When it comes to buying or investing in real estate in Mexico, it’s essential to understand the terminology used in the industry. <\/p>\n\n\n\n
This article will provide you with a comprehensive list of Mexico real estate terms and their definitions, helping you confidently navigate the market.<\/p>\n\n\n\n
| Term<\/th> | Definition<\/th><\/tr> |
|---|---|
| Escritura<\/td> | The legal document that proves ownership of a property in Mexico.<\/td><\/tr> |
| Fideicomiso<\/td> | A trust agreement that allows non-Mexican citizens to own property in the restricted zone (within 50 kilometers of the coastline or 100 kilometers of the border).<\/td><\/tr> |
| Notario Publico<\/td> | A specialized lawyer who is responsible for overseeing real estate transactions in Mexico.<\/td><\/tr> |
| Restricted Zone<\/td> | The area is within 50 kilometers of the coastline or 100 kilometers of the border, where non-Mexican citizens cannot directly own property.<\/td><\/tr> |
| Condominium Regime<\/td> | A legal framework that governs the ownership and management of condominiums in Mexico.<\/td><\/tr> |
| Trustee<\/td> | The bank or financial institution that holds the trust for a fideicomiso.<\/td><\/tr> |
| Capital Gains Tax<\/td> | A tax is imposed on the profit made from selling a property.<\/td><\/tr> |
| Notary Fees<\/td> | The fees charged by the notario publico for their services in a real estate transaction.<\/td><\/tr> |
| Construction<\/td> | The construction or building process.<\/td><\/tr> |
| Plusvalia<\/td> | A tax on the increase in the value of a property over time.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\nAdditional Mexico Real Estate Terms<\/h2>\n\n\n\nFAQs<\/h2>\n\n\n\n |
Non-Mexican citizens can own property in Mexico, but there are certain restrictions in the restricted zone. They can establish a fideicomiso or use a Mexican corporation to hold the property.<\/p>\n\n\n\n
A fideicomiso is a trust agreement that allows non-Mexican citizens to own property in the restricted zone. <\/p>\n\n\n\n
The property is held in trust by a Mexican bank acting as the trustee, and the trust beneficiary is the foreign buyer.<\/p>\n\n\n\n
A notario publico is a specialized lawyer overseeing real estate transactions in Mexico. They ensure that all legal requirements are met and are responsible for drafting and reviewing the escritura.<\/p>\n\n\n\n
The costs associated with buying property in Mexico include the purchase price, notary fees, appraisal fees, and closing costs. <\/p>\n\n\n\n
Budgeting for these additional expenses is essential when purchasing property in Mexico.<\/p>\n\n\n\n
The capital gains tax in Mexico is a tax imposed on the profit made from selling a property. The tax rate varies depending on the ownership length and the property type.<\/p>\n\n\n\n
Plusvalia is a tax on the increase in the value of a property over time. It is typically paid by the seller when a property is sold.<\/p>\n\n\n\n