How much of my MX$720,000 post-closing cash should stay untouched?

[remi.birch]

I keep changing my mind about whether this is too tight. I’m considering a 1-bed new-build flat in Mexico City for around MX$19,260,000. After the deposit and estimated closing costs, I’d have roughly MX$720,000 left, assuming no surprises.

How would you divide that between an emergency fund, moving costs, immediate repairs and furniture? The inspection may still identify ordinary first-year work. I’d rather buy below my maximum than have every small issue become a financial emergency. The mortgage rate matters too, but I’m struggling to translate all these costs into a sensible cash buffer.

 

[HandyBridge]

I’d first separate untouchable emergency savings from the property budget. Then list moving, essential repairs and only the furniture needed to function; everything decorative can wait.

Before deciding, do you know the first mortgage-payment date, monthly service charge and insurance excess? Those three could change how comfortable MX$720,000 really is. I’d also keep any inspection-related amount separate until you know what the developer will address.

 

[sam.archer]

I’m not convinced a new-build needs a large pre-assigned repair pot. That can lead to holding cash for vague possibilities while overlooking definite recurring costs. Get the inspection findings first and distinguish cosmetic items from anything urgent.

The bigger missing fact is your normal monthly spending plus the mortgage and service charge. A buffer that looks generous beside moving costs may be much less reassuring when measured in months of total outgoings.

 

[HandyBridge]

Fair point, but I still wouldn’t let the repair allocation fall to zero. Even if the developer deals with some findings, small fixes, fittings and move-in purchases can arrive together.

I’d make three lists now: cash that remains untouched, known costs due before and just after handover, and optional purchases. Add the first mortgage payment, service charge and insurance excess to the known-cost list once confirmed. If the untouched amount then feels thin relative to monthly outgoings, that is a good reason to lower the purchase ceiling rather than delay furniture indefinitely.