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If you are in the process of purchasing property have the utilities prorated to the close date so that the seller fulfills their obligations to pay and you can take over on the closing date. You can also request a letter of utility transfer from the seller that you can take with you to the utility company. After you purchase your property in Mexico you will want to have the utilities transferred into your name. It is important to know that only property owners may have water (Oomsapas) and electric (CFE) in their name. You must have proof of your property ownership (copy of your registered Fideiciomiso or Escritura) and ID. If you have just closed on a property it can take up to 60 days to receive your final registered deed from the public registry office. In this case, the utilities will continue billing in the seller's name, they are not cut off at the close on a real estate sale and will bill until you have your documents to provide the copies required for the name change. You will also pay a fee for the change of name on the utility account. CFE is billed bi-monthly and water is billed every month. Billing is based on consumption and metered. It is required for payment of these services in cash in person. You may want to hire a property manager to help with the payment of these services in your absence. You can also pay a lump sum amount onto your account for service to continue without the need to go and pay each billing cycle, be sure to check your account so that you have enough funds there to cover consumption. You can also open up a Mexican bank account in pesos and have your CFE bill debit your account, you should receive a notice of the account billing each cycle from your bank by email. There is no over draft on bank accounts in Mexico so not enough funds means your utilities will not be paid and then cut off. If you are an American citizen foreign bank accounts must be declared on your US tax return. Note that in Mexico there is not a late fee if you do not pay your bill on time. CFE will send a service man to turn off your meter and cut service the day after payment due date. It will cost you a reconnection fee and may take from 3 to 7 days for service reconnection. Water cannot be cut off however they can limit the amount of water you receive by restricting service until paid.
Paying utilities is just a little different here than in your own hometown.
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YOUR Los Cabos Real Estate Professional
Los Cabos Mexico
San Jose del Cabo
BCS, Mexico 23405