Buying in Mexico City?

Nov 27, 2021 12 Comments

Posting here to see if someone is from Mexico City and can provide opinions.

TL;DR: want to have an apartment in Mexico City that allows me to have more flexibility in the way I conduct my personal life but idk if it is a wise decision or I should be using my money elsewhere.

TC: transitioning to a new position in faang with TC 1.9 M MXN. As for now: 700 k MXN
YOE: 8

I live in EdoMex, house is mine (inherited, thnks grandma). Commuting to mexico city takes me 30-40 minutes in public transportation, not too bothering at all. Due to covid and lockdowns, I don’t really go that much to the city nowadays (pre covid: 12-15 times per month, now 3-4 per month), however, I would really want to live there as there are more options for entertainment and places to go compared to the place where I live at at the moment. Plus, all my friends live there, so it would make visiting and seeing each other easier (they’re the type of people that go out every other day spontaneously, we have talked about me not living close as an impediment to participate in some of these spontaneous activities)

I’m very frugal: I don’t have kids, pets, debts so I save the majority of my money and live with around 20% of my salary.

I would like to have the chance of living 3-4 days in my main home and then spending the other days in the apartment in Mexico City. I’ve seen studios and lofts (small though, around 30 m2) being sold at 2.1 M mxn - 3 m MXN in downtown that I think are good for a single person like me that doesn’t intend to live there full time.

Have enough to pay a down payment of around 15-20% of the property and to pay the mortgage. However, is this a wise decision? Should I be spending my money on this whim or should I probably invest the money in other stuff? Should I probably buy the apartment and rent it instead? The house and neighborhood I live at are quiet and safe and the house is big enough just for me (70 m2 and a small garden), however there’s no much things to do around (I need to go to downtown if I want to do something entertaining) and it can be boring at times to be there. I think that if I get bored with that I can just rent the apartment afterwards or turning in into an Airbnb.

Interested to know your opinions.

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TOP 12 Comments
  • I don’t think the blind community is well represented in Mexico City.
    Nov 27, 2021 1
  • Life is for living bud. Go have at it imo. You are literally buying real estate = < 2yrs TC
    Nov 27, 2021 1
  • job, role YoE? (both in Amex and New job)
    Nov 27, 2021 1
  • Given the size and population of ‘el DF’, property is a pretty safe investment aside from your own loss of employment if you you are living in the apartment versus renting it.
    I assume you invest in stocks to some degree? ETF? So long as you have a balance across a few investment areas you are taking the least overall risk.
    It sounds like you have a solid start on real-estate already, but not in a high-demand area within the city.

    I think this comes down to the value of this property (not financial value but personal value) for you. If you are under 30-35, that is also a factor. You won’t get those years back to hang with friends and be available for last-second/spontaneous plans.

    I would avoid thinking of this in purely financial terms and to evaluate what having this place would represent for your happiness/social life. It is a solid investment in general (so long as you do your due diligence for buying a place in a convenient/safe area and so on.)
    Nov 27, 2021 1
    • Thanks bud; I have invested in some stocks but not a lot of money at all. Looking into getting into ETFs. I have different savings account for different things (traveling, emergencies, just for the fun of saving, retirement), that’s why I am only thinking on a down payment of 10-15% as my other savings are for other purposes

      Yes, I’m in that age rank. I feel I’m losing on lots of stuff having living with my parents for years (before moving here where I live now I lived with my parents who are 1.5 hours away from the downtown)

      Another reason to being able to do so is that I’ve noticed I’ve became more reclusive now with the lockdowns and I need to force myself to go out more and enjoy grass and sun lights rather than being all day at home in front of multiple screens. Ironically moving to the city will give me more reasons to go outside (restaurants, local events, local attractions). Thanks for the advice, this is indeed considered more from a perspective of improving aspects of my personal life. I think I just need that “push” to do it and leave aside the fear of taking a risk (of course, without forgetting the due diligence as you mention)
      Nov 27, 2021
  • How come you are searching for advise here? I'm sure you can get better advise from coworkers or relatives in there. Also it is ironic that with that huge TC you only have for 15% down.
    Nov 27, 2021 1
    • Coworkers are people who don’t know how to manage their money at all (no one invest, all of them rent no one has their own house, they live in ways that are expensive just to impress others) and my parents are people that live kinda scared of these decisions (always recommending to not taking risks at all, they were trying to advise me not to change jobs for example because they are scared I am going to go to a new company in which I don’t know anyone and I’m going to get fired). I don’t have other relatives. I have more liquid money savings (800 k mxn savinngs + 300 k on my check account ) however I don’t like the idea of spending everything and stay at 0. I have a retirement account too with money I don’t touch so I won’t even count it. I used to earn less, part of that money was used on buying a plot of land
      Nov 27, 2021