Buying "Mexico Restricted Real Estate" Property

Learn About "The Mexican Corporation"

To acquire "Mexican Restricted Property", the Mexican Corporation is used: The 1993 Foreign Investment Law of 1933 states that a corporation established in Mexico is considered Mexican under the law, even if all shareholders are not mexican nationals.

Therefore a Mexican corporation with 100% foreign ownership can acquire property in the restricted zone. This applies only to non-residential property such as a hotel, restaurant or other type of business.

You can not place a retirement or vacation home in the name of a Mexican corporation because it is a violation of the foreign investment law.

The Public Registry and Title investigations: Title, whether through direct ownership or a trust, must be registered in order to give notice to third parties as to the interest of the property.

Information as to encumbrances on title are provided by a certificate obtained from the local Public Registry, another key element is Title insurance which is available in some areas through both Mexican and U.S. companies and should be obtained wherever available.