Have you ever thought of owning your own piece of Mexico? Or have you given any thought to retiring to our neighbor to the south? While on my trip to Mexico I decided to research both ideas. This article focuses on acquiring property in Mexico.
Years ago, Mexico decided to protect its highly sought-after coastlands from foreigners. Mexico designated restricted zones where only Mexican residents could own residential property. The restricted zones are property that lies within 50 kilometers of the high tide line or 100 kilometers of Mexico’s international borders. After years of a languishing economy, Mexico opened ownership of its restricted zones to foreigners through Mexican Bank Trusts.
So how do you acquire beachfront Mexican real estate? Here are 7 steps to ensure a safe and happy purchase.
1. Make an offer. Have your attorney draw up a promissory agreement.
2. Deposit earnest money of 10% to 20% in escrow. This can be held in the U.S.
3. Get a title insurance policy. Buy title insurance if available. If not ask why.
4. Have a purchase sales agreement drawn up. Verify that all utility bills and mortgages are paid.
5. Close on the property.
6. Verify that the notary has the deed registered with the land registry office.
7. Get a Mexican will in Spanish.
There you have it! How to acquire your little piece of heaven.