Owning property in Mexico is a dream for many US citizens. But what are the best cities for Americans to buy property in Below you can find a breakdown of prices both for houses and land in some of the most sought after Mexican cities.
When you have your (presumably registered) deed in hand, look for a seal on each page and for a certificate of registration, which should be included with the documents. With these papers in hand, you can go to the land registry office, where they will look at the registration number on the certificate and show you how the transaction has been listed in their books.
The corporation ties you to an accountant for life. Even if it reports zero income, an accountant will charge you a fee. To act on behalf of the corporation as a partner you need to get your resident status, otherwise you will have to act through powers of attorney given in the corporation to Mexicans (which means that somebody else will have, for lack of a better word, control of your money, land, car, and everything you buy or do through a corporation). Everything, and we mean everything you buy through a corporation, has to be done through a check and or wire transfer made from the corporation bank account, so cash is not an option. And finally, the biggest downside: there is no way to avoid capital gains when selling the property. If you manage the property properly and get fiscal receipts for everything you do in the house, you can deduct that against the profit at the time you sell to lower the tax bill, but you cant avoid it completely.
Ejido land is mainly used for agriculture, on which community members farm designated plots and collectively maintain communal holdings. Today, many Ejido properties are abandoned, with no farming activity taking place. However, by law foreigners are not allowed to be owners of ejido land, only Mexican citizens.
The only way to acquire Ejido land is to go through a privatization process that transfers the property to a Mexican citizen through a Title or Deed. Transferring Ejido property into private ownership is a time-consuming process, and there are no guarantees it will succeed. Until an Ejido Title has been transferred to private property by a Mexican, foreigners cannot acquire ownership of Ejido land.
In the USA or Canada, there are areas that are protected and the homeowner essentially is leasing the land from the government for 99 years. That is not the case in Mexico. Land leases in Mexico are always involving private individuals, and have a max time limit of 9 years and 11 months. The landlord may also choose to lease his land on a month-to-month basis as there is no legal minimum.
Areas that are close to the beach and highly desired can see prices upwards of $70 USD per square foot for land. $40 USD per square foot and under is considered a good deal for a lot in a decent area for a small home. Lots that are huge that are meant for development, or lots that are way out in the rural areas with minimal services can get as low as $2 per square foot.
Mexican trust banks are authorised by the Mexican Government to carry out the acquisition of properties located in the restricted zone. The respective bank owns the land and acts on behalf of the foreign buyer. Nevertheless, the purchaser holds all rights and responsibilities of selling, leasing, mortgaging and entrusting the property. Furthermore, it is possible to transfer the trust to another foreign buyer. The bank is the holder of the trust deed and is responsible to check if the property is free of liens or any claims to the property. This trust remains valid for 50 years and can be renewed at any time for another 50 years. In the case that the purchaser should miss out on renewing the trust, they have a further period of 10 years to do it.
Foreigners have bought land from private citizens at a discounted price only to find out that they do not legally own the land. Ejido is property given to Mexican citizens for agricultural purposes, it is not private property and was not intended to be sold to foreigners.
A lawyer will establish whether or not the property you are interested in is Ejido land. Purchasing Ejido property puts your investment in jeopardy since the communal commissary or the government may reclaim these properties at any time. This scenario took place in Puerto Vallarta where a developer sold condos on Ejido land.Other examples of loss of property include foreigners unknowingly purchasing property which was encumbered or not legally owned by the seller. Similar situations took place in Tulum; properties were confiscated because they were not obtained through legal channels. It is critical to have a real estate lawyer representing you during a real estate transaction so you can be confident you will not lose your investment. Guaranteed Title Deed
For the first time in nearly a century, Mexico is considering letting foreigners own land outright along the coast and near international borders. Right now, only Mexicans can hold the title to land in the so-called restricted zone. The president and many lawmakers want to relax the ownership laws in hopes of spurring a wave of foreign investment in the country.
For nearly a century, foreigners have been prohibited from owning Mexican land within 31 miles of the coastline or 62 miles of an international border. Alejandro Cabrera/Flickr hide caption
The new law easily passed the lower house of the Mexican Congress, but it is facing opposition in the Senate. Some lawmakers suspicious of foreign interests argue that such sensitive and valuable lands should remain in the hands of Mexicans.
The Restricted Zone in Mexico (known in the past as the \"Prohibited Zone\") is set up as such in the Mexican Federal Constitution. It is the land area within 100-kilometers of Mexico's international land borders (US, Belize and Guatemala) and the land area within 50-kilometers of Mexico's ocean front areas (the coast lines of Mexico).
We however wanted to be high up on a mountain on the edge of the city where the air is clean, and it is cooler that in the valley. Also, we learned that houses that are already built have a retail mark up of 25-30% tacked on to the cost and you must pay taxes on the entire value of the home and land rather than just the lot. In our case that meant we would spend an additional $55,000 USD to buy a home rather than doing it the hard way. Money was a consideration as we wanted as much house as we could get but we also wanted to avoid having a mortgage, so construction was the path we decided to take.
The area we wanted to build on is at the absolute peak of the mountain and all of those lots were already sold to individuals, so we were going to have to purchase on the resale market, not directly from the developer. After nine months of frustration, we finally found a lot that ticked our boxes (the land cost had increased from 2,600 pesos a square meter to 3,700 pesos a square meter during this time). Right about this time our house sold in Florida, and we signed a contract for the purchase of our lot.
Mexico's \"restricted zone\" encompasses any piece of land located 31 miles or less from the ocean and 62 miles or less from the border.  Forty percent of Mexico's total land area is located within the \"restricted zone.\"  This essentially means that the only land foreigners may own in fee simple is the area in the middle of the country, and most people interested in Mexican property want that property to be as close to the beach as possible. Luckily, in the past decade, Mexican law has created a favorable loophole for foreigners to circumvent the Constitutional limitation on the restricted zone which allows Americans to obtain land in the restricted zone for residential purposes.
Americans and other foreigners can obtain land in Mexico in the restricted zone but cannot gain title to that land.  Those foreigners wishing to obtain land in the restricted zone for residential purposes must establish what is called a Fideicomiso. A Fideicomiso is a bank trust; by law in Mexico, only banks can act as trustees.  In a Fideicomiso, \"the seller functions as the donor, the bank as the recipient, and the foreign buyer as the person unable to take.\"  The way the purchase occurs is that a Mexican bank, acting on behalf of the foreign buyer, purchases the property and holds the title, and the buyer pays the bank the purchase price and in return becomes the beneficiary of the property.  This gives the buyer the unrestricted right to use property in the restricted zone for residential purposes, though the buyer does not hold title to the property. Thus, the bank is the trustee and title holder, and the buyer is the beneficiary of the trust. 
How to Buy Real Estate in Mexico as a ForeignerAre you dreaming of living abroad, vacationing regularly, or retiring in Mexico If so, you may want to buy a property of your own to call home. But can you buy property in Mexico as a non-citizen And, further, can you buy land near the beach or on the island of Cozumel.
Once the origin is ascertained by an experienced and reputable mexican lawyer and its land registry entries have been verified, this lawyer must also check the quality of the original or primary real estate transaction (título original) and the quality of the second and successive land transactions (whether sales, probate possession or acquisitive prescription) so as to verify that they were effected and registered without defects. A real estate title is only as good as its weakest link in the chain of past transactions. If the lawyer finds a defect it does not automatically mean that the real estate transaction should be avoided, it simply means that you must obligate the potential seller to cure the defect before a closing occurs. If the seller is able to cure it successfully, then this real estate transaction can usually be completed. But as always, buyer beware! Get legal advise well prior to