FAQ: Is It Safe to Buy Property in Mexico as a Foreigner?

A fideicomiso is a 50-year renewable bank trust that allows foreigners to acquire residential property in the restricted zone. The bank holds title to the property on behalf of the foreign buyer, who retains all ownership rights, including the ability to sell, rent, improve, or inherit the property. This structure is secure and widely used.

No. Despite the stories you might have heard, it is not possible for the property to be taken by the Mexican government. If you purchase through legal channels, including a fideicomiso or a properly formed Mexican corporation, your property rights are constitutionally protected. Mexico has strong legal protections for private property.

No. Foreign individuals can own property outright through the bank trust, or fideicomiso. When purchasing commercial properties, as mentioned, it is advisable to purchase with a Mexican corporation. Even in such a case, it is not necessary to include a Mexican as a partner in the company. You do not need a local partner unless you choose to have one.

A notary public in Mexico (a licensed legal professional with significant authority) is required to verify and certify that the property title is clear and has no liens or encumbrances. A real estate attorney and a title search are highly recommended as added layers of protection.

They are the only authority in Mexico that can create deeds or convey deeds between the parties of a real estate transaction. Not only that, they are also responsible for assessing, collecting, and paying and capital gains tax for the seller of a property.

A Mexican notary has more powers and responsibilities than a notary public in the US or Canada. To become a notario publico, they 1st must be a lawyer for several years, then they take special courses and exams. At that point, they can be appointed for life by the governor of the state as notario publico. They are the only authority that can create deeds or convey deeds between the parties of the real estate transaction

Yes. Title insurance is available through international and Mexican providers and offers protection against title defects, boundary issues, or undisclosed liens. It is not often used.

Yes. Property held in a fideicomiso can name beneficiaries who inherit the rights without going through probate. If owned via a corporation or direct title, inheritance laws still allow transfer through a will or local succession process.

You should work with a real estate attorney experienced in Mexican property law, a licensed notary public (required for all property closings), and optionally a buyer’s agent and accountant for tax planning.

Fraud is rare when the purchase is conducted properly with legal due diligence and legal counsel from a lawyer. They check the public registry of propertys for the chain of title and to ensure the correct documentation is in place. Most problems occur when buyers skip legal steps, sign contracts they don’t understand, or work with unlicensed individuals. Choosing a qualified team is the best protection.

While the majority of developers are secure and reliable, risks include project delays, construction defects, or legal issues with land title. To avoid this, verify the developer’s track record, request documentation, and use a qualified real estate attorney to review that the ownership of the land is complete and building permits are in place before signing.