Property FAQ

  1. Can a foreign individual, corporation, or trust own real estate in Mexico?

    Foreigners can legally own property in Mexico. To safeguard its sovereignty, Mexican laws prohibited foreigners from buying within 30 miles of the coastal waters and within 50 miles of the Mexican borders. These were restricted zones for foreigners.

    But the situation has changed now. An alien can buy a home in the previously restricted areas through a trust known as “Fideicomiso”. Fideicomiso is the safest and legal way of buying and selling property for foreign individuals. The trust imparts all the rights of ownership to the foriegner. A Mexican bank is required by law to administer and represent an owner of a Mexican Trust. The beneficiary of a “Trust” can be a foreign individual, corporation, or trust.

  2. Can a foreigner establish a Mexican corporation?

    Under Mexican laws a foreigner can create a Mexican corporation. For incorporation, a minimum of two partners are needed. Both of the partners can be foreigners. This corporation in turn can buy or sell real estate in Akumal, Mexico.

  3. Are there any property taxes and expenses involved for a Mexican property?

    Below are some of the expenses involved:

    a)      Property tax or Predial: It is based on the Municipality appraisal value.

    b)      Bank Trust fee:  Every bank charges a different fee.

    c)       Federal Zone tax: For properties on the beach, the owners have to shell out a yearly tax which is based on the frontage of the lot.

  4. Can I rent out my Mexico home?

    Vacation home rentals are very popular in Mexico. Mexico is a major tourist destination and there is always a demand for accommodations. Tourists quite often prefer rental homes to hotels. This also contributes to the popularity of Akumal real estate as an investment destination as a steady income is available.
     

  5. How to ensure a property’s maintenance when not in use by me?

    Condo complexes are managed by property management companies who not only look after your property and maintain it but also help you in getting rentals. These companies charge fees monthly or yearly for their services.  This ensures that your property is well looked after and is in safe hands.

     

  6. Can I get financing for my Akumal home purchase?

    In Mexico while buying real estate, many transactions are cash operations. Mexican Banks have recently started offering mortgage tools for property acquisitions for the Mexican nationals. Now major Mexican financial institutions have begun offering options to Mexican Foreigners basically for Americans, Canadians, and Britishers. Most Mexican foreigners have used home equity or other assets from their home countries to raise capital for investing here in Mexico. With the new tools now available, allowing for Mexican Property to be mortgaged, many foreigners are now discovering new exciting options to purchase their Mexican ocean front homes.

 

Aniruddha Badola

I am Aniruddha Badola (Ani), a Real Estate Marketing Expert. I have worked closely with most of the leading real estate companies in the Riviera Maya. My website will help you buy, sell or rent properties in Playa del Carmen and Akumal.

If you have any questions or want to know more about my internet marketing services, feel free to email me at enovabiz@gmail.com

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