Foreign ownership of property in México Foreigners is legally permitted to own property in México. If you own property outside of the restricted zone (50 Kilometers) from the coast Line or 100 Kilometers from the border, you are allowed to own property fee simple. For all intents and proposes, fee simple.
Ownership of property in Mexico grants you nearly the same bundle of rights you, receive when you purchase property in many parts of the world.
Acapulco, Puerto Vallarta, Cancún, La Paz, Huatulco, Veracruz etc.… and in general all cities located in the coastal areas in Mexico are considered a restricted zone to acquire for non Mexican Citizens, property in restricted zone you must engage a Mexican Bank to execute and hold title to the property with you using an instrument known as a Fideicomiso (deed Trust with a fiduciary company).
You and the bank are both listed in the title papers. The Fideicomiso creates a trust agreement for the benefit of the foreign buyer. The bank has a fiduciary obligation to the owner retains all the benefits of ownership and has the legal right to lease the property, sell the property and or will the property to his heirs. Fideicomiso are currently 50 years documents. They can be renewed at the end of the 50 year term for an additional 50 years. There is no limit to the number of times the Fideicomiso can be renewed. The renewal fee is currently running around $900.oo USD. Currently, the cost for initiating a Fideicomiso is around $2,800.oo USD. There is also annual fee to the bank for maintaining the Fideicomiso, the annual fee is based upon a percentage of the value of the home. A ballpark figure for a home in the $100 K USD range is around $600.oo USD a year.
Foreign owned Mexican corporation
You may also own property as a share holder of a foreign owned Mexican corporation .It cost around $1,500.oo USD to create a Mexican corporation and legally register it with various governmental entities. You will need to incorporate under the laws of México and report your corporate earnings through an accountant (accountants fees vary between $50.oo - $150.oo USD a month). The corporation requires a minimum of two live, individual share holders that are at least 18 years of age. The principal officer of the corporation is required to have FM-3 VISA.
You can apply for the Visa yourself at the Mexican immigration office (expect 3 or 4 return visits .they do not speak English ) or you can hire an attorney to handle this process for you . It will cost around $500.oo USD. If the property you wish to purchase is larger than 2000 Square Meters you may want to incorporate. You also may want to incorporate if you are going to be operating a business .Current law does not allow a Fideicomiso for properties larger than 2000 square meters. (You can apply for an exception to this law) .For more information on Mexican corporations you can contact us, we refer you with our legal staff team.
We strongly suggest using our services .There are no licensing laws in Mexico for real estate agents. Any one may sell Real estate or refer to themselves as a real estate agents .There are no oversight committees, no board of realtors, and no real estate commission .there are no good sources for comparable sales and there is no multiple listing service .Buyer beware . We operate a full service. We have the experience and reputation you need at no extra cost! We’re at your service always.