Can an American own a house in Colombia?

Desideria (Moderator) says on Mar 26, 2004, 15:38:

I'm sure you can I own a house in Colombia, so why couldn't you? I needed a valid passport to sign the papers on purchase. However, you can't open a bank account in Colombia if you're not a resident.

"When shall we three meet again? In thunder, lightning, or in rain?"(First Witch in Macbeth)

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Gator says on Mar 28, 2004, 11:30:

Yes, but it's not quiet as easy as DD indicates. It was much easier for me in as muich as my wife has dual citizenship. Safe? Absent a Casto-type governement taking power it is safe. The Colombian Constitution has all types of safeguards regarding private property rights. When I bought in Cartagena some years ago my attorney in Medellin set up a SA (Sociedad Anónima) corporation and she handled the rest. DO NOT TRUST ANYONE. FIND AN ATTORNEY YOU ARE SURE OF AND FOLLOW HER/HIS ADVICE TO THE LETTER. NEVER FORGET, YOU ARE A STRANGER IN A STRANGE LAND.

As DD said, the banking part will be the hardest.

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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SlmieBall says on Mar 28, 2004, 13:07:

Apartments/Houses Hey, thanks for letting us all know about the bank account thing. I have wanted to move to Bogata or Cartegena for some time now for personal reasons. I was thinking about renting an apartment, but this thing about bank accounts and being able to make payments says so much. Thanks for saving Me the trouble of asking.

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saint says on Mar 28, 2004, 17:03:

Thanks Gator... Of course you have to be careful in a foreign country. I let my love for a country get the better of my judgement on a recent trip to Cuba. I fell in love with a Trinidad and a little town called La Boca. I started looking for property and I put a down payment down on a house with the plans of returning 2 weeks later and purchasing it. My lawyer and everyone else almost shook me and explained the risks of Castro just taking it over one day.

Oh well. I still think about that little house on the beach and what could have been.

The banking really doesn't bother me about Colombia. I assume if you bought a property down there you could still wire money into a Colombian account. Also, I had zero problems using ATM's down in Cali so I assume if you're living down there you can pull more than enough with an ATM card with a high withdrawal limit? My biggest problem was that the ATM machines only let you withdraw 300,000 pesos at a time. Does anyone know if you can go to a bank and get a big chunk?

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poco says on Mar 28, 2004, 17:55:

Money You can get $400,000 pesos in BanColombia machines. If I'm at a machine that limits it to $300,000 I quit and find another,, Why pay a $3.00 USD service fee for $100,000 less pesos?

My ATM card limits transactions to two per day,, or $800,000 pesos. With two cards you can get $1,600,000 pesos per day.

Credit cards,, it depends,, one year ago,, 5,000,000 pesos was OK,, today,, $1,000,000 pesos per card. BanColombia quit taking credit cards for cash advances,, think this depends on area,,

BanCafe will take Visa and Master Card,, they prefer Visa,, Limit is $1,000,000 pesos each. If you need a lot of pesos you can go to different banks,, until your credit card company puts the "quits" on your spending.

"When you men get home and face an anti-war protester, look him in the eyes and shake his hand. Then, wink at his girlfriend, because she knows she's dating a pussy." Quote - General Tommy Franks

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Gator says on Mar 28, 2004, 19:36:

YES, BUT......... withdrawing that amount from an ATM woulld that 45 days and I sure the bank(s) involved would suspend the account unless you made arrangements ahead of time. Even if you could/can open the bank account without the Cedula if YOU want to buy the house the noteria(Public Notary) is NOT going to handle the paperwork if you don't have one. You can obtain a specific power of attorney to allow someone with a cedula to sign for you but you have to obtain that through one of Colombian Consulates in the USA. Fairly straight forward but it will take a little time.

There are banks which will accept wire transfers but remember anything over $10,000 must be reported in both Comombia and before departing from the USA. Remember it is NOT illegal to take more than $10,000 USD out as long as it is reported and, under the same reporting, to bring it into Colombia.

ATM's are by far the best way to go-best rate and ease of obtaining funds. BTW do not even THINK of attempting a money ransaction at a bank or cambio with having you orginal passport-no copies please.
Again, find that attorney-I thank God for mine(of course she being my sister-in-law has nothing to do with it.).

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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Desideria (Moderator) says on Mar 28, 2004, 21:41:

I didn't need that Gator,
all the paperwork was already waiting for me when I arrived. There was both an attorney and a public notary present at the signing of the documents. Nobody even asked me for a cedula, because they all knew I'd be signing with a passport as my ID handling. The property is registered on my name and an inmobiliaria is handling the renting and wiring the money to me. Everything happened very smoothly and without a hassle.

"When shall we three meet again? In thunder, lightning, or in rain?"(First Witch in Macbeth)

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latingirl says on Mar 28, 2004, 23:49:

mortgage rates Ironically speaking, I just found out today from a freind that interest rates in Colombia are as high as 40% percent is this true?

Just curious.

Durn,no wonder so many so many people in Cali & other big cities reside in condos or apartments and opt for renting versus buying houses.

Or is this nonsence what I heard today?

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saint says on Mar 29, 2004, 10:39:

Yep...Many Latin American countries have high interest rates.. LatinGirl,

Nope. You heard correctly. Don't be surprised. Many countries people are paying high interest rates like that for their cars too. I remember when my doorman in my building (who is from Brazil) told me how happy he was to get a credit card at 22%. I told him that that was a very high and bad rate and probably the maximum allowed by law here in the USA. He had no credit here and just started this job at the time. He told me he had a credit card in Brazil and he was paying about 11% a MONTH or 132% a year interest.

Everything is relative in life. There is a lot of risk lending money out. That's why the rate is so high. On the other side of the coin, I know guys making up to 25% in a normal savings account in Brazil. Of course there is also a risk there but they are pretty content.

Desideria,

If you don't mind me asking... Did you purchase the home solely for an investment? What do typical mid-range homes go for there? What are typical monthly rents? I'm really curious about this. Thanks.

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Desideria (Moderator) says on Mar 29, 2004, 11:28:

as an investment No, buying a house and rent it out is extremely bad investment. I bought the house from my in-laws to salvage a little something for my children as their grandparents were aging and wanted to settle the estate in life. Since then, I understood that in the bitter aftermath of the fight over the estate I am glad I did it. Besides, I want to have a home in Cali, in case I want to go back and live there.
It's a rather large house, but not new, built in 1960's, and well-located. I paid 50 million pesos for it, but the commercial value is around 70-80 million. That's about average for a middle-class neighborhood in Cali. It rents for 400 000 pesos a month, but could go a bit higher if I'd push it. A real-estate agency (inmobiliaria) is managing the house for me, and I pay them a commission on 13% of the rent. The rest is wired to me every four months, which is peanuts, of course.

"When shall we three meet again? In thunder, lightning, or in rain?"(First Witch in Macbeth)

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Gator says on Mar 29, 2004, 11:35:

what neighboorhood DD

What neignboorhood? Wife lived very close to the Plaza de Toros

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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Desideria (Moderator) says on Mar 29, 2004, 11:53:

neighborhood El Lido, very close to the 5th. I have never lived in that house, though. We used to live in Tequendama Viejo, in-laws in San Fernando between the 5th and Roosevelt.

"When shall we three meet again? In thunder, lightning, or in rain?"(First Witch in Macbeth)

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saint says on Mar 29, 2004, 13:43:

Thanks for the comments... Gives me a better idea about how things work down there. Yeah, I didn't understand how you were making money if it was an investment so your explanation makes sense. I think the majority of people buying houses are people that might move back there or people buying them for family. I guess what my novia was right. She said a decent house in a decent area goes for about 70 million pesos so that sounds about right.

Another reason why your purchase went so smoothly Disideria is probably because you knew the principals involved? Does anyone know the percentage of home ownership in cities like Cali?

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Gator says on Mar 29, 2004, 17:08:

DD Damn, we were neighbors. Old stamping grounds was Cuarto de Legua about two blocks from the Plaza. San Fernando between the 5th and Roosevelt? We went to church at Ig. San Fernando Rey often. As I remember Tequendama Viejo was about two blocks from the Plaza de Toros the other way. Sold after my wife's father died some seven years ago for 96.000.000

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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Shovelbum says on Apr 8, 2004, 06:38:

I've been told different... I am an American citizen who will be buying some real estate in Colombia this summer, and I have been told the following by my Colombian real estate agent and attorney (I know these people are reputable by the way). I would appreciate any informed comments because some of the info. presented in this thread seems contrary to the advice I've recieved:

"There are two ways for a foreigner to buy a property in Colombia. The first one is to use some person with a Colombian cedula to sign everything but in this case the apartment will be at this persons name. In the other way you have to wire the money to your account in Colombia and register this money with Banco de la Republica (the central bank in Colombia) and then the property will be sign to you. The second option involves more paperwork but has a good thing and is that you are able to legally transfer the same ammount of money out of Colombia when you sell this property. You can open up a savings account in Colombia with just your US passport and some supporting documents from the states (more on this later).

Your lawyer here in Colombia will write the initial and final contract, register the property and goes with you to the notary to sign the initial and final contract. No cedula is needed by you for the notary.

The registration of the money that you wire into your colombian account is made by your bank in colombia and takes about 2 months. But this is just a requirement the goverment has and is all done by the bank. This is not something that is going to hold the money is a process that is done after the money arrives.

There is no fee to register the money with banco de la republica. Is just some forms that the bank fills for you and then you sign.

The only time that you need to have in mind before you buy the property is the time the money takes to arrive from one account (from the states) to the other (Colombian account). Normally it is about 3 days but this is something that depends on your bank in the states.

If the seller has an account in Colombia with a bank that receives international transfer of funds (Citibank, Bancolombia, Banco de Occidente, etc) you just have to send the money via a wire transfer and thats it. If the seller does not want to get involved in receiving international funds you can transfer your money from your account in the US to a savings account at a bank like Citibank in Colombia and then pay in pesos.

Basically you need the following papers to open a Citibank savings account in Colombia:
- Passport
- One bank reference (better if it's from Citibank in the US)
- Three last bank statements
- Description of your economical activity (a letter from your employer or a description of what you do if you are independent)"

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Gator says on Apr 8, 2004, 12:13:

transferring money OUT of Colombia I agree with Tinto's comment and would double check the $$$$$ OUT of Colombia. I would also be willing to bet you are going to have unanticipated problems. "There's many a slip 'twixt the cup and the lip." It was much easier to stay in the background and let the esposa and la abogada be upfront. If nothing else we avoided the "Gringo Tax."

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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saint says on Apr 8, 2004, 19:36:

Interesting.... Shovelbum,

What you posted is interesting. Does anyone know if what he posted is correct? Many people told me that an American can't open an account in Colombia.

I've attempted to open a bank account as a US citizen in Argentina and Brazil. In Argentina it's not so easy. In Brazil you can once you apply for an receive a CPF. If anyone knows for sure about Colombia, please post details.

Also, the savings accounts in Colombia... what kind of interest rates do they pay out? In Brazil there are savings accounts that pay up to 25% a year. Granted it's a little risky with the exchange rates but I'm still curious to find out the interest rates paid out. Thanks in advance.

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Mr. Hollywood says on Apr 8, 2004, 20:04:

Brazil Uh, don't those Brazilian savings accounts pay such high interest because they need to stay up with that country's sky-high inflation? Americans can open bank accounts in Colombia. The only reason not to is that creates an unneccesary level of suspicion on the part of the IRS and who really needs that.

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Shovelbum says on Apr 8, 2004, 20:34:

Thanks for the feedback... I am looking into Colombia long-term so I not particularly concerned about getting the money back to the states at this point. Like I said, I plan on buying in a few months so I'll keep this forum updated on my progress (or lack there of!). :-) Should be an adventure either way!

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Gator says on Apr 8, 2004, 22:53:

the 90 day rate is just about 8%

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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Shovelbum says on Apr 13, 2004, 00:17:

Update from my Colombian lawyer... I wrote the following to my contact in Colombia. His answers are below my questions. Again, any informed comments are welcome...

Hi ######,

I want to confirm something with you in regards to me not having a Colombian cedula.

1. Just to double-check: You are SURE that I can open a savings account (where I can accept international wire transfers) WITHOUT have a Colombian cedula, right? This is obviously quite important.

I spoke about this with my friend at citibank and she told me it is possible for a foreigner to open an account with his passport.


2. Assuming I find a place I like and agree on a price with the owners- When I am working with the lawyer to register the property and to sign the contracts at the notary- I can do all the signing and all the paperwork will be completely in my name (even though I do not have a Colombian cedula), right?

All the peperwork and the property will be at your name because you choose to register the money with banco de la republica.

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RAnglada says on Apr 13, 2004, 05:25:

Owning a Home
I am married to a Colombian and would like to get residence and buy a home in Bogota. What are the procedures? She called the consulate in Chicago and he told us to set up an appoinment, but that is a four hour trip for just a few simple questions.

If anyone has gone through this, let me know.

Buy the way, was told I could get residence and get a Colombian passport. Is this true?

Thanks

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RAnglada says on Apr 13, 2004, 05:28:

ATM's
Gator is correct, just got back from visiting my wifes relatives and all I used was the ATM machines.

The money houses wanted to see your passport, but your bank in the states goes by the exchange and you have no middle man, so ATM's are the way to go.

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Dan says on Apr 25, 2004, 01:35:

a lot of interesting info here just found out about this website. I've visited colombia before for my work. but now I'm looking at getting a house some day so this info posted is very helpfull. I was wondering what type of visa is required to visit colombia for during the process of Buying a house? Also, what are the conditions of the visa (stay no longer than x months?)
Thanks

God Bless America!

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jenko says on Apr 25, 2004, 17:33:

???? I was born in NY, but my parents are Colombian; therefore I am too. So I see why I would be interested on buying houses in Colombia. What I don't get is why all you people are so interested in it. I don't see where the investment would be beneficial to you. Could you please inform me?

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Dan says on Apr 25, 2004, 18:06:

Re: ???? I don't know about others but I'm looking at the possability towards retirement... I got just under 14yrs till then so I got some time to shop around.
-Dan

God Bless America!

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RAnglada says on Apr 27, 2004, 13:55:

House in Colombia
Going to retire in a few years. Colombian wife and I love Colombia, so we are getting a home in Colombia near her relatives and when I retire, will have the home.

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Dan says on Apr 27, 2004, 15:46:

house shopping Not only am I looking towards retirement, but also something for visiting on vacations. I love the country and the weather...Always prefered the warmer climates. Soon I'll find out what my girlfriend down here will think when I visit Bogota within the next week. Sadly though, I'm going to leave Colombia and wish I was still here. Mi novia and I don't want that to happen, but there isn't anything to be done about it. Who ever started this site, I'd like to pass on a Thanks... Lots of info here and I'm still sorting through it all, it's great reading about everyones experience while traveling/working and everything else.
Take care.
-Dan

God Bless America!

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elmexicano says on May 1, 2004, 08:59:

regarding the Climate.......... So since Cali is near the equator, (I understand that it is warm) but is it rediculously humid? Or is it bareable?

marcos

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Gator says on May 1, 2004, 12:20:

Not bad but... having lived in bother places Medellin is better (Personal peference).

Cali will be somewhat warmer that medellin but it is not oppressive. I would say the daytime temp in Cali, generally speaking runs like 84/85 and night 65/66. The tempeture is absolutly "more than bareable." Medellin would be like 81/82 and nights 61/62 and the humidity is lower.

BTW if you want hot and humid head for Cartagena or Santa Marta. The wife is making a full-court-press to buy in Santa Marta but I sold in Cartagena because of the weather. If you have ever been to the Florida Keys in the summer time you will have an idea of Cartagena/SantaMarta weather.

BTW, the near the equator has little bearing in Colombia it is the altitude of the area. Like Bogotá-65 day/45 night +-

"Credidi pretio parvo emere et magno vendere tibi in animo fuisse!" .

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jmbone says on May 1, 2004, 18:33:

ATM's, Buying property in Colombia From jmbone to: Saint

As a gringo living and working in Cartagena, I have had no trouble in either buying property or using the ATM's.

I use a visa (Cirrus) card and there are many machines through out Cartagena that will readily provide Pesos. The limits are 300,000 or 400,000 Pesos depending on the security of the machine. If it's inside a big supermarket, for example, where security is good, the larger amount will usually apply. Also I have used my card for the purchase of big ticket items such as a LG washing machine. I regularly use it to buy groceries........no problems. I check the monthly statements on line and pay on line from my U.S. bank where my social security check is deposited.

Eight months ago I bought a furnished 1 bedroom, 2 bath apartment in Laguito, Cartagena. (I did a bank-to-bank wire transfer from Fl. to my bank here in Cartagena....took two days) The building only has 27 units, on twelve floors. It has a garage, swimming pool and FRONTS right on the ocean...palm trees and all! I enclosed the balcony (there are two)that looks to the sea, installed A/C, and that's my office. I really love it. I had no problems with the purchase. My annual taxes are less than $125.u.s.

The building was constructed in 1991 and I was the first Gringo owner, but since my purchase, three other apartments have been sold to Gringos, so the word is getting out. If this keeps up, I gonna have to move.....grin! I paid $19,900.u.s. for the apartment.

Forget about terms, bank or owner financing, as it's not worth the hassle short terms and high interest rates. Why Cartagena, which is safer than many big cities in the states, isn't flooded with retirees from other countries is beyond me.....but I'm kinda glad it ain't so!

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saint says on May 2, 2004, 10:44:

Thanks Jmbone and others Thanks for all the comments. It's interesting to see this is one of the most popular posts on this board. Others must have strong interest in purchasing too.

I was just curious rather than interested in buying but you never know with me. I'm going to take 1-2 years off and get fluent and study Spanish probably in January/February 2005. I have a few countries on my list to do it in and Buenos Aires, Argentina, Colombia, Peru and I'll visit Chile in July to see it.

I had no problems using my credit card wherever they accepted it. It's funny they always asked me how many payments I wanted to spread it out to. They had no idea that American credit cards just charge us all at once. I guess the banks there give them the option of spreading it out in equal payments. Even at the grocery store for a $20 purchase they asked me this. I thought it was funny.

Jmbone's post leads me to my next question since it sounds like Americans can have bank accounts there. What banks do you Americans use? What are the safest banks, what kind of accounts do you have, what kind of interest rates, fees, charges, etc? Do they charge you a fee for an incoming wire transfer from the USA? If so, how much?

Also, for you guys retiring down there that aren't married to Colombians, what kind of visas are you getting to stay down there? Or are you just going back and forth every few months? Thanks in advance.

Saint

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Dan says on May 2, 2004, 14:19:

Attorneys etc... I'm kinda interested right now if anyone has any suggestions on Attorneys and Real estate agents or anyone else that could be involved. Any one have a list or know of anyone that would be considered reputable in the different cities mentioned? Also, what are the standard services available and the fees involved?
Thanks
-Dan

God Bless America!

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Dan says on May 2, 2004, 18:28:

Utilities Are utilities regulated like in the US too? (Water, Electric etc...) How does that work in colombia?
-Dan

God Bless America!

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RAnglada says on May 3, 2004, 05:31:

Thanks for that informantion.

What kind of legal issues did you have?

I plan on using my bank in FLorida also. I have SunTrust and was wondering if that was the bank you used?

Roger

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jmbone says on May 5, 2004, 21:07:

Banks, Col. visa and real estate Dear Saint,

Congrats. You are getting a lot of interest from your initial posting. It looks like a popular subject! Maybe this posting will add some additional info.?

Three yrs. ago I set up my business here in Cartagena. I use a bi-lingual Cartagena attorney who is very good. He did the forms and I did the running around to the various govt. offices...for three reasons...to save a few pesos...to get the job done quicker...and to learn my way around town. As I recall the cost was no more than $150 u.s. With a business it was easy to open my bank account...a savings account which came with a debit card usable at hundreds of Cartagena ATM's. I can check my account on line. The account pays a small amount of interest. Ea. time I make a ATM withdrawal they charge me 1,000 pesos or about 30 cents u.s. There are many good banks in Cartagena. You can check out my bank at:
www.bancotequendama.com.co

CitiBank has a branch here, and if you have an account with this big international bank get them to write you a letter of introduction and it may smooth your getting an account here without going thru the trouble of starting a business?? It may be a good idea to open an account in your home country before your trip to Colombia??

When I returned to Fl. I made an apmt. with the Colombia Consulate in Miami....they were very efficient in loading my U.S. Passport with stamps showing I had a business in Colombia...all at no $charge as the u.s. and col. govts. have an agreement to encourage Gringos to open businesses in Colombia.

My business, by the way, is promoting Cartagena and Cartagena businesses on the net. The Portal receives about 26,000 "hits" a day and I think it will answer many of the questions asked in this forum? The site has more than 400 pages of Cartagena info. current prices, hotel home pages, restaurant menus with prices, and more than 500 Cartagena photos..Check it out. Please send me an Email with your comments on how we can improve the site..my thanks if you do! You can find The Guide To Cartagena at:
www.cartagenainfo.com/english

Regarding questions relating to real estate, check out:
www.cartagenarealty.com

(it's in English with a link to the Spanish page).

Disclaimer: I have an interest in, and act as an adviser (I am a Licensed Florida Real Estate Broker) to this business. The Home Page is full of details, photos, maps, prices, etc., and should answer many questions pertaining to buying Real Estate in Colombia. You can see photos of my apartment fronting on the ocean, for which I paid $19,900. plus, there are lots of facts about the closing process, costs, etc. and my experience in living in the apartment. The info. about my apartment can be found at the top of the opening page.

I hope these links help and that you don't consider me to commercial or aggressive for mentioning them?

Regards, Jim

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Hunter says on May 8, 2004, 18:20:

Taxs... Only 400,000 people in Colombia pay direct taxs to the goverment, the Colombian goverment wishs to increase the tax base.

So one thing to note is that in 2003, a new law was brought in that anyone with assets of 80,000,000 pesos or more had to declare to DIAN by 1st May of the following year.

You can use an accountant to fill the paperwork in each year for you. In my case I use my accountants address for any potential Tax demands from DIAN.

The tax rate on the assests is 3%, but any loans wether from Colombia or overseas can be taken into consideration.

Hunter

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Pete in Bogota says on May 12, 2004, 01:23:

Getting money in Bogota If you need a lot like 2-3,000,000 the cheapest thing that I do it take my US Debit card (you know the one you can make purchases with a pin or by signing in the US) and go in a bank and do an advance off my debit card like it was a credit car using the credit option on the debit card. Many of the workers at the bank treat it like a credit card and they do an advance. NOW you have 3,000,000 and your bank only charged you like $2 for the advance. Of coarse you must do the math and make sure the money is in your US bank account, because most debit cards i the US will automatically allow you to overspend 500 when you use the credit option. (I worked in a bank 3 years).

This is the cheapest way I know, but don't go alone because smetimes there are guys who wait in line at the bank (they arent bank clients) watch you. Keep your eyes open or go with a cople friends. Security always first.

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aztec says on May 21, 2004, 07:47:

Gssd Work Been using your site for some time. Already been in contact with Paul. Also read your comments on his site.

You were smart to reveal your interest. Has an impact on credibility of both sites.

I recommend your sites to any one interested in Colombia as it is not solely devoted to Catagena.

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aztec says on May 22, 2004, 07:47:

First post Sorry. Was my first post. Thought my comment would follow message I was responding to and would need no reference. Live and learn. My response was a followup to jmbone's memo dated 0/6/04.



Been using your site for some time. Already been in contact with Paul. Also read your comments on his site.

You were smart to reveal your interest. Has an impact on credibility of both sites.

I recommend your sites to any one interested in Colombia as it is not solely devoted to Catagena.

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Jeffk15 says on Jun 16, 2004, 13:03:

No problem buying properties in Bogota Just found this site, it's a great asset...!

I have a Colombian wife, for about 3 years now. I have been going back and forth to Colombia since 1999. Last August when I was there I noticied a huge upswing in the area of new housing construction. My wife and I went looking around, and almost everywhere we went, they were sold-out (Before they even broke ground on the projects). After seeing all this, my wife and I went back to a place to purchase a home we both really loved. The day before, when we were there, it was their first day open, the next day we were there they had already sold 60% of the homes. I paid 165,000,000 for the home, and it has many (american features). It is located in the northern end of Bogota in an area called Las Colinas. That same day we also went and purchased her parents a home for 45,000,000. That may seem cheap, but it was a well equipped home with many options.

As for the sale, I just showed them my cedula (Previously I went and obtained and Temporary Resident VISA). Since there was no financing to worry about, all we had to do was pay some small monthly fee on each unit for 11 months, and then on the 12th month, pay the remaining final balance at the closing. BTY, these were new construction homes, which is why it took so long.

Also, for the bank account (checking), It really wasn't to hard. I just provided them with my VISA, house purchase contracts, and 2 letters of reference for individuals who already had checking accounts there. After that I had to wait 7 days for the bank to get authorization from the US embassy folks.( You are checked to make sure you are not on some suspected drug dealer list, or that you have any open federal US warrants against you).

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Dan says on Oct 22, 2004, 11:38:

process Thought I would revive this thread...

From looking around on this site at the info from people purchasing property in Colombia I was kind of wandering about the process of it all. I kind of got the idea about the trasferring of money and bank stuff and all. I was mostly looking at the steps that people went through for everything else, such as the papers that had to be filled out, the people involved (I'm sure about lawyers and notaries, any more?), The time it took for everything from start to finish and also what types of visas are normally used during the process. I did find out about the Investment Resident Visa, but I'm sure that is for after all is said and done.
Thanks,Dan

God Bless America!

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Dan says on Nov 28, 2004, 02:34:

.

God Bless America!

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Atrevido says on Nov 28, 2004, 06:57:

When I bought mine I went through a real estate company and the transfer went smoothly. The only exception was my surprise at being told I had to present my passport at the notory office. I had to hop in a cab and run home and get it before they would finish the transfer. That's the first time I've been asked for my passport except at the airport since I got my cedula four years ago.

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Hunter says on Nov 28, 2004, 09:01:

I think the.. Notary asking for your passport depends on the notary, I have been asked twice for my passport, the remainder of the time, they seem happy with my cedula.

If I haven't used the notary before, I always bring both.

Hunter

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LaloG says on Dec 7, 2004, 17:42:

Reality concepts about this thread You can buy a house if you are not a Colombian citizen. You need a valid passport, an extended visa such as a pensionado or retirement visa, a Colombian ID card called a cedula, and a bank savings account to purchase property. Colombian banks are not allowed to open a checking account for foriegners, but they can open a savings account. Also we discovered that most Colombian banks will not accept more than $5,000 USD in the savings account, but Citibank had no qualms about letting us transfer enough funds to pay for a fine old colonial home in La Candelaria, Bogota. If the house could be transported to Southern California it would be valued at $2,000,000.00 USD, but here only cost $55,000.00 USD.
We had an attorney to check all the paperwork, but the deal was handled with a handshake and the Notary uno established by Simon Bolivar himself on calle 16. That is not to say there were no problems, but most of them were related to our running on US time and the Colombians running on theirs. Eventually everything worked out and we now live on the oldest street in Bogota a stones throw from the house the founder of the city lived in when he was founding the city. Good luck. If you succeed in the move, and buy in Bogota, post to me, and maybe we can work out a meeting.
LaloG

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Atrevido says on Dec 7, 2004, 18:28:

Saint Back to your first paragraph, a typical price for a house in Floraria say which is a strata two barrio in the north end would be more like $20-30 miliones. $70 would fetch a house in a nicer area like Vipasa or La Merced closer in and I think strata four. That stuff about people affording more expensive houses because of narco connections is pretty exagerated. There are some of course but it ain't the general rule.

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Hunter says on Dec 8, 2004, 10:18:

LaloG You can buy a house if you are not a Colombian citizen.

You do need a valid passport, but you DON'T need to have a Colombian ID card or a visa.
You can get a third party to sign for you as long as the third party has a Colombian ID card.
The property will be in your name, but if you wish to sell it, you will need a third party again with the Colombian ID card, it doesn't have to be the same person who signed originally.
This is quite common in Ctg, where a lot of foreigners own property.

Colombian banks can open a checking or savings accounts for foriegners, but you will need a Colombian ID for them.

Hunter

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rash9000 says on Dec 8, 2004, 11:36:

well I don't agree that most of the people who own houses in colombia is becuase they are in the drug business.
You CAN have a house in Colombia, of course you can get a credit from banks, but it is going to come up more expensive...
I live in the USA but my parents are in Colombia and they have an apartment, then why couldn't you get one..............
I'd recommend you to buy a house in La Flora, vipasa, el lido, if you have enough money: Ciudad Jardin, Chipichape, Normandia,
If you have no money at all go to Aguablanca (!!worst decision!!!)

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sb20171 says on Apr 11, 2005, 04:11:

ATM versus Teller Line Yes, inside the banks you can withdraw larger amounts. It varies from bank to band (and even teller to teller in some banks). I've withdrawn 5MM pesos before, my credit card's daily transaction amount.

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Dan says on Jun 22, 2005, 18:38:

Just thought I would resurect this post for "Peter Miami" sake. (along with others).

God Bless America!

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Tammy says on Jun 23, 2005, 06:09:

Bad Credit Hello everyone. Been on this site lurking for about 6 months. Almost registered to vote the person I would most like to meet...
But now I really have an imp. questiion-
I just filed bankrupcy 3 months ago (can you guess? EX-husband and his credit cards!). Since I am out from under his debt, money is coming in faster than I can spend it. Been looking at property but am concerned about this bankruptcy. Does anyone know how or if this would affect my buying of property in Colo? I don't think my (current) husbands credit (in Colombia) is any good either. We would be paying cash, none the less. Looking at a smaller city.
Thank you so much

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Peter Miami says on Jun 23, 2005, 07:52:

Dan Yes I had read it already thank you very much.

Peter Miami

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brentsch says on Sep 15, 2005, 10:57:

colombian real estate Jim:

I am looking into buying some property in Barranquilla. Are you still involved in these real estate ventures? Please reply to my email at BSCHILL48 at yahoo.com Thanks.

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Halliday says on Oct 19, 2005, 09:37:

Investment With all of this talk about the mechanics of buying a house in Colombia, I am curious; does it make sense from an investment stand point? In Medellin or Bogotá? To those who own houses there, what kind of appreciation of your property have you seen? Typically, when a conflict comes to an end in a particular region, there is a rapid increase of property values. Does anyone see this happening as things get better politically in Colombia? (I am, of course, optimistic enough to believe that things will get better)

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Beef27 says on Feb 13, 2007, 09:17:

JMBone...contact me Jim,
I need to pick your brain and would like to meet up with you. I am looking to vacation in Cartagena in July time, to possibly purchase a place. However, everywhere I look prices are in the $100k plus range so I'm interested in how you found $19k apartment! I'm a former Marine working in Afghanistan looking for a tax break with out of country residency and want to go where my money works more...hence colombia. Please you can contact me through this website. I think I might have hit you up already however through your other website earlier today?? thanks, Paul

Paul WallSemper Fi

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hlwalsh says on Jun 1, 2007, 09:03:

Real Estate Agency You said you had a realtor handling a rental property for you. Do you have a contact name. I am looking for a long term rental but via the web have found very few contacts. thanks H L

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panthdave says on Jun 1, 2007, 18:07:

Cali House Prices verses Medellin House Prices Seems Cali house prices are much lower than Medellin I have noticed lately. This summer starting to look for a middle class neigherhood house and I just renewed my rental contract for 6 months to give more time to get prepared and use to the Colombian system that will be now over a year going back and forth..Learning more each day with the system of purchasing a house, banking, and laws..Happy I am being patient..But now I am questioning the Medellin prices and I was in 4 or higher barrios..Of course used local newspapers and my GF who was looking too and she did alot of talking but will be patient..

ATM's yeah I found is the best way to go..Only pay the 1% which is passed to me by my bank..The banks you need to watch who charge on top of the 1% which is charged by Visa/Mastercard International who I have to tell you they set the conversion rate for that day and our the middle guys between your bank and the Colombia bank..
Citibank:800,000 per transaction well Oviedo Poblado in Medellin Does.
Davivenda: 500,000 per transaction
Ban Colombia: 400,000 per transaction
I have tested three banks in one day and all had the same rate which made me investigate who sets the rate..

Also the Peso rate is making me think alittle more on not rushing to buy a property.. Again Happy I am patient and not rushing..

Peace out.
panthdave Miami

panthdave Miami

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mecca says on Jun 2, 2007, 21:23:

depends on where panthdave i've got places in both and it just depends on location. Just like the states. You really have to study it well to make some valuable comparisons.

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mclean04 says on Jun 3, 2007, 07:15:

JMBONE's Site I tried to open cartegenainfo.com/english but browser could not find it?

mclean

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calipro says on Jun 3, 2007, 08:47:

panthdave There are forms you are going to have to fill out proving where the monies came from which is kind of hard to do with the money that you withdraw from an ATM.

I pulled a lot of money out from ATM's for the purchase of my apartment in Cali but I had enough money wired to my bank account in Cali to cover the purchase price on the contract. It seems it is customary to give a purchase price of one third less than the true value so you don't have to pay as much tax.

I questioned this but the developer insisted that everyone does it this way. The sales tax wasn't that much anyway so I wouldn't worry about it one way or the other.

If I were you I'd wait six months or so just because I think the dollar will be at least 10% stronger against the peso within that time.

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