Owning Property in Mexico through a Fideicomiso
Over one million Americans and Canadians already own Real Estate in Mexico
Owning real estate in Baja and Mexico is a reality. To be one of the fortunate owners of a piece of this beautiful land, there are a few important points that buyers from outside of Mexico should be aware of before investing.
Foreign citizens cannot technically own land within 60 miles from any Mexican border or within 30 miles of any Mexican coastline. However, there are procedures in place that allow citizens from all over the world to own this real estate in Mexico essentially in the same way that they would own property in their home country.
Bank Trust (Fideicomiso)
In order to own coastal real estate the foreigner uses a bank trust, called a "Fideicomiso.” This instrument allows the Mexican bank of your choice to act as the purchaser of the property. The bank is the "trustee," and you are the "beneficiary" of the trust.
This agreement is very simple. Your bank (the trustee) takes instructions only from you (the beneficiary). All of the rights to the property are yours, therefore you are able to buy, sell, rent, or improve the property, etc. as you wish.
The initial term of the trust is 50 years and it can be renewed for an additional 50 years within the last year of each 50-year period. This process can be continued indefinitely, providing for complete long-term control of the asset. Thus, buyers have the right to own a property much like they would in the US or Canada.
The Baja Smart team has helped hundreds of clients from outside of Mexico find the perfect place to own in Baja Sur. We will help you through every step of the purchasing process and make your dreams of owning property in Baja Sur a reality.
"I purchased a vacation home in Cabo San Lucas in September 2009 from Batia and William. Buying a house in a foreign country was very daunting experience. Thanks to Batia and William the experience was a pleasure. I will never regret my decision to purchase a home in Mexico. Vacation time in our own home in Cabo has been a wonderful family experience.
I highly recommend Batia and William at BajaSmart."
Dr L Gilchrist - Montreal, Canada