
The
requirements for
Temporary Residency and then
Permanent Residency are surprisingly easy to meet.
Thriving as an ex-pat in Mexico requires you
learn and speak Spanish.
One needs to
embrace the culture and its people.
Despite widespread corruption, the people of Mexico are the single
greatest asset to your success.
Ignore them at your peril.
Successful ex-pats do not try to make their lifestyle and living situation exactly like it was back in their home country. Rather, they are excited at the prospect to learn, grow, and adapt to a new culture.
Lastly understand your family or friends may not come down
to visit so have some resources and ability to travel back home, occasionally
to visit with them.
One of the best books one can get and read or listen to as
an audiobook is “
A Better Life for Half the Price” by Tim Leffel. Tim's book covers in much more detail aspects such as medical care, food, lifestyle, and culture for popular expat destinations including Mexico. If you're serious about relocating, get and read or listen to this book.
Traveling overland is a wonderful way to test out the
different locations you wish to consider living in. It’s so easy that millions do it every
year.
All you need to begin is your
passport, Mexico insurance policy, Tourist Visa, and Temporary Vehicle Import Permit,
if the area you're visiting requires one.
Brought to you by Mexican Insurance Store. Since nearly all US and Canadian car insurance is not valid in Mexico, you need get top-quality protection. Mexican Insurance Store offers multiple
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©2018 Jim Foreman All Rights Reserved
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