The Foreign-Buyer Process, Explained for the Agent

Your professional reference from start to finish. Not to read aloud to the client, but so YOU advise without hesitation. Each topic links to the buyer guide you can send them.

1. Restricted zone and fideicomiso

The whole bay is in the restricted zone → foreigners buy via fideicomiso (or a Mexican corporation for pure investment / multiple rentals). Master the script to ease their fear.

2. Closing costs (paid by the buyer)

Typical total: ~5%–7% of price ⚠️
Acquisition tax (ISAI/ISABI): ~2%–2.5%
Notary: ~1%–1.5% · registry and certificates: variable
Fideicomiso + SRE permit: fixed USD amounts (heavier on cheaper properties)

3. Taxes when selling (paid by the seller)

The notary withholds capital gains (ISR): the lower of 25% of the gross price or up to 35% of the net gain (with documented deductions). The primary-residence exemption almost always requires Mexican tax residency. Tip: recording at the true value protects the buyer at resale.

4. Timeline and the notary's role

Offer to close usually takes ~30–90 days ⚠️ (the SRE permit and opening the trust are what stretch it). The Mexican notary is NOT a US 'notary': it's a lawyer-official who verifies title, calculates taxes and records the deed. The buyer chooses the notary.

5. Financing

Cash dominates. If financing, expect ~35% down and ~9%–15% rates with cross-border lenders. Many use a HELOC/refi on their home-country property (cheaper).

Deal-killing mistakes: buying ejido land (not registrable), paying before confirming a lien-free title, and skipping neutral escrow. Guard against these from the start.

Closing costs calculator (share it with the client)

Sources