# renting out your property



## surfrider (Oct 4, 2011)

I am thinking of renting our my house and I am wondering if it is possible to have the renter put their name on the electoral bill. Does anyone know if that is possible or am I leaving an opening to the title to the renter.


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## sparks (Jun 17, 2007)

The name on a CFE bill means nothing legally. I let my neighbor put her name on my second lot/meter so she could get a little credit. Cost about 150+/- to change

Do you have permission to work and an RFC?


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## joaquinx (Jul 3, 2010)

Doesn't the person who owns the property still is responsible for the bill. That is if the renter fails to pay and moves on, isn't the owner still responsible for the bill?


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## surfrider (Oct 4, 2011)

OK you have me on this what is a permission to work and an rfc


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## surfrider (Oct 4, 2011)

joaquinx said:


> Doesn't the person who owns the property still is responsible for the bill. That is if the renter fails to pay and moves on, isn't the owner still responsible for the bill?


good question


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## Longford (May 25, 2012)

I suspect you will need to have an RFC number in order to rent, register the property/rental with the taxing body ... and to pay taxes on the rental income. I don't know about what happens in other communities, but when I rented apartments in the D.F. (as a tenant) I learned that the owner or succeeding resident of the property was required to satisfy any outstanding debt owed CFE. Who you rent to is a very important consideration and will, obviously, determine the amount of the security deposit you request.


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## terrybahena (Oct 3, 2011)

We rent out our Guerrero house in Playa Ventura but kept our name on the CFE. If the person left it unpaid in their name we'd still have to pay it....and changing anything is so hard (by "hard" read time consuming, ever changing rules depending on the day, who you talk to...etc etc etc ha ha). But renting it out is easy. At first it was like a short vacation rental but now we've had someone there more than 6 months who wants it at least a year. They are Mexican. We pay a guy down there to watch or caretake the place, so he collects the rent for us. It is all pretty casual. For me, the most important thing is to have a caretaker you trust. Our deposit was one month rent.


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## chicois8 (Aug 8, 2009)

" is possible to have the renter put their name on the electoral bill."
Where is our spelling police now?LOL


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## GARYJ65 (Feb 9, 2013)

Yes, it is possible to change it, but, why would anyone want to do that?

When renting in Mexico:

-You have to be very careful who you are renting to, I advice you to run a economical and reference check.
-Ask for a "fiador" guarantor, and check for the same, the guarantor has to give you an IFE card copy as well as copies of his/her property titles, and sign the rent contract
-Take an inventory of the house as well as a photo inventory and attach the written one to the contract.
-Sign a very VERY well drafted contract.


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## joaquinx (Jul 3, 2010)

GARYJ65 said:


> Yes, it is possible to change it, but, why would anyone want to do that?
> 
> When renting in Mexico:
> 
> ...


How do you run a economical and reference check on a expat? What happens if the potential renter knows no one in the area? I guess that you are assuming that the renter is Mexican.


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## sparks (Jun 17, 2007)

If you are a landlord you are earning money. Earning money in Mexico means you pay taxes on profits. INM also wants to know if you are working. 

If the electric bill is not paid power will be shut off no matter who's name is on the bill. Anyone with an old bill can pay to get it turned back on


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## Longford (May 25, 2012)

joaquinx said:


> How do you run a economical and reference check on a expat? What happens if the potential renter knows no one in the area? I guess that you are assuming that the renter is Mexican.


My experience and observation in Mexico City, over the years, has been that most landlords I'm familiar with would rather not rent to an expat unless the expat is working for an international company which will guarantee the lease term which is typically one-year in duration. Most landlords will also, in the D.F., require a fiador to co-sign the lease or in some instances will accept a 6 month or one year in advance payment of rent. Expats can be flighty and pick up and go home or someplace else after a relatively short time living in the city. 

My understanding is that a fiador is not typically required in most of the rest of the country. 

A problem a landlord needs to worry about in parts of the country is squatters who move in, pay some initial rent and then stop paying and they remain in the apartment refusing to pay/move, etc. The legal hassle can be diffcult for an expat to deal with (or a Mexican). 

I've also know people who've rented their apartment only to later learn the tenant trashed the place or removed appliances/fixtures, etc.

Not every instance is a horror story, but I've seen/heard enough of them to be cautious. 

Also, too, as a tenant, I've taken video recordings of the condition of my apartments in the D.F. (the ones in which I've been the tenant), and in particular any fixtures and furniture which might have been included. Not all landlords are honest.


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## AlanMexicali (Jun 1, 2011)

sparks said:


> If you are a landlord you are earning money. Earning money in Mexico means you pay taxes on profits. INM also wants to know if you are working.
> 
> If the electric bill is not paid power will be shut off no matter who's name is on the bill. Anyone with an old bill can pay to get it turned back on


January 1st. 2014 IVA 16% tax has being collected on all rentals monthly under $20,050 pesos [over $20,050 IVA is payable every 4 months] if you want to get an electronically printed SAT fractura from their website [Sat - Hacienda] to give to the renter for tax deductable expenses or the renter cannot use the rent as an operating expense. No more non SAT rent reciepts for expenses. SAT also has a way to check bank accounts for rent checks or transfers being deposited.


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## Isla Verde (Oct 19, 2011)

chicois8 said:


> " is possible to have the renter put their name on the electoral bill."
> Where is our spelling police now?LOL


They were taking a coffee and doughnut break  and missed this mistake, more a matter of incorrect choice of words than incorrect spelling.


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## GARYJ65 (Feb 9, 2013)

Fiadores are a must all over the Country
And I agree, some expats leave without even saying goodbye


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## joaquinx (Jul 3, 2010)

GARYJ65 said:


> Fiadores are a must all over the Country
> And I agree, some expats leave without even saying goodbye


And again, how does an expat, who knows no one in the area, find a fiador? I've rented for 15 years here without a fiador.


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## Isla Verde (Oct 19, 2011)

joaquinx said:


> And again, how does an expat, who knows no one in the area, find a fiador? I've rented for 15 years here without a fiador.


In Mexico City there are companies that will be your fiador for a fee. I didn't have to look for one when I moved back in 2007 because I'm renting from a friend, but I know that it can be a problem for expats looking for a place to live in the DF.


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## GARYJ65 (Feb 9, 2013)

As an expat, you can do as Isla says, you can agree on not having a fiador, you can pay ahead, 
It is really the landlord who takes the risk

Many people, expats or not, try renting without a fiador because they are foreigners or they come from out of town, most cases it ends up with a horror story.


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## chicois8 (Aug 8, 2009)

Isla Verde said:


> They were taking a coffee and doughnut break  and missed this mistake, more a matter of incorrect choice of words than incorrect spelling.



Sorry, can't comment, don't want to break rule 5..........again.


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## Isla Verde (Oct 19, 2011)

chicois8 said:


> Sorry, can't comment, don't want to break rule 5..........again.


Good idea, chico. If you have any complaints about the moderators, you should voice them in a PM and not on the open forum.


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