Mexico’s real estate marketplace continues to attract big-name players from the United States.
GE Capital is one major institution that provides financing for Mexico’s real estate purchases. There may be others in the areas where you are considering a purchase.
Since real estate financing is somewhat new in Mexico the fees and rates are often higher than what you would expect in the United States or Canada.
Certainly, financing finally makes it possible for many people to now make a real estate purchase in Mexico.
Title insurance is not required when making a real estate purchase in Mexico, but it is recommended.
Mexico has a provision in its tax code for primary residents — which can include U.S. citizens — which is quite similar to capital gains provisions found in the United States.
We are not tax specialists but we would encourage purchasers to explore this provision, as it will have an impact down the road at the time of sale.