Chile Forum

Hire a lawyer. I am one (not in Chile, you need to hire someone who is not me) and I can smell billable hours a 8,000 miles away. You are going to be a source of many, many billable hours for some lucky lawyer if you go into this transaction without spending a little on one now. The people here are trying to help you, I really would heed their advice.

John Hyre

With what little we know It sounds like the deal is possible, just it has be handled with kids gloves. Once one red flag goes up, turn over every stone. We get a lot of property deals that are lot messier than this situation, and with a bit of patience they can be put back together in spite of the sellers or agents shooting themselves in the foot. Just carefully.

On the other hand, we make a lot of money from clients that had deals like this half *** handled and are brought to us after the fact. Under the best circumstances they are often just expensive and time consuming to fix (think years sometimes), under the worst circumstances they just outright can not be fixed. Most everything can be fixed that was not a case of outright fraud or something, after the fact.

Still, much better to avoid those problems from the start. A properly done and full title search will reveal about 95% of the problems with any purchase. The other 5% is the categories of such things as outright criminal conspiracies (things that would happen in any country), and even a lot of that will show in the process of the title search. For that extra 5% of the "unknown" we also draft protections in to the contracts that moves a lot of stuff from simple civil cases to being criminal cases if the seller is up to no good.

He said under 2 acres you are talking about around 2 hectare, sounds pricey. Acres to Hectares, big difference.

ouch, thanks for catching that.

Well here is an update and I appreciate all the input.

My lawyer did his job and recommends that I pass on this house. The lack of a building permit will be a tuff nut to crack not to mention the embargos he uncovered against the property. Pity, as I liked the house. I'm sure I can find something else.

I'm currently looking at a house close to Lampa just north of Santiago. The house was built by a French woman who has lived in Chile about five years. You can see the european influence in the design (Jacuzzi tubs and Bidets in the bathrooms). The house is vacant but not that old, yet needs some work. Water intrusion in one downstair bedroom from the balcony above. Needs new appliances in the kitchen. Tile comming off the wall in the kitchen. Wish I could find a good home inspector! Only $10,000,000CLP more than the unfinished place in Isla de Maipo.

I haven't ruled out just buying a lot and building later. I have a friend who wants to sell me his parcela on Leguna de Aculeo.

Glad to see you dodged a bullet. If Chile is presently at all like the States, it is a Buyer's Market. The grass is green....Play Ball! Good luck and keep us posted.

John Hyre, playing ball in the US.

Does anyone know if Chile has house inspectors?

I have found a house that I like which has been sitting empty for about three years. I believe the house was built about 7 years ago. It's on about 2 acres in a rural area. Is there anyone in Chile qualified to inspect homes for potential problems? Is there a concern about Radon gas in Chile?

Thanks.

So I have found a house I would like to purchase. My lawyer says I should have my RUT next week. The price has been agreed upon. I have access to the funds in the US. I don't have a bank account in Chile but my lawyer says he has a bank that will take the wire transfer. I know I have yet to sign the agreement with the seller and the money must go into a counter check held by a notary until the sale. I know the bank in the US must provide me with some kind of documentation as to the source of the funds. Is there anything else? Are there some more hoops I must jump through?

yea, watch the banks. They have been particular pains in the rears lately when it comes to international wires. Don't take anything they say at face value, until the money clears. Have lots of extra documentation of source of funds on hand, and ask repeatedly of the bank what they need exactly to clear the source of funds (don't be surprised if they do not know).

This has changed radically in the last few months as all the people working at the banks are running for cover to save their jobs. They do not want to put their names on anything that might get them fired right now, or even put them on the radar screen to higher management.

Most grunts at most banks at the counter and account levels in Chile where never very good at handling international wires anyway (we often had to teach them how to do their own internal paperwork), and essentially where letting wires go through with relatively sloppy documentation (depending on the amount). Now, that the banks are looking to make cuts, any old excuse to fire someone is happening, which means employees accounts and transactions are being scrutinized in great detail. Thus, why employees are are playing it safe and just not putting their names on anything they absolutely do not have to. So, just be prepared for some bureaucratic silliness at the banks above the typical silliness of Chilean banks. If your attorney does not have much experience with this, make sure he triple checks.

Other than that, make sure that counter check stays at the notary until you have title fully registered and in hand. It gets messy to get it back, once the money is in someone else's hands.

Are you doing this by power of attorney or in person?

Hi,
I have seen interesting properties in Iquique, from a developer, they are complete and ready for delivery. I work here and my visa is sujeta a contrato - it appears also you can get a mortgage - I have a bank account in Chile, car etc.....my question is what happens if you no longer work in Chile and you still own the apartment? Your have a different type of visa, no visa your RUT has to change? Can you still maintain a vehicle on the road? Lot to think about!!

Thanks

L.

You can own property, cars, whatever without a visa. Your mortgage is up to the terms of your mortgage.

I will be doing this in person. I am however, financing this deal privately and the money will be wired from an account in the US which is not mine. There will be no loan or a mortgage paperwork. Is this a potential problem? Do the funds need to be wired to the seller's name? (not to their account of course). I am assuming since I will never personally take possession of the funds in the US, I will not incur any US income taxes.