Free buyer guide
A free guide for buyers from the U.S. and Canada. Eight pages, about five minutes to read.
Most property listings tell you about the view. Very few tell you who will hold the title, who checks that it is clean, or what the closing will actually cost. Those four questions are where cross-border purchases go wrong — and they are the ones buyers from the U.S. and Canada ask us most often. This guide answers them in plain language, without legal jargon and without pretending the answers are simpler than they are.
The four questions
Mexican law requires a foreign buyer to hold property through a fideicomiso — a bank trust — when the property sits within 50 km of the coast or 100 km of an international border. Outside that zone, a foreign buyer can take the deed directly. A fideicomiso is not a lease and it is not partial ownership: the bank holds title as trustee, you are the beneficiary, with the right to use the property, renovate it, rent it, sell it and leave it to your heirs.
A Mexican Notario Público is not the same thing as a notary public in the United States or Canada. A U.S. notary witnesses signatures. A Mexican Notario is a government-appointed attorney with exclusive legal authority over property transfers. The notaría prepares the escrituras and records them in the public registry. The Notario also calculates and withholds the taxes owed on the transaction and verifies that the parties have legal capacity to sell and to buy. What the Notario does not do is represent your interests against the seller's — that is a separate role.
Closing costs in Mexico are paid mostly by the buyer, and they are not a single line item. They vary by state, by property, by price and by whether a trust is required — which is why any number quoted to you before a specific property is chosen is a guess. What you can do is make sure nothing is missing from the estimate you are given: acquisition tax, notario fees, public registry, appraisal, trust setup and annual trust fee where a fideicomiso applies, permit from the Ministry of Foreign Affairs, legal review, and inspections and due diligence.
A property can look perfect and still carry an unpaid tax bill, a lien, a missing permit or an HOA dispute. In a well-structured purchase, the contract and the earnest money go into a neutral escrow account, never to the seller directly, and are held by a third party while due diligence happens. What gets reviewed while the funds sit in escrow: title and chain of ownership, liens and encumbrances, property taxes and utilities, construction and land-use permits, HOA status and developer records, and a physical inspection.
Frequently asked questions
Clear answers to the questions buyers ask before they choose a property.
Yes. Foreign buyers can own property anywhere in Mexico. The difference is how title is held: within 50 km of the coast or 100 km of an international border, ownership is held through a bank trust called a fideicomiso. Outside that zone, a foreign buyer can take the deed directly.
A fideicomiso is a bank trust. The bank holds title as trustee and you are the beneficiary, with the right to use the property, renovate it, rent it, sell it and leave it to your heirs. It is not a lease and it is not partial ownership. The trust is established in your name and renewed over time.
Most of the coastal markets buyers ask about — Puerto Vallarta, Los Cabos, Riviera Maya, Cancún, Puerto Peñasco — fall inside the restricted zone. Inland markets such as San Miguel de Allende and Lake Chapala generally do not.
No. A U.S. or Canadian notary witnesses signatures. A Mexican Notario Público is a government-appointed attorney with exclusive legal authority over property transfers. The Notario prepares and records the escrituras, calculates and withholds the taxes owed, and verifies that both parties have legal capacity to transact.
No. The Notario gives legal certainty to the transaction itself. The Notario is not your advocate and does not negotiate on your behalf or represent your interests against the seller's. That is a separate role, which is why buyers work with an attorney who reviews the contract for them.
Closing costs are paid mostly by the buyer and include acquisition tax, notario fees, public registry recording, appraisal, trust setup and annual trust fee where a fideicomiso applies, the permit from the Ministry of Foreign Affairs, your own legal review, and inspections and due diligence. The total varies by state, property, price and whether a trust is required, so ask for a written itemized estimate for the specific property before you sign anything.
In a well-structured purchase the earnest money goes into a neutral escrow account held by a third party, never to the seller directly, while due diligence happens. If the property fails due diligence, the deposit is returned. That protection only exists if the money was never in the seller's hands to begin with.
Not to start. Most of the search happens remotely — photos, video, maps and, where available, a 360° tour. Buyers typically travel once, to see the finalists in person, rather than making several exploratory trips.
Next step
If the answers come back clear and in writing, you are dealing with someone who has done this before. If they come back vague, that is useful information too.
Informational only. This guide is provided for general information and does not constitute legal, tax, financial or investment advice. Requirements, costs and procedures vary by state, municipality and property, and change over time. Nothing here is an offer, a guarantee of availability, price or outcome, or a substitute for advice from a licensed attorney, notary or tax professional in the relevant jurisdiction.