The Closing Coordinator Responsibilities of a Baja Real Estate Transaction -
In Simple English

In Baja, where there is an accepted offer to purchase real estate here, it is the closing coordinators responsibility to gather all the documents and paper work necessary to close, which will allow for the transferring of title as agreed upon by all parties.

The closing coordinator is usually not a Baja real estate agent themselves.  Here in Baja, a closing coordinator usually works for an independent business that specializes in a number of services that are related to real estate transactions.  Many closing coordinators are attorneys with experience in local real estate closings.  The closing coordinator will be responsible for reading a multitude of legal, title, financial, tax, and other documents.

There are several closing coordinators here in the Rosarito, Baja area, and now many notarios are also offer closing services.  Here in Baja, the closing services can run from about $800 to $1500, and these are costs the buyer pays.The closing coordinator should keep in direct email and phone contact with all the parties involved.  For example, the closing coordinator will keep in touch with the buyer, since in essence the buyer has hired the services of the coordinator.  The closing coordinator will also keep in direct contact with the seller, the real estate agents of the buyer and seller, the notario, the bank issuing the bank trust if a bank trust will come into the picture, the appraiser, the financial institutions if a loan is to be paid off or created, and all the government agencies needed to produce the documentation for the closing.Because of this, a closing coordinator must be very people orientated, and have the ability to communicate and maintain excellent relations, but still keep at arms length relationship, all the parties involved.  Since most Baja real estate transactions deal with buyers and sellers of many countries, a good command of English is mandatory.The closing coordinator is not to be confused with the escrow officer, these are distinct services.  However, it is not uncommon for the closing coordinator to also be the escrow officer.  If this is the case, then this person has the responsibility of closing the transaction, but still being completely impartial to all parties when acting as the escrow officer.

Baja Real Estate Transactions Need Closing Coordinators to Accumulate Documents

As for the actual nuts and bolts of the closing coordinators responsibilities, they include gathering the buyer and seller’s personal documentation such as FM3s, and “credenciales” so it can be showed to the notario that they are legal to do business in Mexico.

The closing coordinator will accumulate the title documentation of the subject property from the seller to begin the writing of the new escritura or bank trust.  The closing coordinator will acquire from the different agencies the certificates and documents needed to show that there are no taxes due at the local, state, and federal level, mechanics liens to be paid, utilities and HOA fees due, and pending lawsuits if title policy has been purchased.  The closing coordinator will hire the appraiser for tax purposes, as well as getting the land surveyed.

The closing coordinator will also assist in providing the information needed to the bank if a bank trust will be issued, such as getting buyer permits from the Secretary of Foreign Relations, which grants a foreigner the ability to obtain Mexican property with a bank trust, within the restricted zone.  

It is not the closing coordinator’s responsibility to consult with the seller as to what the seller needs to do in order to sell capital gains free, but if the seller does qualify to sell capital gains free, then the closing coordinator may help the seller organize the needed documentation to sell without incurring taxes.  It would not be fair however for the seller to expect the closing coordinator to perform special research or incur travel time for the seller unless paid for by the seller.

The Closing Coordinator on the Final Day of the Transaction

Lastly, at the day of the closing, in front of the notario, the closing coordinator should be present with the seller, buyer, and real estate agents.  At the end of the closing, the closing coordinator will immediately have the notario fax over the closing documentation to the escrow officer, so the escrow officer will wire funds to the seller and appointed parties to receive funds, such as financial institutions, and real estate agents, and or attorneys.