Buying property in Medellín

Tom says on Jul 31, 2007, 12:40:

all depend of how much you want to spent ! like property, admin, electricity and so on, El Poblado is estrato 6 and Laureles which I prefer is estrato 5 little cheaper but more quiet and less traffic,
the best is if you go directly to a broker ! and if you gonna pay cash you can do a lot with the price

hasta la vista

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Brians says on Jul 31, 2007, 13:21:

Everyone here trashes Poblado but to me it is where I prefer. I know little about Colombian real estate however what I know about real estate in the US is to buy in good neighborhoods. My wife wanted to buy in Sabenata because she said there is good potential. I gave a veto and said that when in doubt I want to buy in neighborhoods where I know my neighbors won't let the area go to shit. In Poblado you have that as it is the most expensive area. However I am most comfortable with my investment more rather than waiting for trends to occur.

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Maojaimes says on Jul 31, 2007, 14:35:

Of course you can make an offer below the asking price. Just make sure your not offering withoout any reason. When you want to come up with an offer you have to keep in mind:
- The advise of a local agent: They are always familiar with the local market.
- Your budget: As Tom says , how much are you willing to pay.
- The payment method: You can make better deals paying cash in advance than financing..
- and of course the home value. If you find a property that you think worth the value, just grab it.
- If you can not get a discount in the price, you can see if the seller will make some other concession, such as paying part of your closing costs or making some repairs

Mauricio
www.buycolombiarealty.com

The most complete guide about Colombia real estate

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Tom says on Jul 31, 2007, 14:49:

Mauricio, very nice page with very good informations !

hasta la vista

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spigrimace says on Jul 31, 2007, 15:45:

Brians makes some good points and I´ll add do you have/will have kids or are you a life-long bachelor as that can play into the mix of where & how you want to live. Also how much noise can you handle? It´s a really noisy city. I happen to know some quieter decible-wise neighborhoods.

As for number 3: especially if you´re buying a 2nd-hand property, and especially if paying 100% cash, offer well below because they are probably asking well above fair value. My suggestion has always been b4 any negociations, get an apraisal from an avaluador. Then if paying cash, offer like 75% of that. Pre-construction apartments usually wont budge but do give a small discount for cash.

I disagree somewhat with Mauricio not because I think he´s wrong but only because of conflicts of interest that a selling agent has when talking to a buyer.

"The advise of a local agent: They are always familiar with the local market." But the agent works for the SELLER and not you as the buyer. I really haven´t heard of a buyers agent down here, and I wouldnt trust them anyway. My selling agent told the eventual buyer of my family´s lakehouse on an island in New Jersey that "everything is included", which I never said, I said furnished. The contract only said in items included: "Hot-Tub Jacuzzi" so I rightfully took the Canoe with it´s small motor, gas grill, tools, favorite knick knacks, small appliances, etc. I left furnishings as it would have been a pain to move them off the island anyhow. He sued me and of course lost as the contract never mentioned these items. So beware of what a selling agent will say. They´ll say anything.

"just grab it" can´t be good advice in any situation except for your shy friend´s first visit to a skin joint in Medellin.

"If you can not get a discount in the price, you can see if the seller will make some other concession, such as paying part of your closing costs or making some repairs" I´d say, if you cannot get a discount in the price down to at least the aprraised value, move onto the next property.

Liquidity is a serious problem down here. Use it to your advantage.

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robi666 says on Jul 31, 2007, 17:03:

1) Poblado. But you may like other barrios like Envigado, Sabaneta, Belen, Laureles (and I didn't put the in this order for nothing). Or live outside the city, Llanogrande, El Retiro, La Ceja, etc.
2) El Colombiano. One of the many "barrio" magazine like Vivir En El Poblado. Banks (like http://www.grupobancolombia.com/tiendaInmueble/R_medellin.asp). Once who know an agent, he will have other leads for you.
3) You'll probably get at least 15 - 20% discount paying cash. Not for new buildings. You usually get 7% discount if you buy from a bank.

"I am a citizen of the most beautiful nation on earth. A nation whose laws are harsh yet simple, a nation that never cheats, which is immense and without borders, where life is lived in the present."

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robi666 says on Jul 31, 2007, 17:03:

Once you know an agent, he will have other leads for you. EDIT!

"I am a citizen of the most beautiful nation on earth. A nation whose laws are harsh yet simple, a nation that never cheats, which is immense and without borders, where life is lived in the present."

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Tom says on Jul 31, 2007, 17:27:

I don't know ! guess it's up to your self what or where you are getting property ! just let ,me tell you I bought my place in Laureles 2 yeas ago, lived 1 year on a rent base over there and I would never sell it again, the property raised in 2 years at about 30% so I would make profit !
getting something new is a got investment but you have to invest well and check the location !
personally I would never buy new property ! but if you can shit money, do it !
another thing is, before you consider, check the and ask the neighbors what's going on !

hasta la vista

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fermech says on Aug 3, 2007, 07:33:

I purchased an apartment in Laureles, very nice at a good price, it took me about 3 months to find it. This is after navigating between all the real state agents in Medellin it turns out they play with the price of the properties, if they think they can get more and more commission they wont even go back to the owner with your offer.
So if you are going to make an offer ask to speak to the owner, in my experience different brokers wanted different prices for the same property???? So beware of real state agents in Colombia they are full of games and tricks. But ultimately cash talks.
That’s my two cents

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usher127 says on Aug 4, 2007, 06:52:

Many thanks... So can anyone recommend a good agent? Or should I just look through the paper?

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jmbone says on Aug 7, 2007, 10:24:

Hola Usher127

Paul of Paul Juan Realty in Cartagena (www.cartagenarealty.com) has a good referral relationship with an experienced and trusted Broker in Medellin.

If you will send Paul an E (paul at cartagenarealty.com) explaining what your looking for: area, size, price range, etc., Paul will forward it and you will be promptly contacted.

Based on past successful transactions, Paul is confident you will be pleased, but If for any reason your not completely satisfied, please get back to Paul ASAP.

The commission rate will NOT CHANGE because of the small referral fee involved.

Good luck.

j. bone

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john_stark says on Aug 7, 2007, 17:39:

I highly recommend buying in Doce de Octubre. Lots of good deals there.

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Maojaimes says on Aug 8, 2007, 20:23:

In Colombia you can work with 3, 4, or 10 real estate agents at the same time if you want with no compromise until you find the property that fits your needs.

Maybe persons like fermech had a bad experience. But to say that "real state agents in Colombia are full of games and tricks", is totally unfair and makes an sterotype of a normal business activity.
I repeat, you don't have to "marry" with only one real estate agent. The most important is to be informed about the local market. And I'm sure there are a lot of professionals in Medellin that can assits you. They can save you a lot of time and headaches.

Mauricio
www.buycolombiarealty.com

The most complete guide about Colombia real estate

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robi666 says on Aug 8, 2007, 23:05:

Perfectly right Mauricio!

"I am a citizen of the most beautiful nation on earth. A nation whose laws are harsh yet simple, a nation that never cheats, which is immense and without borders, where life is lived in the present."

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happy camper says on Aug 9, 2007, 11:47:

I purchased two properties in Medellin last year working with a "buyers representative" realtor. She was very patient with me and showed me many properties over a period of a month or so before I made the first purchase. Many times she would call me to go and look at a property saying, "I don't think this is exactly what you are looking for but I want you to be an informed buyer". She was very professional and looked closely at the details of the transaction. My Spanish is not great but it was my understanding that when the seller and the buyer are each represented by a realtor they split the commission. I think it is also accepted practice here that the seller pays the commission, thus I did not have to pay my realtor anything. Since she spent so much time and money on me (her car, gasoline, etc) I did insist on buying one tank of gasoline for her but not another penny. First purchase was at market price, second purchase was 80% of firm market price. As you can imagine I would not hesitate to recommend her.

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bickerss says on Aug 11, 2007, 22:20:

Happy Camper - can u send her details pls?

thanks

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SFJohn says on Aug 12, 2007, 19:38:

Happy Camper - Can you send me her contact info as well? Thanks

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Frank Rizzo says on Oct 16, 2007, 21:47:

Loma del Escobero won't let you down, that's where I bought.

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