Recommendations for car to own in Mexico

[carbonarc]

Hi All,

We are preparing to purchase a new car for our pending move to PV. My first trip through Mexico was in October of 1968 in a new VW bug. It was easy to have it serviced and scheduled maintenance checks performed, which is likely not the case with all cars today.

We're now considering a Subaru WRX - I love this car! Is this a reasonable choice or is it better to purchase a car in Mexico once we're here? Thanks for sharing your recommendations and experience.

Curt

[webmaster]

I would not recommend a Subaru in Mexico, they have no representation here and you will have a hell of a job finding spare parts and maybe even people that can repair it. In 1997 I had a 1986 Honda Accord here in Mexico (Guadalajara), and as Honda did not enter the country till 1996, I had innumerable issues repairing the car (no spare parts locally), but having a dealer here helped a bit, though repairs were expensive. Subaru doesn't even have dealers in the country...

Greetings

Mogens

[carbonarc]

Mogens:

Thanks for the information - I didn't really want to be practical, but you are right! I'll get a WRX in my next life.

Curt

Mogens (Apr 06, 2005 05:39 p.m.):
I would not recommend a Subaru in Mexico, they have no representation here and you will have a hell of a job finding spare parts and maybe even people that can repair it. In 1997 I had a 1986 Honda Accord here in Mexico (Guadalajara), and as Honda did not enter the country till 1996, I had innumerable issues repairing the car (no spare parts locally), but having a dealer here helped a bit, though repairs were expensive. Subaru doesn't even have dealers in the country...

Greetings

Mogens

[stew]

Well keep in mind that the cars made & sold in Mexico do not meet the same safety standards as US/canada autos. For one thing they do not have air bags & can not be registored in the US.

[matt]

Another consideration is to get a car that has a good, sturdy suspension system. Those cobblestone and dirt roads around PV will really tear-up a cheap, light duty suspension that you might find on an economy car.

[carbonarc]

Thanks to everyone for the advice, which brings me to related question: as a citizen of the US living in Mexico do you have to leave your car registered in the US or must it be registered in Mexico? And, finally, is Nissan supported in Mexico?

Thanks,

Curt

[matt]

You would keep your U.S. tags, but you can let them expire while you are living in Mexico and are updating your FM-3 & Mexican car permit every year like you are supposed to be doing.

Make sure to check with the Department of Motor Vehicles in the state where your car is registered to be sure that there isn't anything else you need to do. If you plan on maintaining your U.S. residence, some states might have wacky laws that charge penalties if you fail to renew the tags and you don't tell them you are removing the car from the state.

Nissan is probably the best supported Japanese car in Mexico. I believe they were the first car manufacturer from Japan to enter the Mexican market. There is a Nissan dealership in Puerto Vallarta and almost all of the taxis in Puerto Vallarta and Guadalajara are Nissans. As I recall, there is also a new Honda dealership in PV, as well as Volkswagon, Chrysler and Ford. There are others, but I can't remember them.

Just don't buy a yellow Nissan Sentra if you don't want tourists constantly flagging you down for a ride!!!

[carbonarc]

Okay, lots of good info - thanks again to everyone. Last question for our budgeting: roughly, what does Mexican insurance cost related to the same coverage in US?

[matt]

Last time I was in Mexico, I only bought car insurance for a month at a time, so figure that the rates would drop a bit if you purchased a longer term policy. Note that all amounts are in U.S. Dollars!

Insurance Company: Seguros Comercial America S.A. de C.V. (owned by the large Dutch company, Ing - http://www.ing.com )
Insurance Term: 30 days (Feb. 7, 2005 to Mar. 8, 2005)
Car Type: 2000 Jeep Grand Cherokee
Total Car Value: $19,000

Coverage:
========
Collision - insured to $19,000 with a $500 minimum and 2% deductable
Robbery (comprehensive) - insured to $19,000 with a $1000 minimum and 5% deductable
Medical (car occupants) - insured to $10,000 (combined single limit per event)
Third Party Liability - insured to $50,000 (combined single limit per event)
Legal Defense - provided with policy

Price:
---------
$167.09 Net Premium
10.00 Policy Fee
26.57 Sales Tax (I.V.A.)
=====
$203.66 Total

I guess the bottom line is: I get much more coverage for a lower price, when in the U.S., with State Farm Insurance.

[andywww]

I've been driving in Mexico for over two years. I use MAPFRE TEPEYAC. For a 1992 Toyota 4wd Extra Cab, valued at maximum value allowed (of $7,000 US).

Liability is $50K US property damage to 3rd party, Bodily Injury Medical 3rd party is $50K per individual/$100K max, and expenses to occupants of your car $5K per person/ $25K max.

Premium is $220 for the present year. (Shorter term insurance actually is not much less.) Last year I paid about $245 for similar coverage (not exactly the same, as the regulations changed) that also included a 7 ft x 16 ft trailer.

Deductible: It's 2% of the insured value of the vehicle (in my case 2% of $7K is $140 US). However, the MAXIMUM deductible is $500 for a car, and $1,000 for a truck. (New regulations - used to be $500 for both.)

The cost of comparable insurance in the US is irrelevant, as US "car" insurance is not valid in Mexico. However, having had an accident, I found Mexican insurance invaluable. MAPFRE sent out an adjuster immediately, I'd say he arrived within 40 minutes, when he was based at least 20 minutes away and possibly more depending upon traffic. He stood up for me against the Chilangos I ran into, kept the police from having to be called, and was an all around good guy to have on my side. He alone was worth the $220. He saved me time, money and additional hassles.

By the way, when I went to pick up the truck, after almost 4 weeks in the shop, the insurance co told the shop to collect $1000 US in deductible. I paid this by check, to get the truck back, and went to the insurance co office. They said I was correct, the amount should only be $140 (2%), and that $1,000 was the maximum (say you had an over $50K truck?). They called the repair shop, I returned there, and they gave me back the difference, over 9,000 pesos in cash. My point is, know the real deal and stick with it.

Also, the quality of repair is marginal in Mexico. I went to one of the best, non-dealer. repair shops in Acapulco. I got an "Earl Schieb" paint job for sure, with overspray all over the truck including the windows. Color match is fair. The new plastic grill and lights are not the same as the original, and most parts (bumper, apron, hood, fender) were repaired, not replaced as they would have been in the US. Don't expect stellar repairs. Another reason comparing costs to the US is largely irrelevant.

Here's my US contact info for Mexican insurance with MAPFRE TEPEYAC:
Bob Acosta
San Xavier Mexico Insurance
E-Mail: mexicobob@aol.com
www.mexican-autoinsurance.com
Toll Free: 888-377-1570 (U.S. & Canada)
Regular: 520-377-0424
Fax: 520-377-0418
Bob is very helpful and responsive. And you can do everything with him "on-line."

Hope this helps.

[andywww]

Previously I wrote: " Deductible: It's 2% of the insured value of the vehicle (in my case 2% of $7K is $140 US). However, the MAXIMUM deductible is $500 for a car, and $1,000 for a truck. (New regulations - used to be $500 for both.)"

Actually, it may *have been* $500/1000, and now is MAX deductible $500 for either a car or a truck. I am not sure. In any case, why would anyone drive a car or truck valued over $25K in Mexico given the topes and everything else...

[marcos]

When I retire in 6 years or so, I plan to drive down in my Toyota Highlander. Can anyone tell me if there is a Toyota dealership in PV?

[matt]

Thanks for the info., Andy!
I'll have to get a quote from Mapfre Tepeyac the next time we go to Vallarta. We use them for our PV house insurance. After Hurricane Kenna passed by PV, in Oct. 2002, Comercial America tried to double our yearly premiums. To keep the payments lower, we had to either agree to remove the hurricane coverage of our insurance, or change companies. We chose the later option!

Your "Earl Schieb" comment really brought back memories. I don't even know if they still do business here in Atlanta. Twenty years ago, the local TV airwaves were full of his famous rhyme: "Hi, I'm Earl Schieb, and I'll paint any car for ninety-nine ninety-five". It was a good deal if you wanted to spiff up an old car ...but you had better remove the chrome and mask the car yourself before going for the paint job!

[grito]

I wonder how helpful it is having a dealership in Mexico of the make of your vehicle. When I first started driving to Mexico I purposely bought a VW van as I knew they are widespread in Mexico. When I took it in for service in PV to VW they asked me if I had a service van as they were unfamilar with it. I didn't but they could fix most things. They couldn't replace simple things like a gas cap or lights. The next vehicle I got was a Nissan, again I was thinking that they are common in Mexico. The Nissan service in PV could do simple repairs on it but nothing complex or those requiring special parts. The VWs and Nissans in Mexico are quite different than those in the North.

matt (Apr 10, 2005 11:45 p.m.):
You would keep your U.S. tags, but you can let them expire while you are living in Mexico and are updating your FM-3 & Mexican car permit every year like you are supposed to be doing.

Make sure to check with the Department of Motor Vehicles in the state where your car is registered to be sure that there isn't anything else you need to do. If you plan on maintaining your U.S. residence, some states might have wacky laws that charge penalties if you fail to renew the tags and you don't tell them you are removing the car from the state.

Nissan is probably the best supported Japanese car in Mexico. I believe they were the first car manufacturer from Japan to enter the Mexican market. There is a Nissan dealership in Puerto Vallarta and almost all of the taxis in Puerto Vallarta and Guadalajara are Nissans. As I recall, there is also a new Honda dealership in PV, as well as Volkswagon, Chrysler and Ford. There are others, but I can't remember them.

Just don't buy a yellow Nissan Sentra if you don't want tourists constantly flagging you down for a ride!!!

[webmaster]

You do not need to renew your car permit each year as long as your immigration status is valid and renewed. That's how I've been doing things as of late. Always carry a copy of the Ley Aduanera in your car as uninformed cops will always insist that that car permit needs to be valid too, which is clearly stated in the law as unnecessary. Just show them that and prepare to leave and they'll do so too.

Second, I'd recommend bringing a car model that already exists in Mexico, for example I have a Honda Accord 1997 and they have no issues what-so-ever repairing it here in the Guadalajara Honda dealerships (not that it has needed any major repairs, only maintainance). Same goes for the VW Jetta TDI that my wife drives, bought in the US, built in Puebla and repairs are done easily here.

One recommendation expert repairmen told me to take care of was buying a car from California, as standards, motors and other parts might be different and hard to repair.

So if you are to bring in a Nissan, think Sentra, Altima, Maxima. Honda (1997 and newer) Accord, Civic and CRV. VW Jetta, Golf, Beetle. Toyota has a dealership in GDL since 2003 so maybe a new Toyota could be ok, don't know if they have a dealership in PVR though and did not read comments on that in the other posts.

I can't recommend other brands and actually I wouldn't recommend VW either, japanese cars are virtually carefree cars, VW no longer is.

Greetings

Mogens

[andywww]

Earl Scheib is still in business, but now offering paint jobs *starting at* $159.95...check it out on the web!

Anyway, seems to me the most safe and practical thing to do is buy a car in Mexico, one that was made here for here, The Nissan Tsuru seen all over as the newer taxis is probably a good bet - roomiest and yet still relatively inexpensive for its size. Just don't buy a used taxi, or a Nissan the color of the prevalent taxis in your area. (I don't know if they come with AC.)

However, the maintenance and repair issue has seemed to me a bit overblown for any vehicle that is reliable. I know someone who bought a new Ford of some sort here in Acapulco, and had nothing but trouble with it. It was in the dealership shop all the time. He eventually replaced it with a Mexican VW Jetta, and swears by it.

I much don't like dealership mechanics, as they are *trained*, whereas other mechanics have learned through experience and their experience is broader. That's just my prejudice I guess.

I had a friend with a 1990 Geo Prism down here, that needed a number of repairs. (This is a GM body sitting on a Toyota power train.) It's probably the only Geo Prism in Mexico, but we haven't had any trouble. Radiator cracked at the bottom was pulled, welded, and replaced for 40 bucks - try to do that in the US! A CV joint was replaced for 115 bucks. I was told that was a little steep, but there was no hassle. I had to find the part, which took a couple hours and two days to ship. The car was fixed outside Acapulco in a small colonia. The mechanic worked in the dirt under the shade of a large tree beside Hwy 200, various incapacitated cars all around. Classic!

My Toyota truck, I brought down here because I had it for 10 years with not one problem. When I first had it here there were hardly any Toyota trucks, but I see more and more all the time. I think if you bring a car down, bring one down you trust as long as it isn't too exotic. Take the time to learn Spanish and get to know Mexicans, so by the time you need to get it repaired, you'll have contacts. Mexican mechanics can be talented and ingenious.

So I guess bring down that Highlander, Marcos. Is that a Hybrid? I suppose one thing to consider is hybrids, given the high price of gas in Mexico, relative to the US. But I have no idea if anyone here knows what to do with them if they need repairs.

And here's a car story for you: I have another friend who bought as 70's Buick convertible from a retired Mexican diplomat in DF. The car was supposed to have a 454 cui engine in it, that's the only way it came. The diplomat bought it new in the US. When he had to have the engine rebuilt years later, the diplomat didn't trust the mechanics in DF, so he had the work done in Texas. The diplomat never knew what happened, but my friend discovered the engine had been replaced with a smaller engine after he bought the diplomat's car. My friend has since bought another Buick with the 454 original engine size, brought it down from Ontario to Acapulco, had the engines switched, and now he has the fastest car in Acapulco, and it's a large convertible muscle car to boot!

[marcos]

Andy ...

No, the Highlander isn't a hybrid. I had thought about getting one when they came out but figured that a hybrid would be TOO complex for the average Mexican Toyota dealership mechanic.

As to the high price of gas in Mexico, when we were in PV in January, the price (I believe) was about 64 pesos per liter. At an exchange rate of about 11-to-1, that would be about 58 cents per litre which would be about $2.20 per US galon (3.8 liters) if my conversion chart is right. Since we're paying about that in Cincinnati right now, I don't see that gas is any higher in Mexico than where I live.

Of course, I haven't been in Mexico in the past 4 months so maybe someone who lives in PV could enlighten me with the current gasoline prices.

[andywww]

Marcos,
Thanks for the clarification. I thought maybe the Highlander was a hybrid, or could be. I agree I don't think a hybrid is a good idea down here now, but I don't have much knowledge about them.
I agree with your computation of $2.20 a gallon. It varies with the dollar/peso ratio, but is essentially correct. As the peso rate goes up and down, the cost of gas just keeps going up in pesos. In fact, the price of gas right now in Mexico, measured in dollars, may be a bit lower than 2 1/2 years ago, when I figured it is was $2.40 US a gallon. US prices were higher then than now, I think too.
As for the relative price of gas, it's the same in PV as it is anywhere in Mexico. One thing about Mexico, you don't need to "shop around" for a better price as the industry is state owned and prices are the same everywhere. In the US, that isn't the case, so while you might be paying $2.20 in Cincinnati, others might be paying $1.75 in Seattle or Denver, while others are paying $2.90 in California. I based my earlier posted comment on the prices I have paid over the past two plus years throughout Mexico, Texas, New Mexico, Colorado and Washington state.
Another thing to keep in mind is Mexico is full service. You might have to pay a couple pesos to use the restroom, but the attendants will always wash the windshield and check oil, air, water, etc. if you ask and many times they will just do it without asking.
Europeans might tend to laugh at us crying in our beer, while they pay 2 to 3 times what anyone pays in the US for gas. I don't know about Canada. I do believe Mexico has recently gone from a net oil exporter to a net oil importer, which makes it vulnerable to the some of the same market forces which drive the price higher. Of course there are the various state taxes in the US, which are the leading reasons for price variations between states, followed by market forces, cost of transportation, expenses of the business location, etc.
I have noticed PEMEX is putting up a lot of new stations in and around Acapulco. More than appear warranted to me. Sometimes two new ones right next to each other... Not sure what is going on with that. I do think that Mexico is headed for ever higher and higher gas prices, based on the habits of drivers, the roads themselves, and the propensity to buy bigger and bigger cars, SUV's and trucks when they have the money to do so. That's my interpretation of how Mexican machismo will play out, on the road and at the gas pump. So maybe a hybrid isn't that bad an idea after all, after a few years.
Andy

[matt]

I agree, they seem to be building PEMEX stations everywhere. I heard one report that Mexico predicts a big increase of the number of cars (maybe 5,000,000???) on its roads during the next 5 years. It is also interesting to ponder whether they are positioning themselves against a possible invasion of the U.S. oil companies, if they are ever permitted to operate in Mexico.

If memory serves correctly, if you care to set up a PEMEX franchise, it must be at least 2 km. away from an existing PEMEX station on the same side of the road. This distance rule doesn't apply for stations located on the other side of a (divided???) road. Of course, you would have a lot of paperwork to set things up and you would have to purchase the gas from PEMEX. In the past, you had "to know someone" to be awarded a PEMEX franchise. Now things are a little more open ...probably another reason the stations are popping up everywhere.

Also, there are business groups in Mexico that purchase property, get government pemissions, secure a PEMEX franchise, construct the new PEMEX station and then quickly put it up for sale at a big profit. The two newer PEMEX stations on each side of the Periferico, on the west side of Zapopan (Guadalajara), near the Avenida Guadalupe exit are an example. Mogens probably knows which stations I am talking about. I think the asking price was around $5,000,000 USD, but I don't remember if that was for one or both stations.

[reanns]

When I moved to Mexico last year I sold my big SUV and bought a Jeep Wrangler. It is THE perfect car for not only the small villages which have cobblestone streets, but traveling around the county. It can go anywhere - even off-road, it can easily be turned into a convertible, the gas milage is better than any SUV, there are dealers everywhere, and most of the local mechanics can fix any problem cheaper than the dealer. Another big plus is that it's so easy to park. It's little, can get into small parking places that the normal car or even small SUV can't, and flys over topes. I normally leave my full top off and only put on a bimmi when it gets too sunny. I've never had a problem with anyone stealing anything from the car and I park it on the street. Yes, it does limit you to the amount of 'stuff' you can cart around at one time - but the back seat comes out really easy, you can load lots of stuff. It costs me $40 to fill it up at any Pemex and I can drive locally for literally 2-3 months on a tank of gas. What more could you want!