Arena Negra Real Estate
If you are Mexican:
Mexicans by birth or naturalization and Mexican societies have the right to acquire ownership of the land, so they only should to prove their nationality and comply with the Requirements requested by the Notary to be able to acquire a property. The buyer will cover the taxes generated by the Purchase of the Property (Transfer of Domain, Public Property Registry, Municipal Taxes, Notarial Fees, etc.) and the Seller will cover the taxes generated by the sale, such as income tax and others.
If you are Foreigner:
If you are a foreign looking to buy a property in the Mexican Coast, It is very important you know the follow information.
Mexican law defines the restricted zones as any property that lies within 50 kilometers (or 31 miles) from any Mexican shoreline or within 100 kilometers (62 miles) from any bordering country, so, that foreigners are forbidden to own these properties by law. But don´t worry, the government of Mexico provides you with a tool allowing you to own a coastal or border property without breaking the laws.
And this tool is named FIDEICOMISO (Trust)
A Fideicomiso is a bank trust that allows you to invest in any Mexican property and own it as a beneficiary. Its main idea is that you have all the rights of real estate ownership while a Mexican bank holds the legal title to it as your trustee. It’s like fee-simple ownership, meaning that the bank cannot place liens on your property or use it in any other way. Representing your interests is the ultimate responsibility of the trustee.
A Fideicomiso can be set up between a trustor, trustee, and beneficiary for as long as 50 years with an option to renew it if needed. Once established, the trust deed will enable you to lease, sell, improve, bequeath, or encumber your real estate legally. In other words, it’s up to you to decide how to use the property.
The creation of a Trust is very easy, there are several financial institutions and Banks that offer this service, so, the Buyer must choose one, to deliver the relevant documentation and fill out the requested forms, cover the payment for the creation of the Trust, which includes the application for the permit before the SRE (Ministry of Foreign Relations) and the fees of the Trust Institution (All the process is made by the Trust Institution). Once the Permit from the Ministry of Foreign Relations has been obtained, the Notary Public will Protocolize the Trust Deed, so, you only should to pay the taxes for the Domain Transfer, Municipality taxes, Notary fees, etc., and that´s all… now you can enjoy your Dream´s property in Mexico!!!
Please contact to us to get more information about the process and the taxes your should to pay.
Closing Costs: Domain´s Transfer, Registration in the Public Property Registry, Municipal Taxes, Notary Fees, and in the case of being a foreigner, you must also pay the Creation of a Trust
Annual Taxes: Property Taxes and in the case of being foreigner, plus the Trust administration
