The Public Registry is a government office where  property ownership  documents are filed, providing records of current land titles and verifying the absence of liens. In Mexico, property deeds are public documents accessible to everyone. Most cities and towns have a Public Registry office where notaries conduct title searches, examining the past 10 years of records to ensure no liens or encumbrances exist and that the seller has the legal authority to transfer ownership. At Dream Bigger Realty & Law, every property we sell has a lien clearance from the Public Registry to protect our buyers.

According to Article 27 of the Mexican Constitution, foreigners cannot directly own real estate in Mexico’s “restricted zone,” which includes all land within 100 kilometers of a border or 50 kilometers of the coastline. To allow foreign investment in these areas, the Mexican government created the Fideicomiso, or Bank Trust. In this structure, a Mexican bank acts as the trustee and holds the property title on behalf of the foreign buyer. Through this trust, foreigners can freely use, develop, and profit from their beach property, including through improvements, expansions, rentals, or sales.

Dream Bigger Realty & Law follows U.S.-style escrow processes, using an impartial third party (an escrow company) to facilitate ownership transfer. The escrow agent holds funds securely until all conditions of the purchase agreement are met, at which point they distribute funds to the appropriate parties as outlined in the escrow contract signed by both buyer and seller.

Typically, the buyer is responsible for the transfer tax and their own closing costs, including notary fees and expenses, while the seller covers capital gains tax and broker fees.

Closing costs in Mexico tend to be higher than in the U.S. or Canada, ranging from 6% to 9% of the recorded sales price. However, once you own property here, you’ll find that living costs, including property taxes, utilities, and other expenses, are significantly lower. Our team will guide you through these costs and assist in minimizing them where possible. Closing costs may include:

• Catastral Appraisal Fee
• Escrow Fee
• Recording Fees
• Tax Status Research Fee
• Acquisition Tax
• Fideicomiso Fees
• Closing Coordination Fee
• Notary Public Fee
• Attorney Fee

Within four business days of escrow opening and receipt of your down payment, we provide an estimated breakdown of your closing costs. Final off ers are subject to buyer and seller approval of these costs before signing the Promissory Contract.

In Mexican real estate transactions, a Notario Publico authenticates all legal documents, oversees title transfer, calculates capital gains taxes, and ratifies the transaction. Any transaction not recorded by a Notario in the Public Registry is considered invalid. Although
Notarios are qualified attorneys, they serve in a neutral role, representing the buyer, seller, and government. We recommend having a lawyer to represent your specific interests,  ensuring accurate registration of your property title, tax and utility verification, and additional oversight for a seamless transaction.