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Below you will find the answers to the questions, but don't stop there. We have a ton of information on owning and investing in Mexico on our blog pages and in our various handbooks. We hope to hear from you with your questions and would love to help you find or sell your PV property.
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Top 3 questions about owning and investing in Mexico
Q: What are the regulations and restrictions for foreign ownership of property in Mexico?
A: A fideicomiso, also known as a Mexican Trust, is a legal agreement used in Mexico to secure foreign ownership of real estate. The fideicomiso also provides peace of mind for foreign property owners by eliminating many of the risks associated with foreign ownership, such as unclear title, disputes over ownership, and legal challenges to the ownership of the property.
Q: What are the taxes and fees associated with owning property in Mexico, and how are they calculated?
A: 1)Property Taxes: Property taxes in Mexico, also known as predial taxes, are based on the assessed value of the property and are paid annually. The assessed value is typically a fraction of the property's market value, and the tax rate varies depending on the municipality where the property is located. Property taxes in Mexico are generally low compared to other countries.
2)Transfer Taxes: Transfer taxes are a one-time tax that is levied when a property is sold or transferred from one owner to another. The tax rate varies depending on the municipality where the property is located and is typically a small percentage of the property's purchase price.
3) Maintenance Fees: Maintenance fees are fees charged by homeowner associations or condominium associations to cover the costs of maintaining common areas and amenities. These fees are typically paid monthly or annually and vary depending on the size and complexity of the development.
Q: How does the legal system in Mexico protect property rights, and what steps should be taken to ensure a smooth and secure property transaction?
A: It is always recommended to consult a local real estate professional. They will ensure that the key steps are undertaken to protect you. Those steps include obtaining a fideicomiso, verifying the deed, and checking for liens.
Need more info? Check our Blog and other pages for detailed information. Let us help you find your dream property, contact us!