Foreign ownership
Yes, you really own it
The Fideicomiso isn’t a loophole. It is the federally protected legal structure that lets foreigners own property in Mexico’s most desirable locations.
The restricted zone
Why the trust exists
Under the Mexican Constitution, foreigners cannot hold direct title to land within 100 km of a border or 50 km of the coast.
To encourage foreign investment, Mexico created the Fideicomiso, a bank trust. It gives you full ownership rights while complying with the Constitution. The trust is renewable every 50 years and exists solely for your benefit.
How the trust works
The trustee
A Mexican bank
- Holds the technical legal title to the property
- Acts on your instructions only
- Cannot claim ownership or sell the property without you
The beneficiary
You, the buyer
- Full control of the property
- Improve, renovate and live in it
- Rent it out or sell it for a profit
- Name heirs to inherit it
The acquisition journey (3–6 months with financing)
Promissory agreement
Sign the contrato de promesa once your offer is accepted and the 5–10% earnest-money deposit is made.
Due diligence
A Notario Público runs the title search, confirms there are no liens and that the property can be legally transferred.
Fideicomiso
A new trust is set up (30–90 days) or an existing one is assigned to you (10–30 days) with a Mexican bank.
Closing
Final signing at the Notario’s office, including payment for the property, transfer taxes (4–7%) and acquisition fees.
Registration
The title is recorded with the Public Registry of Property, and the trust paperwork is filed with the bank and government.
Common questions
What happens if the bank goes out of business?
Your property is safe. It is not an asset of the bank, which is only the trustee. If the bank runs into difficulty, the trust is legally transferred to another trustee bank. Your ownership does not change.
What does the trust cost?
Bank trustee fees typically range from US$400 to US$700 a year, depending on the bank and the property value. With One-Pay, the fee can be folded into your monthly mortgage payment so it is never missed.
Can I hold the trust through a U.S. LLC?
Yes. Strategic Equities lets clients close in the name of a U.S.-registered corporation, LLC or trust — an asset-protection advantage most lenders do not offer.
Do I need my own lawyer?
We recommend it. Hire an independent attorney familiar with foreign transactions, ask for bilingual documents, and understand every closing cost in advance.
Secure your piece of paradise
Get pre-qualified and let us coordinate the legal details.