Yeah! You may own property in Mexico, and we are here to help make the process easy and understandable. We'll walk you through each step and introduce you to all the people and resources you'll need to buy your property with complete peace of mind.
Within Mexico, you can purchase property(s) with a “simple emolument” in your own name, just as you would in the United States or Canada. But Mexican law has special exceptions determining property(s) within 31 miles of the coast and within 62 miles of the border, an area known as the restricted zone. Most of the properties shown on this site are located within this zone.
After 1970, the Mexican Government enacted laws to allow foreigners, as private individuals, to purchase property(s) in the restricted zone through a trust.
This trust, initially established for a term of 50 years and renewable for an additional 50 years, grants the beneficiary all property rights. You can use, modify, rent or sell your property. In the event of your death, the property passes to the beneficiary you have named without the need for probate. The current cost of setting up a Trust is around $3,000, and the fees to be paid each year after the second year is approximately $500. The initial charge of $3,000 Dollars covers the government fees for the Trust, fees of the bank establishing the Trust and TWO YEARS of maintenance fees. Your next payment will be due two years after the date of closing. Charges vary from bank to bank, and the annual retention fee depends on the value of the property.
Mexican Corporations and Visas
If you intend to use your property for business, it is easy to form a Mexican corporation, and in most cases it is not necessary to have a Mexican partner. The property can be purchased by the corporation and be 100% owned. The costs involved in establishing a corporation range from $1,800 to $3,000. The Mexican government currently requires monthly taxes, so plan to pay a Mexican accountant about $50 to $100 USD per month. It is also important that the principal officers of the corporation apply for and obtain FM3 Visas at the immigration office. This process is not difficult - you can do it yourself - or we can recommend legal assistance.
Inspections and Repairs
Here in Mexico, properties are sold "as is, where is." Sellers will generally not agree to make repairs.
We do our best to present properties accurately, but based on the information given to us by the sellers. As Tierra Yucatan (and sister corporation Tierra Maya del Sureste, SA de CV) are not responsible for any discrepancy or representation on the part of the seller, please consult a competent engineer, accountant, lawyer or professional to verify the information.
There are no inspection companies in Mexico like there are in the US, and no vendor access is required. In general, as our foundations sit on solid rock and there are no tremors in this region, any property defects would be immediately apparent. The roofs are generally made of cement, and still, the leaks will be evident. Unremodeled older homes will need new wiring and probably new plumbing to bring them up to modern standards. You should also know that electrical and plumbing features in homes we promote as remodeled may not meet American standards, as few authority inspections are performed, and the experience of local electricians and plumbers may vary. We will gladly provide you with a list of plumbers, electricians, etc. of which you can choose, but we are not responsible for your work!
In Mexico, the normal practice is for your real estate attorney to prepare a contract (Promise of Sale) which must be signed by you and the seller, with specific details of the transaction. This is done AFTER the title has been confirmed to be free of liens or mortgages or any other legal issues that prevented the sale of this property. At this point, an agreed amount is paid directly to the seller to secure the sale. If the seller does not comply for any reason with the agreement, he must refund his money AND pay a penalty. Mexican law protects you under this legal agreement. If you will not be able to be in Mexico and you want us to represent you in the signing of the legal documents, the Promise of Sale and/or the Closing, you must leave a special limited Power of Attorney allowing us to do so. The cost of preparing